“PGC declares a 18% dividend” Turnover crosses Rs 6.8 Billion

Piramal Glass Ceylon PLC (PGC) completes yet another challenging year with a turnover of Rs.6,816 Mn & PAT of Rs.344 Mn.

Whilst the turnover increase was marginal when compared to the previous year, it was the highest ever turnover recorded by the company.

A total revenue achieved for the year was Rs.6,816 Mn as against Rs.6,783 Mn of the previous year.

The domestic revenue saw a dip of 16% from Rs. 5,469 Mn in F17 to Rs. 4,595 Mn during the year under review.

Beverage & Liquor segments were affected with the introduction of new taxes & levies while the Agro sale was affected due to the adverse weather conditions.

In the export segment, it was encouraging to note the Rs. 2 Bn mark being crossed with a growth of 77%.

The export turnover was Rs. 2,136 Mn when compared to Rs.1,209 Mn during the year F17.

The exports increased mainly in the US & Canadian markets with the company gaining entrance to several new markets which include Malaysia, Africa, Vietnam and Myanmar.

The export to US has grown by over 150%, Australia by 72% and a six fold increase in the Canadian markets.

The Gross Profit for the year improved from Rs. 1,371 Mn to Rs. 1,422 Mn depicting a marginal increase in GP margins from 20% to 21%.

Also, the Operating Profits increased from 11% to 13% from Rs. 779 Mn to Rs. 869 Mn.

These results were achieved despite the high impact of depreciation on the investments made during the year.

The depreciation increased by 31% from Rs. 553 Mn to Rs. 722 Mn.

The profitability was further affected by an increase in Interest costs and high energy prices.

The annualized impact of the interest on the Long term loan of Rs. 3Bn taken for the relining & upgradation of the facility at Horana is reflected in the year under review.

The interest cost was Rs. 328 Mn as against Rs.176 Mn of the previous year.

The impact of high furnace oil prices and fluctuating LPG prices continued during the period under review.

The year closed for PGC with a PAT of Rs. 344 Mn as against Rs. 485 Mn of the previous year.

However, following the consistent policy of a 50% payout ratio, the Board of Directors have proposed a dividend of 18%.

About Piramal Glass

Piramal Glass Ceylon (Formerly Ceylon Glass Company) is the only Glass Bottle Manufacturing plant in Sri Lanka.

It had the opportunity of coming under the umbrella of the Piramal Group in 1999.

Presently, located in Horana, it has been in existence for over 55 years.

The company, originally at Ratmalana, was relocated at Horana in 2007 as a BOI venture.

PGC at its manufacturing capacity of 300 tonne per day has the capability to offer glass containers in different shapes and colours for multiple industries such as Food, Liquor, Pharmaceutical, Agro chemical and beverages.

About Piramal Group

The Piramal Group led by Ajay G. Piramal is one of India’s foremost business conglomerates.

Driven by the core values of Knowledge Action Care, the Piramal Group has a formidable presence in healthcare, drug discovery & research, glass, real estate and financial services.

The Piramal Group also pursues sustained community activities in healthcare, education, emergency medical services, and heritage restoration.

Last modified on Sunday, 03 June 2018 15:35