After all FLCH has reported sound financial results in the year 2010-2011.
Revenue: 33% Growth in to Rs. 6.5 Billion (6,513,357,000)
Profit after Tax: 319% Growth in to Rs. 1.2 Billion (1,270,256,000)
EPS has improved from 0.09 to 0.46 - over 500% increase year on year.
Diversified Portfolio
FLCH has a well diversified portfolio into many areas of business including Plantation, Hydropower, Leisure and Property Management.
Hydropower
Hydro Power Free Lanka PLC is already supplying a total of 3.2 Mw to the National Grid from its Sanquhar and Delta Power Plants. With the expansion of the hydro power projects HPFL has formed three subsidiary companies in order to supply another 15 Mw. One of the subsidiaries, Free Lanka Power 1 (Pvt) Ltd owns two mini hydro power projects - Halgran Oya I & II. HPFL 2 owns the Thebuwana Project and the Stellenberg project is owned by HPFL 3.
Plantations
57,000 Acres of land across the country
9,200 Acres of land in the district of Colombo
19,000 Acres of tea
13,000 Acres of rubber
3,500 Acres of commercial timber
12.5 million kg of made tea per annum
4.0 million kg of rubber per annum
The group's earnings are mainly from the plantation sector that is Maturata and Pussellawa Plantations. These two plantations comprise around 19,000 acres of tea and 13,000 acres of rubber. The group has completed an aggressive replanting programme in order to take advantage of increasing high rubber prices which commenced in 2005 where Rs.1 Billion has been invested in new planting and replanting of rubber.
Property Development
Free Lanka Properties (Pvt) Ltd is in the process of developing a commercial complex in fast moving Borella with 80,000 sq. ft of rentable space.
Leisure
Tea Leaf Resort Holding (Pvt) Ltd., which will develop two, 3 star boutique hotels in Pussellawa which offer accommodation up to a total of 100 rooms. They also have 20% stake in Rain Forest Eco Lodge through Maturata Plantations Ltd.
References:
Last Quarterly Report:
http://www.cse.lk/cmt/upload_report_file/1048_1305185889765.pdf
FLCH Prospectus:
http://www.cse.lk/270808/pdf/FLC_Prospectus.pdf
Company Website:
http://freelankacapital.com/our-profile.php