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Earnings Review - Q4 FY 16

04 July 2016

65, Braybrooke Place, Colombo 2, Sri Lanka


research@bartleetreligare.com, +94 11 5220200

BRS Research

Asiri Hospital Holdings PLC (ASIR : LKR 27.10)

Head of Research - Nikita Tissera


Research Analyst - Ishanudeen Zohar

Profits double on enhanced margins and OPD volumes : BUY


ASIR Q4 FY 16 recurring net profit doubled YoY to LKR 340mn, driven by higher occupancies
across all four hospitals. EBIT margin improved to 18% from 14% previously following a
growth in top line and cost efficiencies. Asiri hospital continued to be the top contributor to
group bottom line with a contribution of 60%, of which lab segment in particular exhibited
margin expansion. With ASIR having the largest laboratory network, we expect the hospital
to continue to be the leader in margins. We forecast an EBIT of 25% in FY 2017E and FY
2018E. We have arrived at a dividend inclusive total return of LKR 30, suggesting an upside of
12%. We continue to recommend BUY.

Market cap (LKR mn)

30,827

Market cap (USD mn)

208

All figures in LKR' mn

52 week High/Low

Revenue

2013

2014

2015

2016

2017E

2018E

7,058

7,793

8,593

9,952

11,165

12,742

Trading Snapshot

Outstanding equity shares (mn)

1,138

Public Holding (%) - Mar '16

20.26%
30.00/19.90

Revenue growth (%)

15.2%

10.4%

10.3%

15.8%

12.2%

14.1%

YTD ASPI return (%)

-8.87%

EBIT recurring

1,863

1,966

1,784

2,264

2,811

3,154

YTD Stock return (%)

12.92%

EBIT margin (%)

26.4%

25.2%

20.8%

22.7%

25.2%

24.8%

Profit attributable to equity holders

756

1,055

908

1,507

1,669

1,964

BRS EPS (LKR)

0.75

0.96

0.80

1.33

1.47

1.73

BRS EPS growth (%)

68.1%

28.5%

-16.9%

66.0%

10.8%

17.7%

NAV per share (LKR)

6.36

4.23

5.29

5.26

6.03

6.90

P/E (x)

15.3

23.1

25.3

18.1

18.5

15.7

P/BV (x)

1.8

5.2

3.8

4.6

4.5

3.9

15.8%
45.7%
0.26

19.0%
59.5%
0.50

17.0%
53.8%
0.55

25.1%
53.1%
2.39

26.0%
50.5%
0.70

26.7%
47.8%
0.85

ROE %
Gearing (%)
DPS (LKR)

Source: Company data and BRS Equity Research

Occupancies to increase with rising NCDs


We expect average bed occupancy to increase to 68% in FY 2017E on the back of growing aging
population and increasing prevalence of Non Communicable Diseases (NCD) in the country. The
Central which accounts for 44% of ASIR room inventory continued to be the highest contributor
to top line with a contribution of 37%. AMSL, which previously stood as an impediment to
group level margins, managed to report a noteworthy growth in the bottom line, primarily
supported by cost efficiencies. However, we do not expect the growth to be sustainable given
their specialization and increasing competition in the segment. On the other hand, we remain
positive on ASIRs outpatient segment given its strong presence in underpenetrated regions
and thus forecast to grow at 10% YoY in FY 2017E.

Beta

0.63

Valuation Summary
CMP (LKR)

27.10

Intrinsic value (LKR)

29.74

DPS (LKR)

0.70

Target price based on total return

30.44

Valuation method

DCF method

Total Return %

12.3%

Rating

Buy

ASIR Price Vs ASPI Movement


ASPI

ASPI

8,000

LKR

ASIR

32
30

7,500

28
7,000

26

6,500

24
22

6,000

20
5,500

Finance cost to increase with refurbishments and expansions


Although we see ASIRIs wide expansion in diagnostic business as an imperative move, financing the expansions through debt would heighten the already high finance cost. In Q4 FY 16 ASIR
incurred a finance cost of LKR 156mn, 26% higher YoY. We forecast the finance cost to increase
to LKR 674mn in FY 2017E amid an increasing interest rate environment and a gearing of 51%.
GP margin to improve to 46% in FY 2017E
GP margin improved to 45.4% in Q4 FY 16 from 41.6% previously, assisted by a top line growth
of 20.8% YoY. We forecast GP margin to increase to 46.4% in FY 2017E after considering a moderate increase in CoGS of 10.3% YoY. Recurring EBIT margin was up from 13.5% to 18% in Q4 FY
16 and we forecast EBIT to grow by 24.2% in FY 2017E owing to a margin expansion in diagnostic business.

