CIC Holdings records turnaround performance in 2014/2015
CIC Holdings PLC recorded an impressive performance for the financial year ending 31 March 2015. Group profit after tax (PAT) was recorded at Rs. 1040.84 million, a strong improvement over last year’s loss of Rs. 1,126.84 million. The group recorded a revenue growth of 3%, a continuing business turnover growth of 9% and profit before tax of Rs. 1,423.12 million, demonstrating a turnaround business performance.
CIC’s Agriculture and Livestock division and its Consumer and Pharmaceutical division contributed to 60% and 25% of the group’s total revenue respectively. The company’s improvement in profitability from a loss of Rs. 847.25 million to a profit of Rs. 512.55 million is a testimony to its strength and ability to implement effective change.
CIC Holdings’ profitability has also had a positive impact on the group’s operating cash flow. The group interest cost has reduced by more than 50% and this saving goes beyond interest rate reductions and can be attributed to careful financial management.
No dividend was declared in the previous year, however two interim dividend payments of Rs. 1/- per share were paid in September 2014 and March 2015.
CIC’s impressive performance is part of a new direction and strategy for growth that the group has undertaken.
Commenting on CIC’s performance, S.H. Amarasekera, Chairman of CIC Holdings PLC stated, “The Board of Directors has re-strategized the way forward for CIC and embarked on a much needed restructuring programme during the period under review. Our focus was on ensuring sustainable business growth and long-term returns. The past year has been immensely challenging and has tested the resilience of both the company and the group. Now we are well on track to performing at an even higher level in the year ahead. CIC Holdings will continue to focus on innovation, product development, market development and technology to drive our business forward.”
S.P.S. Ranatunga, Managing Director/CEO of CIC Holdings PLC stated, “Our success in this financial year is due to expertise of the Board and the dedication and hard work of the CIC team. I would also like to extend our appreciation to our stakeholders, banking partners and shareholders who supported us in our efforts to deliver an exceptional financial performance this year.”
As part of its future plans, CIC Holdings PLC will continue to focus on strengthening its core competencies in key sectors which have been selected for their growth potential. These sectors include Fertilizer, Rice, Seeds and Farms, Feeds and Poultry, Cropcare, Industrial Solutions, Healthcare and Strategic businesses.
