Prime Lands Residences records Rs. 1.68 billion profit in FY 2021/22 despite adverse economic conditions

  • Trade momentum held up even in the face of sharp currency devaluation, hyperinflation and political instability

Co-president of the Sandamini Perera group
Co-president of the Brahmange Premalal group

Prime Lands Residencies PLC (PLR) posted a record pre-tax profit of Rs. 1,848 million for the financial year 2021/22 while maintaining a post-tax profit of Rs. 1,682 million. The company announced an interim dividend of 70 cents per common share for the year ended March 31, 2022.

Commenting on the results, Co-Chairman Brahmanage Premalal said, “It is a record performance for us to achieve an after-tax profit of Rs. 1.682 billion for the year ending March 31, 2022, despite the many challenges we faced during the year.

“The year under review was quite turbulent due to the continuing COVID-19 pandemic, which brought multiple lockdowns and the challenges of severe currency devaluation, hyperinflation and instability. However, as the interim financial statements show, Prime Lands Residencies PLC (PLR) was able to overcome these challenges to secure record results for our shareholders.

Prime Lands Residencies recorded an annual growth of 23% with revenue of Rs. 9.5 billion during the period under review. In a statement to shareholders, Premalal said, “By delivering on our promises to shareholders, we have achieved a remarkable 70% year-on-year growth in after-tax profit to record Rs. 1.682 billion for the financial year 2021/22. These milestones bear witness to the company’s resilience in the face of many challenges, including the economic crisis that the country is going through.

“It also demonstrates the over-delivery of earnings per share from Rs. 1.32 for the financial year 2020/21 to Rs. 1.86 for the financial year 2021/22. quarter of fiscal year 2022. This has severely affected the construction industry at both macro and micro levels.Despite all the challenges, the company posted revenue growth of 20% (TQ) while maintaining a profit after taxes of 17% (TQ).”

“The Grand, Ward Place – a Rs. $30 billion project is on track for completion and delivery towards the end of 2022,” co-chairman Sandamini Perera said. “This is by far the biggest project that Prime Lands Residencies have done. Delivering on their promise, Prime Lands Residences at Rajagiriya (Bella), Uswetakeiyyawa (Beach Front I) and Kassapa Road (Desire and Jawa 25) are now complete and ready. to be occupied while the condominium projects in Gampaha (The Palace) and Uswetakeiyyawa (Beach Front II) are under progressive construction.

“The Real Estate (Land) arm of PLR is the latest strategic business vertical to fuel growth and sustainability. This segment has successfully contributed to the growth trajectory of PLR by adding revenue of Rs. 861 million in the 4th quarter of FY 2021/22,” Premalal continued.

Prime Group has ongoing and completed projects with a portfolio of more than 29 individual housing projects, land projects spread across 18 districts in the country and more than 41 apartment projects located in Colombo and suburbs, which testifies promises made to aspiring customers and the financial stability of the group.

This was reaffirmed by the latest credit rating upgrade given to Prime Lands Ltd. and Prime Lands Residencies by independent rating agency ICRA LANKA LTD. (A subsidiary of Moody’s Investors Service) of [SL] A- (stable) at [SL] A (Stable) in April 2022. The credit rating upgrade at a time when the industry is facing headwinds from the macro and micro environment was warmly welcomed by all Prime Group stakeholders.

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