Aitken Spence post-tax profits up 127% to Rs. 491m

Aitken Spence profit after tax increased 127% to Rs. 491 million in the three months ended June 30 compared to the corresponding period last year.

The diversified group which leads in its principal sectors posted a revenue of Rs. 4.3 billion, an increase of 61% from last year. The bluechip's earnings per share increased by 111% to Rs. 12.42.

Last year the tourism sector of the group accounted a loss primarily due to the effects of the tsunami and the closure of two of its flagship hotels. However, the key sector has picked up remarkably well, mainly driven by the growth in the Maldives sector, and recorded a significant turnaround in profitability in the period under review. The strong showing is despite the rise in tourist arrivals being modest due to the football World Cup and the prevailing country situation in Sri Lanka.

Aitken Spence Deputy Chairman and Managing Director J. M. S. Brito commenting on the macroeconomic situation said: "We are very concerned about the situation at present.

We sincerely hope that all parties will consider the welfare of the people who are again forced to face the devastating results of the conflict and strive towards the maintenance of the ceasefire and a sustainable peace." "The preservation of the ceasefire and a credible expectation for a lasting settlement for the national issue are vital to the long-term health of the Sri Lankan economy."

The company launched its new hotels brand heritance which has been reserved for a collection of unique properties. Heritance Ahungalla, the first hotel to be rebranded under the heritance brand, and the iconic Kandalama hotel has successfully started operations after a refurbishment exceeding $18 million.