Aitken Spence logs firmer 2Q performance

Aitken Spence PLC reported stronger second-quarter results for FY2025/26, with net revenue rising 5.5 percent to Rs. 20.95 billion from Rs. 19.85 billion a year earlier.

Operating income swung to a profit of Rs. 21.2 million compared with a loss of Rs. 808.03 million last year. Profit before tax increased 9.8 percent to Rs. 641.6 million, while profit attributable to shareholders rose 54 percent to Rs. 397.114 million from Rs. 258.142 million.

For the six months ending 30 September 2025, the Group recorded revenue of Rs. 40.7 billion, reflecting operational resilience across its diversified businesses.

Tourism remained the largest contributor to the top line, generating 64.3 percent of Group revenue, followed by Maritime & Freight Logistics at 19.4 percent and Strategic Investments at 13.9 percent.

Maritime & Freight Logistics was the biggest contributor to Group profit during the first half, posting Rs. 2.2 billion in profit from operations - including the share of profits from equity-accounted investees. The sector recorded a marginal dip in operational profits due to lower contributions from equity-accounted investees in the South Asian region. The Tourism sector delivered Rs. 686.1 million in profit from operations, an 86.5 percent increase from the previous year. Strong occupancy levels across Sri Lankan resorts and higher room rates drove the improvement. Hotels in international markets, including the Maldives, posted steady results, though intensifying competition weighed on occupancy growth.

Strategic Investments reported Rs. 352.6 million in profit from operations, supported by a two-fold increase in profits from the printing segment, which reflected strong operational performance and market resilience. 

The garments segment continued to face challenges due to global economic pressures. Despite these headwinds, the sector, which also includes renewable energy and plantations, remains a vital part of the Group’s portfolio and supports its long-term strategic objectives and future growth initiatives.

The Services sector posted Rs. 577 million in profit from operations, driven primarily by the recently commenced BPO operations in Port City Colombo.

Group profit before tax for the first half rose 42 percent to Rs. 1.6 billion, compared with Rs. 1.2 billion in the corresponding period last year.