This is in addition to strong growth achieved last year capping a record 57% increase over two years.
Group Net Profit for the 1st Quarter was a high of Rs. 809 Million, an increase of 191% when compared with the previous year.
The company only Net Profit generated for the 1st Quarter was Rs. 215 Million, an increase of 74%.
Successful initiatives undertaken by the Group and the stable business environment have contributed to the growth in both revenues and net income.
Pursuing new-growth initiatives including opening additional shops, adding new dealers and channels of distribution, improving and renovating shops, securing new brands and distributorships, introducing new products and improving processes have immensely contributed to the Group’s strong results.
Other significant initiatives comprise the launch of the new Singer Smart TV range under sub-brand Singer Vista, the opening of Digital Media Corners in retail shops, expansion of capacity at the refrigerator factory, introduction of new furniture brand for Dealers and the thrust into dealer markets for computers and furniture.
Additionally, the Group continued its successful campaigns for refrigerators and air-conditioners.
Product lines in most sectors recorded noteworthy growth; refrigerators grew by 22%, sewing machines by 11%, smart mobile phones grew by 65%, deep freezers by 33%, computers by 18%, washing machines by 14%, air conditioners by 114%, air coolers by 108% and fans by 58%.
Noteworthy were contribution to revenue by the new Distributorships/Brands of DELL, SONY, SHARP and MITSUBISHI, obtained in 2014 and 2015.
These recorded sales of Rs. 1.0 Billion during the quarter, an increase of 52% in comparison to the previous year.
Singer Sri Lanka’s acquisition of majority stakes in Singer Industries (Ceylon) PLC and Regnis (Lanka) PLC from its parent company Singer (Sri Lanka) B.V. followed a one-time gain amounting to Rs. 443 Million.
Q1 revenue at Singer Finance (Lanka) PLC, the company’s other public listed subsidiary, increased 8%, however, net profit decreased by 20%.
This is mainly due to average borrowing rates increasing faster than average lending rates immediately after a sharp increase in interest rates and also due to the initial operating costs of its credit card operations.
It is expected to stabilize in the coming months.
The Company’s subsidiary Singer Digital Media (Pvt) Limited, which undertakes the sale of mobile phones to the trade channel posted Rs. 1.5 Billion revenue to external parties.
Singer Group’s Q1 2016 marked by a strong performance in revenues and net income heralds an excellent start to the year.
Photo Caption - ( Left to Right ) Singer Sri Lanka Group CEO Asoka Pieris & Singer Sri Lanka Chairman Dr Saman Kelegama