Lanka Ventures : Financial statements as at 31st December 2021

FINANCIAL STATEMENTS

For the Period Ended 31 DECEMBER 2021

LANKA VENTURES PLC

Ocean Lines Building

46/12, Nawam Mawatha

Colombo 02.

Tel: [phone] Fax: [phone]

LANKA VENTURES PLC
CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
(Unaudited)
(All amounts in Sri Lanka Rupees thousands)			Interim period of 03 Months						Accumulated 09 Months
	Group		Company			Group			Company
	Period ended 31 December		Period ended 31 December		Period ended 31 December		Period ended 31 December
	2021	2020	2021			2020	2021			2020	2021			2020
Revenue
Investment income	263	151	1,225			955	689			386	3,585			3,045
Interest income	3,040	3,496	1,362			883	10,892			12,553	2,651			4,673
Subsidiary company income	143,768	105,280	-			-	394,481			286,780	-			-
Other income	269		219		194			296		8,952			589		736			617
	147,339	109,147	2,780			2,134	415,014			300,308	6,971			8,334
Operating expenses
Administrative expenses	(11,843)	(8,967)	(8,510)			(6,118)	(32,456)			(30,738)	(22,854)			(21,652)
Sales and establishment expenses	(429)	(59)	(447)			(222)	(1,472)			(1,162)	(1,260)			(1,122)
Other operating expenses	(2,886)	(3,315)	(951)			(840)	(10,674)			(9,754)	(3,482)			(3,076)
Direct expenses - other subsidiaries	(41,434)		(35,473)		-			-		(113,079)			(94,883)		-			-
Results from operating activities	90,747		61,332		(7,127)			(5,046)		257,333			163,771		(20,624)			(17,515)
Share of profit of equity accounted investees	58,432	144,844	26,550			57,402	573,151			673,472	262,022			310,190
Finance cost	(69,387)		(64,630)		(942)			(1,020)		(197,533)			(215,882)		(2,716)			(3,685)
Profit/(loss) before income tax	79,792		141,546		18,480			51,336		632,951			621,360		238,681			288,989
Tax expense	(12,437)		(24,832)		-			-		(124,316)			(37,972)		-			-
Profit/(loss) for the period	67,354	116,714	18,480			51,336	508,635			583,389	238,681			288,989
Profit/(loss) attributable to:
Equity holders of the company	18,480	51,336	18,480			51,336	238,681			288,989	238,681			288,989
Non-controlling interest	48,874		65,378		-			-		269,954			294,400		-			-
Profit/(loss) for the period	67,354	116,714	18,480			51,336	508,635			583,389	238,681			288,989
Other comprehensive income, net of income tax
Items that are or may be re-classified subsequently to profit or loss
Foreign operations - foreign currency translation difference	(513)	44,619	(293)			25,432	(15,646)			(27,759)	(8,918)			(15,822)
Total other comprehensive income that are or may be re-classified
to profit or loss in subsequent period	(513)	44,619	(293)			25,432	(15,646)			(27,759)	(8,918)			(15,822)
Items that will not be re-classified subsequently to profit or loss
Defined benefit plan actuarial gains/(losses) net of tax	(33)	(32)	(33)			(32)	(33)			(32)	(33)			(32)
Total other comprehensive income that not will be re-classified to
profit or loss in subsequent period	(33)		(32)		(33)			(32)		(33)			(32)		(33)			(32)
Total other comprehensive income for the period, net of income tax
(546)		44,588		(326)			25,400		(15,679)			(27,791)		(8,951)			(15,854)
Total comprehensive income for the period	66,808	161,302	18,155			76,736	492,956			555,598	229,731			273,135
Total comprehensive income attributable to:
Equity holders of the company	18,155	76,736	18,155			76,736	229,731			273,135	229,731			273,135
Non-controlling interest	48,653		84,566		-			-		263,225			282,463		-			-
Total comprehensive income for the period	66,808		161,302		18,155			76,736		492,956			555,598		229,731			273,135
Basic earnings per share (Rs.)	0.37	1.03	0.37			1.03	4.77			5.78	4.77			5.78

