Healthy top line gains boost Nestlé Lanka 3Q

Supported by healthy gains at the top line amid pent up consumer demand, Nestlé Lanka PLC, the local unit of Swiss food giant, reported improved earnings for the September quarter (3Q20), the interim financial accounts released to the Colombo Stock Exchange showed.

The company saw its revenue growing 10 percent year-on-year (YoY) during the quarter under review to Rs.10.5 billion. Although the operating costs for the period rose 13 Percent YoY, the company reported a gross profit of Rs.3.5 billion, up 4.5 percent YoY.

The company said it has proactively taken measures to reduce and defer all non-essential expenses under these turbulenttimes including temporarily deferring some capital expenditure while persevering cash flows.

The operating profit of the company for the period under review was Rs.1.48 billion, up 10.6 percent YoY.
Nestlé Lanka recorded earnings of Rs.18.93 per share or little over Rs.1 billion for the quarter under review compared to earnings of Rs.16.76 per share or Rs.910.3 million a year ago.

Meanwhile, for the nine months ended on September 30, 2020, the company reported earnings of Rs.42 a share or Rs.2.25 billion compared to earnings of Rs.34.42 a share of Rs.1.85 billion in the same period, 
last year on a revenue of Rs.27.9 billion, up 3.9 percent YoY. 

Nestlé S.A. owns little over 91 percent of the issued shares of Nestlé  Lanka PLC. 

last year on a revenue of Rs.27.9 billion, up 3.9 percent YoY. 

Nestlé S.A. owns little over 91 percent of the issued shares of Nestlé  Lanka PLC.