Cargills Group reports 46.3% PAT in 1Q

Cargills Group revenue rose 11.2 percent to Rs. 66.7 billion, driven by strong top-line growth across its core segments: Retail, FMCG, and Restaurants. This performance was supported by seasonal demand, sustained operational efficiencies, and lower finance costs, despite rising overhead expenses.

The strong results were broad-based across the Group’s operations. The Retail segment, comprising Cargills Food City, added three new outlets during the quarter, bringing the total store count to 546, while its sales grew by 9.7 percent.

The FMCG segment recorded double-digit volume growth across its dairy, ice cream, convenience food, and beverage categories, driving a 17.3 percent increase in revenue. Similarly, the Restaurants segment, led by KFC, delivered 13.5 percent turnover growth, supported by strong customer retention following selective price adjustments and new product introductions.

In a commentary accompanying the financial results, Cargills noted its continued significant contribution to Sri Lanka’s economy and society. Each month, the Group channels nearly Rs. 2 billion in direct income to rural farmers through its purchases of fruits, vegetables, and fresh milk.

 As one of the country’s leading taxpayers, Cargills contributes over Rs. 3.5 billion monthly to the Government Treasury through sales and income taxes. The company is also advancing its sustainability initiatives through a growing solar power program, which now covers over 100 retail locations and most of its food processing facilities.

With macroeconomic stability gradually improving and consumer confidence returning, Cargills stated it remains cautiously optimistic about the outlook. The Group is expected to invest selectively in growth and innovation while remaining focused on its mission of creating shared value—empowering farmers, uplifting communities, and delivering affordable essentials to consumers across the country.