Chemanex group revenue up 18%, pre-tax profit grows 32% in 2006/07

The Chemanex group revenue increased by 18% during the year 2006/07 while profit before tax increased by 32%. Return on capital employed increased by 15% during the year. Net assets per share too increased to Rs. 161.16, a 16% increase compared to the figure recorded at the beginning of the year.

Commercial Insurance Brokers(Pvt) Limited, Commercial Leasing Company Limited and Crop Management Services (Pvt) Limited which are associated companies of Chemanex Limited have generated substantial dividends on our other investments.

All these companies have performed better than expected during a turbulent and challenging year, said the chairman of the company B.R.L. Fernando.Group turnover at Rs. 1.2 billion showed an increase of Rs. 188 million compared to the previous year. The company paid an interim dividend of Rs. 2 per share in March.

It was tax free and was paid out of dividends received.

In addition the directors have recommended a final dividend of a further Rs. 2 per share which would be paid out of dividends received, he said.

Chemanex Adhesives (Pvt) Limited and CAL Exports Lanka (Pvt) Limited, the flagship export companies of Chemanex Ltd together have recorded a profit before tax of Rs. 28 million which is a substantial improvement following a Rs. 15 million loss in the previous financial year.