Lanka Ashok Leyland records revenue growth

Lanka Ashok Leyland ended another successful financial year ending March 2017 with improved results touching total revenue of Rs. 11.4 billion owing to 4th quarter financial achievement where revenue reached Rs 3.8 billion.

Lanka Ashok Leyland’s foray into export markets made significant gains this year which contributed in expanding the gross profit margin to 9 per cent against 8.4 per cent a year earlier, company’s financial results showed.

Non-recurring expenses relating to tax charges and an impairment provision amounting to approximately Rs. 120 million drove up operating expenses by 44 per cent to Rs. 502.7 million from Rs. 348.7 million in 2015/16. Profit before tax grew 12 per cent to Rs. 351.6 million compared to Rs. 314 million posted in 2015/16.

Commenting on the results, Umesh Gautam, CEO of Lanka Ashok Leyland noted “that despite frequent changes in the import duties, restricted leasing facilities and adverse market conditions, this year’s performance has been a reflection of the prudent financial management, collective effort by management and all our employees”.

The bottom line remains healthy, notwithstanding the extraordinary line items on the firm’s operating expenses, he added.