Access Engineering posts solid performance in 3Q

Access Engineering PLC wrapped up the third quarter of the FY 2015/2016, with a solid performance as per the Interim Financial Statements released to the Colombo Stock Exchange. 

At a Group level cumulative revenue for the first nine months ended 31December 2015 was recorded at Rs. 13.1 billion, a growth of 10.6% over the corresponding period of the previous year. At a Company level this was recorded at Rs. 8.6 b, a marginal drop of 2.4% over the corresponding cumulative period. 

A salient feature during the period is the 47% growth recorded by the production of construction related material contributing Rs. 1.2 b to the Company’s top line after the elimination of inter-segment revenue.  

During the quarter ended 31 December revenue was recorded at Rs. 4.2 b and Rs. 2.7 b respectively at Group and Company level, corresponding to a growth of 2.8% 15.2% respectively. The average gross profit margins at the Group and Company level for both the cumulative period and the quarter were well above 20%. 

Total comprehensive income after tax for the Group and the Company for the nine months ended recorded at Rs. 1.9 b and Rs. 1.5 b is a growth of 8.2% and 5.2% respectively. 

During the first nine months, the company’s 100% owned subsidiary Access Realties Ltd. generated a profit of Rs. 112.9 million while its 84% owned subsidiary Sathosa Motors PLC generated a profit of Rs 250.5 million. The 80% owned Access Projects Ltd. generated a profit of Rs. 124.7 million and the contribution from the 30% owned Associate, ZPMC Lanka Company amounted to approximately Rs. 11.7million.

As at for 31sDecember 2015, the total asset base of the company amounted to Rs. 29.7b and Rs. 24.8 b at Group and Company level respectively. The equity attributed to the owners of the company was recorded at Rs. 16.8 b at the Group level while it was Rs 15.4 b at Company level. This had been translated into a net asset per share of Rs. 16.81 at Group level and Rs. 15.36 at Company level.

As at the reporting date the Company had Rs. 7.36 b worth of short term deposits and cash and cash equivalents mainly on account of the Rs. 5 b raised via an initial public offering of debt which was subsequently listed on the CSE. Additionally operating activities of the Company generated Rs. 2.8 b at both Group and Company level for the cumulative period. 

During the quarter the Company received many accolades and awards with the notable ones being the Construction Sector winner at the Best Corporate Citizen Sustainability Awards 2015, Gold Award for Construction Companies at the Chartered Accountants Annual Report Awards 2015, Business Today Top 25 2014-2015 & the Construction & Engineering Sector Winner at the CIMA LMD 100 2014-15. 

The Board of Directors of Access Engineering PLC comprises Sumal Perera (Chairman), Christopher Joshua (Managing Director), Rohana Fernando (COO), Shevantha Mendis, DharshanaMunasinghe, Dilhan Perera, Ranjan Gomez, Professor Malik Ranasinghe, Niroshan Gunaratne and Dinesh Weerakkody.