ECONOMYNEXT – Sri Lanka’s John Keells Holdings, which has interests in ports, leisure, retail and financial services said profits in the December 2024 quarter fell 5 percent to 2,845 million rupees, despite a revaluation of property.
Earnings for the per share for the quarter was 17 cents per share.
Sales and margins at retail was strengthening, there was increased demand for apartments and higher volumes of containers.
John Keells Holding revenues for the quarter grew 13 percent to 74.2 billion rupees, and insurance incomes grew 12 percent to 6.0 billion rupees, while cost of sales also rose 13 percent to 64.9 billion rupees.
Selling and distribution expenses rose 36 percent to 3.5 billion rupees and administration expenses rose 29 percent to 8.4 billion rupees.
Change in insurance contract liabilities, which the group said represented transfers to the life fund, went up to 3.04 billion rupees in the December quarter from 626 million rupees last year.
There was a investment property revaluation gain of 955 million rupees, which JKH said it was making in the third quarter from this year on, changing from the fourth quarter under earlier practice.
Gains of 807 million dollars were recorded for office tower of Waterfront Properties (Pvt) Ltd.
JKH also had to bear about 2.0 billion rupees of pre-operational expenses, depreciation as well as interest on the Cinnamon Life project which had previously been capitalized.
JKH said income streams as Cinnamon Life and City of Dreams revenues come in in the next few quarters which will more than offset the costs.
Meanwhile currency appreciation brought a gain on loan and loss on the translation Maldives based leisure businesses. (Colombo/Feb03/2025)
