Singer top line up 12% to Rs. 20.8 b; bottom line by 29%

Monday, 24 November 2014 00:44 - - {{hitsCtrl.values.hits}}

Singer Sri Lanka, the country’s consumer durables giant, capped a strong third quarter by announcing group revenues of Rs. 20.8 billion in the year to date, a growth of 12% over the prior year. Revenue growth was driven primarily by significant gains in the retailer’s Communication and Digital Media segment, as well as improvements in the country’s business conditions.

The company’s Communication and Digital Media segment expanded by 31%, when compared to the same period of the previous year. Every other segment in the retailer’s business portfolio, with the sole exception of the Transportation segment, notched substantial gains: the Agro segment grew by 19%, while sewing products grew by 15%, furniture grew by 13%, white goods grew by 12%, kitchen-related products grew by 11%, and consumer electronics grew by 6%. The company’s revenue growth boosted its bottom line, with gross profit increasing by 10%. Although selling and administration expenses increased by 12%, due to inflation and an increase in rents and electricity, other operating expenses declined by 8%. The net finance cost decreased by 11% due to a decline in interest rates and a tight control of borrowings. As a result, Singer Sri Lanka’s net profit increased by a robust 29%. The company’s subsidiary, Singer Finance (Lanka) PLC, also recorded steady growth, with revenue increasing by 6% and net profit increasing by 3%. The Group’s overall net profit, in the year-to-date, rose by 23%. The Group continues to solidify its position as the country’s leader in the retail of consumer durables. Singer (Sri Lanka) is continually strengthening its industry-best retail and service networks and enhancing its portfolio of world-class brands and products. For example, during the nine months under review, Singer (Sri Lanka) was appointed the distributor for three of the world’s most renowned brands: Sony and Sharp, from Japan; and the American computer technology brand, Dell. By continually enriching its value proposition, Singer is certain that it will continue to set the benchmark for ‘trusted excellence’ in Sri Lanka.