The profit after tax attributable to equity holders of the parent for the financial year ended 31 March 2020 has been decreased by 34 percent to Rs.9.41 billion, annual report of the diversified conglomerate John Keells Holdings showed.
Profit, however, has been adjusted for two one-off impacts thus recurring adjustments have been made to numbers.
- Removal of impacts of fair value gains on investment property, excluding IP gains at the Property industry group.
- Adjustments specific to 2018/19
Accordingly, the recurring net profit attributable to equity holders decreased by 26 percent to Rs.9.33 billion, whilst the recurring net profit margin of the Group decreased to 5.9 percent, against the 8.3 percent in 2018/19.
The highest contributors to Group PAT were the Transportation, Financial Services, and Other, including Information Technology and Plantation Services industry groups, with contributions of Rs.3.96 billion, Rs.2.22 billion and Rs2.06 billion, respectively.
Excluding the gains on investment property and the one-off impacts, the recurring Group PAT has been decreased by 27 percent to Rs.9.62 billion.
“The Group’s year-on-year performance was impacted by the downturn in the Group’s Sri Lankan Leisure business due to the Easter Sunday terror attacks, lower finance income as a result of the deployment of cash in new investments and lower exchange gains on the Company’s foreign currency denominated cash holding as against the previous year,” JKH Chairman Krishan Balendra said.
“The Group’s Bunkering business recorded a strong growth in profits driven by improved margins. South Asia Gateway Terminal (SAGT), the Group’s Ports and Shipping business, became liable for corporate income tax during the year under review, impacting profitability.”
LBO : https://www.lankabusinessonline.com/john-keells-holdings-net-profit-down-by-34-pct/