HAYLEYS FIBRE PLC INTERIM FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH

Transcription

1 HAYLEYS FIBRE PLC INTERIM FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH 2018

2 CORPORATE INFORMATION LEGAL FORM A Public Limited Company Incorporated in Sri Lanka in 1987 Company Number PQ 21 THE STOCK EXCHANGE LISTING The ordinary shares of the company are listed with the Colombo Stock Exchange of Sri Lanka BANKERS Hatton National Bank PLC Hongkong and Shanghai Banking Corporation Ltd Standard Chartered Bank Seylan Bank PLC People's Bank Deutsche Bank Cargills Bank National Development Bank PLC NDB Wealth Management Ltd DIRECTORS AUDITORS A. M. Pandithage - Chairman Ernst & Young H.S.R.Kariyawasan - Managing Director Chartered Accountants, F. R. Alles - (Deceased 30/01/2018) 201, De Saram Place H.C.S.Mendis - (Resigned w.e.f. 19/09/2017) P.O. Box. 101, Colombo. Dr. S. A. B.Ekanayake Sri Lanka. S. C. Ganegoda T. G. Thoradeniya LEGAL ADVISORS K. S. Padiwita Corporate Legal Department M.I.L.Perera Julius & Creasy - Attorneys At Law Dr. T. K. D. A. P. Samarasinghe - (Appointed w.e.f. 01/09/2017) L. A. K. I. Kodytuakku - (Appointed w.e.f. 17/11/2017) D. K. DE Silva Wijeyeratne - (Appointed w.e.f. 01/04/2018) REGISTERED OFFICE SECRETARIES Hayleys Building Hayleys Group Services (Pvt) Limited 400, Deans Road, Colombo 10, Sri Lanka. No. 400, Deans Road, Colombo 10, Sri Lanka. Telephone :(94-11) Telephone : (94-11) Fax:(94-11) Fascimile : (94-11) info.sec@hayleys.com FACTORY / OFFICE 193, Minuwangoda Road, Kotugoda, Sri Lanka Telephone : (94-11) Fax: (94-11) info@hayleysfibre.com Web Site : Please direct any queries about the administration of shareholding to the Company Secretaries. HAYLEYS FIBRE PLC 1

3 Unaudited Audited As at 31st March 31st March Note Rs.'000 Rs.'000 ASSETS Non-Current Assets Property, Plant & Equipment 72,290 64,839 #REF! Investment in Equity Accounted Investee 67,127 49,562 #REF! Other Non Current Financial Assets 94,576 93,048 #REF! Total Non Current Assets 233, ,449 Current Assets Inventories 45,717 27,210 #REF! Trade and Other Receivables 65,486 85,566 #REF! Other Current Assets 7,506 4,462 #REF! Amounts Due from Other Related Parties 3,121 2,941 #REF! Amounts Due from Equity Accounted Investee 2,443 - #REF! Short Term Deposits 529, ,168 #REF! Cash in Hand and at Bank 8,004 35,045 #REF! Total Current Assets 662, ,392 Total Assets 896, ,841 EQUITY AND LIABILITIES Equity STATEMENT OF FINANCIAL POSITION Stated Capital 2 80,000 80,000 #REF! Other Component of Equity 73,152 74,779 #REF! Amalgamation Reserves 50,625 50,625 #REF! Revenue Reserves 595, ,945 #REF! Total Equity 799, ,349 Non-Current Liabilities Deferred Tax Liabilities 5, #REF! Retirement Benefit Obligations 18,582 15,128 #REF! Total Non-Current Liabilities 23,613 15,335 Current Liabilities Trade and Other Payables 47,580 29,917 #REF! Other Current Liabilities 3,723 6,717 #REF! Amount Due to Other Related Parties 5,764 3,672 #REF! Amount Due to Joint Venture - 73 #REF! Income Tax Payable 2,809 5,415 #REF! Interest Bearing Borrowings 12,882 23,363 #REF! Total Current Liabilities 72,758 69,157 Total Liabilities 96,371 84,492 Total Equity and Liabilities 896, ,841 Net Assets per Share (Rs.) I certify that the financial statements of the company comply with the requirements of the Companies Act No 7 of Sgd. M.C.Sampath Chief Financial Officer Figures in brackets indicate deductions. The above figures are provisional and subject to audit. The Board of Directors is responsible for the preparation and presentation of these financial statements. Signed for and on behalf of the Board by, Sgd. A.M.Pandithage Chairman Sgd. H. S. R. Kariyawasan Managing Director 8th May 2018 Colombo HAYLEYS FIBRE PLC 2