18

5,000
Apr-15

16
Jun-15

Aug-15

Oct-15

Dec-15

Feb-16

Apr-16

Jun-16

EPS
LKR
1.60
1.35
1.10
0.85
0.60
0.35
0.10

Valuation: Upside continues with margin enhancement


Our DCF based target price for the stock is LKR 30 and a dividend inclusive total return of LKR
30.45 gives us an upside of 12% on CMP. Since our last review, the share reached a 52 week
high of LKR 30, generating a return of 26%. We believe the share still has a potential to grow
further and continue to recommend BUY.

2013

2014

2015

2016

Page 1
For analyst certification and other important disclosures, please refer to the Disclosure and
Disclaimer section at the end of this report.

2017E

2018E

Company Information Note


65, Braybrooke Place, Colombo 2, Sri Lanka
research@bartleetreligare.com, +94 11 5220200

04 July 2016

Asiri Hospital Holdings PLC (ASIR)


Company profile
Asiri Hospital Holdings is the second largest private
player in the Healthcare industry in Sri Lanka with
the group holding the highest bed capacity in the
country. ASIR consists of five hospitals presently of
which three are situated in Colombo and two in
Matara. A 140 bed hospital in Kandy is also in the
groups medium term plan.
Revenue LKR mn % Growth (2013-18E)
14%

12,742

2018E

2018E

12%

3,154

2018E

2018E

12%
16%
10%
10%

7,058

2013

2014

2015

2016

2017E

EBIT LKR mn % Growth (2013-18E)


24%
27%

1,863

6%

-9%

2013

2014

2015

ROCE

2016

ROCE %

2017E

ROE

ROE %

29%

19%

24%

17%
15%

19%

13%

14%

11%

9%

9%

4%
2013

EBITDA margin
%

2014

2015

2016

2017E

2018E
EBIT margin %

EBITDA margin (%)

EBIT margin (%)


