TJL Chairman Bill Lam said the company achieved two key strategic milestones during the year; announcing the acquisitions of Ocean India (Private) Limited (OCI) and Quenby Lanka Prints (Private) Limited (QLP).

During 1Q FY2015/16, pursuant to the conclusion of all legal and regulatory formalities, TJL was able to consolidate QLP as a wholly owned subsidiary of TJL with effect from June 1 2015.

Accordingly for 1Q FY 2015/16 TJL recorded consolidated revenue of Rs. 2.8bn with a net profit of Rs. 206mn creating a platform for synergies and further growth in value added products.

For the period ended June 30, 2015, on a standalone basis TJL recorded a net profit of Rs. 189m up 15% year on year.

This result was achieved on the back of a topline of Rs. 2.7b representing a 2% year on year increase, while the gross profit came in at Rs.297mn, up 36% compared to the same period last year. The increase in gross profit could be directly attributable to the improved margins achieved during the quarter under review.

Standalone TJL gross profit margin for 1Q FY2015/16 was at 11% compared to 8% during the same period last year. According to Lam, this reflects the impact of the previously expanded manufacturing capacity now translating to bottom line margins.

With QLP results being consolidated with effect from June 1,2015, the consolidated gross profit for TJL for the quarter ended 30th June 2015, came in at Rs. 323m.

Lam said the strong performance at gross profit level allowed TJL to post an operating profit of Rs.171mn for 1Q FY 2015/16, recording 39% year on year growth on a standalone basis.

(Dailynews.lk)