John Keells Holdings profit up 218-pct in March 2026 quarter as strong performances across retail, transportation and leisure businesses significantly boosted earnings. The diversified conglomerate also reported substantial revenue growth and improved operating performance during the period.
John Keells Holdings profit up 218-pct in March 2026 quarter driven by key sectors
John Keells Holdings (JKH), Sri Lanka’s largest listed conglomerate, reported a profit of Rs. 6.31 billion for the quarter ended March 31, 2026, marking a 218 percent increase from the corresponding period a year earlier.
The strong earnings performance was supported by broad-based growth across several of the group’s core business segments, with retail, transportation and leisure emerging as the key drivers of profitability.
Consolidated revenue for the quarter increased by 62 percent to Rs. 144.89 billion from Rs. 89.51 billion recorded in the same period of the previous financial year. The group’s cost of sales also rose in line with higher business activity, increasing 64 percent to Rs. 113.45 billion.
Despite rising costs, JKH recorded a 54 percent increase in gross profit, which reached Rs. 31.44 billion during the quarter. Group recurring EBITDA rose 51 percent to Rs. 24.01 billion, reflecting stronger operating performance across multiple sectors.
The company reported earnings per share of Rs. 0.36, compared with Rs. 0.12 per share recorded in the corresponding quarter last year.
The retail industry group was among the largest contributors to the quarter’s performance. Recurring EBITDA from the segment surged 93 percent to Rs. 6.60 billion, largely driven by the rapid growth of the New Energy Vehicle (NEV) business operated through John Keells CG Auto (JKCG).
During the quarter, JKCG delivered 2,133 vehicles to customers, while demand gained momentum towards the latter part of the reporting period. Management attributed part of this growth to fuel-related disruptions linked to ongoing tensions in the Middle East, which increased consumer interest in alternative mobility solutions.
The supermarket business also contributed positively, recording a 14.2 percent increase in same-store sales. Higher customer footfall and larger average basket values supported the segment’s growth and further strengthened the retail business.
The transportation industry group delivered another strong performance, with recurring EBITDA increasing 94 percent to Rs. 4.15 billion. Growth was led by record operational volumes at Lanka Marine Services (LMS) and the Colombo West International Terminal (CWIT).
LMS achieved its highest-ever quarterly volume, posting a 60 percent increase as demand rose amid regional fuel supply disruptions. The CWIT project also exceeded expectations by generating a positive profit within its first year of operations. According to the company, phase one capacity reached full annualized utilization during the quarter, highlighting strong demand for port-related services.
The leisure segment remained another important contributor to group earnings. Recurring EBITDA from leisure operations rose 64 percent to Rs. 7.18 billion, supported by strong performance from City of Dreams Sri Lanka and the group’s Colombo hotel portfolio.
City of Dreams Sri Lanka benefited from improved occupancy levels, higher average room rates and stable rental income generated through casino operations. However, the property’s profitability was partially affected by a net exchange loss of Rs. 1.02 billion resulting from the depreciation of the Sri Lankan rupee during the quarter.
Meanwhile, the property industry group recorded an 86 percent increase in EBITDA to Rs. 1.04 billion. The growth was primarily driven by ongoing residential property sales linked to flagship developments including Cinnamon Life, VIMAN and TRI-ZEN.
The latest results reinforce the position of John Keells Holdings as one of the strongest performers in the Sri Lanka stock market, benefiting from its diversified portfolio and exposure to sectors experiencing renewed economic activity.
In addition to reporting improved earnings, the company announced a final dividend of Rs. 0.10 per share for the financial year ended March 31, 2026. This follows interim dividends totaling Rs. 0.25 per share that were already distributed during the financial year.
While the group delivered impressive financial results, JKH shares last traded at Rs. 18.40 during the March 2026 quarter, compared with Rs. 20.20 recorded during the corresponding period a year earlier.
The latest performance demonstrates the resilience of John Keells Holdings amid a challenging operating environment, with growth across retail, transportation, leisure and property sectors helping to offset economic uncertainties and deliver a substantial increase in shareholder value.