Company has completed its’ strongest quarter ever, delivering an impressive year on year bottom-line growth of 79%. This is a testament indeed to its first full quarter as a Group, where the team has been able to transform and improve the performances of its subsidiaries OCI and QPL, while growing its own footprint.
TJL Group recorded a consolidated revenue of Rs 5.6Bn, and earned a net profit of Rs. 672Mn. For the quarter ending 31st December 2015, TJL as a standalone Company recorded a net profit of Rs. 402Mn, which was a 7% growth delivered on a topline of Rs. 3.9Bn. The bottom-line growth is driven primarily from improved operating efficiencies, which is reflected in the gross profit growth of 23%. Furthermore, the bottom-line growth was despite the cost of investments on strategic initiatives. TJL also chose to take a loss of income due to non-renewal of its operational technical service agreement with OCI, since the companies are now consolidated.
TJL’s standalone performance was positively impacted by its strong subsidiary performance, and the Group reported a strong revenue growth of 48% and a bottom-line growth of 79%. The Group gross margin growth of 103% is driven by the sustained growth of the acquired entities that were successfully turned around in H1, innovations and increased value additions which were well accepted by customers, and execution excellence across the entire Group structure.
The strong bottom-line growth has delivered a net profit of Rs 402Mn on a standalone basis and Rs. 672Mn on a consolidated basis. The end result being a 9-months performance of Rs. 1,347Mn exceeding the 12-months performance of the previous FY 2014/15, doubling the TJL consolidated EPS from 0.57 in 3Q FY 2014/15 to 1.02 in 3Q FY 2015/16.
TJL Group remains committed to a strong balance sheet, and despite its total acquisition cash outflows, has continued to increase its cash reserves during the year. It has further optimized its working capital and remained unleveraged with a net cash surplus of Rs. 2.1Bn A With its acquisitions concluded during first half of 2015/16, TJL Group continues to forge ahead towards its long-term aspirations! Having evolved rapidly and smoothly into a single Group operating structure, the teams have succeeded in working cohesively and executing at Group levels, ultimately delivering the results that speak for themselves. Amidst the reality, of an increasingly challenging global space we continue to pursue every new opportunity. Leveraging on our new regional footing and providing flexible and better solutions to a broader-based customer portfolio, we are confident of sustaining our performance and increasing shareholder value
Textured Jersey Lanka PLC net profit of Rs. 672Mn.
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Lanka Stocks
