sierra cables plc pq 166 interim financial statements … · a modest increase in sales turnover...
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SIERRA CABLES PLCPQ 166
INTERIM FINANCIAL STATEMENTSFOR THE PERIOD ENDED
30TH JUNE 2014(UNAUDITED)
SIERRA CABLES PLCCONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE QUARTER ENDED 30TH JUNE 2014 2013 2014 2013Not Rs. Rs. Rs. Rs.
Revenue 5 591,480,379 520,240,259 547,854,726 493,218,399
Cost of Sales (502,071,645) (447,829,906) (461,721,972) (425,388,648)
Gross Profit 89,408,734 72,410,353 86,132,754 67,829,751
Other Income 6 235,431 1,338,384 235,431 1,338,384
Selling and Distribution Expenses (37,210,715) (24,976,259) (32,178,827) (20,991,318)
Administrative Expenses (17,970,029) (15,274,806) (16,388,249) (14,413,371)
Other Operating Expenses - - - -
Profit/(Loss) from Operations 7 34,463,421 33,497,672 37,801,109 33,763,446
Net Finance Costs 8 (26,020,175) (48,617,568) (17,890,065) (40,641,806)
Profit/(Loss) Before Associate Companies' Share of Loss 8,443,245 (15,119,896) 19,911,044 (6,878,360)
Share of Loss of associate companies # (470,035) 269,823 - -
Profit/(Loss) Before Taxation 7,973,211 (14,850,073) 19,911,044 (6,878,360)
Income Tax Expense 9 - - - -
Profit/(Loss) for the year 7,973,211 (14,850,073) 19,911,044 (6,878,360)
Other Comprehensive Income/(Expense)
Net change in fair value of available-for-sale Investments 9,318,087 (300,484) 9,318,087 (300,484)
Other comprehensive Income/(Expense) for the Year, net of income tax 9,318,087 (300,484) 9,318,087 (300,484)
Total comprehensive Income/(Expense) for the year 17,291,298 (15,150,557) 29,229,131 (7,178,844)
Profit/(Loss) Attributable to :Owners of the Company 11,217,961 (12,380,863) 29,229,131 (6,878,360) Non - Controlling Interests (3,244,750) (2,469,210) - -
7,973,211 (14,850,073) 29,229,131 (6,878,360)
Total Comprehensive Income/(Expense) attributable to :Owners of the Company 20,536,048 (12,681,347) 29,229,131 (7,178,844) Non - Controlling Interests (3,244,750) (2,469,210) - -
17,291,298 (15,150,557) 29,229,131 (7,178,844)
Basic Earnings/(Loss) Per Share # 0.02 (0.02) 0.05 (0.01)
Figures in brackets indicate deductions.
Group Company
SIERRA CABLES PLCCONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE QUARTER ENDED 30TH JUNENon Controlling Total
Group Stated Revaluation Fair Value Retained Total Interest EquityCapital Reserve Reserve Earnings
Rs. Rs. Rs. Rs. Rs. Rs. Rs.Balance as at 1st April 2013 894,565,898 332,938,932 95,085,403 333,900,624 1,656,490,857 17,658,587 1,674,149,444
Loss for the year - - - (12,380,863) (12,380,863) (2,469,210) (14,850,073)
Effect of acqusition - - - - - 9,000,000 9,000,000
Other Comprehensive Income/(Expense)Fair value loss on available for sale investments - - (300,483) - (300,483) - (300,483) Actuarial Loss on Defined Benefit Obligation - - - - - - -
Total Comprehensive income for the year - - (300,483) (12,380,863) (12,681,346) 6,530,790 (6,150,556)
Adjustment due to changes in effective holdings - - - - - - -
Balance as at 30th June 2013 894,565,898 332,938,932 94,784,920 321,519,761 1,643,809,511 24,189,377 1,667,998,888
Balance as at 1st April 2014 894,565,898 332,938,925 87,812,815 40,455,632 1,355,773,270 11,312,491 1,367,085,761
Profit (Loss) for the year - - - 11,217,961 11,217,961 (3,244,750) 7,973,211
Other Comprehensive Income/(Expense) - Fair value loss on available for sale investments - - 9,318,087 - 9,318,087 - 9,318,087 Actuarial Loss on Defined Benefit Obligation - - - - - - -
Total Comprehensive income for the year - - 9,318,087 11,217,961 20,536,048 (3,244,750) 17,291,298
Adjustment due to changes in effective holdings - - - - - - -
Balance as at 30th June 2014 894,565,898 332,938,925 97,130,902 51,673,593 1,376,309,318 8,067,741 1,384,377,059
Figures in brackets indicate deductions. -
Attributable to owners of the Company
SIERRA CABLES PLCSTATEMENT OF CHANGES IN EQUITY
FOR THE QUARTER ENDED 30TH JUNEStated Revaluation Fair Value Retained Total
Company Capital Reserve Reserve EarningsRs. Rs. Rs. Rs. Rs.