30%

37%
35%

28%

33%

26%

31%

24%

29%
22%

27%
25%

20%
2013

2014

2015

2016

2017E

2018E

Year Ending 31 March


2013
2014
2015
2016
2017E
2018E
Summary Information
BRS EPS (LKR)
0.75
0.96
0.80
1.33
1.47
1.73
BRS EPS growth (%)
68.1%
28.5%
-16.9%
66.0%
10.8%
17.7%
P/E (x)
15.3 x
23.1 x
25.3 x
18.1 x
18.5 x
15.7 x
Sector P/E (x)
35.5 x
16.0 x
18.7x
29.0 x
na
na
Reported EPS (LKR) as per annual report
0.75
0.96
1.25
1.33
na
na
P/E on reported EPS (x)
15.3 x
23.2 x
16.2 x
18.1 x
na
na
NAV per share (LKR)
6.36
4.23
5.29
5.26
6.03
6.90
P/BV (x)
1.8 x
5.2 x
3.8 x
4.6 x
4.5 x
3.9 x
Sector P/BV
2.2 x
2.7 x
2.5 x
2.6 x
na
na
DPS (LKR)
0.26
0.50
0.55
2.39*
0.70
0.85
Dividend yield (%)
2.2%
2.3%
2.7%
10.0%
2.6%
3.1%
FCFF (LKR mn)
1,295
1,744
4,107
191
2,133
2,354
FCFE (LKR mn)
1,295
4,364
5,501
(303)
3,143
3,341
CFPS (LKR)
(0.29)
0.17
2.74
(0.54)
1.13
1.20
P/CFPS (x)
nm
133.7 x
7.4 x
nm
24.0 x
22.7 x
Mkt price (LKR)
11.40
22.20
20.20
24.00
27.10
27.10
Weighted average shares (mn)
1,012
1,099
1,138
1,138
1,138
1,138
Average mkt cap (LKR mn)
11,533
24,400
22,978
27,301
30,827
30,827
Enterprise value (LKR mn)
18,893
33,518
31,294
35,873
38,774
38,155
EV/Sales (x)
2.7 x
4.3 x
3.6 x
3.6 x
3.5 x
3.0 x
EV/EBITDA (x)
7.6 x
12.8 x
12.8 x
12.1 x
10.9 x
9.7 x
Income Statement (LKR mn)
Revenue
7,058
7,793
8,593
9,952
11,165
12,742
EBITDA recurring
2,497
2,626
2,452
2,963
3,572
3,927
Depreciation and amortisation
(635)
(661)
(668)
(699)
(762)
(773)
EBIT recurring
1,863
1,966
1,784
2,264
2,811
3,154
Finance cost
(734)
(606)
(593)
(611)
(704)
(671)
Exceptionals/non-recurrings
(0.53)
(2.35)
508.83
2.78
Tax expense
(139)
(162)
(161)
(165)
(303)
(333)
Net income
967
1,225
1,074
1,638
1,964
2,311
Minorities & preference dividends
211
170
166
131
295
347
Profit attributable to equity holders
756
1,055
908
1,507
1,669
1,964
Statement of Financail Position (LKR mn)
Cash and cash equivalents
161
189
1,247
289
1,604
2,965
Inventories
315
341
381
444
598
751
Trade receivables
509
689
374
970
658
887
Fixed assets
12,537
12,547
14,554
13,355
13,493
13,700
Goodwill
565
549
549
549
549
549
Intangible assets
5
10
15
Investments
Associates
5
10
15
Total assets
15,005
15,240
18,215
16,745
18,163
20,146
Trade payables
585
552
373
1,143
897
1,092
Interest bearing debt -short term
2,053
2,233
1,347
1,725
2,071
2,171
Interest bearing debt -long term
4,321
6,077
7,033
6,159
6,212
6,512
Total liabilities
7,428
9,589
11,011
9,779
10,029
10,668
Shareholders equity
6,430
4,654
6,021
5,982
6,856
7,853
Minorities
1,148
997
1,183
984
1,278
1,625
Total equity
7,578
5,651
7,204
6,966
8,134
9,478
Net debt (cash)
6,213
8,121
7,133
7,594
6,679
5,718
Total capital employed
13,952
13,961
15,584
14,849
16,417
18,161
Cash flow (LKR mn)
Cash flow from operations
1,142
1,527
4,466
686
2,423
2,748
Net working capital
(234)
(184)
1,511
(1,093)
(210)
(221)
Capital expenditure
(489)
(317)
(874)
(1,050)
(900)
(980)
Free cash flow
653
1,210
3,592
(364)
1,523
1,768
Investing cash flows
(2,301)
(2,673)
(1,590)
(42)
(740)
(820)
Equity capital
5
10
15
Dividends paid
(548)
(601)
(541)
(224)
(796)
(967)
Net borrowings
(641)
2,085
878
(1,050)
400
400
Net cash flow
(291)
182
3,117
(616)
1,286
1,361
Key ratios
Revenue growth (%)
15.2%
10.4%
10.3%
15.8%
12.2%
14.1%
EBIT growth (%)
11.8%
5.5%
-9.2%
26.9%
24.2%
12.2%
EBITDA margin (%)
35.4%
33.7%
28.5%
29.8%
32.0%
30.8%
EBIT margin (%)
26.4%
25.2%
20.8%
22.7%
25.2%
24.8%
ROCE %
14.2%
14.1%
12.1%
14.9%
18.0%
18.2%
ROE %
15.8%
19.0%
17.0%
25.1%
26.0%
26.7%
Debt/equity (%)
84.1%
147.1%
116.3%
113.2%
101.8%
91.6%
Net debt/equity (%)
82.0%
143.7%
99.0%
109.0%
82.1%
60.3%
Gearing (%)
45.7%
59.5%
53.8%
53.1%
50.5%
47.8%
Interest cover (x)
2.5 x
3.2 x
3.0 x
3.7 x
4.0 x
4.7 x
Payout ratio (%)
34.1%
52.1%
68.9%
180.4%
47.7%
49.2%
*ASIR distributed an interim dividend of Rs 1.94 per share for the year ending 31st March 2016 in the form of shares in Asiri Central Hospitals
Limited. Shareholders who hold a fraction of shares were entitled for cash equivalent

