INTERIM FINANCIAL STATEMENTS For the Nine Months Period Ended 31st December 2016

Transcription

1 INTERIM FINANCIAL STATEMENTS For the Nine Months Period Ended 31st December 2016 LOTUS HYDRO POWER PLC

2 INTERIM FINANCIAL STATEMENTS FOR THE NINE MONTHS PERIOD ENDED 31ST DECEMBER 2016 PAGE NO. CONTENTS 1 STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME - GROUP 2 STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME - COMPANY 3 STATEMENT OF FINANCIAL POSITION - GROUP & COMPANY 4 STATEMENT OF CHANGES IN EQUITY - GROUP & COMPANY 5 STATEMENT OF CASH FLOW - GROUP & COMPANY 6 NOTES TO THE INTERIM FINANCIAL STATEMENTS 7 INVESTOR INFORMATION 8 CORPORATE INFORMATION

3 Page -01 INTERIM FINANCIAL STATEMENTS STATEMENTS OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME Group Group Three months ended Nine months ended Year ended Un-audited Un-audited Audited Variance Variance Rs. Rs. % Rs. Rs. % Rs. Revenue 28,138,891 88,131,281-68% 120,490, ,229,429-20% 167,274,774 Cost of sales (23,011,161) (21,495,917) 7% (67,478,345) (66,722,668) 1% (88,952,942) Gross profit /(loss) 5,127,730 66,635,364-92% 53,012,371 83,506,761-37% 78,321,832 Administration expenses (8,855,274) (5,669,411) 56% (20,630,721) (17,494,734) 18% (22,505,881) Profit /(loss)from operating activities (3,727,544) 60,965, % 32,381,650 66,012,027-51% 55,815,951 Finance income 673,141 90,085 3,078,879 1,306, % 2,425,149 Finance costs (4,468,839) (3,486,845) 28% (12,623,278) (9,455,960) 33% (12,923,671) Net finance income (3,795,698) (3,396,760) 12% (9,544,399) (8,149,242) 17% (10,498,522) Profit /(loss) before tax (7,523,242) 57,569, % 22,837,251 57,862,785-61% 45,317,429 Income tax expense (544,763) (6,061,420) -91% (7,082,877) (7,122,873) -1% (31,648,557) - - Profit / (loss) for the period (8,068,005) 51,507, % 15,754,374 50,739,912-69% 13,668,872 Other comprehensive income Acturial gain / (loss) on defined benefit plan ,861 Tax on other comprehensive income - - (107,983) Other comprehensive income net of tax ,878 Total comprehensive income for the period (8,068,005) 51,507, % 15,754,374 50,739,912-69% 14,460,750 Earnings per share - Rs. (0.07) Figures in brackets indicate deductions. The above figures are subject to audit. Colombo 13th February 2017

4 Page -02 INTERIM FINANCIAL STATEMENTS STATEMENTS OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME Company Company Three months ended Nine months ended Year ended Un-audited Un-audited Audited Variance Variance Rs. Rs. % Rs. Rs. % Rs. Revenue 19,007,345 66,389,649-71% 81,238, ,445,937-24% 119,705,433 Cost of sales (12,137,137) (11,130,531) 9% (35,256,741) (39,241,961) -10% (51,127,813) Gross profit /(loss) 6,870,208 55,259,118-88% 45,982,168 68,203,976-33% 68,577,620 Administration expenses (8,607,703) (5,023,226) 71% (19,868,857) (15,405,489) 29% (20,057,617) Profit /(loss)from operating activities (1,737,495) 50,235, % 26,113,311 52,798,487-51% 48,520,003 Finance income 671,917 88,992 3,075,300 1,273, % 2,390,853 Finance costs - (244) - (244) (244) Net finance income 671,917 88, % 3,075,300 1,273, % 2,390,609 CER - fall in value - - 0% Profit /(loss) before tax (1,065,578) 50,324, % 29,188,611 54,071,768-46% 50,910,612 Income tax expense 1,518 (6,061,113) -100% (4,040,525) (7,113,578) -43% (6,555,631) Profit / (loss) for the period (1,064,060) 44,263, % 25,148,086 46,958,190-46% 44,354,981 Other comprehensive income Acturial gain / (loss) on defined benefit plan ,353 Tax on other comprehensive income - - (99,762) Other comprehensive income net of tax ,591 Total comprehensive income for the period (1,064,060) 44,263, % 25,148,086 46,958,190-46% 45,086,572 Earnings per share - Rs. (0.01) Figures in brackets indicate deductions. The above figures are subject to audit. Colombo 13th February 2017

