Richard Pieris gross profit, turnover up 23%

Richard Pieris and Company in its financial performance April - December 2006 recorded a gross profit and turnover increase of 23%. The gross turnover for the period was Rs. 11.7 billion compared to last year - Rs. 9.5 billion. Gross profit for the first three quarters of 2006/07 was Rs. 2.3 billion, a 23% positive variance.

Plantations, Retail, Plastic and Distribution sectors have continued to perform strongly, posting healthy profits during the third quarter.

A continuing strong performance from the Group's Retail sector has contributed positively towards the financial results during the period with a gross turnover growth of 27% and an operating profit growth of 32%. As a result of the expansion strategy, during April-December 2006 the retail sector has opened showrooms at Ratnapura, Nugegoda, Kaduwela and Matugama.

The opening of Arpico superstore in Kiribathgoda and Punchi Borella is planned for the next quarter.

A foremost contributing factor to the company's impressive performance during the period is the contribution of the plantations sector; overall the sector has recorded a gross turnover growth of 28% with a significant operating profit growth of 136% over the corresponding period last year.

Namunukula Plantations have turned around considerably due to management efforts towards operational efficiencies after the take over.