Page 2
Source: ASIR Annual Reports and BRS Equity Research

BRS Equity Research

Q4 FY 16 Performance
Q4 FY 16

Q4 FY 15

Q3 FY 16

2,645

2,189

2,598

YoY growth (%)

20.8%

9.7%

18.7%

QoQ growth (%)

All figures in LKR 'mn


Revenue

1.8%

0.0%

8.4%

Recurring Net profit

340

168

659

BRS EPS as adjusted (LKR)

0.27

0.12

0.56

YoY growth (%)

129.1%

75.8%

123.1%

QoQ growth (%)

-52.2%

-53.4%

145.2%

5.26

5.29

5.07

ROCE %

14.9%

12.1%

13.6%

ROE %

25.1%

17.0%

23.3%

113.2%

116.3%

23.3%

53.1%

53.8%

50.5%

NAV per share (LKR)

Net debt/equity (%)


Gearing (%)
EV/Sales (x)
EV/EBITDA (x)

3.6

3.6

3.5

12.1

12.8

12.0

Valuation estimates
Based on a free cash flow valuation we have arrived at a target price of LKR 29.74. Our
valuations are based on the following estimates.

WACC 12.4%
Terminal Growth rate 3%
Risk-free rate 11.82% (Five year bond rate)
Beta 0.63 (Based on ASIR vs. ASPI movement)
Equity risk premium 5%

Sensitivity of Target Price to Risk Free Rate

Risk free rate - 5 year treasury bond rate

Terminal growth

www.bartleetreligare.com

29.74

10.06%

10.56%

11.06%

11.82%

13.06%

13.56%

14.06%

2%

30.92

29.86

28.86

27.42

25.30

24.51

23.76

3%

33.85

32.60

31.42

29.74

27.29

26.39

25.53

4%

37.55

36.04

34.61

32.61

29.72

28.66

27.66

Page 3

BRS Equity Research

Financial Analysis
Income Statement - Asiri Hospital Holdings PLC
Year Ending 31st March (LKR mn)

2013

2014

2015

2016

2017E

2018E

Total Revenue

7,058

7,793

8,593

9,952

11,165

12,742

YoY growth %

15.2%

10.4%

10.3%

15.8%

12.2%

14.1%
3,241

ASIR

2,121

2,329

2,441

2,730

2,992

YoY growth %

12.2%

9.8%

4.8%

11.8%

9.6%

8.3%

AMSL

2,244

2,395

2,654

2,922

3,146

3,438

YoY growth %
Other - The Central+Matara Medi House+Asiri
Matara+Diagnostic Services

13.7%

6.7%

10.8%

10.1%

7.6%

9.3%

2,693

3,069

3,499

4,300

5,028

6,062

YoY growth %

19.1%

14.0%

14.0%

22.9%

16.9%

20.6%

(635)

(661)

(668)

(699)

(762)

(773)

EBIT including non-recurring items

1,862

1,963

2,293

2,266

2,811

3,154

EBIT margin %

26.4%

25.2%

26.7%

22.8%

25.2%

24.8%

YoY growth %

11.8%

5.4%

16.8%

-1.2%

24.0%

12.2%

Total depreciation

ASIR

1,143

1,442

1,099

1,193

1,331

1,425

EBIT margin %

53.9%

61.9%

45.0%

43.7%

44.5%

44.0%

YoY growth %

59.1%

26.2%

-23.8%

8.5%

11.6%

7.1%

AMSL

1,797

433

401

467

531

579

EBIT margin %

80.1%

18.1%

15.1%

16.0%

16.9%

16.8%

215.6%

-75.9%

-7.3%

16.4%

13.6%

9.1%

(1,078)

88

793

606

949

1,150

YoY growth %
Other - The Central+Matara Medi House+Asiri
Matara+Diagnostic Services
Non-recurring items

(0.53)

(2.35)

508.83

2.78

EBIT excluding non-recurring items

1,863

1,966

1,784

2,264

2,811

3,154

YoY growth %

11.8%

5.5%

-9.2%

26.9%

24.2%

12.2%

EBIT margin %

26.4%

25.2%

20.8%

22.7%

25.2%

24.8%

EBITDA excluding non-recurring items

2,497

2,626

2,452

2,963

3,572

3,927

YoY growth %
EBITDA margin %

9.7%

5.2%

-6.6%

20.8%

20.6%

9.9%

35.4%

33.7%

28.5%

29.8%

32.0%

30.8%

Finance Income
Finance Cost

28

43

151

160

160

(734)

