Sri Lanka’s Hayleys PLC creates Rs. 150 billion economic value, boosts exports
The Morning: Hayleys PLC reported an economic value creation of Rs. 150 billion, parallel to delivering progress on its sustainability targets over the last financial year (FY23-24).
Accounting for a total of 5% of Sri Lanka’s total export income, during the period in review, Hayleys earned $ 591 million foreign exchange income. As a net exporter, 54% of group revenue was generated from exports.
The Group distributed Rs. 138.6 billion in cumulative economic value towards all stakeholders, including supplier development, government taxes, employee payments, lenders of capital, and to shareholders – a 6.7% Y-o-Y (year-on-year) increase.
“The evolution of the Hayleys Group has been characterised by a singular commitment to drive value addition and excellence across all spheres of its operations. Across its business lines, organic and inorganic growth has always centered on enhancing value through offering innovative and sophisticated solutions catering to increasingly complex customer needs. Today, our intrinsic link to every facet of the country’s economy and our deep connections to international supply chains have allowed Hayleys to showcase the best Sri Lanka has to offer in the global arena,” Hayleys PLC Chairperson and Chief Executive Mohan Pandithage said.
“We are proud of the progress being made to foster sustainable innovation and value-added export development. Leveraging inclusive business models, and a sincere commitment to driving circularity, we hope to build a more resilient future for all.”
OSL take:
Sri Lanka’s private sector has shown great resilience to challenging economic conditions faced during the past few years with some private sector businesses recording profits as well. It is also an indication of the overall resilience of Sri Lanka’s economy. Some businesses in the private sector, including businesses like Hayleys PLC have shown a growth and are also engaged in expansion programmes as well. However, the expansion in the exports sector has also helped many Sri Lankan businesses to show a growth in business. The many trade agreements and trade concessions enjoyed by Sri Lanka have helped boost Sri Lanka’s exports sector. Also, the promotional campaigns carried out by local export authorities in foreign markets while encouraging local businesses to focus on diversifying and expanding the country’s export product portfolio, have helped many local businesses engaged in exports to record a growth, profits and overall expansion in businesses. All these are indicative of the growing business potential in Sri Lanka and the expanding business/investment opportunities in the country. Foreign businesses could make use of the strong trade ties enjoyed by Sri Lanka with other countries and the incentive packages presented by local authorities to foreign investors as well. Given the strength and growth of Sri Lanka’s private sector, foreign businesses/investors could also look at forming joint ventures and partnerships with local businesses with the aim of further expansion of operations locally and internationally.