Aitken Spence concludes FY26 on strong note recording 18% PBT growth to Rs.12.8bn

Chairperson Stasshani Jayawardena

Aitken Spence PLC, a leading conglomerate with a diverse regional presence, recorded a strong profit before tax (PBT) of Rs.12.8 billion for the year ended March 31, 2026. 

The strength of the group’s diversified portfolio was clearly demonstrated during the financial year, with the overseas operations contributing 61 percent of total profits. This growing international presence continues to enhance the earnings resilience, reduce concentration risk and unlock multiple avenues for growth across markets and sectors. 

The group’s share of profits from the equity-accounted investees increased significantly, by 46 percent, to Rs.2.3 billion, driven by stronger contributions from the Port City BPO venture as well as improved performance in the group’s plantation and bunkering operations. 

Profit after tax (PAT) rose to Rs.9.1 billion, representing a 27 percent increase over the corresponding period last year, with Rs.6.8 billion attributable to the equity holders of the company. 

The group’s tourism sector demonstrated a substantial improvement, recording a PBT of Rs.7.9 billion for the year ended March 31, 2026. It is noteworthy that the group’s tourism sector emerged as the key contributor, accounting for 61 percent of the group’s total contribution. 

The improvement in the tourism sector’s performance was supported by stronger tourist arrivals across destinations, higher occupancy levels and improved room rates during the year. The sector also benefited from the lower interest costs, which contributed to the growth in profitability. 

The destination management segment also delivered a strong performance, navigating a challenging local industry environment during the financial year, while benefiting from the continued recovery in global travel and increased inbound tourism.

The group’s maritime and freight logistics sector achieved a PBT of Rs.4.7 billion for the year ended March 31, 2026, driven primarily by the maritime and port segment. The sector operated in a challenging global environment, with the escalating pressures towards the latter part of the year impacting the overall performance. Despite these headwinds, the port operations demonstrated a healthy growth in both revenue and earnings, supported by increased operational activity. 

The integrated logistics segment recorded stable revenue levels and the newly commissioned warehouse complex demonstrated encouraging progress in its initial phase of operations. However, these gains were partially offset by softer performances in the transport and distribution segments.

The services sector delivered a marked improvement in profitability during the year, with the PBT rising sharply to Rs.1.2 billion, supported by the continued scaling and maturity of the portfolio. 

The group’s BPO services segment recorded a strong growth, driven by the expanded operations and a growing client base, while the group’s elevator agency improved volumes and the property management segment delivered a steady performance. However, this was moderated by weaker outcomes in the group’s insurance and money transfer segments.

The strategic investments sector reflected a mixed performance during the year. The group’s printing and packaging business delivered an exceptional performance, driven by growth in volumes and pricing. 

The power generation segment also contributed positively, despite a moderation in profits, due to the daytime curtailments on solar operations, minor disruptions to certain hydro plants caused by Cyclone Ditwah and a high base in the previous year, due to a one-off provision write-back. 

The group’s plantations segment delivered a commendable performance amidst an extremely challenging operating environment marked by the rising cost pressures and structural constraints in the industry. 

Overall, however, the strategic investment sector’s performance was weighed down by the losses in the apparel manufacturing segment.