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Sri Lanka knitted fabric maker cuts losses

Nov 06, 2012 (LBO) - Sri Lanka's Hayleys MGT Knitting Mills Plc, knitted fabric marker said it has cut losses and improved gross margins after going through a restructuring process over the past year.
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The firm which files US dollar denominated accounts and statements translated into rupees, lost 43 million rupees in the September 2012 quarter down from 186 million rupees a year earlier.

The firm reported a loss of 29 cents per share for the quarter.

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For the six months to September the company reported a loss of 56 cents per share on a total loss of 85.
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1 million rupees.

Revenues in the March quarter fell 11 percent to 1.

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51 billion rupees, cost of sales fell at a faster 15 percent to 1.
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37 billion rupees allowing the firm to grow gross profits 68 percent to 145 million rupees.

Chairman Mohan Pandithage said in a statement that the company had been put on a recovery path, an enterprise resource planning software has been implemented and it expected to be out of the red by the end of the year.

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Last year the firm found inventory losses and took a write down.

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Its gross margin had been improved nearly 5 percent through eliminating waste and containing costs, the firm said.

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