Dankotuwa Group Achieves Laudable Performance
- Announces results for the Third Quarter of 2022/23
- The Group recorded a PBT of LKR 229 Mn for 3rd quarter and LKR 864 Mn YTD Q3 of 2022/23
- PBT margin for the Group for YTD Q3 was 19% compared to 7% in the corresponding period of last year.
- Revenue for the Group YTD Q3 was LKR 4.46 Bn; a 64% increase compared to the LKR 2.72 Bn achieved during the corresponding period of last year.
- For the 3rd Quarter, Group revenue was LKR 1.62 Bn, a 47% increase compared to the LKR 1.10 Bn achieved during the corresponding period of last year
- 3rd Quarter PBT margin for the Group was 14% compared to the 4% that was recorded last year.
Dankotuwa Porcelain PLC (DPL), the iconic and globally renowned brand for luxurious and elegant porcelain tableware, recorded impressive results for the 3rd quarter of the financial year 2022/23, according to the latest financial results released to the Colombo Stock Exchange. The Group continued to pursue its growth strategy, in challenging times, and this perseverance enabled the Group to post impressive third quarter (Q3) results. As businesses in Sri Lanka are navigating through a challenging business environment, the results achieved by Dankotuwa Group demonstrates business stability and sustainability.
For the quarter ended 31st December 2022, Dankotuwa Porcelain PLC as a Group (including its subsidiary Royal Fernwood Porcelain Limited – RFPL) recorded a revenue of LKR 1.62 Bn, which was a 47% growth compared to the 3rd quarter of 2021/22. Furthermore, the Group achieved an overall Gross Profit (GP) of LKR 503 Mn, a 45% growth compared to the LKR 347 Mn achieved in the corresponding quarter of the previous financial year. The Group recorded a PBT of LKR 229 Mn for the 3rd quarter and LKR 864 Mn for the 9 months ended 31st December 2022 (YTD Q3). This achievement of the group is attributed to the increase in National Sales which recorded an 87% increase for YTD of 2022/23 compared to the corresponding period of last year, along with International Sales recording a 49% increase for the same period.
The subsidiary (Royal Fernwood Porcelain Limited) has shown a laudable turnaround – it recorded a revenue of LKR 1.89 Bn, which was a 105% growth compared to the YTD Q3 of 2021/22. Furthermore, RFPL achieved a GP of LKR 610 Mn YTD Q3 of 2022/23, which when compared to that of 2021/22 demonstrated a tremendous growth. As far as PBT was concerned, Royal Fernwood Limited recorded LKR 226 Mn YTD Q3 compared to the Loss before tax of LKR 87 Mn recorded in YTD Q3 of 2021/22.
Dankotuwa Porcelain PLC, as a company, achieved an increase of 119% to record a PBT of LKR 638 Mn YTD Q3 of 2022/23. This was achieved with a 42% increase in sales and a 69% increase of GP of YTD Q3 2022/23 compared to corresponding period of last year 2021/22. The company, had a negative impact of LKR 87 Mn for the quarter ended 31st December 2022, due to the change of income / capital gain tax rate to 30% with effect from 1st October 2022. This negative impact consisted of LKR 33 Mn from Income tax and LKR 54 Mn from differed tax. The impact of the change in the rate of income tax to the Group for the quarter ended 31st December 2022 has reduced by LKR 43 Mn due to the differed tax asset being recorded in subsidiary (Royal Fernwood Porcelain Limited), and there is no income tax impact to subsidiary as it carries brought forward tax losses. Therefore, the net negative impact to Group was recorded as LKR 44 Mn. Accordingly, Group recorded a PAT of LKR 151 Mn for the 3rd quarter and LKR 674 Mn for the 9 months ended 31st December 2022.
Commenting on the performance, Channa Gunawardana, Chief Executive Officer of Dankotuwa Porcelain PLC, and its subsidiary, stated that “Whilst we achieved our best performance in 2021/22, our success in 2022/2023 is a true indication of our business acumen and well thought out strategies. It is a delight to see that we have continued to sustain our performance in 2022/23. As Sri Lanka steers through economic revival, we are committed to contribute to the much-needed economic growth by striving to achieve even better success through our exports. We continue to place our trust in our loyal customers in Sri Lanka, who have been instrumental in, us achieving the results indicated in our reports”. He further appreciated the invaluable contribution from all employees of DPL and RFPL who made this exceptional performance possible.
Dankotuwa Porcelain PLC, a subsidiary of Ambeon Holdings PLC, commenced its commercial operations in 1984. From superior glazing technologies, personalized designs and endless options, the Company continues to create timeless and modern collection of porcelainware that expresses exclusive dining experience for every occasion. The Group has ventured further into new local and global markets, entering new market segments through the introduction of a range of porcelain-based giftware placing Sri Lanka on the global map.
The Board of Directors of Dankotuwa Porcelain PLC comprises of eminent key business personalities such as Mr. Yudy Kanagasabai (Chairman), Mr Ranil Pathirana (Deputy Chairman) Mr. Revantha Devasurendra, Mr. Rohan Peris, Mr. Niranjan Wijesekera, Mr. Shalike Karunasena and Dr. Sajeeva Narangoda who are responsible for providing strategic leadership, well aligned to generate immense success.
