FINANCIAL CHRONICLE™
Dear Reader,

Registration with the Sri Lanka FINANCIAL CHRONICLE™️ would enable you to enjoy an array of other services such as Member Rankings, User Groups, Own Posts & Profile, Exclusive Research, Live Chat Box etc..

All information contained in this forum is subject to Disclaimer Notice published.


Thank You
FINANCIAL CHRONICLE™️
www.srilankachronicle.com


Join the forum, it's quick and easy

FINANCIAL CHRONICLE™
Dear Reader,

Registration with the Sri Lanka FINANCIAL CHRONICLE™️ would enable you to enjoy an array of other services such as Member Rankings, User Groups, Own Posts & Profile, Exclusive Research, Live Chat Box etc..

All information contained in this forum is subject to Disclaimer Notice published.


Thank You
FINANCIAL CHRONICLE™️
www.srilankachronicle.com
FINANCIAL CHRONICLE™
Would you like to react to this message? Create an account in a few clicks or log in to continue.
FINANCIAL CHRONICLE™

Encyclopedia of Latest news, reviews, discussions and analysis of stock market and investment opportunities in Sri Lanka

LISTED COMPANIES

Submit Post



Poll

Can there be another Covid-19 wave in Sri Lanka?

 
 
 

View results

STOCK MARKET TRAINING
ශ්‍රී ලංකා මූල්‍ය වංශකථාව - සිංහල
Submit Post


CONATCT US


Send your suggestions and comments

* - required fields

Read FINANCIAL CHRONICLE™ Disclaimer



Latest topics

» Sell EXPO Buy EDEN sentiment changed to Exit EXPO Enter EDEN
by Bakkabwoi Today at 12:44 am

» Top Foreign Trading today
by D.G.Dayaratne Yesterday at 11:29 pm

» Maharaja after long time
by Maharaja Yesterday at 10:20 pm

» Try to Avoid Getting Sucked into Any Panic Modes While Looking for Opportunities. Stock market for beginners
by Asoka Samarakone Yesterday at 9:39 pm

» Evergrande agrees deal to avoid default on key bond: Company
by RajapaksaDON Yesterday at 8:15 pm

» Top crossings today
by SAGA Yesterday at 7:27 pm

» LOFC AND CLC Target Price??
by Rational Investor Yesterday at 6:35 pm

» EXPOLANKA HOLDINGS PLC (EXPO.N0000)
by Equity Win Yesterday at 10:47 am

» CABO -- “ The Investment Company ” under Land & Building Sector
by samaritan Yesterday at 10:45 am

» LOFC lofc
by stockchaser Yesterday at 9:52 am

» TOKYO CEMENT COMPANY (LANKA) PLC
by ADVENTUS Yesterday at 12:14 am

» DIPPED PRODUCTS PLC (DIPD.N0000)
by ADVENTUS Yesterday at 12:11 am

» BROWNS INVESTMENTS PLC (BIL.N0000)
by stockchaser Tue Sep 21, 2021 3:49 pm

» GUYS LOOK IN TO JKH / JKL NOW
by Wickyz Tue Sep 21, 2021 10:54 am

» The stock market can be a great place to make money; it can also be a great place to lose money. Stock market for beginners
by reyaz Tue Sep 21, 2021 7:37 am

» LOFC LOFC LOFC
by stockchaser Mon Sep 20, 2021 7:49 pm

» PEOPLE'S INSURANCE PLC (PINS.N0000)
by LHW Sun Sep 19, 2021 10:14 pm

» KOTAGALA PLANTATION
by reyaz Sun Sep 19, 2021 3:33 pm

» What is "Introductions" in Upcoming listing in CSE?
by Nandun Sat Sep 18, 2021 1:46 pm

» Glove stocks fall after Top Glove posts weaker 4Q results
by ResearchMan Sat Sep 18, 2021 1:37 pm

EXPERT CHRONICLE™

MARKET CHAT


CHRONICLE™ ANALYTICS


ECONOMIC CHRONICLE

GROSS DOMESTIC PRODUCT (GDP)


CHRONICLE™ YouTube

LATEST TWEETS

You are not connected. Please login or register

FINANCIAL CHRONICLE™ » DAILY CHRONICLE™ » Dipped Products makes synthetic rubber gloves in Thailand

Dipped Products makes synthetic rubber gloves in Thailand

Go down  Message [Page 1 of 1]

CSE.SAS

CSE.SAS
Global Moderator
Demand for cheaper medical examination gloves as rubber prices rise

Dipped Products PLC, the Hayleys subsidiary which is one of the world’s biggest non-medical glove manufacturers, is embarking on converting some of the production lines in its factory in Thailand for manufacture of synthetic medical examination gloves.

