LANKEM CEYLON PLC. Company No. PQ 128 INTERIM FINANCIAL STATEMENTS

Transcription

1 INTERIM FINANCIAL STATEMENTS For The Quarter Ended 30 th June 2018

2 Consolidated Company Quarter Quarter Quarter Quarter ended ended Variance ended ended Variance % % Rs.'000 Rs.'000 Rs.'000 Rs.'000 Revenue 4,063,779 4,045, , , Cost of Sales (3,314,225) (3,322,240) + - (609,701) (787,015) + 23 Gross Profit 749, , , , Other Income 41,618 30, ,386 65,198 + (2) Distribution Costs (289,038) (298,230) + 3 (103,902) (123,539) + 16 Administration Expenses (486,764) (453,127) - 7 (87,572) (103,679) + 16 Share of Profit /(Loss) from Joint Venture 2, Share of Profit /(Loss) from Associates (102,105) 20, Net Finance Costs (341,714) (282,345) - 21 (181,229) (145,644) - 24 Profit / (Loss) before Tax (425,825) (259,252) - 64 (182,736) (150,243) - 22 Tax Expense (11,978) (17,022) Profit / (Loss) for the Period (437,803) (276,274) - 58 (182,736) (150,243) - 22 Other Comprehensive Income/ (Expnese) Net Gain/ (Loss) on Financial Assets Available for Sale (4,934) 5, (4,678) 4, Actuarial Gain/ (Loss) on Defined Benefit Obligations 2,520 1, Other Comprehensive Income/ (Expense) for the period, net of Tax (2,414) 7, (4,678) 4, Total Comprehensive Income/ (Expense) (440,217) (269,173) - 64 (187,414) (145,592) - 29 Profit/ (Loss) Attributable to Owners of the Company (417,174) (246,854) - 69 (182,736) (150,243) - 22 Non-controlling Interests (20,629) (29,420) (437,803) (276,274) - 58 (182,736) (150,243) - 22 Total Comprehensive Income/ (Expense) Attributable to STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME Owners of the Company (419,588) (239,752) - 75 (187,414) (145,592) - 29 Non-controlling Interests (20,629) (29,421) (440,217) (269,173) - 64 (187,414) (145,592) - 29 Earnings/ (Loss) per Share (Rs.) (12.32) (10.29) - 20 (5.40) (6.26) + 14 Lankem Ceylon PLC 2/8

