AITKEN SPENCE

LMD 100 Q&A

RANK 23

At Aitken Spence, we strive to contribute to society by fostering economic growth and wealth creation, achieving geographical and industrial expansion, and pursuing diversification

Q: As Sri Lanka turns the page on a fresh chapter in its book of politics and the economy, how ready and able is the corporate sector to drive growth while overcoming past challenges?

A: The corporate sector in Sri Lanka has consistently demonstrated readiness and strategic foresight in driving economic growth. Even amidst multiple crises, both formal and informal private sector entities have been at the forefront of steering the economy.

Recent economic reforms and stabilisation efforts have created a more predictable business environment in Sri Lanka. According to the World Bank Group, growth is projected to reach 4.4 percent in 2024. Key industries and sectors such as tourism, manufacturing, construction, and food and beverage are showing significant signs of recovery. The private sector has adopted innovative strategies, particularly in digital transformation, to adapt to the evolving economic landscape.

Despite food insecurity, income inequality and extreme climate changes, these challenges present opportunities for businesses to strategically invest more in sustainable development initiatives that will benefit people and the planet.

Q: What are your group’s main goals and objectives for financial year 2024/25?

A: At Aitken Spence, we strive to contribute to society by fostering economic growth and wealth creation, achieving geographical and industrial expansion, and pursuing diversification. Our goal is to accomplish sustainable growth while ensuring environmental and social governance.

We are focused on expanding our geographical footprint and forging strategic partnerships with renowned global brands to position Sri Lanka on the global stage. The group remains committed to making bold decisions and increasing investments in sustainable initiatives, such as in renewable energy projects.

Our journey of inspiration isn’t only marked by the milestones we have achieved across our 156 year legacy but also by the lives we have touched and inspired. This includes our ‘Spensonian’ family of 13,000 individuals across 10 countries, the communities we have transformed and the environment we vowed to protect.

Q: How can Sri Lanka improve its ease of doing business and competitiveness on the international stage, in your opinion?

A: Sri Lanka has been ranked as a top destination by many global publications. However, the same does not extend to its ease of doing business. The country can improve this by restructuring regulatory processes and improving infrastructure.

Simplifying business registration and licensing with greater transparency is essential to attracting more foreign investors. Additionally, enhancing digital infrastructure and e-governance will not only increase efficiency but help reduce corruption.

Strengthening legal frameworks to protect investors and enforce contracts will further build confidence. Moreover, fostering public-private partnerships (PPP) in sectors and industries such as maritime, tourism and manufacturing can drive growth.

Sri Lanka holds a strong strategic position in the region – arguably, even better than Singapore. However, the country isn’t fully leveraging this advantage as effectively as Singapore or Dubai.

Ongoing infrastructure projects such as Port City Colombo are expected to enhance capabilities and connectivity. To solidify its position as a leading transhipment hub in the region, Sri Lanka should continue to invest in improving port infrastructure. These steps, supported by positive reforms and international cooperation, can significantly improve Sri Lanka’s global competitiveness.

Q: How is your group embracing environmental, social and corporate governance (ESG) standards?

A: Aitken Spence is actively embracing ESG or what we refer to as sustainability through a comprehensive and integrated approach. The company aligns its sustaina­bility strategy with global frameworks such as the GRI Universal Standards and Sustainability Accounting Standards Board (SASB) standards, and is one of the first companies in Sri Lanka to voluntarily become a signatory to the UN Global Compact Network.

While there is much to discuss on the topic of ESG, I wish to highlight the company’s most recent achievement – being recognised as the ‘Best Corporate Citizen 2024’ by The Ceylon Chamber of Commerce. Aitken Spence is the only company in the country to have consistently ranked among the top 10 ‘Best Corporate Citizens’ for nearly two decades.

The company has planned more stringent actions to align with the group’s pathways towards net zero and net positive impact goals. This effort is part of Aitken Spence’s broader mission to create sustainable value for all our stakeholders and reflects our belief that one life can positively touch another.

REVENUE (RS. M)
96,249

REVENUE CHANGE
(1)%

PROFIT AFTER TAX (RS. M)
4,452

PROFIT CHANGE
(45)%

TOTAL ASSETS (RS. M)
201,257

SHAREHOLDERS’ FUNDS (RS. M)
73,836

MARKET CAP (RS. M)
52,880

EARNINGS PER SHARE (RS.)
7.21

PRICE EARNINGS RATIO
18.06

EMPLOYEES
7,644

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Telephone: 2308308 | Email: info@aitkenspence.lk | Website: www.aitkenspence.com