- Achieves a staggering Rs. 205 b turnover in 3Q up 254% YoY; profit of Rs. 23 b up 405% YoY
Propelled by the stellar performance of its Logistics Sector, Expolanka Holdings PLC delivered its strongest-ever quarterly financial performance during the three months ended 31 December 2021 (3QFY2021).
Compared with the third quarter of the previous financial year (3QFY2020), Expo delivered a Group Revenue of Rs. 204.9 billion, representing an outstanding 254% year-on-year (YoY) growth. Similarly, group Gross Profit for the quarter stood at Rs. 38.7 billion, up 299% YoY, while Group Profit After Tax (PAT) rose by 405% YoY to Rs. 23 billion.
“This remarkable financial performance, our best-ever to date for a single quarter, is a resounding endorsement of Expolanka’s strategy, agility and sound fundamentals,” Expolanka Holdings PLC Executive Director and Group CEO Hanif Yusoof said. “It is most noteworthy considering that this performance was achieved during a period of unprecedented and rapid change, in which our key markets have seen significant transformation.”
“The Group’s key consumer market, North America, performed well, while European and Asian markets are also opening up,” Yusoof added. “Markets are dynamic and continue to evolve and Expolanka will navigate these changes by continuing to pursue our proven growth strategy, while focusing on the fundamentals of the business, and honing our agility. The Group will also look to leverage on opportunities with the same singular focus in order to ensure continuous value creation for all our valued stakeholders.”
The Logistics Sector’s exceptional performance was the key driver of the Group’s growth during the period. The sector recorded a Revenue of Rs. 203.7 billion – a YoY improvement of 255% YoY, a Gross Profit of Rs. 38.4 billion – an increase of 303% YoY and a Profit After Tax of Rs. 23.0 billion, reflecting a growth rate of 384% YoY in 3QFY2021.
The Group’s outstanding results were driven by its uniquely customer-centric strategy, which enabled expanded volumes across both air and ocean freight products. This enabled the company to continue increasing its wallet share, as well as attract valuable new strategic accounts. The customer portfolio serviced by the company is now diversified, robust and includes a multitude of leading global brands across a variety of key verticals.
The performance was also an endorsement of the company’s regional expansion strategy. Notably, Far Eastern markets witnessed strong growth while established markets such as Sri Lanka and India too performed well.
Despite still recovering from the pandemic, the Group’s Leisure Sector consolidated its performance during the quarter, generating a Revenue of Rs. 298 million, a 243% YoY improvement. The proactive, resilient and long-term focused approach undertaken by the company has driven operational efficiencies across the business.
The Investment Sector recorded a Revenue of Rs. 917 million during the quarter, a growth of 92% YoY, with the export operation being the key contributor. Refocusing the company’s portfolio enabled the sector’s improved performance. Notably, Expolanka’s IT business gained significant traction during the year.
Together with improvements in its financial performance, during the period, the Group also recorded substantial progress in its Environmental, Social and Governance (ESG) initiatives. For instance, affirming the Group’s commitment to women’s empowerment, Expolanka initiated a project to uplift and empower deserving female entrepreneurs in Sri Lanka, by providing them with financial support and technical expertise.
Expolanka Holdings PLC is a multinational entity with strong presence in logistics, leisure and investments. The Group began moving into international markets in 1992 and now operates in Asia, Europe, Africa and North America. Its international presence now extends across 32 countries. In 2011, Expolanka was listed on the Colombo Stock Exchange, and underwent a significant restructuring process in 2013 to focus on its core business.