Kelani Cables PLC has seen a dip in net profit to Rs. 378 million in the year ended March 31, 2017 from Rs. 499 million a year earlier despite the company achieving a historically high turnover of Rs. 7.12 billion during the year against the previous year’s Rs. 6.62 billion.
Mr. Upali Madanayake, the company’s chairman, has said in its recently released annual report that they had succeeded in "sustaining commendable growth despite adverse conditions both globally and locally to ensure consistent shareholder value."
"Our sales team performed well despite tough market conditions and the growth over last year amounts to 8% year-on-year," he added.
Director/CEO Mahinda Saranapala reporting the historically high turnover said the overall performance was highly commendable considering the market conditions and severe condition in the distribution market.
Kelani Cables which was founded in 1969 to manufacture and distribute power and telecommunication cables and enameled winding wires began operations with just 12 workers. The brand is today a household name with a 500-strong workforce and a solid reputation for quality and stability, the company said in the report.
It has undergone several changes in ownership since its founding by the Wijegoonewardena family. The company became a subsidiary of Australian multinational Pacific Dunlop Cables Group in 1994 and in late 1999 the majority shareholding was acquired by ACL Cables.
"These alliances have provided opportunities for expansion and knowledge sharing which have enabled the company to enhance its operations.
Kelani became a public quoted company in 1973 and its shares are quoted on the Colombo Stock Exchange. Madanayake said that the Kelani share had traded during the year under review between a high of Rs. 112.50 and a low of Rs. 101. Net assets per share were up to Rs. 159.38 from Rs. 146.47 the previous year.
Despite the drop in net profits, a dividend of Rs. 4.50 a share against the previous year’s Rs. 3 has been proposed.
The company has a stated capital of Rs. 218 million and total assets of Rs. 5.65 billion against total liabilities of Rs. 2.17 billion.
He also reported that a capacity expansion program was currently in progress and a new cable manufacturing line installed the previous year was performing well. They were also exploring the possibility of investing in new state-of-the-art machinery with high speeds to further boost productivity.
"We also hope that the current political and economic conditions will remain steady," he said, "ensuring that consistent policies are in place to spur the economy to greater performance."
Lanka Olex Cables (Private) Ltd. with 75% of the company is the controlling shareholder. All other shareholders including the Bank of Ceylon and the ETF individually own less than 5%.
The directors of the company are: Messrs. Upali Madanayake (chairman), Suren Madanayake (deputy chairman), Mrs. NC Madanayake, Dr. Bandula Perera, Dr. Ranjith Cabral and Mahinda Saranapala (CEO).
"Our sales team performed well despite tough market conditions and the growth over last year amounts to 8% year-on-year," he added.
Director/CEO Mahinda Saranapala reporting the historically high turnover said the overall performance was highly commendable considering the market conditions and severe condition in the distribution market.
Kelani Cables which was founded in 1969 to manufacture and distribute power and telecommunication cables and enameled winding wires began operations with just 12 workers. The brand is today a household name with a 500-strong workforce and a solid reputation for quality and stability, the company said in the report.
It has undergone several changes in ownership since its founding by the Wijegoonewardena family. The company became a subsidiary of Australian multinational Pacific Dunlop Cables Group in 1994 and in late 1999 the majority shareholding was acquired by ACL Cables.
"These alliances have provided opportunities for expansion and knowledge sharing which have enabled the company to enhance its operations.
Kelani became a public quoted company in 1973 and its shares are quoted on the Colombo Stock Exchange. Madanayake said that the Kelani share had traded during the year under review between a high of Rs. 112.50 and a low of Rs. 101. Net assets per share were up to Rs. 159.38 from Rs. 146.47 the previous year.
Despite the drop in net profits, a dividend of Rs. 4.50 a share against the previous year’s Rs. 3 has been proposed.
The company has a stated capital of Rs. 218 million and total assets of Rs. 5.65 billion against total liabilities of Rs. 2.17 billion.
He also reported that a capacity expansion program was currently in progress and a new cable manufacturing line installed the previous year was performing well. They were also exploring the possibility of investing in new state-of-the-art machinery with high speeds to further boost productivity.
"We also hope that the current political and economic conditions will remain steady," he said, "ensuring that consistent policies are in place to spur the economy to greater performance."
Lanka Olex Cables (Private) Ltd. with 75% of the company is the controlling shareholder. All other shareholders including the Bank of Ceylon and the ETF individually own less than 5%.
The directors of the company are: Messrs. Upali Madanayake (chairman), Suren Madanayake (deputy chairman), Mrs. NC Madanayake, Dr. Bandula Perera, Dr. Ranjith Cabral and Mahinda Saranapala (CEO).
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