Colombo Land and Development : Interim Financial Statements 31.12.2021

COLOMBO LAND AND DEVELOPMENT COMPANY PLC

INTERIM

FINANCIAL

STATEMENTS

FOR THE TWELVE - MONTHS ENDED 31ST DECEMBER 2021

CEO MESSAGE

Dear Shareholders,

It is a great pleasure that I share with you the interim financial statements of Colombo Land and Development Company PLC for the quarter ended 31st December 2021.

Overall the Group recorded a Revenue of Rs. 76.38 Mn (YoY - 31%), a Gross Profit of Rs. 49.47 Mn (YoY - 45%) and a profit before tax of Rs. 122.14 Mn (YoY -20%) for the quarter ending 31st December 2021.

Rental Income

We witness an occupancy drop during this period where it stood at 66% (73% in 2020) at the end of the 4th quarter. Overall, the rental income for the 4th quarter dropped by 48% when compared to the corresponding quarter mainly due to lower occupancy and rent reduction.

Car park income

Overall, the revenue from Car Parks for the 4th Quarter increased by 56% when compared to the corresponding quarter mainly due to limited operations of the car parks as a result of pandemic situation that prevailed during the 4th quarter of the year in 2020.

The average monthly revenue of the Gas Land car park increased by 91%, People's Park car park by 205% and Liberty Plaza car park dropped 4% during the quarter under review. The company increased the monthly car park fees of Peoples Park car park during the quarter under review which resulted in contributing a higher revenue for the 4th quarter.

Finance and Administration Expenses

The Company has been able to successfully negotiate and transfer our long-term liabilities with Banks and Financial Institution (Rs. 1,940 Mn) for a favorable interest rate.

The company having disposed the Liberty Arcade for a consideration of Rs. 640 Mn the Company will utilize majority of the sales proceeds to settle the long-term liabilities with the banks and thereby anticipating a reduction in finance cost for the financial year 2022.

The group has been able to maintain the administration expenses in line with the previous year.

Future Outlook

Going forward, we will be aggressively marketing our properties to fill up the available rental space with new tenants.

During these challenging times with the vaccination drive and less restrictions in movement, we expect retail traffic to increase during the upcoming April festive season. We will continue to improve the standards of our properties in order to add value to our occupants, customers and the Company.

P S Weerasekera

Director/ Group CEO

COLOMBO LAND AND DEVELOPMENT COMPANY PLC

INTERIM FINANCIAL STATEMENT

01

STATEMENT OF FINANCIAL POSITION

	Group		Company
	Unaudited	Audited	Unaudited	Audited
	As at	As at	As at	As at
	31.12.21		31.12.20	31.12.21		31.12.20
	LKR	LKR	LKR	LKR
ASSETS
Non - current assets
Property,Plant and Equipment	182,696,987		174,453,000	9,420,951		6,377,189
Biological Assets	64,834,726		57,435,700	-		-
Investment Properties	12,858,981,000		13,517,812,502	7,793,949,000		8,699,112,500
Investment in Subsidiaries	-		-	816,589,183		816,589,183
	13,106,512,714		13,749,701,202	8,619,959,134		9,522,078,872
Current assets
Asset Held for sale	640,000,000		-	640,000,000		-
Inventories	1,134,090		995,833	-		-
Trade and Other Receivables	154,987,755		266,832,610	1,817,878,391		1,811,091,150
Investment in Preference Shares	-		-	63,687,163		63,687,163
Financial Assets	37,380		24,360	37,380		24,360
Other Investments	19,775,180		22,368,094	19,775,180		22,368,094
Cash and Cash Equivalents	13,235,653		4,390,041	8,384,948		1,231,522
	829,170,057		294,610,938	2,549,763,061		1,898,402,289
Total assets	13,935,682,771		14,044,312,140	11,169,722,195		11,420,481,161
EQUITY AND LIABILITIES
Equity
Stated Capital	341,602,342		341,602,342	341,602,342		341,602,342
Revaluation Reserve	103,653,785		92,379,785	-		-
Retained Earnings	8,193,696,216		7,652,598,996	6,761,871,449		6,668,074,973
Equity Attributable to Equity Holders of the Parent	8,638,952,343		8,086,581,123	7,103,473,792		7,009,677,315
Non-Controlling Interests	(2,474,523)		(2,465,523)	-		-
Total equity	8,636,477,820		8,084,115,600	7,103,473,792		7,009,677,315
Non-current liabilities
Interest Bearing Loans and Borrowings	1,905,000,000		1,700,056,614	1,905,000,000		1,700,056,614
Other Long Term Payable	-		6,562,500	-		6,562,500
Deferred Tax Liabilities	3,088,912,637		3,566,406,262	1,989,959,075		2,410,182,919
Defined Benefit Obligations	5,198,300		12,856,165	4,505,976		8,812,964
	4,999,110,937		5,285,881,541	3,899,465,051		4,125,614,997
Current liabilities
Trade and Other Payables	30,060,948		311,664,180	16,387,868		64,863,196
Income Tax Liabilities	9,248,575		9,248,573	9,107,483		9,107,483
Interest Bearing Loans and Borrowings	-		162,202,048	-		162,202,049
Tenant Deposits	256,655,827		184,418,565	137,159,337		42,234,489
Bank Overdraft	4,128,664		6,781,632	4,128,664		6,781,632
	300,094,014		674,314,998	166,783,352		285,188,849
Total liabilities	5,299,204,951		5,960,196,539	4,066,248,403		4,410,803,846
Total equity and liabilities	13,935,682,771		14,044,312,140	11,169,722,195		11,420,481,161
	-		-	-		-
Net Assets per Share (Rs.)	43.21		40.44	35.54		35.07

