LMD 100 SECOND BOARD | 2020/21
WITHSTANDING PRESSURE
The secondary listing of Sri Lanka’s listed entities showcases the resilience witnessed across the island’s corporate sector
On 31 October 2021, the Colombo Stock Exchange (CSE) featured 288 companies representing 19 business sectors with a market capitalisation of over Rs. 4.5 trillion. Of these corporates, the first 100 (by virtue of their reported revenue for financial year 2020/21) have been ranked in this special annual edition of the LMD 100.
The LMD 100 Second Board comprises the 50 entities that didn’t make the LMD 100 (or First Board) cut in financial year 2020/21.
With an annual revenue of Rs. 4.7 billion in financial year 2020/21, LOLC Development Finance is the first ranked entity on the LMD 100 Second Board, having advanced by eight spots from the previous year. Its top line recorded an increase of five percent year on year while profit after tax (PAT) amounted to a healthy 155 million rupees in the period under review – up from Rs. 109 million in 2019/20.
Singer Finance (Lanka) sits in second place on the LMD 100 Second Board rankings, having moved up by six notches from the prior year. Its revenue of Rs. 4.7 billion for financial year 2020/21 reflects an upside of three percent compared to the previous 12 months. Singer Finance was in the black to the tune of 410 million rupees, which follows a PAT of Rs. 389 million in financial year 2019/20.
Meanwhile, Talawakelle Tea Estates occupies the number three position on the LMD 100 Second Board in the latest edition of listed company rankings. This is by virtue of its turnover increasing by 16 percent to Rs. 4.5 billion in the 2020/21 financial year. Furthermore, its post-tax profit grew by 261 percent year on year to 712 million rupees from Rs. 197 million in the prior year.
Bogawantalawa Tea Estates climbed the LMD 100 Second Board to fourth place on the ladder with a turnover of Rs. 4.3 billion (down 1% from the prior year) in the period under consideration. And its bottom line amounted to 225 million rupees for the year ended 31 March 2020, which is an improvement from the Rs. 387 million loss registered in the previous year.
The top five on the LMD 100 Second Board includes Lankem Developments, which recorded a 35 percent increment in revenue compared to the preceding year to 4.3 billion rupees. It also garnered an after tax profit of Rs. 223 million after posting a loss of 1.2 billion rupees in 2019/20.
Sixth ranked Asiri Surgical Hospital reported a turnover of Rs. 4.2 billion (16% annual increase). In financial year 2020/21, the company recorded a PAT of 860 million rupees compared to Rs. 433 million in the year prior.
Central Industries features in seventh place on the LMD 100 Second Board’s rankings. The company enjoyed a 30 percent uptick in revenue (to Rs. 4.1 billion) in 2020/21 in addition to posting a post-tax profit of 403 million rupees.
And Elpitiya Plantations also surpassed Rs. 4 billion in revenue and has moved 16 spots up the ladder to No. 8 on the LMD 100 Second Board. In addition to this, its bottom line of 875 million rupees in 2020/21 is more than twice the PAT of Rs. 308 million recorded in the previous financial year.
Ninth place in the secondary listing of Sri Lanka’s listed entities goes to Aitken Spence Plantation Managements whose income (Rs. 4 billion) was 23 percent higher in financial year 2020/21 – it has moved up 15 positions from the prior year’s rankings. The company recorded a PAT to the tune of 912 million rupees versus Rs. 338 million in financial year 2019/20.
Hunter & Company rounds off the top 10 of the LMD 100 Second Board, having improved its standing by 18 notches in this year’s rankings. Its income of Rs. 4 billion reflects an increase of 26 percent year on year while the company witnessed a profit of 390 million rupees in financial year 2020/21 compared to Rs. 2 million profit in the preceding year.
Total revenue of the latest LMD 100 Second Board amounts to Rs. 158 billion or thereabouts, which represents a one percent increase compared to the previous year.
And cumulative profits grew by nearly 300 percent year on year to 5.1 billion rupees. As for total assets, the aggregate base expanded by three percent (to Rs. 450 billion) whereas shareholders’ funds (Rs. 173 billion) grew by seven percent in the period under review.
There are 12 new entrants to the LMD 100 Second Board – viz. AgStar, Madulsima Plantations, Tea Small¬holder Factories, Samson International, Horana Plantations, Arpico Insurance, Hayleys Fibre, Lanka Aluminium Industries, Udapusselawa Plantations, Abans Finance, Vidullanka and AMW Capital Leasing and Finance.
At the same time, six entities have been displaced from the LMD 100 Second Board – viz. Morison, Trade Finance & Investments, Arpico Finance Company, Tal Lanka Hotels, Trans Asia Hotels and Eastern Merchants.
The majority of corporates (24) that feature on the LMD 100 Second Board are from the food, beverage and tobacco sector. Diversified financials account for eight entities. There are also three entries from consumer durables and apparel, and materials respectively, as well as two each representing capital goods, consumer services, and household and personal products, insurance and retailing.
Meanwhile, the healthcare equipment and services, and utilities sectors have a single entrant in the LMD 100 Second Board for financial year 2020/21.
FOOTNOTE Public companies incorporated under the Companies Act No. 7 of 2007 or any other statutory corporation – incorporated or established under the laws of Sri Lanka, or any other state (subject to exchange control approval) – are eligible to seek a listing on the CSE to raise debt or equity. Companies that seek to be admitted to the official list of the exchange and obtain a listing of their securities are also required to comply with the relevant provisions of the Securities and Exchange Commission of Sri Lanka Act No. 36 of 1987 (as amended), and Listing Rules of the CSE.