Sunshine Holdings PLC (CSE: SUN), a leading diversified Sri Lankan conglomerate, reported strong financial performance for the year ended March 31, 2024.
The company achieved a record 7% year-on-year (YoY) growth in consolidated Group revenue, reaching Rs. 55.5 billion. This growth was driven by the performance of the Healthcare and Consumer Goods sectors, with Healthcare remaining the largest contributor to overall revenue at 50%. The Consumer Goods and Agribusiness sectors contributed 34.8% and 15% respectively.
Sunshine Holdings also experienced significant growth in profitability. Profit after tax (PAT) surged by 66.4% to Rs. 6 billion, while gross profit increased by 27.6% YoY to Rs. 3.7 billion. This improvement was attributed to margin expansion in both the Healthcare and Consumer Goods segments. The gross profit margin for the period reached 31%, a notable 500 basis point increase compared to the previous year.
The company’s financial performance attracted international investment. The International Finance Corporation (IFC) announced a proposed equity investment of up to Rs. 3.2 billion in Sunshine Healthcare Lanka (SHL), a Sunshine Holdings subsidiary. This investment, subject to certain conditions, would grant IFC approximately 14.7% ownership of SHL.
“Despite ongoing economic challenges in FY24, Sunshine Group has demonstrated remarkable resilience and agility,” commented Amal Cabraal, Chairman of Sunshine Holdings PLC. “All key sectors delivered robust performance.”
The Group’s operating profit (EBIT) also rose by 23.7% YoY to Rs. 8.7 billion. Additionally, finance costs decreased to Rs. 1.2 billion from Rs. 1.5 billion in the previous year.
Sunshine Holdings’ strong financial results position the company for continued growth and success in the Sri Lankan market.