Balance as at 1st April 2013 894,565,898 332,938,925 95,085,404 366,009,436 1,688,599,663
Loss for the year - - - (6,878,360) (6,878,360) Fair value loss on available for sale investments - - (300,484) - (300,484)
Total Comprehensive Income/(Expense) for the year 894,565,898 332,938,925 94,784,920 (6,878,360) (7,178,844)
Balance as at 30th June 2013 1,789,131,796 665,877,850 189,870,324 359,131,076 1,681,420,819
Balance as at 1st April 2014 894,565,898 332,938,925 87,812,815 93,828,558 1,409,146,196
Profit for the year - - - 19,911,044 19,911,044 Other Comprehensive Income/(Expense)Fair value loss on available for sale investments - - 9,318,087 - 9,318,087
Total Comprehensive Income/(Expense) for the year - - 9,318,087 19,911,044 29,229,131
Balance as at 30th June 2014 894,565,898 332,938,925 97,130,902 113,739,602 1,438,375,327
Figures in brackets indicate deductions.
SIERRA CABLES PLCCASH FLOW STATEMENT
FOR THE QUARTER ENDED 30TH JUNE 2014 2013 2,014 2013Rs. Rs. R Rs. Rs.
Cash Flow from Operating ActivitiesProfit/(Loss) before Share of Loss of Associate 8,443,245 (15,119,896) 19,911,044 (6,878,360)
AdjustmentsDepreciation 19,155,599 19,594,074 15,812,445 17,163,487 Amortization of Intangible asset 216,005 - 216,005 - Impairment of Assets Held for sale - 410,675 - 410,675 Depreciation of investment property 205,337 - 205,337 - Provision for Impairment of Trade Receivables 4,500,000 450,000 4,500,000 450,000 Profit on sale of property, plant and equipment (128,533) - (128,533) - Profit on Disposal of Investment Available for sale (100,278) (1,129,134) (100,278) (1,129,134) Provision for Retirement Benefit Obligation 703,539 812,852 703,539 812,852 Interest Expenses 35,407,877 55,587,765 27,113,025 47,612,003 Interest Income (9,038,446) (6,970,197) (9,038,446) (6,970,197) Dividend Income - (209,250) - (209,250) Operating Profit Before Working Capital Changes 59,364,346 53,426,889 59,194,138 51,262,076 (Increase)/Decrease in Inventories (15,198,129) 28,086,778 (33,682,481) 19,386,073 (Increase)/Decrease in Trade and Other Receivables 17,142,229 (81,049,231) 33,799,657 (80,242,626) (Increase)/Decrease in Dues from Related Parties (11,221,764) 25,016,751 (186,148,754) 25,016,751 Increase/(Decrease) in Trade and Other Payables (44,443,150) (11,866,387) (36,915,913) (6,242,767) Increase/(Decrease) in Dues to Related Parties 6,000,000 (9,007,654) 6,000,000 - Cash Generated from/(used In) Operations 11,643,531 (48,819,743) (157,753,353) 9,179,507
Interest Paid (35,223,364) (55,587,765) (26,928,512) (47,612,003) Income Tax/ Esc Paid (4,933) 846,056 (4,933) 846,056 Gratuity Paid - (252,420) - (252,420) Net Cash Flows Generated from /(Used in) Operating Activities (23,584,766) (50,386,983) (184,686,798) (37,838,860)
Cash Flows from Investing ActivitiesInterest Income 9,038,446 6,970,197 9,038,446 6,970,197 Dividend Received - 209,250 - 209,250 Acquisition of Property, Plant and Equipment (2,750,131) (18,093,008) (1,660,943) (315,448) Acquisition of Intangible Assets (24,700) - (24,700) - Proceeds from Disposal of Property, Plant and Equipment 168,000 - 168,000 - Proceeds from Disposal of Available of Sale Investments 117,758 1,471,000 117,758 1,471,000 Investment in Available of Sale Investments - 47,292,120 - 47,292,120 Investment in Subsidiary Net of Cash Acquired - (21,000,000) - (21,000,000) Net Cash From/(Used) in Investing Activities 6,549,373 16,849,559 7,638,561 34,627,119
