Commercial SOE profits up 786% in 2020
The 52 State-owned enterprises (SOE) in commercial business have managed to make an overall profit of Rs 33.88 billion during 2020, up 786 per cent compared to a profit of Rs 3.82 billion in 2019. Out of the 52 SOEs engaged in commercial business 17 companies made losses in 2020, while 35 managed to make profits despite the COVID-19 pandemic effecting business.
As individual entities the largest loss makers during 2020 were Ceylon Electricity Board (Rs 62.56 billion), SriLankan Airlines (Rs 58.07 billion) and Airport & Aviation Services Lanka (Rs 3.75 billion). The three largest profit makers for 2020 were Employees Trust Fund (Rs 32.5 billion), Sri Lanka Insurance Corporation (Rs 23.66 billion) and Bank of Ceylon (Rs 23.55 billion).
According to the financial report released by the Ministry of Finance, the two SOEs engaged in energy businesses, Ceylon Electricity Board and Lanka Electricity Company, made a loss of Rs 60.19 billion in 2020, down 38 per cent from Rs 97.25 billion recorded a year earlier. The National Water Supply and Drainage Board converted its loss of 1.18 billion in 2019 to a profit of Rs 0.66 billion during 2020. The Sri Lanka Port Authority saw its profits increased by 25 per cent to Rs 20.33 billion in 2020, from Rs 16.16 billion a year earlier. The Commuter Transportation Business saw its losses expand by 226 per cent to Rs 2.38 billion in 2020, from Rs 1.56 billion a year ago.
The two businesses in aviation – SriLankan Airlines, and Airports and Aviation Services – made a loss of Rs 61.81 billion, up 93 per cent from Rs 31.98 billion recorded a year earlier. The three businesses in Construction saw its losses contract 33.7 per cent to Rs 0.98 billion in 2020 from Rs 1.48 billion a year earlier.
The seven businesses in Banking and Finance, Bank of Ceylon, Peoples’ Bank, etc., saw profits increase by 4.4 per cent to Rs 96.08 billion in 2020, from Rs 92.04 billion a year earlier. The four insurance-related businesses saw profits increase by 44 per cent to Rs 34.2 billion in 2020, from Rs 23.75 billion a year earlier. The two involved in lotteries, National Lotteries Board and Development Lotteries Board, saw profits increase by 5 per cent to Rs 4.43 billion in 2020, from Rs 4.22 billion a year ago. The two companies in livestock business made a profit of 0.42 billion in 2020 compared to a loss of Rs 0.98 billion a year earlier. The six entities in the plantation business saw a loss 0.91 billion recorded during 2019 convert into a profit of Rs 0.06 billion in 2020.
The three engaged in non-renewable resources saw profits decline by 93 per cent to Rs 0.14 billion in 2020, from Rs 2.02 billion a year ago. The four in health business saw profits increase by 45 per cent to Rs 3.89 billion in 2020, from Rs 2.68 billion a year earlier. The three institutions in media saw losses decline by 59 per cent to Rs 0.48 billion in 2020, from Rs 1.17 billion a year earlier. The 11 entities in Marketing and Distribution saw losses decline by 88 per cent to Rs 0.48 billion in 2020, from Rs 4.05 billion a year earlier.