United Motors group profits soar

The United Motors Lanka group achieved a profit after tax of Rs. 968m in the 1st quarter of 2012 in comparison to Rs. 411m achieved in the corresponding period last year, an increase of 135 percent.

Group turnover increased by 67.5 percent to 6.2 billion compared to Rs. 3.7 billion achieved in the 1st quarter of 2011-2012. Commenting on the Group’s performance, CEO and Executive Director, Chanaka Yatawara said that the performance was due to a combination of factors including, a diverse portfolio of vehicles including several brands of commercial vehicles which are not affected by the tax increase, income from the permit operation, healthy margin management by changing the marketing mix, low borrowings due to improved reserve situation and tight cost management.

The UML group net asset per share as at June 30, 2012 rose to Rs. 95.21.