5 STATEMENT OF FINANCIAL POSITION AS AT 31ST DECEMBER LOTUS HYDRO POWER PLC Page -03 Group Company Un-audited Audited Un-audited Audited Rs. Rs. Rs. Rs. Rs. Rs. ASSETS Non-current assets Property, plant and equipment 815,340, ,146, ,623, ,557, ,317, ,102,982 Leasehold properties 4,057,025 4,503,233 4,391,681 4,057,025 4,503,233 4,391,681 Capital work-in-progress 13,191,996 14,632,182 15,022, Intangible asset - computer software Investments in subsidiaries ,000, ,000, ,000,000 Total non current assets 832,589, ,281, ,037, ,614, ,821, ,494,663 Current assets Inventories 8,145,803 7,368,587 8,133,065 2,351,260 1,207,082 1,971,560 Trade and other receivables 27,639,435 68,866,117 20,332,138 17,247,172 53,261,806 16,978,347 Amounts due from related parties 1,827, ,844-69,316,896 58,963,682 53,655,207 Cash and cash equivalents 11,829,135 28,741,420 71,110,532 11,578,875 26,005,322 68,878,232 Total current assets 49,442, ,150,968 99,575, ,494, ,437, ,483,346 Total assets 882,031,261 1,000,432, ,613, ,108, ,259, ,978,009 EQUITY AND LIABILITIES Capital and reserve Stated capital 482,300, ,300, ,300, ,300, ,300, ,300,200 Revaluation reserve 229,900, ,900, ,900, ,900, ,900, ,900,053 Reserves 101, , , , , ,802 Retained earnings (45,294,717) 62,500,561 26,221,399 10,527,551 74,521,573 72,649,955 Total equity 667,007, ,802, ,523, ,829, ,823, ,952,010 Non-current liabilities Deferred tax liability 57,644,946 31,874,439 56,215,704 29,512,051 31,874,439 31,124,160 Loans and borrowings 110,570, ,570, ,570, Retirement benefit obligations 3,145,341 4,053,357 3,414,374 2,658,127 3,809,203 3,062,160 Total non-current liabilities 171,360, ,497, ,200,078 32,170,178 35,683,642 34,186,320 Current liabilities Expense and other payables 24,749,013 34,613,763 34,786,275 4,827,240 6,281,731 6,258,814 Amounts due to related parties 2,030,225 38,241 66,399 2,030,225 38,241 66,399 Income tax payable 1,251,733 6,437,827 3,520,640 1,251,089 6,431,851 3,514,466 Current portion of interest bearing borrow 10,000,000 7,968,626 31,390, Bank Overdraft 5,632,665 74,010 1,126, Total current liabilities 43,663,636 49,132,467 70,889,921 8,108,554 12,751,823 9,839,679 Total liabilities 215,023, ,630, ,089,999 40,278,732 48,435,465 44,025,999 Total equity and liabilities 882,031,261 1,000,432, ,613, ,108, ,259, ,978,009 Net assets per ordinary share (Rs.) Figures in brackets indicate deductions. These Financial Statements are in compliance with the requirements of the Companies Act No. 07 of Sgd Mrs. D P Lokugalappaththi Manager Finance The Board of Directors is responsible for the preparation and presentation of these financial statements. Approved and signed for and on behalf of the Board of Directors of Lotus Hydro Power PLC. Sgd Mr. A.U.A.M.Athukorale (Director) Sgd Mr. Gowri Shanker (Director) Colombo 13th February 2017

6 INTERIM FINANCIAL STEMENTS STATEMENT OF CHANGES IN EQUITY LOTUS HYDRO POWER PLC Page -04 Group Stated Revaluation Revenue Retained Total Capital Reserve Reserve Earnings Rs. Rs. Rs. Rs. Rs. Balance as at 1st April,2015 (Audited) 482,300, ,900, ,802 88,122, ,424,382 Total Comprehensive income for the period ,739,912 50,739,912 Dividend paid (76,361,678) (76,361,678) Balance as at 31st December, 2015 (Un Audited) 482,300, ,900, ,802 62,500, ,802,616 Balance as at 31st March 2016 (Audited) 482,300, ,900, ,802 26,221, ,523,454 Total comprehensive income for the period ,754,374 15,754,374 Dividend paid (87,270,490) (87,270,490) Balance as at 31st December,2016 (Un Audited) 482,300, ,900, ,802 (45,294,717) 667,007,338 Company Stated Revaluation Revenue Retained Total Capital Reserve Reserve Earnings Rs. Rs. Rs. Rs. Rs. Balance as at 1st April,2015 (Audited) 482,300, ,900, , ,925, ,227,116 Total Comprehensive income for the period ,958,190 46,958,190 Dividend paid (76,361,678) (76,361,678) Balance as at 31st December, 2015 (Un Audited) 482,300, ,900, ,802 74,521, ,823,628 Balance as at 31st March 2016 (Audited) 482,300, ,900, ,802 72,649, ,952,010 Total comprehensive income for the period ,148,086 25,148,086 Dividend paid (87,270,490) (87,270,490) Balance as at 31st December,2016 (Un Audited) 482,300, ,900, ,802 10,527, ,829,606 Figures in brackets indicate deductions.

