Pelwatte Dairy, one of the leading dairy brands in Sri Lanka that locally produces a range of dairy products and saves foreign exchange for the country, has made a significant financial turnaround in 2020/’21 recording a huge Profits Before Tax (PBT) that YoY surged by 148%.
In 2020/’21 the company has made a profit falling short of the budgeted profit target. The Company’s Gross Profits grew by a strong 180%. In the same period, the Profits Before Tax (PBT) increased by a huge 148%. This in fact is a major turnaround for Pelwatte since in FY 2019/’20 the company recorded a PBT loss.
Significantly, amid Covid restraints the company succeeded in YoY increasing the total farmers’ base by 16% to 6,500. The company also paid Rs. 3.18 bn to the farmers in 2020/21, which is a 70% YoY increase.
Of the top ten highest sold product lines, except for three, seven products have shown Year-on-Year (YoY) growth in 2020/’21.
The product line with the highest sale in 2020/’21 was Pelwatte Full Cream Milk Powder, with a YoY growth of 76%. The second was butter which showed 42% YoY growth while the third was yoghurt, indicating a 49% YoY growth.
Other product lines too indicated a YoY growth rate exceeding 100%. Ghee Oil, though was at the sixth place among the largest product lines of sale, showed the highest growth among all products in 2020/’21, growing by tenfold (a 1070% YoY increase).