LANKA VENTURES PLC
CONSOLIDATED STATEMENT OF FINANCIAL POSITION (Unaudited)
(All amounts in Sri Lanka Rupees thousands)
	Group		Company		Group		Company
	As at 31		As at 31		As at 31		As at 31
	December 2021		December 2021		March 2021		March 2021
					Audited		Audited
Assets
Non current assets
Property, plant and equipment	1,663,243	675	1,143,824	648
Right-of-use assets	19,498	16,460	22,652	19,474
Investment in equity accounted investees	6,449,443	3,042,743	6,549,273	2,905,797
Intangible assets	75,737	-	70,787	-
Financial assets measured at fair value through OCI	7,500		7,500		7,500		7,500
Total non current assets	8,215,421	3,067,378	7,794,036	2,933,419
Current assets
Loans and receivables	253,270	4,945	141,371	6,109
Amounts due from related parties	453	1,100	580	4,193
Trade and other receivables	451,810	8,512	73,200	-
Income tax receivables	7,276	1,515	8,327	1,514
Cash and cash equivalents	209,164		85,734		468,311		77,182
Total current assets	921,974		101,806		691,789		88,998
Total assets	9,137,395	3,169,185	8,485,825	3,022,417
Equity
Stated capital	631,638	631,638	631,638	631,638
Revaluation reserve	6,416	6,416	6,416	6,416
Translation reserve	410,155	410,156	419,073	419,074
Retained earnings	2,052,996		2,061,537		1,889,347		1,897,888
Total equity attributable to equity holders of the Company	3,101,205	3,109,747	2,946,474	2,955,016
Non controlling interest	2,522,711		-		2,385,879		-
Total equity	5,623,916	3,109,747	5,332,353	2,955,016
Liabilities
Non current liabilities
Defined benefit obligation	4,692	4,692	4,005	4,005
Deferred tax liability	40,531	-	42,413	-
Cumulative redeemable preference shares	-	-	75,000	-
Interest bearing borrowings	2,937,104	11,250	1,747,798	18,000
Lease liability	12,054		12,054		15,067		15,067
Total non current liabilities	2,994,381	27,996	1,884,283	37,072
Current liabilities
Cumulative redeemable preference shares	-	-	20,000	-
Interest bearing borrowings	442,184	9,000	1,192,921	11,550
Lease liability	4,018	4,018	4,018	4,018
Other payables	49,569	18,425	32,592	14,761
Income tax payables	23,328		-		19,658		-
Total current liabilities	519,099		31,443		1,269,189		30,329
Total liabilities	3,513,480		59,438		3,153,472		67,401
Total equity and liabilities	9,137,395		3,169,185		8,485,825		3,022,417
Net assets per share (Rs.)	62.02	62.19	58.93	59.10

I certify that the financial statements comply with the requirements of the Companies Act No. 07 of 2007.

Sgd.

D L Wijesekara

Finance Manager

The Board of Directors is responsible for the preparation and presentation of these financial statements.

Signed for and on behalf of the Board.

Sgd.	Sgd.
M R Abeywardena	A R Munasinghe
Director	Director
09 February 2022

LANKA VENTURES PLC

STATEMENT OF CHANGES IN EQUITY (Unaudited) (All amounts in Sri Lanka Rupees thousands)

Group
	Stated		Revaluation		Translation		Retained		Non
	capital		reserve		reserve		earnings		controlling		Total
Balance as at 01 April 2020	631,638	6,422	274,819	1,645,668	2,058,104	4,616,652
Profit/(loss) for the period	-	-	-	288,989	294,400	583,389
Foreign operations - foreign currency translation difference	-	-	(15,822)	-	(11,937)	(27,759)
Defined benefit plan actuarial gains /(losses)	-		-		-		(32)		-		(32)
Total comprehensive income for the period	-	-	(15,822)	288,957	282,463	555,598
Transactions with equity holders recognized
directly in equity
Dividend paid	-		-		-		(75,000)		(106,594)		(181,594)
	-		-		-		(75,000)		(106,594)		(181,594)
Balance as at 31 December 2020
631,638	6,422	258,998	1,859,626	2,233,974		4,990,658
Balance as at 01 April 2021	631,638	6,416	419,073	1,889,347	2,385,879	5,332,353
Profit/(loss) for the period	-	-	-	238,681	269,954	508,635
Foreign operations - foreign currency translation difference	-	-	(8,918)	-	(6,728)	(15,646)
Defined benefit plan actuarial gains /(losses)							(33)				(33)
Total comprehensive income for the period	-	-	(8,918)	238,649	263,225	492,956
Transactions with equity holders recognized
directly in equity
Dividend paid	-		-		-		(75,000)		(126,394)		(201,394)
	-		-		-		(75,000)		(126,394)		(201,394)
Balance as at 31 December 2021
631,638	6,416	410,155	2,052,996	2,522,711	5,623,916
Company
	Stated		Revaluation		Translation		Retained
	Capital		reserve		reserve		earnings		Total
Balance as at 01 April 2020	631,638	6,422	274,820	1,654,209	2,567,090
Profit/(loss) for the period	-	-	-	288,989	288,989
Foreign operations - foreign currency translation difference	-	-	(15,822)	-	(15,822)
Defined benefit plan actuarial gains / (losses) net of tax	-		-		-		(32)		(32)
Total comprehensive income for the period	-	-	(15,822)	288,957	273,135
Transactions with equity holders recognized
directly in equity
Dividend paid	-		-		-		(75,000)		(75,000)
	-		-		-		(75,000)		(75,000)
Balance as at 31 December 2020
631,638	6,422	258,998	1,868,166	2,765,224
Balance as at 01 April 2021	631,638	6,416	419,074	1,897,888	2,955,016
Profit/(loss) for the period	-	-	-	238,681	238,681
Foreign operations - foreign currency translation difference	-	-	(8,918)	-	(8,918)
Defined benefit plan actuarial gains / (losses) net of tax							(33)		(33)
Total comprehensive income for the period	-	-	(8,918)	238,649	229,731
Transactions with equity holders recognized
directly in equity
Dividend paid	-		-		-		(75,000)		(75,000)
	-		-		-		(75,000)		(75,000)
Balance as at 31 December 2021
631,638		6,416		410,156		2,061,537		3,109,747