4 INCOME STATEMENT Unaudited Audited 31st March 31st March Variance Rs.'000 Rs.'000 Rs.'000 Revenue 562, ,976 83,683 Cost of Sales (489,780) (418,259) (71,521) Gross Profit 72,879 60,717 12,162 Other Income 4, ,275 (224,314) Administrative Expenses (44,422) (50,356) 5,934 Distribution Expenses (2,121) (630) (1,491) Profit from Operations 31, ,006 (207,709) Finance Income 58,215 18,129 40,086 Finance Expenses (2,039) (7,914) 5,875 Net Finance Income / (Expenses) 56,176 10,215 45,961 Share of Profit of Equity Accounted Investee (Net of Tax) 32,868 29,544 3,324 Profit Before Taxation 120, ,765 (158,424) Tax Expenses (19,378) (11,495) (7,883) Profit for the period 100, ,270 (166,307) Earnings per Share (Rs.) Share Prices Year Ended Year Ended 31/03/ /03/2017 Highest Rs Rs Lowest Rs Rs Last Traded Price Rs Rs The Notes on pages 9 & 10 form an integral part of these Financial Statements. Figures in brackets indicate deductions. HAYLEYS FIBRE PLC 3

5 Unaudited Audited For the Year Ended 31st March 31st March Rs.'000 Rs.'000 Profit for the Year Ended 100, ,270 Other Comprehensive Income Net Gain on Available-For-Sale Financial Assets 1, Re-measurement Gains/(Losses) on Defined Benefit Plans (5,764) (401) Share of Oher Comprehensive Income of Equity Accounted Investee (39) - Revaluation of Land - 8,058 Deferred Tax on Other Comprehensive Income (2,348) 48 Other Comprehensive Income for the Year, Net of Tax (6,623) 8,157 Total Comprehensive Income for the Year, Net of Tax 94, ,427 Figures in brackets indicate deductions. HAYLEYS FIBRE PLC 4

6 INCOME STATEMENT Quarter Ended Quarter Ended 31st March 31st March Variance Rs.'000 Rs.'000 Rs.'000 Revenue 198, ,643 65,992 Cost of Sales (164,668) (108,103) (56,565) Gross Profit 33,967 24,540 9,427 Other Income 1, ,791 (215,732) Administrative Expenses (10,681) (12,251) 1,570 Distribution Expenses (546) 98 (644) Profit from Operations 23, ,178 (205,380) Finance Income 17,568 11,513 6,055 Finance Expenses (337) (1,706) 1,369 Net Finance Income / (Expenses) 17,231 9,807 7,424 Share of Profit of Equity Accounted Investee (Net of Income Tax) 9,463 2,902 6,561 Profit Before Taxation 50, ,887 (191,394) Income Tax Expenses (13,654) (9,989) (3,665) Profit for the Quarter 36, ,898 (195,059) Earnings per Share (Rs.) Figures in brackets indicate deductions. Share Prices 4th Quarter 4th Quarter of 2018 of 2017 Highest Rs Rs Lowest Rs Rs Last Traded Price Rs Rs HAYLEYS FIBRE PLC 5

7 STATEMENT OF COMPREHENSIVE INCOME For the Quarter Ended 31st March 31st March Rs.'000 Rs.'000 Profit for the Quarter Ended 36, ,898 Other Comprehensive Income Net Gain on Available-For-Sale Financial Assets 1, Re-measurement Gains/(Losses) on Defined Benefit Plans (5,764) (401) Share of Oher Comprehensive Income of Equity Accounted Investee (39) - Revaluation of Land - 8,058 Deferred Tax on Other Comprehensive Income (2,348) 48 Other Comprehensive Income for the Quarter,Net of Tax (6,788) 7,960 Total Comprehensive Income for the Quarter,Net of Tax 30, ,858 Figures in brackets indicate deductions. HAYLEYS FIBRE PLC 6

