JAT Holdings posts highest-ever revenue

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JAT Holdings PLC has achieved its highest-ever first-quarter revenuein FY 2022/23. The Group has also performed exceptionally well, across a range of other financial performance indicators, defying industry trends, amidst a highly challenging economic environment, company sources stated.

Total Revenue for Q1 grew by 39% to LKR 1.935 billion, against LKR 1.396 billion in the corresponding quarter in the prioryear, while Gross Profit in absolute terms rose by 37% to LKR 525.6 million, against LKR 382.6 million in Q1 of FY 2021/22. Gross Profit Margins were maintained unchanged at 27%.

Meanwhile, operating profit grew by 50% during the period under review to LKR 280.2 million, up from LKR 186.75 million in the corresponding period. However, Operating Profit Margin growth was subdued,but still recorded an expansion to 14%, up from 13%. Profit Before Tax (PBT) grew by 18%, demonstrating a sustained momentum of recovery, to LKR 198.8 million, compared with 168.9 million earlier, although Margins contracted slightly, from 12% in the corresponding period, to 10% during the period under review.

Group Export Revenues dipped slightly during Q1, by 12%, as a result of reorganisation due to the commencement of operations at the Group’s manufacturing facility in Bangladesh, owned and operated through its fully owned subsidiary, Asia Coatings (Pvt) Ltd.

Revenues from the Group’s Sri Lankan operations expanded by a significant 59% to LKR 1.576 billion in Q1 of FY 2022/23, up from LKR 989.3 million in the corresponding period.

All the business sectors of JAT Holdings PLC recorded healthy to phenomenal gains in terms of revenue growth during the period under review. Its largest business sector, Wood Coatings, witnessed a 21% expansion in revenue, rising to LKR 796 million this quarter, up from LKR 658 million in the corresponding period.

WHITE by JAT saw the largest growth in revenues, driven by growth in the emulsion sector, coupled with increased market share. Accordingly, the sector posted a phenomenal 206% revenue growth in the quarter under review, soaring to LKR 203.1 million from just LKR 66.5 million in the corresponding period. Similarly, WHITE by JAT’s online sales too posted a remarkable revenue expansion of 187%. The Group’s ‘Brushes’ business also recorded revenue growth of 27% to LKR 56.25 million this quarter, up from LKR 44.3 million in the corresponding period.  

Notably too, the volume of sales accruing to the Group’s‘Paints’ business rose by a remarkable 49%.