SLT Group continues growth momentum in 9-mth period, profits rise to Rs. 5 bln
Sri Lanka's Expolanka Holdings PLC on Tuesday announced that it has divested its stakes in several companies which held significant capital employed, for a sum of Rs. 740 million.
The divested companies were part of the group's international trading and manufacturing sector.
The companies are - Expolanka Teas ( Pvt) Ltd, Expolanka Plantation ( Pvt) Ltd, World Spices & Teas (Pvt) Ltd, Neptune Holdings (Pvt) Ltd, Castle Commercial ( Pv) Ltd, Expolanka Pharmaceuticals ( Pvt) Ltd, Bio Extracts ( Pvt) Ltd and Saffron Foods ( Pvt) Ltd. The divestment is part of the group's longterm plan to focus on its core businesses in order to optimise sustainable growth, a company statement said.
Shantanu Nagpal, Head of Strategic Planning and Business Development- Expolanka Holdings PLC commented, "This move is a strategic one, which we implemented with a clear vision for our future. The divestment will enable us to concentrate even more on our core businesses and free up capital for future growth of the organisation".
In addition to the divestment, Expolanka entered into a Sale Agreement to sell its land located at No. 245/ 49 and 245/ 50 of Avissawella Road for a sum of Rs. 421 million. The completion of this sale will take place on or before November 30.
Sri Lanka Telecom PLC (SLT) group last week reported that turnover grew by 8 per cent to Rs. 48 billion in the nine months ending September 2014, with operating expenses rising by 9 per cent to Rs 21.6 billion.
In a media statement, is said the Rs. 673 million, one time charge for an out of court settlement on civil litigation in relation to the import of the IPTV system in 2007/2008 led to this increase in costs.
The group’s Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) rose by 7 per cent year on year to Rs. 14.9 billion despite pressure on profitability and the EBITDA margin has been maintained at the range of 31 per cent.
Group pre-tax profit was Rs. 6.6 billion while post tax profit was Rs. 5.0 billion.
The holding company said revenue growth was driven by non-traditional revenue streams such as Internet, wholesale, global, international and IPTV. The company intro-
The group’s Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) rose by 7 per cent year on year to Rs. 14.9 billion despite pressure on profitability and the EBITDA margin has been maintained at the range of 31 per cent. Group pre-tax profit was Rs. 6.6 billion while post tax profit was Rs. 5.0 billion.
duced a new state – of- the- art IPTV system with high capacity and this novel feature will address the increasing demand for this service. Mobitel Pvt Ltd, the mobile arm of the SLT Group continued its consistent growth feat despite intensifying competitive environment in the industry. Revenue for the first nine months of 2014 increased to Rs. 22.7 billion, up by 11 per cent compared to corresponding period in 2013. “This growth was mainly driven by the increase in Mobitel subscribers both in voice as well as in data reporting a 7 per cent increase in the overall subscriber base,” it said.