8 STATEMENT OF CASH FLOW For the Year Ended Unaudited Audited 31st March 31st March Rs. '000 Rs. '000 Cash Flows from Operating Activities Profit Before Tax 120, ,765 Adjustments for Share of Profit of Equity Accounted Investee (32,868) (29,544) Depreciation on Property, Plant & Equipment 2,347 2,915 Impairment of Property, Plant & Equipment Interest Expense 2,039 4,860 Interest Income (58,215) (13,939) Net gain on Disposal of Property, Plant and Equipment and Investment Property - (215,601) Provision/(Reversal) for Slow Moving Inventories (1,613) 2,209 Provision for Defined Benefit Plan Cost 2,524 2,177 Operating Profit before Working Capital Changes 34,555 32,671 (Increase)/Decrease in Inventories (16,894) 30,364 (Increase)/ Decrease in Trade and Other Receivables 17,036 (25,624) (Increase)/Decrease in Dues from Other Related Parties (2,623) 28,832 Increase/(Decrease) in Trade Dues to Other Related Parties 2, Increase /(Decrease) in Trade and Other Payables 14, Cash Generated from Operations 48,762 67,305 Interest Expense (2,039) (4,860) Income Tax Paid (19,508) (3,421) Defined Benefit Obligations (4,834) - Net Cash Flows from Operating Activities 22,381 59,024 Cash Flows from / (Used in) Investing Activities Acquisition of Property, Plant & Equipment (9,807) (10,109) Proceeds from Sale of Property, Plant & Equipment and investment property 9 420,478 Dividend Received Dividend Received from Equity Accounted Investee 14,756 34,209 Interest Received 58,215 13,939 Net Cash flows from Investing Activities 63, ,517 Dividend Paid (32,000) (16,000) Net Cash Flows from Financing Activities (32,000) (16,000) Net Increase/(Decrease) in Cash and Cash Equivalents 54, ,541 Cash and Cash Equivalents at the Beginning of the Year 470,850 (30,691) Cash and Cash Equivalents (Note A) 524, ,850 A. Analysis of Cash and Cash Equivalents Cash & Bank Balance 8,004 35,045 Short Term Deposits 529, , , ,213 Short Term Loan and Overdrafts (12,882) (23,363) Cash in Hand and at Bank 524, ,850 Figures in brackets indicate deductions. - HAYLEYS FIBRE PLC 7

9 STATEMENT OF CHANGES IN EQUITY Other Component of Equity` Attributable to Owners of the Company Amalgamation Amalgamation Retained Total Stated Revaluation Available Capital Revenue Earnings Capital Reserve for Sale Reserve Reserve Reserve Rs.'000 Rs.'000 Rs.'000 Rs.'000 Rs.'000 Rs.'000 Rs.'000 Balance as at 1st April , ,001 51,786 14,000 36, , ,922 Profit for the Year , ,270 Acturial Gain on Employee Benefit Obligations (401) (401) Deferred Tax on Other Comprehensive Income Net Gain on Available for Sale Financial Assets Surplus on revaluation of land - 8, ,058 Land Revaluation Reserve Transfer - (174,518) ,518 - Dividend Paid (16,000) (16,000) Balance as at 31st March ,000 22,541 52,238 14,000 36, , ,349 Balance as at 1st April ,000 22,541 52,238 14,000 36, , ,349 Profit for the Year , ,963 Acturial Gain on Employee Benefit Obligations (5,764) (5,764) Deferred Tax on Other Comprehensive Income - (3,155) (2,348) Share of other comprehensive income of equity accounted investee (39) (39) Net Gain on Available for Sale Financial Assets - - 1, ,528 Dividend Paid * (32,000) (32,000) Balance as at 31st March ,000 19,386 53,766 14,000 36, , ,689 *Company paid a Second Interim (final) dividend of Rs. 2/= per share on 9th June 2017 for the financial year 2016/2017. *Company paid a First Interim dividend of Rs. 2/= per share on 27th February 2018 for the financial year 2017/2018. HAYLEYS FIBRE PLC 8