LANKA VENTURES PLC

CONSOLIDATED STATEMENT OF CASHFLOWS (Unaudited) (All amounts in Sri Lanka Rupees thousands)

	Group			Company
For the period ended 31 December	2021			2020	2021	2020
Cash flows from operating activities
Profit/(loss) before income tax	632,951			621,360	238,681	288,989
Adjustments for:
Amortization of staff cost	195			195	195	195
Depreciation	37,446			33,224	112	184
Amortization of ROUA	3,013			3,013	3,013	3,013
Amortization of intangible assets	1,056			796	-	-
Share of earnings	(573,151)			(673,472)	(262,022)	(310,190)
Interest income on staff loan	(401)			(499)	(401)	(499)
Provision for defined benefit obligation	655			551	655	551
Interest income on investments	(10,892)			(12,553)	(2,651)	(4,673)
Dividend on preference shares	274			8,250	-	-
Interest expense on lease	1,245			857	1,245	857
Interest expense	193,512			204,561	1,374	2,786
	285,903			186,285	(19,798)	(18,785)
Changes in
Loans and receivables	(112,094)			(65,974)	969	408
Amounts due from related parties	127			42	3,093	424
Other receivables	98,772			64,974	(8,512)	(17)
Other payables	16,967			(264)		3,658	(4,021)
Cash generated from operating activities	289,675			185,063	(20,590)	(21,991)
Taxes paid	(35,449)			(16,974)	-	(43)
Interest paid	(151,697)			(148,017)		(2,619)	(3,643)
Net cash from operating activities	102,530			20,072	(23,209)	(25,678)
Cash flows from investing activities
Dividend received	-			179,669	116,160	116,160
Dividend received from equity accounted investees	76,053			-	-	-
Additions to intangible assets	(5,866)			(10,269)	-	-
Interest received	11,293			13,052	3,052	5,172
Investment in equity accounted investees	-			(49,725)	-	-
Additions to property, plant & equipment	(556,868)			(173,282)		(140)	(102)
Net cash from investing activities	(475,387)			(40,555)	119,071	121,230
Cash flows from financing activities
Dividend paid	(75,000)			(75,000)	(75,000)	(75,000)
Dividend paid to the minority shareholders	(126,394)			(106,594)	-	-
Lease rental paid	(3,010)			(3,444)	(3,010)	(3,444)
Preference dividend paid	(274)			(10,556)	-	-
Cash repayments of cumulative redeemable preference shares	(95,000)			(42,500)	-	-
Cash proceeds of interest bearing borrowings	1,499,303			384,449	-	-
Cash repayments of interest bearing borrowings	(1,085,915)			(83,723)		(9,300)	(6,750)
Net cash from financing activities	113,710			62,632	(87,310)	(85,194)
Net increase/(decrease) in cash and cash equivalents	(259,147)			42,149	8,552	10,358
Cash and cash equivalent as at 01 April	468,311			402,556		77,182	81,603
Cash and cash equivalent as at 31 December	209,164			444,705		85,734	91,961