Aitken Spence ends FY26 on a strong note, ups PBT by 18% to Rs. 12.8 b

Chairperson 

Stasshani Jayawardena 

Aitken Spence PLC, a leading conglomerate with a diverse regional presence, has recorded a strong Profit Before Tax (PBT) of Rs. 12.8 billion for the year ended 31 March 2026. 

In a statement Aitken Spence said the strength of the Group’s diversified portfolio was clearly demonstrated during the financial year, with overseas operations contributing 61% of total profits. This growing international presence continues to enhance earnings resilience, reduce concentration risk, and unlock multiple avenues for growth across markets and sectors. 

The Group’s share of profits from equity-accounted investees increased significantly, by 46%, to Rs. 2.3 billion, driven by stronger contributions from the Port City BPO venture, as well as improved performance in the Group’s plantation and bunkering operations. 

Profit after tax rose to Rs. 9.1 billion, representing a 27% increase over the corresponding period last year, with Rs. 6.8 billion attributable to equity holders of the Company. 

The Group’s Tourism sector demonstrated a substantial improvement, recording a PBT of Rs. 7.9 billion for the year ended 31 March 2026. It is noteworthy that the Group’s Tourism sector emerged as the key contributor, accounting for 61% of the Group’s total contribution. The improvement in the Tourism sector’s performance was supported by stronger tourist arrivals across destinations, higher occupancy levels, and improved room rates during the year. The sector also benefited from lower interest costs, which contributed to the growth in profitability. 

The destination management segment also delivered a strong performance, navigating a challenging local industry environment during the financial year, while benefiting from the continued recovery in global travel and increased inbound tourism.

The Group’s Maritime and Freight Logistics sector achieved a PBT of Rs. 4.7 billion for FY26, driven primarily by the maritime and port segment. The sector operated in a challenging global environment, with escalating pressures toward the latter part of the year impacting overall performance. Despite these headwinds, port operations demonstrated healthy growth in both revenue and earnings, supported by increased operational activity. The integrated logistics segment recorded stable revenue levels, and the newly commissioned warehouse complex demonstrated encouraging progress in its initial phase of operations. However, these gains were partially offset by softer performances in the transport and distribution segments.

The Services sector delivered a marked improvement in profitability during the year, with profit before tax rising sharply to Rs. 1.2 billion, supported by the continued scaling and maturity of the portfolio. The Group’s BPO services segment recorded strong growth, driven by expanded operations and a growing client base, while the Group’s elevator agency improved volumes, and the property management segment delivered a steady performance. However, this was moderated by weaker outcomes in the Group’s insurance and money transfer segments.

The Strategic Investments sector reflected a mixed performance during the year. The Group’s printing and packaging business delivered an exceptional performance, driven by growth in volumes and pricing. The power generation segment also contributed positively, despite a moderation in profits due to daytime curtailments on solar operations, minor disruptions to certain hydro plants caused by Cyclone Ditwah, and a high base in the previous year due to a one-off provision write-back. The Group’s plantations segment delivered a commendable performance amidst an extremely challenging operating environment marked by rising cost pressures and structural constraints in the industry. Overall, however, the Strategic Investment sector’s performance was weighed down by losses in the apparel manufacturing segment.

The Group continued to demonstrate steady progress in its ESG performance, with improvements across key environmental indicators. While total energy consumption per unit revenue for the Group increased marginally by 5%, this was offset by meaningful efficiency gains in core sectors, including reductions of 6% in Tourism, 12% in Maritime and Freight Logistics, and 17% in Services. The Group’s waste-to-energy facility remained a key contributor to decarbonisation, repurposing 180,241 MT of residual waste to generate renewable energy for the national grid and avoiding 114,933 tCO₂e of emissions—the equivalent of the annual footprint of over 32,600 urban households. Overall, more than 90% of solid waste was diverted from landfill, supporting circularity objectives. Water intensity also improved at a Group level, with a 7% reduction per unit of revenue, driven by 15% efficiency gains in both Tourism and Services. Increases observed in Maritime and Freight Logistics (11%) and Strategic Investments (18%) primarily reflect variations in revenue performance rather than underlying consumption trends. Collectively, these outcomes underscore the Group’s continued focus on operational efficiency, resource optimisation, and lower-carbon growth.

In its sustainability journey, FY26 marked a significant milestone for Aitken Spence PLC as it became the first diversified holdings company in Sri Lanka to have emission reduction targets validated by the Science Based Targets initiative (SBTi). For a Group operating across 17 industries and multiple geographies, this achievement reflects both the scale and complexity of their footprint.