3 Consolidated Company LANKEM CEYLON PLC STATEMENT OF FINANCIAL POSITION Consolidated Company As at As at As at As at As at As at Rs.'000 Rs.'000 Rs.'000 Rs.'000 Rs.'000 Rs.'000 Audited Audited ASSETS 5,853, ,209 Property,Plant & Equipment 5,804,919 6,590, ,917 1,146, ,644 - Investment Properties 418, , ,170,226 - Intangible Assets 1,170,226 1,153, ,245,273 Investments in Subsidiaries - - 3,245,273 3,400, , ,500 Investments in Associates 382, , , , ,143 Investments in Joint Venture 289, ,186 61,157 Investments Classified as Available for Sale 59,766 59,587 56,993 67, Investments Classified as Held to Maturity - 10, ,058 Deferred Tax Assets ,058 61,198 8,308,176 4,379,197 Total Non - Current Assets 8,125,358 8,605,277 4,357,741 4,998,203 2,026, ,092 Inventories 1,938,870 2,356, ,843 1,175,954 4,479,372 1,054,717 Trade and Other Receivables 3,661,586 3,562, ,212 1,184,835-9,164 Amounts Due from Related Parties - Trade ,347 8, , ,484 Amounts Due from Related Parties - Non Trade 256, , , , ,700 85,700 Loans Due from Related Parties 115,700 85,000 85,700 55,000 53,102 24,457 Income Tax Recoverable 65,873 52,241 24,457 24,457 Investments Classifiled as Fair Value Through 68,411 68,411 Profit or Loss 42, ,399 42, ,039 1,210, ,696 Bank & Cash Balances 507, , , ,487 60,000 60,000 Asset Held For Sale 60,000-60,000-8,254,873 3,102,721 Total Current Assets 6,648,986 7,027,628 2,256,488 3,267,517 16,563,049 7,481,918 Total Assets 14,774,344 15,632,905 6,614,229 8,265,720 EQUITY 930, ,346 Stated Capital 930, , , ,218 4,833 - Other Capital Reserves 4,833 4, ,734 14,122 Available for Sale Reserves 7,800 7,159 9,444 5, , ,864 Revenue Reserves 194, ,900 (70,872) 534,357 1,556,820 1,056,332 Equity attributable to Owners of the Company 1,137,232 1,389, ,918 1,075,770 2,129,658 - Non-controlling Interests 2,052,778 2,060, ,686,478 1,056,332 Total Equity 3,190,010 3,450, ,918 1,075,770 LIABILITIES 2,607,274 1,536,621 Interest Bearing Borrowings 2,580,638 2,546,751 1,594,210 1,491,066 14,769 - Deferred Income 14,063 16, ,199 - Deferred Tax Liabilities 172,753 43, , ,503 Retirement Benefit Obligations 270, , ,117 69,674 3,084,613 1,664,124 Total Non - Current Liabilities 3,038,068 2,792,958 1,723,327 1,560,740 4,976,244 2,603,335 Interest Bearing Borrowings 3,849,965 4,247,254 1,798,606 2,605, , ,164 Loans Payable to Related Parties 303, , , ,249 2,559, ,896 Trade and Other Payables 2,570,114 2,892, ,747 1,320,266-10,355 Amounts Due to Related Parties - Trade - - 5,882 3, , ,288 Amounts Due to Related Parties Non - Trade 391, , , ,309 95,123 - Income Tax Payable 61,678 83, ,401, ,424 Bank Overdraft 1,370,178 1,371, , ,032 9,791,958 4,761,462 Total Current Liabilities 8,546,266 9,389,886 4,021,984 5,629,210 12,876,571 6,425,586 Total Liabilities 11,584,334 12,182,844 5,745,311 7,189,950 16,563,049 7,481,918 Total Equity and Liabilities 14,774,344 15,632,905 6,614,229 8,265, Net Assets per Share (Rs.) I certify that these Financial Statements have been prepared in compliance with the requirements of the Companies Act. No. 07 of Sgd. A.Piyadigama Chief Financial Officer The Directors are responsible for the preparation and presentation of these Financial Statements. Approved and signed for and on behalf of the Board of Directors of Lankem Ceylon PLC. Sgd. Anushman Rajaratnam Director Sgd. R. N. Bopearatchy Director Colombo 10th August 2018 Lankem Ceylon PLC 3/8

4 STATEMENT OF CHANGES IN EQUITY Equity Attributable to Equity Holders of the Parent Stated Other Capital Avaiable for Sale Retained Total Non-controlling Total Capital Reserves Reserves Profit/(Loss) Interest Consolidated Rs. '000 Rs. '000 Rs. '000 Rs. '000 Rs. '000 Rs. '000 Rs. '000 Balance as at ,346 4,833 12, ,907 1,556,820 2,129,658 3,686,478 Profit / (Loss) for the Period (417,174) (417,174) (20,629) (437,803) Other Comprehensive Income for the Period Dividend Paid - - (4,934) 2,520 (2,414) - (2,414) (56,251) (56,251) Balance as at ,346 4,833 7, ,253 1,137,232 2,052,778 3,190,010 Balance as at ,218 4,833 1,750 1,340,938 1,883,739 2,237,370 4,121,109 Effect of Acquisitions, Disposals and (254,876) (254,876) (90,748) (345,624) changes in Percentage Holding in Subsidiaries Profit / (Loss) for the Period (246,854) (246,854) (29,420) (276,274) Other Comprehensive Income for the Period - - 5,409 1,692 7,101-7,101 Dividend Paid (56,251) (56,251) Balance as at ,218 4,833 7, ,900 1,389,110 2,060,951 3,450,061 Stated Avaiable for Sale Retained Total Capital Reserves Profit/(Loss) Company Rs. '000 Rs. '000 Rs. '000 Rs. '000 Balance as at ,346 14, ,864 1,056,332 Profit / (Loss) for the Period - - (182,736) (182,736) Other Comprehensive Income for the Period - (4,678) - (4,678) Balance as at ,346 9,444 (70,872) 868,918 Balance as at , ,600 1,221,362 Profit / (Loss) for the Period - - (150,243) (150,243) Other Comprehensive Income for the Period - 4,651-4,651 Balance as at ,218 5, ,357 1,075,770 Lankem Ceylon PLC 4/8

