Lanka Ashok Leyland, unit of India’s Ashok Leyland saw its net profit surging to Rs.275.3 million during the quarter ended December 31, 2014 (3Q15) against a net loss of Rs.3.65 million, amid increased revenue from higher vehicle sales.The earnings per share for the quarter improved to Rs.76.04 from a loss per share of Rs.1.01.
The total revenue of the company during the quarter under review stood at Rs.2.5 billion, up from Rs.1.66 billion in the same quarter of the previous year (3Q14).Revenue from vehicle sales increased to Rs.2.39 billion from Rs.1.6 billion. Revenue from vehicle spare parts sales however fell to Rs.18.9 million from Rs.28.3 million.
The company also earned a local agency commission of Rs.61.4 million, which was non-existent in the corresponding quarter of the previous year.
Meanwhile, for the 9 months ended December 31, 2014, the company’s net profit spiked to Rs.357.3 million, up from just Rs.79 million reported in the corresponding period of the previous year.
The net finance cost during the period fell 86 percent year-onyear to Rs.37.4 million. In 3Q15, the company made a net finance income of Rs.16.3 million against a finance cost of 54.7 million.As at December 31, 2014, the company’s short term borrowings stood at Rs.1.64 billion, down from RS.1.92 billion in December 31, 2013. The accumulated profit was Rs.1.82 billion, up from Rs.1.56 billion.