The notes form an integral part of these Financial Statements Figures in brackets indicate deductions

The figures are provisional and subject to Audit

The Financial Statements have been prepared in compliance with the requirements of the Companies Act no 7 of 2007

These financial statements have been prepared in compliance with the Rule 7.4 of the CSE Listing Rules and Sri Lanka Accounting Standard LKAS 34-Interrim Financial Reporting

Signed for and on behalf of the Board of Directors of Colombo Land & Development Company PLC

Director	Director
February 24, 2022

COLOMBO LAND AND DEVELOPMENT COMPANY PLC

INTERIM FINANCIAL STATEMENT

02

STATEMENT OF PROFIT OR LOSS & OTHER COMPREHENSIVE INCOME

			Group
	Unaudited	Audited	Unaudited	Audited
	Quarter ended	Quarter ended	Year ended	Year ended
	December '21	December '20	December '21	December '20
	LKR	LKR	LKR	LKR
Revenue	76,388,329	111,379,544	335,218,422	438,405,676
Direct expenses	(26,917,386)	(21,146,720)	(102,385,419)	(108,488,628)
Net Rental income	49,470,944	90,232,824	232,833,003	329,917,048
Other Income and Gains	4,108,494	848,155	7,326,077	2,211,105
Change in value of Investment Properties	131,451,932	199,291,679	131,451,932	199,291,679
Fair Valuation of Biological Assets	7,137,093	1,564,885	7,137,093	1,564,885
Selling and Distribution Costs	(12,324,820)	(22,614,479)	(12,995,142)	(23,432,364)
Administrative Expenses	(9,066,991)	(23,160,207)	(96,590,011)	(101,655,774)
Finance Cost	(48,602,327)	(94,018,619)	(207,491,919)	(232,370,736)
Profit / (loss) before tax	122,174,325	152,144,238	61,671,032	175,525,843
Income Tax Expense	477,493,598	(116,320,629)	477,493,598	(116,320,629)
Profit / (loss) for the period	599,667,923	35,823,609	539,164,630	59,205,214
Attributable to:
Equity Holders of the Parent	599,667,923	35,823,609	539,173,630	59,205,214
Non-Controlling interests			(9,000)	(21,000)
Earnings Per Share - Restated	3.00	0.18	2.70	0.30
Profit / (Loss) for the period	599,667,923	35,823,609	539,164,630	59,205,214
Other Comprehensive Income
Other Comprehensive Income to be classified to profit
or loss in subsequent periods
Net Loss on Financial Assets classified under FVOCI
Other Comprehensive Income not to be classified to profit
or loss in subsequent periods
Actuarial Gain on Defined Benefit Plans	1,910,560	(289,356)	1,910,560	(289,356)
Net Gain/(Loss) on Financial Assets classified under FVOCI	13,020	840	13,020	840
Deferred Tax attributable to actuarial gains on defined
benefit obligations		132,838		132,838
Revaluation Gain/(Loss) of the Property Plant and Equipment's	11,274,000	36,580,079	11,274,000	36,580,079
Tax effects on revaluation of Property Plant and Equipment	-	(10,242,422)		(10,242,422)
Total of Other Comprehensive Income	13,197,580	26,181,979	13,197,580	26,181,979
Total Comprehensive income for the year,net of tax	612,865,502	62,005,588	552,362,210	85,387,193
Attributable to:
Equity Holders of the Parent	612,874,502	62,026,588	552,371,210	85,408,193
Non-Controlling Interest	(9,000)	(21,000)	(9,000)	(21,000)