10 Notes to the Financial Statements 1 The Interim Financial Statements of the Company have been prepared on the basis of the same accounting policies and methods applied for the year ended 31st March 2017, are in compliance with Sri Lanka Accounting Standards -LKAS 34 - "Interim Financial Reporting". where necessary, comparative figures have been re-classified to confirm with the current presentation as per the SLFRS/LKAS adjustment. 2 Stated Capital 31st March st March 2017 Value - ordinary shares (Rs.) 80,000,000 80,000,000 No of shares - ordinary shares 8,000,000 8,000,000 Voting rights One vote per One vote per ordinary share ordinary share 3 Contingencies There has not been a significant change in the nature of contingent liabilities, which were disclosed in the Annual Report for the year ended Events Occurring after the Reporting Date The Directors have recommended the payment of proposed final dividend of cents 75 per share on 8th May 2018, for the year ended 31st March 2018, payable on 6th July. In accordance with Sri Lanka Accounting Standard No.10 on "Events after reporting period", this dividend has not been recognized as a liability as at the reporting date. 5 Share Trading from 1st April 2017 to 31st March 2018 No of transactions 7,089 No of shares traded 1,749,119 Value of shares traded (Rs.) 136,390,175 HAYLEYS FIBRE PLC 9

11 NOTES TO THE FINANCIAL STATEMENTS 6 Twenty Largest Shareholders March 2018 Name No of Shares % 1 Hayleys PLC No. 3 Share Investment A/C 5,200, Nation Lanka Capital LTD / Mr. K. L. G. Udayananda 126, People's Merchant Finance PLC / J. P. N. P. K. Jayasekera 89, Mr. S. Srikanthan & Mrs. S. Srikanthan 75, Mrs. M. J. Nihara 53, Mr. A. R. Ibrahim 48, Mrs. G. J. E. S. De Fonseka 38, Bansei Securities Capital (Pvt) Ltd / C. J. Gunarathna 34, Dr. D. Jayanntha 32, MBSL / Mr. N. K. C. J. De Silva 31, People's Leasing & Finance PLC / Mr. D. N. Perera 26, Mr. N. K. A. D. De Silva 26, Mr. R. Rasaretnam (Deceased) 26, Mr. J. P. N. P. Jayasekera 25, Mr. J. P. R. Karunarathne 25, Mr. T. C. U. Jayanetti & Dr. A. L. T. P. Amarawickrama 25, Mrs. L.P. Thenabadu & Mr. S.K. Thenabadu 23, Dr. A.K.A. Jayawardene 22, Mr. T.D. De Jonk 20, Mr. P. V. D. S. S. Saparamadu & Mrs. R. M. A. P. Rathnayake 20, Total 5,970, Director's Shareholdings as at 31st March 31st March Name of the Director No of Shares No of Shares MR. A. M. PANDITHAGE MR. H. S. R. KARIYAWASAN NIL NIL DR. S. A. B. EKANAYAKE NIL NIL MR. S. C. GANEGODA MR. T. G. THORADENIYA NIL NIL MR. K. S. PADIWITA 1,280 1,280 MR. M. I. L. PERERA NIL NIL Dr. T. K. D. A. P. SAMARASINGHE NIL NIL MR. L. A. K. I. KODYTUAKKU NIL NIL MR. D. K. DE SILVA WIJEYERATNE - (Appointed w.e.f. 01/04/2018) NIL NIL 8 Public Holding PERCENTAGE OF PUBLIC HOLDING 34.97% TOTAL NO. OF SHAREHOLDERS REPRESENTING PUBLIC HOLDING 4,441 FLOAT-ADJUSTED MARKET CAPITALIZATION 198,349,840 The Company complies with option 5 of the Listing Rules (a) Less than Rs.2.5 Bn Float Adjusted Market Capitalization which requires 20% minimum Public Holding. 9 There were no non voting shares as at 31st March 2018 HAYLEYS FIBRE PLC 10

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