Teejay posts Rs. 2.3 b PBT for 3Q | Sunday Observer

Teejay posts Rs. 2.3 b PBT for 3Q

Teejay Lanka PLC has reported profit before tax of Rs. 2.364 billion at Group level for the nine months ending December 31, 2019, an improvement of 56% over the corresponding period of the previous year, a media release from the company stated.

Sales for the period grew by 15% to Rs. 26.3 billion, with revenue for the third quarter alone up by 5% to Rs. 8.9 billion.

Group profit before tax for the three months ending December 31 – Teejay’s nineth consecutive quarter of revenue and profit growth – increased by 31% to Rs. 846 million, while net profit for the quarter also improved by 31% to Rs. 719 million.

On the basis of these results, Teejay Lanka PLC has proposed a dividend of Rs. 1.30 to shareholders in respect of the third quarter of 2019-20.

Attributing the Group’s performance to “Continuous focus on maintaining a strong order book with the commencement of the Operational Excellence journey during the year,” Teejay Lanka Chairman Bill Lam said overall growth in gross profit was primarily due to a healthier mix, continued stabilisation of cotton prices and improved capacity compared to the previous year, generated through internal efficiencies. Teejay Lanka CEO Pubudu de Silva, whose appointment became effective in the third quarter of the year said, “Long term strategies adopted by the Group and economies of scale by expanding capacity have positively impacted performance during the quarter.

“As we celebrate 20 years in operation this year, the Group will continue to focus on creating sustainable products, innovations and modifications to improve the product portfolio for customers,” he said.

The company is backed by Brandix Lanka which has a 33% stake and Pacific Textiles of Hong Kong which owns 28% of the company.