The Thai factory, Dipped Products Thailand Limited, was set up some years ago to break into the manufacture of natural rubber medical examination gloves. This facility had suffered a loss during the year ended March 31, 2012 both on account of the shift in demand for synthetic disposables as well as the drop in margins.

Dipped Products Managing Director, Dr. Mahesha Ranasoma, explained that the shift in demand for synthetic gloves was triggered during the time natural latex prices were rapidly rising. But this demand did not reverse to natural latex when rubber prices were cooling off.

"In responding to the new situation, DPTL embarked on converting some of its production lines to synthetic products. Whilst these efforts were successful, it was not possible to generate sufficient orders to compensate for orders lost in natural latex disposables, and the result was a loss making year for DPTL in 2011," Ranasoma said.

The year under review had been one of the best in the history of the Dipped Products group with turnover up 33% to Rs. 19.8 billion and the group after-tax profit surging 258% to nearly Rs. 2.1 billion from Rs.585.6 million earned the previous year.

Profits were boosted by a capital gain of Rs. 1.14 billion as a result of the company selling off a long held stake of 3.5 million Hayleys shares.

These shares had cost a total of Rs. 194.5 million and were sold to Mr. Dhammika Perera, the controlling shareholder of Hayleys.

Dipped Products Chairman A.M. Pandithage said that the hand protection segment’s contribution to the group profit, excluding capital gains, increased to Rs. 728 million from the previous year’s Rs. 374 million with the plantation sector too posting a profit of Rs.515 million, up from Rs. 374 million a year earlier.

He said that the profit attributable to shareholders of the company had improved to Rs. 1.87 billion from Rs. 447 million the previous year.

The year had seen a cooling off period for rubber prices compared to 2010/11 where prices had bounced to unprecedented heights. This helped the Sri Lankan glove manufacturing operation to cushion business margins that had fallen the previous year, making a significantly higher contribution to the better performance of the business during the year under review.

Dipped Products Thailand had made a negative contribution with measures taken to enhance production of synthetic latex examination gloves being insufficient to avert a negative result.

DPL’s Italy based marketing company, ICOGUANTI S.p.A., had made a ``worthy contribution’’ to the hand protection sector despite marketing conditions that prevailed in the Eurozone.

The plantation sector had registered significantly better profitability thanks mainly to its rubber portfolio with Kelani Valley Plantations being the dominant contributor. DPL Plantations had acquired a further one-third stake in Hayleys Plantations Services which owns 75% of Talawakelle Tea Estates, Pandithage said.

Hayleys Plantations Services, previously an associate, had thus become a subsidiary of DPL Plantations now owning 66.6% of the former.

Announcing that the directors have proposed a first and final dividend of Rs. 6 per share to shareholders, Pandithage said that the performance during the year had demonstrated the company’s underlying capability to generate sustainable business growth by delivering a profit before-tax exceeding Rs. 1 billion, excluding capital gains.

"This is a significant milestone for DPL in a year during which traditional markets in the Eurozone and America were battling a slow-down in their economies," Pandithage said.

He expected these global economic challenges, particularly in the Eurozone including volatility of the euro, to continue during the current year and made the further point that there was considerable uncertainty about both rubber and oil prices that would have significant influence on gross margins this year.

However Dipped Products track record speaks for its ability to weather such challenges, he said.

Dipped Products has a stated capital of Rs. 598.6 million, capital reserves of Rs. 236.8 million and revenue reserves of Rs. 4.46 billion in its books. Total assets ran at slightly over Rs. 18 billion and total liabilities at slightly over Rs.11 billion.

Hayleys PLC with 41.39% is the biggest shareholder followed by the EPF with 12.57%. Hayleys subsidiaries, Volanka (8.14%), Haycarb (6.80%) and Ravi Industries (1.67%) are also among the 20 top shareholders.

The directors of the company are: Mr. A.M. Pandithage (Chairman), Dr. Mahesha Ranasoma (MD), Messrs. J.A. Anandarajah, G.K. Seneviratne, N. Fernando, R. Seevaratnam, F. Mohideen, K.A.L.S. Fernando, L.G.S. Gunawardena, S.C. Ganegoda, K.D.D Perera and M. Bottino.
http://www.island.lk/index.php?page_cat=article-details&page=article-details&code_title=53988

Back to top  Message [Page 1 of 1]

Permissions in this forum:
You cannot reply to topics in this forum