Sri Lanka’s Expolanka posts record breaking 1st quarter performance in 2021
Sri Lanka’s Expolanka Holdings PLC has reportedly delivered another record-breaking performance during the quarter ended 30 June (Q121) with a vibrant growth in the logistics sector.
Issuing a statement, Expolanka has stated that the Group revenue had recorded a remarkable 165% Year-on-Year (YoY) expansion to reach Rs. 95.7 billion resulting in Gross Profit of Rs. 14.4 billion, up 130% YoY. Together with a strong focus on operational efficiency, Group Profit After Tax (PAT) has surged by an outstanding 259% YoY up to Rs. 6.3 billion.
“Once again, our logistics sector served as the lynchpin of our growth, ably supported by commendable performances across all other business segments. Our record-breaking performance over this past quarter is a testament to the consistent focus on our strategy and the unified efforts of our team,” Expolanka Holdings Group CEO Hanif Yusoof has been quoted as saying.
“With their support, we successfully implemented a bold growth strategy that focused on expanding customer volumes, developing our ocean freight product, and proactive procurement and capacity building initiatives. In this manner, we were successful in optimising all available opportunities that emerged from the gradual recovery taking place in the global economy amidst continued supply chain disruptions,” he has further noted.
Impressive growth in volumes across both Air Freight and Ocean Freight products with stable yields has reportedly served as a catalyst for another strong performance in Expolanka’s logistics sector.
Rising retail demand in the US and the resulting intensification of activity in the North American trade lane, enabled volume growth and an expanding customer base across multiple verticals, local media reports have stated.
Expolanka’s logistics sector was able to deliver 167% YoY growth in revenue, up to Rs. 94.9 billion. Additionally, gross profit has expanded by 131% YoY up to Rs. 14.3 billion while PAT achieved a record-breaking 240% growth up to 6.6 billion respectively, local media has further reported.
Meanwhile, despite extended lockdowns and travel restrictions, the Group’s Leisure sector has continued to deliver a stable performance, posting a turnover growth of Rs. 152 million – a reflection of the continued restructure and reorganisation efforts focused on the long term.
The Group’s investment sector has recorded a healthy 34% YoY increase up to Rs. 735 million, with the main contributor to growth arising from the Group’s export operation supported by a shift in portfolio towards niche product offerings. Similarly, the Group’s IT business has also gained ground with moderate improvements in its contributions to the business.
OSL take:
The record breaking performance by Sri Lanka’s Expolanka is indicative of the strength and growth of the country’s private sector. It also underscores the potential for growth for businesses in the country as well as the improving ease of doing business environment in the country. Sri Lanka is also emerging as a business destination in the South Asian region given it’s geographical positioning in the Indian ocean and the many trade agreements as well as trade concessions enjoyed by the country. With the country also engaged in an aggressive development programme aimed at taking the country to the next level of development, the business/investment opportunities in Sri Lanka are continuing to expand. Given Sri Lanka’s potential, foreign businesses/investors could explore opportunities in Sri Lanka.
| Article Code : | VBS/AT/05082021/Z_2 |