Home grown retail and household name Abans PLC recently had its National Long-Term Rating upgraded to AA(lka), following the recalibration of the Sri Lankan National Rating Scale by Fitch Ratings. This factor is a testament to the company’s ability to withstand turbulent market conditions during this difficult time of the pandemic that has seen many businesses crumbling.
The previous year put forth several challenges that saw many industries struggling. Rather than focusing on growth, businesses had to focus on survival. The COVID-19 outbreak that impacted the entire world, caused setbacks that had never been seen before. The impact on disposable income put stress on the consumer durables market and on the value-added service industries.
Amidst the unfavourable market conditions that prevailed, the businesses that were proactive and evolved fast – according to the changing market conditions – had the endurance to weather the storm. Despite severe macro-economic conditions that impacted many sectors – severely deterring the spending power of a large population – Abans PLC was able to record a stable performance. The noteworthy accomplishment was: amongst the market chaos, by the end of February 2020, the company profits were well set to over-deliver.
Foresight, smart strategy and strong implementation has enabled Abans to rise to leadership positions in many of the sectors they operate in. However, it was necessary to recalibrate strategy to ensure they were geared for the new normal, for an era driven by artificial intelligence and big data which would provide significant competitive advantage to those who were fast enough to embrace it. Abans was quick to adopt e-commerce and the channel has been leading growth vs. the traditional. The inter-connection of e-commerce to traditional channels was well understood and the continued strategy was to keep evolving the existing dynamics.
As in the past, Abans has continued to focus on diversification that fuels growth and aids in the company’s resilience. Diversification enabled the business to continue the growth trajectory amidst volatile market conditions. The company has strategically looked to build better synergies across their various segments in order to give superior solutions to their valued customers and build on the overall competitive advantage.
As of today, Abans PLC has garnered significant market share and established itself as the leading and trusted retail, electronics and consumer conglomerate in Sri Lanka. The company’s financial and business strength and stability has placed Abans at the prominent position of being able to pursue greater heights and achievements in the years to come.