Sri Lankan stocks recover from near 10-wk low on bargain hunting; Keells leads

Feb 26 (Reuters) - Sri Lankan shares recovered from a near 10-week closing low on Wednesday on bargain hunting in beaten down shares, snapping a nine-session falling streak, led by the top conglomerate John Keells Holdings.

Foreigners investors bought the island nation's risky assets on a net basis in an oversold market.

The main stock index gained 0.63 percent, or 36.89 points, to close at 5,872.81, up from its lowest close since Dec. 18 hit in the previous session.

The index dropped nearly 7 percent in the last 15 sessions through Tuesday and has been in oversold territory since Friday, Thomson Reuters data showed.

Foreign investors bought a net 24.5 million rupees of shares on Wednesday, but the bourse has suffered outflows of 5.41 billion rupees in the past 14 sessions as some offshore funds exited the market.

It has seen a net 4 billion rupees of foreign outflows in 2014, after enjoying net inflows of 22.88 billion rupees last year.

Analysts said investors were concerned about further outflows, though local investors are still optimistic about risky assets due to falling interest rates.

Top conglomerate John Keells Holdings gained 2.76 percent to 212 rupees, reversing a 22-session fall through Tuesday.

The day's turnover was 446.6 million rupees ($3.41 million), less than half of this year's daily average of about 1.09 billion rupees. 

($1 = 131.0750 Sri Lanka rupees) 

(Reporting by Shihar Aneez; Editing by Prateek Chatterjee)

Sri Lanka stocks close up 0.6-pct

Feb 26, 2014 (LBO) – Sri Lanka stocks close 0.63 percent higher Wednesday ending a nine day negative rally with gains in the tobacco and diversified stocks, brokers said.

The Colombo benchmark All Share Price Index closed 36.89 points higher at 5,872.81, up 0.63 percent. The S&P SL20 closed 8.74 points higher at 3,188.80, up 0.27 percent.

Turnover was 446.57 million rupees, up from 426.93 million rupees a day earlier, with stocks of 59 firms closing in the red against 128 gainers.

Distilleries closed 2.10 rupees lower at 204.90 rupees with 58.75 million rupees of an off market transaction contributing to 13 percent of the daily turnover.

JKH’s W0022 warrants closed 3.20 rupees higher at 60.40 rupees and its W0023 warrants closed 2.80 rupees higher at 63.80 rupees, attracting most number of trades during the day.

Foreigners bought 140.33 million rupees worth shares while selling 115.87 million rupees of shares.

JKH closed 5.70 rupees higher at 212.00 rupees and Ceylon Tobacco Company closed 7.70 rupees higher at 1,098.40 rupees, contributing most to the index gain.

Nestle Lanka ended 26.60 rupees higher at 2,016.60 rupees following the announcement of an interim dividend of 32.00 rupees and a final dividend of 28.00 rupees per share.

Commercial Leasing and Finance closed 20 cents higher at 4.10 rupees and Bukit Darah ended 9.00 rupees lower at 545.00 rupees.

Carson Cumberbatch ended 1.80 rupees lower at 350.50 rupees.

Kelsey Homes buys a Rs. 571 mn property from Mount Lavinia

Sri Lanka`s listed Kelsey Development PLC has purchased a Rs. 571 million worth property from Mount Lavinia, a Colombo suburb to develop a large scale housing project.

The purchase has been done by its fully owned subsidiary Kelsey Homes Limited.

The deal has gone through on the 24th of this month.
www.news360.lk

Related Disclosures from CSE:

http://www.cse.lk/cmt/upload_cse_announcements/6401393384697_.pdf

http://www.cse.lk/cmt/upload_cse_announcements/2631393384400_.pdf

NTB profits up 10%

Ceylon FT: Diversified conglomerate John Keells Holdings' banking unit, Nations Trust Bank PLC, reported a group net profit of Rs 2.13 billion for the year ended 31 December 2013, up 10% from a year ago, interim financial results showed.

Gross income increased 14% to Rs 20.36 billion and net interest income increased 33% to Rs 7.67 billion.

Net fees and commission income increased 22% to Rs 2.5 billion and trading expense of Rs 478.4 million was reported as a against an income of Rs 287.6 million a year ago.

Impairment charges for loans and advances increased 4% to Rs 450.6 million.

Operating expenses increased 23% to Rs 5.77 billion.

The non-performing loans ratio stood at 2.13% as at end December 2013, up from 1.31% a year ago.

Assets grew 16% to Rs 142.28 billion as at end December 2013. Its loan book grew 12% to Rs 82.32 billion. Public deposits grew 11% to Rs 95.72 billion.
www.ceylontoday.lk