Aug 06, 2011 (LBO) – Sri Lanka’s Textured Jersey, a knitwear making unit of Sri Lanka’s Brandix apparel group said profits in the June 2011 quarter rose 136 percent to 143.9 million from a year earlier, despite a rise in cotton prices. The firm will have 655 million shares after the initial offer.
Last year the firm’s revenues were 9.2 billion rupees (83 million dollars), up from 8.3 billion rupees a year earlier.
The firm said revenues grew 33 percent in the quarter to 2.7 billion rupees. The firm said it had passed on a greater proportion cost increases to customers with an average 30 percent rise in prices without hurting volumes.
It had also cut costs helping increase operating profits.
“Significant savings of costs were achieved by management in utilization of dyes & chemicals, machinery maintenance, packaging and transportation,” Brandix chairman Ashroff Omar said in a statement.
“The improvements made to processes also helped achieve substantial cost savings.”
The company said operating profits rose 140 percent to 156 million rupees in the June quarter.
The knitwear maker is a joint venture between Brandix, and Hong Kong-based Pacific Textile Holdings. The firm raised 1.2 billion rupees in a