Caltex Lubricants Lanka Ltd Managing Director Kishu Gomes has said that the company is well positioned to overcome the competition and maintain leadership amidst soaring petroleum prices in the global market.
Right channel strategy and creative new Lubricant sales outlets around the country including the North and East will continue to be the approach in reaching the end user in the retail market. While the Total Value Proposition offered to the commercial and Industrial customer will be the competitive advantage to maintain sales volumes, he has told shareholders in their annual report for the year ended March 31, 2006.
The turnover for the period under review has been Rs. 5.5 billion, up 22% from the Rs. 4.5 billion a year ago. The operating profit has risen to 943.2 million from Rs. 814 million, up 16% between the two years. The pre- tax profit has risen 11% to 994 million from the Rs. 892 million the previous year. The post tax profit has also risen to Rs. 700 million from the Rs. 646.7 million a year ago.
He said : “The year 2005 has been a year of challenges and of victories; a year during which the company has again proven its strength and resilience. We have consolidated our leadership position as the pre-eminent marketer of lubricants in Sri Lanka”, a position achieved through the right strategy and execution.
During the year under review the company recorded a net profit of Rs. 700 million, after tax recording a growth of 8% over last year. Revenue grew by 22% as a result of volume growth and price increases made during the year. Three interim dividends were declared amounting to Rs. 585 million, offering a yield of 17% based on the share price as at the end of the year which is one of the highest on a listed share at the Colombo Stock Exchange.
2005 presented an extremely difficult business environment with raw material prices hitting an all time high.
As an industry heavily dependant on petroleum based raw material, we faced many implications of the skyrocketing crude oil prices that posed challenges to every business organisation in Sri Lanka -RL
 

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Milkmaid celebrates 110 years here

Milkmaid, the acclaimed condensed milk brand manufactured by Nestle Lanka Ltd celebrates 110 years of presence in Sri Lanka this year having entered the local market in 1896.
Nestle Lanka Ltd has improved its turnover and profits largely due to the company’s principle businesses with all product categories solidly profitable.
Turnover for the year ended March 31, 2006 has increased to Rs. 12.7 billion from the Rs. 9.9 billion the previous year while Gross Profit has also risen to Rs. 3.7 billion from the Rs. 2.7 billion a year ago. The pre tax profits also have risen to Rs. 1.5 billion from Rs. 908 million while the post tax profits has also risen Rs. 1 billion from the Rs 596 million previous year.
The Earnings per share has risen to Rs. 19.56 from 11.09 while the dividends per share has also risen to Rs.22 from Rs. 8.50 - RL

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Maskeliya, Kegalle Plantations pay higher dividends

By Nuzreth
Maskeliya Plantations and Kegalle Plantations controlled and managed by RPC Management Services Ltd a wholly owned subsidiary company of Richard Pieris & Co Ltd announced a First and Final Dividend of 15% and 25% respectively. Maskeliya’s dividend of 15% amounts to Rs.40 Mn. compared to the 10% (Rs. 27 Mn) declared last year. Kegalle’s dividend of 25% amounts to Rs. 62.5 Mn. compared to the 15% (Rs. 37.5 Mn) declared last year.

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Marks & Spencer to set up Regional Centre here

Marks & Spencer Outlet Stores - a division of Marks & Spencer (M&S) and the Board of Investment recently held discussions on setting up a Regional Consolidation Centre (RCC) for the Outlet Store division in Sri Lanka, BoI sources said.
The RCC, the first of its kind in the industry will provide warehouse facilities and will function as a processing plant as well.
During the discussions, Prof. Watawala, Chairman/Director General – BOI has highlighted that Sri Lanka is keen on increasing the export volume to the EU and suggested that M&S takes advantage of the GSP+ scheme which would facilitate exporting products to the EU at a zero tax rate.
Marks & Spencer Outlet Stores is a new range of retail stores under the M&S Group which has witnessed a rapid growth during the last few years.
Currently, M&S purchases products from a number of local suppliers.
Marks & Spencer has over 400 stores located in the UK and 250 franchise stores across the globe. The company engages in both the apparel and food industries and boasts of a turnover of approximately GBP 8 billion.