The notes form an integral part of these financial statements.

Figures in brackets indicate deductions

The figures are provisional and subject to Audit

COLOMBO LAND AND DEVELOPMENT COMPANY PLC

INTERIM FINANCIAL STATEMENT

03

STATEMENT OF PROFIT OR LOSS & OTHER COMPREHENSIVE INCOME

				Company
		Unaudited	Audited		Unaudited	Audited
		Quarter ended	Quarter ended		Year ended	Year ended
		December '21	December '20		December '21	December '20
		LKR	LKR		LKR	LKR
	Revenue	49,179,550	43,114,017		166,929,680	168,813,474
	Direct expenses	(10,116,948)	(10,673,420)		(41,196,707)	(45,625,619)
	Net Rental income	39,062,602	32,440,597		125,732,973	123,187,855
	Other Income and Gains	2,723,901	1,446,400		6,859,735	4,732,612
	Change in value of Investment Properties	(316,234,799)	101,367,500		(316,234,799)	101,367,500
	Selling and Distribution Costs	(7,182,381)	(7,367,161)		(7,194,428)	(7,762,921)
	Administrative Expenses	(13,812,890)	(15,809,782)		(81,575,791)	(75,040,372)
	Finance Cost	(12,433,879)	(18,027,890)		(55,518,904)	(40,182,357)
	Profit / (loss) before tax	(307,877,446)	94,049,664		(327,931,215)	106,302,317
	Income Tax Expense	420,223,845	(36,296,283)		420,223,845	(36,296,283)
	Profit / (loss) for the period	112,346,399	57,753,381		92,292,630	70,006,034
	Attributable to:
	Equity Holders of the Parent	112,346,399	57,753,381		92,292,630	70,006,034
	Non-Controlling interests
	Earnings Per Share - Restated	0.56	0.29		0.46	0.35
	Profit / (Loss) for the period	112,346,399	57,753,381		92,292,630	70,006,034
	Other Comprehensive Income
	Other Comprehensive Income to be classified to profit
	or loss in subsequent periods
	Net Loss on Financial Assets classified under FVOCI
	Other Comprehensive Income not to be classified to profit
	or loss in subsequent periods
	Actuarial Gain on Defined Benefit Plans	1,490,827	110,922		1,490,827	110,922
	Net Gain/(Loss) on Financial Assets classified under FVOCI	13,020	840		13,020	840
	Deferred Tax attributable to actuarial gains on defined		(31,058)			(31,058)
	benefit obligations
	Revaluation Gain/(Loss) of the Property Plant and Equipment's
	Tax effects on revaluation of Property Plant and Equipment
	Total of Other Comprehensive Income	1,503,847	80,704		1,503,847	80,704
	Total Comprehensive income for the year,net of tax	113,850,246	57,834,085		93,796,477	70,086,738
	Attributable to:
	Equity Holders of the Parent	113,850,246	57,834,085		93,796,477	70,086,738
	Non-Controlling Interest	-				-

The notes form an integral part of these financial statements.

Figures in brackets indicate deductions

The figures are provisional and subject to Audit

-

COLOMBO LAND AND DEVELOPMENT COMPANY PLC

INTERIM FINANCIAL STATEMENT

04