Aitken profits after tax up by 76.5% to Rs. 969m

Leading diversified conglomerate Aitken Spence released its financial results for the six months ended September 30, reflecting an increase in profits after tax of 76.5% to Rs. 969 million over the same period last year.

Aitken Spence, a leader in Tourism and Cargo Logistics in the country and a major player in other strategic sectors, posted a revenue of Rs. 9.4 billion, for the first half of 2006/07. This is an increase of 61% from last year. In addition, the bluechip's earnings per share also saw a significant increase of 59%.

A healthy growth was witnessed from the Power Generation sector, fuelled by the enhanced stake in Ace Power Embilipitiya, which commenced operations in 2005. Management efforts towards operational efficiencies after take over of the operations and maintenance of the other two plants from the O & M contractors have also contributed to the good results.

A continuing strong performance from the Group's leisure properties in the Maldives has contributed positively towards the financial results. The Group, the first Sri Lankan hotel operator to enter the Maldives recently acquired another resort in the islands which is expected to commence operations shortly.

Aitken Spence Deputy Chairman and Managing Director J M S Brito commenting on the results said: "I am very pleased to announce that our performance has continued to be solid despite the unfavourable conditions for tourism in the country. Our financial strength was reaffirmed by the AA(lka) rating by Fitch Ratings, for our recent debenture issue. Our ability to easily raise funds in the market is a further testimony of the Company's favourable status among investors."