5 CASH FLOW STATEMENT Consolidated Company For the Quarter ended 30 th June Rs.'000 Rs.'000 Rs.'000 Rs.'000 Cash Flows from Operating Activities Profit / (Loss) before Tax (425,825) (259,252) (182,736) (150,243) Adjustments for : Depreciation / Amortisation on Property, Plant & Equipment 115, ,286 18,067 23,183 Dividend Income (264) - (60,257) (62,738) Interest Expense 319, , , ,304 (Gain) / Loss on Disposal of Property, Plant & Equipment (10,109) (5,378) (2,330) (63) (Gain) / Loss on Translation of Foreign Currency 3,135 9,496 (7,889) 2,783 Interest Income (31,241) (24,394) (22,972) (23,445) Associate share of loss/(profit) 102,105 (20,917) - - Share of loss of Joint Venture (2,624) Defined Benefit Plan Cost - Retiring Gratuity 14,157 15,083 5,148 5,957 Provision / (Reversal of Provision) for Doubtful Debts - Trade & Other Receivable 9,993 4,705 3,236 3,649 Provision for Obsolete Inventories 15,734 9,294 4,098 4,821 Fair value (Gain) / Loss on investments classified as FVTPL 10,542 (35,998) 10,542 (35,998) Gain / (Loss) on disposal of Investments (1,489) - (1,489) - Amortisation of Deffered Income (687) (687) - - Profit/ (Loss) before Working Capital Changes 118, ,765 (35,034) (29,790) (Increase) / Decrease in Inventories 72, ,837 70,151 63,918 (Increase) / Decrease in Trade and Other Receivables 804, , , ,836 (Increase) / Decrease in Amounts due from Related Parties (15,339) (115,987) (36,780) (20,558) Increase / (Decrease) in Trade and Other Payables 44,977 (66,456) (85,797) (64,785) Increase / (Decrease) in Amounts due to Related Parties (244,148) (1,570) 14,876 35,926 Cash generated from Operations 780,885 1,015, , ,547 Income Tax Paid (59,772) (55,658) - - Interest Paid (285,095) (294,966) (185,862) (154,999) Retiring Gratuity Paid (6,504) (14,747) (3,534) (11,751) Net Cash generated from Operating Activities 429, ,642 (69,719) (31,203) Cash Flows from Investing Activities Purchase & Construction of Property, Plant & Equipment (37,407) (65,643) (776) (681) Investment in Subsidiaries - (661,913) - (320,181) Interest Received 5,285 10, ,120 Dividends Received ,738 Proceeds on Disposal of Property, Plant & Equipment 10,232 6,528 2, Investment in Short term & AFS investments (9,336) - (9,336) - Proceeds on Disposal of Short term & AFS investments 25,270-25,270 - Net Cash generated from / (used in) Investing Activities (5,692) (710,636) 18,579 (256,626) Cash Flows from Financing Activities Obtain / (grant) of Loans from Related Parties 150, , ,199 Net Lease Movement - (33) - - Proceeds from Long Term Loans 281, , ,690 49,160 Repayment of Long Term Loans (793,106) (162,330) (701,569) (104,003) Dividend Paid (56,251) (56,251) - - Settlement of Related Party Loans (5,000) - (5,000) (41,000) Net Movement in Short Term Borrowings (672,260) (248,436) (327,262) 173,547 Net Cash generated from / (used in) Financing Activities (1,094,927) (167,890) (602,141) 218,903 Net Increase in Cash & Cash Equivalents (671,106) (228,884) (653,281) (68,926) Cash & Cash Equivalents at the begining of the year (191,407) (680,622) (24,728) (571,619) Cash & Cash Equivalents at the end of the period (862,513) (909,506) (678,009) (640,545) Analysis of Cash & Cash Equivalents at the end of the Period Cash in Hand & Bank 507, , , ,487 Bank & Other Borrowings (1,370,178) (1,371,504) (783,948) (822,032) (862,513) (909,506) (678,009) (640,545) Lankem Ceylon PLC 5/8