7 INTERIM FINANCIAL STATEMENTS STATEMENT OF CASH FLOW LOTUS HYDRO POWER PLC Page -05 Group Company Un Audited Audited Un Audited Audited Rs. Rs. Rs. Rs. Rs. Rs. Cash flows from operating activities Net profit/(loss) before CER adjustment and taxation 23,994,814 57,862,785 45,317,429 29,188,611 54,071,768 50,910,612 Adjustments for: Depreciation 46,426,813 43,610,172 58,825,333 24,943,548 24,874,452 33,089,438 Amortization of intangible assets - 25,523 25,523-9,941 9,941 Amortization of leasehold assets 334, , , , , ,208 Provision for defined benefit plan costs - gratuity 495, , , , , ,744 Interest income (3,078,878) (1,306,718) (2,425,149) (3,075,300) (1,273,525) (2,390,853) Interest expenses 11,183,550 9,455,360 12,923, ,361,141 52,741,993 70,599,237 22,562,904 24,433,768 31,804,722 Operating profit/(loss) before working capital changes 79,355, ,604, ,916,666 51,751,515 78,505,536 82,715,334 (Increase) / decrease in inventories (12,737) (1,875,789) (2,640,267) (379,700) 768,386 3,908 (Increase) / decrease in trade and other receivables (7,307,297) (33,146,497) 15,387,482 (268,825) (26,609,211) 9,674,248 (Increase) / decrease in amounts due from related parties (15,661,689) (174,844) - (15,661,689) (14,206,831) (9,056,017) (Increase) / decrease in amounts due to related parties 15,797,705 (1,275,094) (1,246,936) 1,963,826 (1,275,094) (1,246,936) Increase / (decrease) in trade and other payables (11,476,989) 13,934,939 14,107,451 (1,431,574) 3,944,241 3,921,323 (18,661,007) (22,537,285) 25,607,730 (15,777,962) (37,378,509) 3,296,526 Cash generated from / (used) in operations 60,694,948 88,067, ,524,396 35,973,553 41,127,027 86,011,860 Interest paid (11,183,551) (9,455,360) (12,923,671) - (244) (244) Income tax paid (7,895,351) (10,944,884) (14,110,049) (7,888,911) (10,939,540) (14,104,705) Gratuity paid (764,033) (228,727) (148,500) (764,033) (228,727) (148,500) (19,842,935) (20,628,971) (27,182,220) (8,652,944) (11,168,511) (14,253,449) Net cash flow from / (used) in operating activities 40,852,013 67,438, ,342,176 27,320,608 29,958,516 71,758,411 Cash flow from investing activities Purchase of property, plant and equipment (5,035,440) (3,553,459) (3,987,979) (397,676) (3,202,588) (3,637,108) Adjustment to PPE 4,174, , ,520 Interest received 3,051,688 1,179,613 2,253,620 3,048,201 1,149,738 2,222,753 Capital work-in-progress 1,830, Expenses incurred on capital work-in-progress - (25,727,729) (25,810,249) Net cash from /(used) in investing activities 4,021,022 (28,101,575) (27,110,088) 2,650,525 (2,052,850) (979,835) Cash flow from financing activities Repayment of long term borrowings (21,390,000) (19,251,374) (25,830,000) Dividend paid (87,270,490) (76,361,678) (76,361,678) (87,270,490) (76,361,678) (76,361,678) Net cash from/(used) in financing activities (108,660,490) (95,613,052) (102,191,678) (87,270,490) (76,361,678) (76,361,678) Net decrease in cash and cash equivalents (63,787,455) (56,276,105) (14,959,590) (57,299,356) (48,456,012) (5,583,102) Cash and cash equivalents at the beginning of the period 69,983,925 84,943,515 84,943,515 68,878,232 74,461,334 74,461,334 Cash and cash equivalents at the end of the period 6,196,470 28,667,410 69,983,925 11,578,876 26,005,322 68,878,232 Figures in brackets indicate deductions. Colombo 13th February 2017

