Operational expenses rose 9% to Rs. 5.1 billion while distribution and administration expenses increased 41% and 5% to Rs. 805 million and Rs. 4.3 billion respectively in 1QFY22 as a result of the increased investment in safety equipment as well as continued capital expansions in the retail sector.
The Group achieved an EBITDA of Rs. 3.2 billion for the quarter (Rs. 303 million in 1QFY21) with an EBITDA margin of 13%.
Gross Profit improved 87% to Rs. 7.2 billion during the quarter while quarterly operating profit was Rs. 2.3 billion (operating loss of Rs.593 million in 1QFY21). Quarterly PBT recorded an increase to Rs. 163 million (loss of Rs. 2.9 billion reported in 1QFY21).
“These results were achieved against the backdrop of so many external challenges.
Yet, the Group’s performance fortuitously rebounded to unlock market potential in terms of unprecedented revenue growth despite the massive human challenges faced by consumers culminating in successive lockdowns amidst a more virulent pandemic tearing through cities and towns,” Chairman Softlogic Ashok Pathirage said.
“The vaccine drive may speed up global recovery of the pandemic sooner than later. The much-hyped economic reset is expected to usher in a prosperous period which the Group has prepared itself for in any event. With a faster than expected recovery, a global upsurge in travel and business would see a new wave of economic activity with unfettered expansion and industry consolidation.”