Currency Exchange

Sri Lanka Stocks Close Higher with Renewed Interest in Apparel Sector

The Colombo Stock Exchange ended on a positive note on Thursday, as indicated by the data on its website.

The broader All Share Index increased by 0.29 percent, or 33.14 points, closing at 11,439. Meanwhile, the more liquid S&P SL20 Index rose by 0.62 percent, or 20.25 points, finishing at 3,285. The day’s turnover was 756 million rupees.

“It was a positive start for the month with increased activity levels,” commented Softlogic Stockbrokers. “There was renewed interest among market investors.”

John Keells Holdings Plc led the turnover for the day, contributing 164 million rupees and closing up at 175.25, rebounding from a slump due to low interim results and an upcoming rights issue.

Two notable crossings occurred during the day: Teejay Lanka Plc, which saw foreign interest and closed up at 40.50, and Sampath Bank Plc, which closed up at 75.50. These accounted for 12 percent of the total turnover.

“There was renewed interest in apparel counters. With improving economic sentiment in apparel source markets like the EU, US, and UK, there’s potential for increased demand.”

Hayleys Fabric Plc, a subsidiary of Hayleys Group, also saw significant interest, contributing 82 million rupees to turnover and closing up at 48.00.

Richard Pieris and Company Plc reported a 100 percent profit increase both year-on-year and quarter-on-quarter, closing flat at 19.00.

Interim results for tile companies Lanka Walltile Plc and Royal Ceramics Lanka Plc showed a slump in profit, with Lanka Walltile closing flat at 50.00 and Royal Ceramics down at 31.50. Despite positive PMI results for the construction sector, these companies are typically involved in the finishing stages, suggesting potential positivity in the future.

Capital Alliance announced a dividend of 4.5 rupees per share, with the stock closing up at 44.40.

Foreign buying interest was noted in LB Finance Plc (up at 66.00), Vallibel Finance Plc (up at 41.00), and Browns Investments Plc (up at 5.40). Conversely, foreign selling was seen in JKH, Sampath Bank, and Ceylon Cold Stores Plc (up at 56.50).

The market recorded a net foreign outflow of 22 million rupees.