Cash Flows from Financing ActivitiesBorrowing during the period 686,834,537 - 667,210,441 -
Repayment of Borrowings (471,167,349) (17,853,688) (445,543,322) (10,888,307) Proceeds from Issue of Shares - 31,000,000 - Repayment of Lease (1,759,350) (1,499,276) (1,759,350) (1,499,276) Net Cash Flows From/(Used) in Financing Activities 213,907,838 11,647,036 219,907,768 (12,387,583)
Net Increase/ (Decrease) in Cash and Cash Equivalents 196,872,445 (21,890,388) 42,859,531 (15,599,324) Cash and Cash Equivalents at the beginning of the Period (117,659,174) (57,686,185) (50,244,891) 489,731 Cash and Cash Equivalents Acquired on Merger - - - - Cash and Cash Equivalents at the End of the Period 79,213,272 (79,576,573) (7,385,360) (15,109,593)
Analysis of Cash & Cash Equivalents at the end of the Period;Cash in Hand and at Bank 164,748,741 24,275,391 15,712,995 24,241,881 Bank Overdraft (85,535,469) (103,851,964) (23,098,355) (39,351,474)
79,213,272 (79,576,573) (7,385,360) (15,109,593) Figures in brackets indicate deductions.
Group Company
SIERRA CABLES PLCINTERIM FINANCIAL STATEMENTS - 30TH JUNE 2014NOTES TO THE ACCOUNTS
(1) Performance of the Company
(2)
(3)
(4)
(5) There have been no other events subsequent to the interim period , which require disclosure in the interim financial statements.
(6) Figures shown in brackets in the financial statements indicate deductions
(7) Where necessary, comparative figures have been re - classified to conform with the current period's presentation.
(8) Market Value of shares As at 30th June
2014As at 30th June
2013As at 31st March
2014Rs. Rs. Rs.
Highest Price during the period 2.30 2.70 2.70 Lowest Price during the period 1.60 2.00 1.60 Last Traded Price during the period 2.20 2.20 2.20
(9) Sierra Cables PLCDirectors Shareholding As at 30th June
2014Mr.L.D.N.NayanaMr.W.A.P.Perera 3,920,510 Mr.E.A.T.B.Perera 10 Mr.D.S.Panditha 17,022,950 Mr.J.H.P.Ratnayake - Dr.D.G.K.E.Weerapperuma - Ms.G.S.M.Irugalbandara 1,709,800 Mr.B.W.N.Rupasinghe - Prof. A.K.W.Jayawardena - Mr.P.R.Saldin - Alternate director Mr.L.D.N.Nayana( Alternate Director to Mr.D.S.Panditha) 100,010 Ms.K.A.Suraweera(Alternate Director to Mr.E.A.T.B.Perera) - Mr.F.A.W.Irugalbandara(Alternate Director to Mr.W.A.P.Perera) 200,010
22,953,290
(10) Sierra Cables PLC
Public Holding of Issued Share Capital 37.62%Issued share Capital representing - 537,512,430 No of Ordinary shares
There are no significant changes in the nature of the contingent Liabilities which were disclosed in the Financial statements for the year ended 31st March 2014.
A modest increase in Sales Turnover together with a reasonable increase in Gross Profit coupled with reduction in Finance Charges has resulted in a profit of Rs.19.9 million in comparison with a loss of Rs.6.9 million during the corresponding period of the previous financial year. Furthermore , a major order amounting to Rs 1.1 billion is in hand to be executed in the current financial year. This order is expected to improve the profitability of the company.
The Financial position as at 30th June 2014 and the comprehensive income for the three months period ended are drawn from the unaudited accounts of the company and its subsidiaries Sierra Industries (Private) Limited, Sierra Power(Private)Ltd and Associate companies T & G Lanka (Pvt)Ltd and Tea Leaf Resorts(Pvt )Ltd, in accordance with the accounting policies.
