SINGER (SRI LANKA)
LMD 100 Q&A
RANK 33
It is vital that the government recognises and supports the private sector with business friendly policies – with an emphasis on creating a conducive investment climate
Q: What is the contribution you believe your organisation has made to your sector and the economy?
A: Singer has been a longstanding leader in the industry, contributing significantly to both the sector and the economy. As the largest retailer in our field, our impact extends beyond retail. We manufacture across four plants, creating jobs and supporting entrepreneurs.
As a sector, retail plays a crucial role in economic growth; and Singer, in particular, is a trendsetter in this space.
Our contribution is also evident through tax payments and compliance with government levies, which strengthens the country’s global retail status.
With around 8,000 families including direct and indirect employees relying on Singer, we support various other industries too.
Chief Executive Officer
Q: As Sri Lanka embarks on a fresh chapter, how ready do you feel the corporate sector is to drive growth while overcoming past challenges?
A: The corporate sector has consistently demonstrated resilience, adapting through cycles of economic ups and downs. The sector also drives critical industries such as exports, imports and tourism.
It is vital that the government recognises and supports the private sector with business friendly policies – with an emphasis on creating a conducive investment climate. A partnership between the government, private sector and various chambers of commerce will be vital for setting forward-thinking policies.
Q: How is your company performing against the backdrop of the current economic situation?
A: The past several years presented an unprecedented macroeconomic environment. Inflation surged by 70-80 percent, the exchange rate spiked and interest rates escalated. However, we now see a more stable macro environment.
Interest rates are in single digits; the currency has stabilised; and inflation, although still high, is showing signs of moderation. This stability is allowing businesses such as ours to plan more effectively.
Q: What is your wish list for the budget?
A: Our primary wish is for the government to maintain economic fundamentals without resorting to artificial adjustments. Adhering to the IMF programme is critical for long-term stability and growth.
We expect the budget to contain investment promotion friendly policies and systems to broaden the tax net, and fair tax rates to ensure better government tax income as a percentage of GDP.
Further, the government should focus on reducing unnecessary expenditure, particularly from unprofitable state-owned enterprises (SOEs). A broader tax base and combatting tax evasion through digitalisation should be priorities to reduce systemic corruption and inefficiencies.
Q: What trends do you observe in your sector – and what has Singer done as a business to optimise some of these?
A: Key trends include a growing demand for home appliances, shorter replacement cycles and the rise of urban living with more people moving into apartments.
As the middle class expands and disposable incomes increase, demand for lifestyle improving products is set to grow. Customers are also seeking total solutions, presenting a strong opportunity for Singer, which has adapted by offering comprehensive solutions that include everything from furniture and home appliances to security solutions.
Energy efficient products are in high demand, particularly among younger consumers, to which we responded with appropriate products. And we are focusing on e-commerce, online payments and faster deliveries to meet their expectations.
Marketing trends have also shifted. Traditional media is giving way to digital, targeted and data driven marketing. We are tailoring strategies by leveraging AI, analytics and customer relationship management.
Singer is on a path of rebranding and expanding its showrooms. In the past six months, 40 showrooms were renovated. Our finance arm, Singer Finance, is growing and will further expand our branches to reach across the country.
Q: What are your group’s main goals and objectives for financial year 2024/25?
A: Emerging from a period of slowdown, our focus is to accelerate growth and rebuild volumes while scaling up the business, which has faced extensive challenges including import restrictions and currency issues.
We plan to drive consumption through proper pricing strategies and make products more accessible despite the higher cost structure.
While incomes have not yet matched the new price levels, consumers are gradually adjusting.
Singer is also focusing on visibility and branding. Equally important is employee motivation: rebuilding their confidence after tough times.
Our overarching priority is accelerating growth and returning to our usual business momentum.
REVENUE (RS. M)
69,973
REVENUE CHANGE
28%
PROFIT AFTER TAX (RS. M)
(91)
PROFIT CHANGE
(195)%
TOTAL ASSETS (RS. M)
93,842
SHAREHOLDERS’ FUNDS (RS. M)
11,397
MARKET CAP (RS. M)
18,799
EARNINGS PER SHARE (RS.)
(0.14)
PRICE EARNINGS RATIO
–
EMPLOYEES
3,102
Telephone: 2429222 | Email: singer@singersl.com | Website: www.singer.lk