6 OPERATING SEGMENT INFORMATION Information based on the Group's Operating Segments Segment Revenue - Consolidated Segment Revenue Inter Segment Net Revenue For the three months ended 30th June Rs.'000 Rs.'000 Rs.'000 Rs.'000 Rs.'000 Rs.'000 Consumer 973,500 1,005,781 (38,359) (27,611) 935, ,170 Industrial 2,871,033 2,860,657 (16,145) (48,622) 2,854,888 2,812,035 Leisure 273, , , ,440 Segment Results - Consolidated 4,118,283 4,121,878 (54,504) (76,233) 4,063,779 4,045,645 Operating Profit/(Loss) Finance Cost Loss before Tax Tax Expense Profit/ (Loss) for the Period For the three months ended 30th June Rs.'000 Rs.'000 Rs.'000 Rs.'000 Rs.'000 Rs.'000 Rs.'000 Rs.'000 Rs.'000 Rs.'000 Consumer 32,634 17,854 (23,191) (20,282) 9,446 (2,426) (7,435) (5,377) 2,010 (7,804) Industrial 26,205 18,624 (272,093) (217,645) (243,265) (199,021) (2,100) (8,633) (245,365) (207,653) Leisure (43,422) (34,135) (28,130) (30,034) (71,552) (64,169) (2,441) (3,009) (73,993) (67,178) Others (47) (167) (18,300) (14,384) (120,453) 6,364 (2) (3) (120,455) 6,361 15,370 2,176 (341,714) (282,345) (425,825) (259,252) (11,978) (17,022) (437,803) (276,274) Lankem Ceylon PLC 6/8

7 Notes to the Financial Statements LANKEM CEYLON PLC The Interim Financial Statements have been prepared in accordance with the accounting policies set out in the audited Financial Statements for the year ended 31 st March 2018, and also in compliance with Sri Lanka Accounting Standard 34 - Interim Financial Reporting. The presentation and classification of the Financial Statements of the previous period, have been amended, where relevant, for better presentation and to be comparable with those of the current period. Subsequent to the reporting period, no circumstances have arisen that would require adjustments to or disclosures in the financial statements. There has been no significant change in the nature of the contingent liabilities which were disclosed in the audited financial statements for the year ended 31 st March The figures in the Financial Statements are provisional and subject to audit. Share Information As at 30 th June Stated Capital (Rs.'000) 930, ,218 Number of Ordinary Shares (Voting) Issued 33,853,200 24,000,000 7 Market Price recorded during the quarter Rs. Rs. - Highest Lowest Last traded price (Volume Weighted Average) Directors direct shareholdings as at Name of Director No. of Shares Mr. S. D. R. Arudpragasam 25,000 Mr. Anushman Rajaratnam 1,500 Mr. K. P. David 8,150 Mr. R. T. Weerasinghe 7,000 Lankem Ceylon PLC 7/8

8 Notes to the Financial Statements LANKEM CEYLON PLC 9 The number of public shareholders as at were 1, The applicable option under Colombo Stock Exchange Rule on Minimum Public Holding is Option 2 and the Float Adjusted Market Capitalization as at was Rs Mn. 11 The Percentage of Shares held by the Public as at was 14.65%. 12 The Twenty Major Shareholders as at were as follows; Name of Shareholders No. of Shares % The Colombo Fort Land & Building PLC 15,000, E. B. Creasy & Company PLC 10,974, Associated Electrical Corporation Ltd. 1,507, Colombo Fort Investments PLC c u 966, Darley Butler & Company Ltd. 536, Seylan Bank PLC / Thirugnanasambandar Senthilverl 435, Guardian Asset Management Ltd 400, Sri Lanka Insurance Corporation Ltd. - General Fund 306, Capital Investments Ltd. 274, Acuity Partners (Pvt) Limited /Colombo Investment Trust PLC 225, C M Holdings PLC 160, Acuity Partners (Pvt) Limited /Colombo Fort Investment PLC 150, A E C Properties (Pvt) Ltd. 150, People's Leasing & Finance PLC. / Hi-Line Trading (Pvt) Ltd. 146, Employees Trust Fund Board 82, Bank of Ceylon No.01 Account 72, Mr Anthony Isidore De Silva & Mr. Francis Xavier Ranjith Pereira 55, Mr. Mohottige Don Hemantha Mannapperuma 51, Corporate Holdings (Private) Limited A/C 01 48, Colombo Investment Trust PLC 45, ,588, Lankem Ceylon PLC 8/8