(606)

(593)

(611)

(704)

(671)

(130)

Exchange loss

(59)

(19)

Change in fair value of investment property

513

Recurring profit before tax

1,106

1,388

1,235

1,804

2,267

2,644

YoY growth %

50.3%

25.4%

-11.0%

46.1%

25.7%

16.6%

(139)

(162)

(161)

(165)

(303)

(333)

Income tax expense


Profit after taxation

967

1,225

1,074

1,638

1,964

2,311

YoY growth %

51.9%

26.7%

-12.4%

52.5%

19.9%

17.7%

NP Margin %

13.7%

15.7%

12.5%

16.5%

17.6%

18.1%

Profit attributable to Equity Holders

756

1,055

908

1,507

1,669

1,964

Minority Interest

211

170

166

131

295

347

Earnings per share - BRS adjusted (1)

0.75

0.96

0.80

1.33

1.47

1.73

Earnings per share - unadjusted (2)

0.75

0.96

1.25

1.33

Source: Company Financial Reports and BRS Equity Research


Note 1: EPS adjusted non recurring information
Note 2: Based on earnings as reported (unadjusted for non-recurring).

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Page 4

BRS Equity Research

Financial Analysis
Income Statement - Asiri Hospital Holdings PLC
2016

Q1 17E

Q2 17E

Q3 17E

Q4 17E

2017E

2018E

Total Revenue

9,952

2,571

2,687

2,916

2,991

11,165

12,742

YoY growth %

15.8%

11.1%

12.2%

12.2%

13.1%

12.2%

14.1%
3,241

Year Ending 31st March (LKR mn)

ASIR

2,730

691

727

777

797

2,992

YoY growth %

11.8%

7.2%

10.8%

13.1%

7.2%

9.6%

8.3%

AMSL

2,922

725

782

826

813

3,146

3,438

YoY growth %
Other - The Central+Matara Medi House+Asiri
Matara+Diagnostic Services

10.1%

6.4%

9.4%

6.1%

8.7%

7.6%

9.3%

4,300

1,155

1,179

1,313

1,381

5,028

6,062

YoY growth %

22.9%

16.9%

14.9%

15.9%

19.7%

16.9%

20.6%

(699)

(190)

(190)

(191)

(191)

(762)

(773)
3,154

Total depreciation
EBIT including non-recurring items

2,266

577

611

931

692

2,811

EBIT margin %

22.8%

22.5%

22.7%

31.9%

23.2%

25.2%

24.8%

YoY growth %

-1.2%

14.3%

31.1%

14.2%

44.1%

24.0%

12.2%

ASIR

1,193

241

257

541

292

1,331

1,425

EBIT margin %

43.7%

34.8%

35.4%

69.7%

36.7%

44.5%

44.0%

YoY growth %

8.5%

17.8%

22.7%

9.6%

2.5%

11.6%

7.1%

467

119

132

142

139

531

579

EBIT margin %

16.0%

16.4%

16.8%

17.1%

17.0%

16.9%

16.8%

YoY growth %
Other - The Central+Matara Medi House+Asiri
Matara+Diagnostic Services

16.4%

23.3%

22.3%

-3.8%

19.8%

13.6%

9.1%

606

218

222

248

262

949

1,150

AMSL

EBIT excluding non-recurring items

Non-recurring items

2,264

577

611

931

692

2,811

3,154

YoY growth %

26.9%

14.3%

30.9%

14.0%

45.4%

24.2%

12.2%

EBIT margin %

22.7%

22.5%

22.7%

31.9%

23.2%

25.2%

24.8%

EBITDA excluding non-recurring items

2,963

767

801

1,121

884

3,572

3,927

YoY growth %

20.8%

13.2%

25.3%

13.1%

34.9%

20.6%

9.9%

EBITDA margin %

29.8%

29.8%

29.8%

38.5%

29.5%

32.0%

30.8%

Finance Income

2.78

151

40

40

40

40

160

160

Finance Cost

(611)

(179)

(177)

(175)

(173)

(704)

(671)

Exchange loss

(130)

