Expolanka group reports gross profit of Rs.14.4Bn

colombo-port-JCT

  • 259% YoY growth in Group Profit After Tax up to Rs. 6.3 Bn
  • 165% YoY increase in Group revenue up to Rs. 95.7Bn
  • Logistics growth driven by surging retail demand in U.S.

Led by vibrant growth in its logistics sector, Expolanka Holdings PLC, delivered another record-breaking performance during the quarter ended 30 June 2021 (Q121).

Group revenue recorded a remarkable 165% Year-on-Year (YoY) expansion to reach Rs. 95.7 billion resulting in Gross Profit of Rs. 14.4 billion, up 130% YoY. Together with a strong focus on operational efficiency, Group Profit After Tax (PAT) surged by an outstanding 259% YoY up to Rs. 6.3 billion.

“Once again, our logistics sector served as the lynchpin of our growth, ably supported by commendable performances across all other business segments. Our record-breaking performance over this past quarter is a testament to the consistent focus on our strategy and the unified efforts of our team.

With their support, we successfully implemented a bold growth strategy that focused on expanding customer volumes, developing our ocean freight product, and proactive procurement and capacity building initiatives. In this manner, we were successful in optimizing all available opportunities that emerged from the gradual recovery taking place in the global economy amidst continued supply chain disruptions,” Hanif Yusoof, Group CEO, Expolanka Holdings stated.  

Impressive growth in volumes across both Air Freight and Ocean Freight products with stable yields served as a catalyst for another strong performance in Expolanka’s Logistics sector. Rising retail demand in the United States and the resulting intensification of activity in the North American trade lane, enabled volume growth and an expanding customer base across multiple verticals.

Despite less vibrant activity, amidst trade disruptions, business in European and Intra-Asian business also continued to demonstrate resilience. Notably, the European market also showed early signs of improvement.

As a result, Expolanka’s logistics sector was able to deliver 167% YoY growth in revenue, up to Rs. 94.9 billion. Additionally, gross profit expanded by 131% YoY up to Rs. 14.3 billion while PAT achieved a record breaking 240% growth up to 6.6 billion respectively. 

Meanwhile despite extended lockdowns and travel restrictions, the Group’s Leisure sector continued to deliver a stable performance, posting a turnover growth of Rs. 152 million – a reflection of the continued restructure and reorganization efforts focused on the long term.

The Group’s investment sector recorded a healthy 34% YoY increase up to Rs. 735 million, with the main contributor to growth arising from the Group’s export operation supported by a shift in portfolio towards niche product offerings. Similarly, the Group’s IT business also gained ground with moderate improvements in its contributions to the business.