E.B. Creasy Group posts resilient first half results with Rs.1.3bn Profit Before Tax

Despite numerous macroeconomic challenges, the E. B. Creasy Group, once again, was resilient and posted a record performance in the first half of the current financial year, driven by outstanding results in its core segments of homecare, personal and healthcare, and in industrial sales to the foods sector. 

The group profitability, however,came under considerable pressure due to the high cost of working capital financing, and increased revenue-based taxes, as the Group did not pass on rising indirect taxes to consumers.
Cumulative group revenue and PBT (profit-before tax) stood at Rs.11.37 billion and Rs.1.3 billion, respectively, both reporting an increase of 48 percent and 203 percent, respectively, over same period in the year prior. 
The performances were positively impacted by new businesses, particularly in the industrial sector, whilst exchange losses and high finance costs negatively impacted profitability. 

Commenting on the group’s first half performances a company spokesperson said, “We are encouraged by the progress we have made in the first half of the financial year, with numerous strategies put into execution to achieve working capital efficiencies in our core business segments, while harnessing extra returns from investments in new business opportunities.”

In keeping with its commitment to stakeholders, the Group paid an interim dividend of Rs. 1.00 per share at the end of September 2022, distributing Rs.253.5 million to shareholders. The groupalso paid out a total dividend of Rs.380.3 million in the previous financial year, in line with the group’s dividend policy. 

Discussing future expectations, the company spokesperson added, “While we observe a contraction in consumer spending due to tighter fiscal and monetary policies, we also observe that the policy framework being adopted is guiding the economy towards a stable new norm, which we will have to operate in.In these difficult times, we remain confident that thegroup will return acceptable results in the current year, and we look forward to continuing to deliver exceptional value to all stakeholders.”