Change in fair value of investment property

Recurring profit before tax

1,804

439

474

795

559

2,267

2,644

YoY growth %

46.1%

13.0%

28.1%

9.2%

76.3%

25.7%

16.6%

(165)

(59)

(63)

(110)

(71)

(303)

(333)

Income tax expense


Profit after taxation

1,638

379

411

685

489

1,964

2,311

YoY growth %

52.5%

12.6%

36.0%

4.0%

43.7%

19.9%

17.7%

NP Margin %

16.5%

14.8%

15.3%

23.5%

16.3%

17.6%

18.1%

Profit attributable to Equity Holders

1,507

323

349

582

415

1,669

1,964

131

57

62

103

73

295

347

Earnings per share - BRS adjusted (1)

1.33

0.28

0.31

0.51

0.37

1.47

1.73

Earnings per share - unadjusted (2)

1.33

Minority Interest

Source: Company Financial Reports and BRS Equity Research


Note 1: EPS adjusted non recurring information
Note 2: Based on earnings as reported (unadjusted for non-recurring).

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Page 5

BRS Equity Research

Financial Analysis
Statement of Financial Position - Asiri Hospital Holdings PLC
Year Ending 31st March (LKR mn)

2013

2014

2015

2016

2017E

2018E

Non Current Assets


Property, plant and equipment

10,313

10,090

10,839

12,347

12,490

12,701

Leasehold properties

184

272

1,018

1,007

1,003

999

Intangible Assets

565

549

549

549

549

549

Deferred Tax Assets

102

213

Investment Property

2,040

2,185

2,698

Financial Assets for Sale

432

598

13,203

13,740

15,701

13,910

14,048

14,255

Inventories

315

341

381

444

598

751

Trade and other receivables

509

689

374

970

658

887

Investments in shortterm Marketable Securities

429

Short term investmnets

609

609

609

Amounts due from related parties

371

275

150

117

239

273

Financial assets held for trading

406

406

406

1,604

2,965

Current Assets

Taxes paid in advance


Cash and cash equivalents

17

161

189

1,247

289

1,802

1,500

2,513

2,835

4,115

5,891

15,005

15,240

18,215

16,745

18,163

20,146

Share Capital

3,902

3,902

3,902

4,748

4,748

4,748

Capital Reserves

1,620

(74)

(753)

(548)

(548)

(548)

130

296

(129)

(129)

(129)

Total assets
Equity and liabilities

Available for Sale Reserve


Retained earnings

907

696

2,575

1,911

2,784

3,782

6,430

4,654

6,021

5,982

6,856

7,853

Minority Interest

1,148

997

1,183

984

1,278

1,625

Total Equity

7,578

5,651

7,204

6,966

8,134

9,478

4,321

6,077

7,033

6,159

6,212

6,512

Non-Current Liabilities
Interest bearing borrowings
Non Interest bearing borrowings

42

38

34

63

63

63

Deferred Tax Liabilities

93

380

224

183

183

183

Retirement benefit obligations

223

247

345

353

409

435

4,680

6,743

7,636

6,757

6,867

7,193

585

552

373

1,143

897

1,092

78

23

54

98

138

156

Current Liabilities
Trade and other payables
Income tax liabilities
Dividend payable
Amounts due to related parties
Interest bearing loans and borrowings
Non interest bearing loans and borrowings

Total liabilities
Total equity and liabilities

28
-

34
-

43

46

1,553

46

46

2,053

2,233

1,347

1,725

2,071

10

10

2,171
10

2,748

2,846

3,375

3,021

3,162

3,475

7,428

9,589

11,011

9,779

10,029

10,668

15,005

15,240

18,215

16,745

18,163

20,146

Source: Company Financial Reports and BRS Equity Research

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Page 6

BRS Equity Research

Financial Analysis
Cashflow Statement - Asiri Hospital Holdings PLC
Year Ending 31st March (LKR mn)

2013

2014

2015

2016

2017E

2018E

1,862

1,963

2,293

2,266

2,811

3,154

629

657

664

697

758

769

Amortization of leasehold assets

Profit on sale of Property,plant and Equipment

(1)

(2)

(5)

