The only reference to the project is a single sentence in Chairman/CEO Susantha Ratnayake’s message where he says: "Progress continues to be made on our plans for a large scale development on one of our existing sites."
There is an eloquent silence on the site itself and ht the project entails.w
Analysts believe that JKH is not willing to say anything about this project which will include redeveloping the Glennie Street site where the group’s headquarters are located and adjoining several acres belonging to Ceylon Cold Stores which is predominantly owned by JKH until all necessary regulatory clearances and approvals are received.
``There’s many a slip between cup and lip,’’ said a senior JKH executive.
However, arrangements are being made for offices and staff located at Glennie Street to move to alternative premises including office space at Vauxhall Street which came under the JKH umbrella with the Whittals acquisition several years ago as well as comercial space available at Cinnamon Lakeside Hotel.
"Nobody has moved out yet although we have reserved the space," a senior JKH executive said.
The year ended March 31, 2013 saw JKH post group revenue of Rs.85.6 billion, up 10% from the previous year, and group profit after-tax of Rs.13.6 billion, up 24% from the previous year. The group profit attributable to shareholders stood at Rs.12.2 billion against the previous year’s Rs.9.7 billion.
Ratnayake said in his review that with the exception of leisure and property, all other industry groups had achieved returns on capital employed (ROCE) in excess of the group’s hurdle rate of 15%.
"Leisure which accounts for 37.1% of total capital employed by the company improved its ROCE to 14%," Ratnayake said.
JKH has a stated capital of Rs.26.48 billion, revenue reserves of Rs.42.7 billion and other components of equity of Rs.20.6 billion in its books. Total assets ran at Rs.159.1 billion, non-current liabilities at Rs.32.4 billion and current liabilities at Rs.25.5 billion.
The JKH share traded at a high of Rs.249.70 and a low of Rs.172 during the year under review against a trading range of Rs.228.68 and Rs.158.20 the previous year.
The directors of the company are: Messrs. Susantha Ratnayake (Chairman), A.D. Gunewardene (Deputy Chairman), J.R.F. Peiris, E.F.G. Amerasinghe, I. Coomaraswamy, T. Das, A.R. Gunasekara, M.A. Omar and S.S. Tiruchelvam.