8 Page -06 NOTES TO THE PROVISIONAL FINANCIAL STATEMENTS FOR THE NINE MONTH ENDED 31ST DECEMBER ACCOUNTING POLICIES The provisional interim financial statements of the Company/Group are unaudited and have been prepared on the basis of the same accounting policies and methods applied for the year ended 31st March 2016 and are in compliance with the Sri Lanka Accounting Standard 34-Interim Financial Reporting. Provision of the Companies Act No. 7 of 2007 have been considered in preparing the interim financial statements of the Company/Group. 2 Accounting policies and methods of computation as stated in the Annual Report for 2015 / 2016 are followed in the preparation of these provisional financial statements. 3 COMPARATIVE INFORMATION The previous period figures and phrases have been re - arranged where necessary to conform to the current period's presentation and classifications. 4 STATED CAPITAL 4.1 NO. OF SHARES REPRESENTING THE STATED CAPITAL The stated capital amounting to Rs. 482,300,200/- is represented by 109,088,112 Nos. of ordinary shares as at 31st December CONTINGENT LIABILITIES There has been no significant change in the nature of the contingent liabilities other than those disclosed in the audited financial statements for the year ended 31st March EVENTS AFTER THE FINANCIAL POSITION DATE No circunstances have arisen since the date of financial position which would require adjustments or disclosure in the provisional financial statements. 7 FUNCTIONAL AND PRESENTATION CURRENCY The financial statements are presented in Sri Lankan rupees, which is the Company's functional currency. Financial information presented in Sri Lankan rupees has been rounded to the nearest rupee unless indicated otherwise. 8 APPROVAL OF THE INTERIM FINANCIAL STATEMENTS The provisional financial statements of the Group and the Company for the Third quarter ended 31st December 2016 were authorized for issue by the Board of directors on 13th Feburuary NO. OF ORDINARY SHARES HELD BY THE DIRECTORS As at Name of Director 31st December 2016 Nos. Mr. U. H. Palihakkara - Dr. T. Senthilverl Individual 526,003 Seylan Bank PLC/T.Senthilverl 927,584 Sampath Bank PLC/Dr.T.Senthilverl 15,000,000 Mr. A. I. Fernando - Mr. G. D. Seaton - Mr. Gowri Shankar - Mr. A. U. A. M. Authokorala -

9 Page -07 INVESTER INFORMATION Market performance - ordinary shares As at Closing price per share (Rs.) 6.60 Highest price per share during the quarter (Rs.) 7.60 Lowest price per share during the quarter (Rs.) 6.40 As at Twenty largest shareholders Nos. % Held 1. Lotus Renewable Energy Private Limited 80,350, Sampath Bank PLC/ Dr.T.Senthilverl 15,000, Seylan Bank PLC/Dr.Thirugnanasambandar Senthilverl 927, Mr.D.D Gunaratne 810, Pan Asia Banking Corppration PLC/Mr. S.Gobinath 800, Dr.T. Senthilverl 526, Mr. S.Senthi Maaran 469, Mr. S. Senthinandhanan 469, Mr.P.P. Thevarajah 463, Mr. P.P.Subasinghe 404, Peter Valley Estates Co Ltd 235, Bank Of Ceylon No. 1 Account 173, Mr. K.M.S.M.Razeek 166, Mr.G.K. Kulatilleke 152, Mr. K.K.Karunamoorthy 146, Sierra Construction (Pvt) Limited 137, Mrs.F.F. Musthapha 137, Mr.W.S.K.M. Abeysekera 106, Mr.K.M.K. Karunaratne 101, Mr.K.C. Mahesh 100, ,677, Others 7,410, ,088, As at Number of shares held by the public 12,283,644 Number of public shareholders 2,369 The percentage of shares held by the public (%) 11.26%

10 Page - 08 CORPORATE INFORMATION NAME OF COMPANY LOTUS HYDRO POWER PLC (FORMELY KNOWN AS Browns Hydro Power PLC) LEGAL FORM A Public Limited Liability Company incorporated in Sri Lanka on 24th April 2000 under the Compaies Act No.07 of 2007 and is a BOI approved Company quoted on Colombo Stock Exchange. COMPANY REGISTRATION NO. PV 7385 PB/PQ DIRECTORS Mr. Gary Seaton Chairman/Executive Director Mr. Menaka Athukorala Executive Director Mr. Gowri Shankar Non-Executive Director Dr. Thirugnanasambandar Senthilverl Non-Executive Director Mr. Uditha Palihakkara Independent Non-Executive Director Mr. Indrajith Fernando Independent Non-Executive Director REGISTERED OFFICE No.17, 18th Lane, Colombo 03, Sri Lanka BUSINESS OFFICE No.17, 18th Lane, Colombo 03, Sri Lanka Tel No.: /81/82 Fax No.: COMPANY SECRETARIES N.I.D. Corporate Services (Pvt) Ltd No. 15/3C, 9th Lane, Ethul Kotte. Appointed w.e.f.16th December 2016 AUDITORS KPMG, Chartered Accountants, 32 A, Sir Mohamed Macan Markar Mawatha, Colombo 03. BANKERS Seylan Bank PLC Hatton National Bank PLC National Development Bank PLC