4.1

Provision for bad debts

14

Cash flow from operating activity


EBIT including non-recurring items
Depreciation

Mark to market value for short term investments

Gratuity
Impairement loss
Investment income
Other
Operating Profit/(loss) before Working Capital Changes
Changes in working capital
Cash generated from operations
Finance cost paid

44
-

Non current payables


Cash generated from operations

13
-

52

8
-

68

(53)

(74)

(33)

(84)

19

2,206

2,518

(234)

(184)

1,972

2,334

(734)
(3)
(75)

52

(201)

4
-

71

(195)

Gratuity paid
Income taxes paid

2
-

52
-

2,510

2,619

3,624

3,979

1,511

(1,093)

(210)

(221)

4,021

1,526

3,414

3,759

(606)

564

(611)

(704)

(671)

(27)

(16)

(63)

(24)

(26)

(156)

(103)

(166)

(263)

(314)

(18)

(18)

1,142

1,527

4,466

686

2,423

2,748

(489)

(317)

(874)

(1,050)

(900)

(980)

Cash flow from investing activity


Acquisition of Property, plant and equipment
Net investmnet in short term investmnets

Proceeds from sale of property, plant and equipment

436

38

10

Recovery of non current loans/interest bearing related party loan

Proceeds from disposal of investment property

2,700

(2,361)

(1,866)

(2,453)

(23)

(846)

31

(735)

(535)

Cash paid for share repurchase


Investment in subsidiaries
Investment in quoted securities

Capital work in progress

Interest received/Dividend received


Net cash out flow from investing activities

53

64

33

201

160

160

(2,301)

(2,673)

(1,590)

(42)

(740)

(820)

(796)

(967)

Cash flow from financing activity


Dividend paid

(548)

(601)

(541)

(224)

Dividend paid to minority by subsidiaries

(143)

(221)

(93)

(15)

(4)

(4)

(641)

2,085

400

400

Changes in non interest bearing loans


Net proceeds from long term borrowings
Net proceeds from short term borrowings

Lease repayments
Proceeds from Issue of shares to minority/Rights issue/Private placement

(4)

878
-

(4)

2,209

74
-

(1,050)
-

(4)

29

Interest free loan/non interest bearing related party loan

Net cash flow from financing activities

869

1,329

241

(1,260)

(396)

(567)

Net Increase/(Decrease) in Cash & Cash Equivalents

(291)

182

3,117

(616)

1,286

1,361

Source: Company Financial Reports and BRS Equity Research

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Page 7

BRS Equity Research

Top 20 Shareholders as of 31.03.2016

Name of the Shareholder

No.of Shares

% holding

Softlogic Holdings PLC

418,007,865

36.75

Merrill Lynch Pierce Fenner & Smith-TPG Growth III SF Pte Ltd

328,258,325

28.86

Commercial Bank of Ceylon PLC/Softlogic Holdings PLC

47,033,338

4.13

BNY-CF Ruffer Investment Fund : CF Ruffer Pacific Fund

36,148,930

3.18

HSBC INTL NOM LTD - SSBT- Wasatch International opportunities Fund

35,536,611

3.12

Softlogic Holdings PLC A/C No 3

26,184,018

2.30

Softlogic Holdings PLC A/C No 2

26,184,018

2.30

Softlogic International (Pvt) Ltd

23,689,854

2.08

Softlogic Information Technologies (Private ) Limited

23,151,323

2.04

10

Mr.Chaminda Dilantha Weerasinghe (Deceased)

9,375,000

0.82

11

Mr. P P Subasinghe

8,109,090

0.71

12

Asian Alliance Insurance PLC A/C 02 (Life Fund)

5,500,000

0.48

13

Mas Capital (Pvt) Ltd

5,379,574

0.47

14

Union Bank of Colombo Ltd/Softlogic International (Pvt) Ltd

4,905,390

0.43

15

CBHK S/A Platinum Broking Company Ltd

3,523,601

0.31

16

Dr. L.D.A.C. Luvis

3,441,720

0.30

17

Dr. W.M.S.Welagedara

3,375,000

0.30

18

Mr. A.U. Maniku

3,036,050

0.27

19

Pictet and CIE (Europe) S.A.S/A Ruffer Sicav-Ruffer Global

3,000,000

0.26

20

Estate of Mr. Tissa Weerasinghe

3,000,000

0.26

Source: Company interim financial statements

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BRS Equity Research

DISCLAIMER
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