These Interim Financial Statements have been prepared in accordance with the same accounting policies and methods set out in the Annual Financial Statements for the year ended 31 March 2014 and are in compliance with the Sri Lanka Accounting Standard (LKAS - 34) - Interim Financial Reporting.
NOTES TO THE INTERIM FINANCIAL STATEMENTSSIERRA CABLES PLC
(11) List of 20 Major ShareholdersBased on their Shareholdings as at 30th June 2014
N0 NAME & ADDRESS SHAREHOLDING PERCENTAGE (%)
1 Sierra Holdings (Private) Ltd 312,335,490 58.11
2 Browns Investments PLC 32,210,943 5.99
3 Mr. Daya Shamendra Panditha 17,022,950 3.17
4 Employees' Provident Fund 8,113,032 1.51
5 Mr. Abeyratne Banda Sarath Herath 5,000,000 0.93
6 Mr. Wahalathanthirige Anil Priyantha Perera 3,920,510 0.73
7 Tranz Dominion,LLC 3,600,000 0.67
8 Mr.W.A.Kassapa Dewamitta Saparamadu 3,488,000 0.65
9 Mr.Rifki Abdul Sameem Mohamed 2,676,917 0.50
10 Seylan Bank PLC. - A/C No. 3 2,538,996 0.47
11 Monad (Private) Limited 2,450,000 0.46
12 Mr. Ilamperuma Munidasa 2,150,000 0.40
13 Nexus Nubart Holdings (Private) Limited 2,000,000 0.37
14 Mr.Bathiya Chandana Ranaweera 1,800,000 0.33
15 Ms.G.S.M.Irugalbandara 1,709,800 0.32
16 Mr. Perera Don Thanthirige George Lahiru Deshaka 1,561,000 0.29
17 Mr.Abdul Rahuman Mohomed 1,484,073 0.28
18 Mr.Rajinda Goonewardena Senavirathna 1,423,600 0.26
19 People's Leasing Finance PLC/C.A.Perera 1,343,000 0.25
20 Mrs.Molamure Neliya Ratwatte 1,300,000 0.24
TOTAL 408,128,311 75.93
Corporate Information
Name of the companySierra Cables PLC
Company Re-registration No.PQ 166 (under companies Act No.07 of 2007)
Registered Office112, Havelock Road, Colombo 05
Company SecretariesP.R Secretarial Services (Private) Limited59, Gregory's Road Colombe 07.Tel: 011 2671439, 011 2671441 Email: [email protected]
AuditorsKPMG ( Chartered Accountants)32 A, Sir Mohomed Macan Marker Mawatha, P.O. Box 186, Colombe 03.Tel: 011 5426426, Fax: 011 2445872, E-mail: [email protected]
Legal AdvisorsPaul Rathnayake Associates59, Gregory's Road Colombe 07. Tel: 011 2697893, 011 2697894 Email: [email protected]
BankersCommercial Bank of Ceylon PLCSampath Bank PLCBank of Ceylon
Subsidiary CompaniesSierra Industries (Private)LimitedSierra Power (Private)Limited
Associate companiesT & G Lanka (Private) Limited,Tea Leaf Resorts(Private ) Limited
Domicile and Legal FormSierra Cables PLC is a limited liability company incorporated and domiciled in Sri Lanka
Tel: 011 4412000-4, Fax: 011 2770291, 011 4412573 E-mail: [email protected]
Board of DirectorsMr.W.A.P. Perera Mr.E.A.D.T.B.PereraMs.G.S.M.Irugalbandara Dr. D.G.K.E.WeerapperumaMr.P.R.SaldinMr.D.S.PandithaMr.J.H.P.Ratnayaka Prof. A.K.W.JayawardenaMr.B.W.N.RupasingheMr.L.D.N.NayanaAlternate Directors Mr.F.A.W.Irugalbandara Ms.K.A.Surweera Mr.L.D.N.Nayana
The Registered office of the company is at 112, Haveloc Road Colombo 05 and principle place of business is located at 39/1A, Galwarusa Road, Korathota, kaduwela.
Issued Ordinary shares of the company is stated as listed on the Colombo Sock Exchange since 22nd November 2005.