Lanka Ashok Leyland : Interim Financial Statements for the Quarter Ended 31.12.2021

INTERIM FINANCIAL STATEMENTS

FOR THE PERIOD ENDED

31ST DECEMBER 2021

LANKA ASHOK LEYLAND PLC

INTERIM FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2021

STATEMENT OF FINANCIAL POSITION

31-Mar-21	As at	31-Dec-21		31-Dec-20
Rs.		Rs.		Rs.
Audited	ASSETS
	Non Current Assets
508,332,209	Property, Plant & Equipment	562,651,639	495,147,861
56,084,899	Right-of-Use Asset	46,147,175	59,890,603
6,392,148	Intangible Assets	3,877,354	7,215,171
11,558,103	Financial Investments	11,197,289	11,193,275
1,300,605,035	Rental Receivable from Trade Debtors	985,079,163	1,399,854,785
184,233,458	Deferred Tax Asset	220,950,816		180,236,299
2,067,205,852	Total Non Current Assets	1,829,903,436	2,153,537,994
	Current Assets
4,386,035,693	Inventories	3,025,418,379	2,441,657,198
189,270,423	Trade and Other Receivables	267,693,054	224,582,605
429,188,058	Rental Receivable from Trade Debtors	482,026,809	443,156,942
-	Amounts due from Related Party	21,300,000	7,652,745
143,795,703	Deposits and Prepayments	106,546,569	64,303,316
17,278,304	Cash & Cash Equivalents	580,175,429		7,000,123
5,165,568,181	Total Current Assets	4,483,160,240	3,188,352,929
7,232,774,033	Total Assets	6,313,063,676	5,341,890,923
	EQUITY & LIABILITIES
	Equity
49,375,150	Stated Capital	49,375,150	49,375,150
887,347,500	General Reserve	887,347,500	887,347,500
2,419,620,055	Retained Earnings	2,818,611,668		2,371,789,596
3,356,342,705	Equity Attributable to Owners of the Company	3,755,334,318	3,308,512,246
	Non Current Liabilities
96,116,809	Employee Benefit	103,935,769	98,440,663
63,257,392	Lease Liability	43,176,586		61,360,833
159,374,201	Total Non Current Liabilities	147,112,355	159,801,496
	Current Liabilities
936,046,921	Trade & Other Payables	1,059,288,265	402,421,542
1,826,684,846	Amounts due to Related Party	1,111,020,780	105,591,146
16,842,337	Current Tax Liabilities	132,496,309	25,885,010
651,835	Provision for Warranty	3,061,757	1,207,002
863,724,158	Short Term Borrowings	-	1,194,798,831
19,172,790	Lease Liability	23,232,000	19,172,791
53,934,240	Bank Overdrafts	81,517,892	124,500,859
3,717,057,127	Total Current Liabilities	2,410,617,003		1,873,577,181
	Total Liabilities
3,876,431,328	2,557,729,358		2,033,378,677
7,232,774,033	Total Equity & Liabilities	6,313,063,676	5,341,890,923
926.95	Net Assets per Share	1,037.14	913.74

The above figures are provisional and subject to audit.

The same Accounting Policies and methods of computation are followed in this Interim Financial Statements as compared with the most recent audited Financial Statements.

A R T Ranasinghe	U Gautam
Chief Financial Officer	Chief Executive Officer

The Board of Directors is responsible for the preparation and presentation of these Financial Statements. Approved and signed for and on behalf of the Board of Directors of Lanka Ashok Leyland PLC;

A K S A Jayasena	D A Abeyawardene
Chairman	Director
Colombo
08th February 2022

LANKA ASHOK LEYLAND PLC

INTERIM FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2021

STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

For the	For the Period Ended 31 st December 2021	2021/22	2020/21		2021/22	2020/21
Year Ended		Intrim Period		Intrim Period		Quarter 03		Quarter 03
31-Mar-21		09 Months		09 Months
			Rs.		Rs.
Rs.		Rs.		Rs.
Audited
	Revenue
2,518,517,907	New Vehicle Sales	4,167,319,491	2,040,955,164	104%	2,185,469,576	352,161,974	521%
11,182,963	Diesel Generator Set Sales	32,698,954	9,794,074	234%	4,934,620	2,750,000	79%
125,683,556	Vehicle Repair Income	111,401,457	81,084,686	37%	48,103,488	33,095,697	45%
238,155,302	Spare Parts Sales	149,229,767	170,668,316	-13%	54,003,860	89,207,176	-39%
79,566,677	Vehicle Hiring Income	27,463,954	63,516,891	-57%	13,804,173	28,636,372	-52%
-	Local Agency Commission	18,972,222		7,085,874	168%	-		7,085,874	-100%
2,973,106,405	Total Revenue	4,507,085,845	2,373,105,005	90%	2,306,315,717	512,937,093	350%
(2,730,215,005)	Cost of Sales	(3,678,817,859)	(2,176,785,063)	69%	(1,784,868,562)		(462,137,670)	286%
242,891,400	Gross Profit	828,267,986	196,319,942	322%	521,447,155	50,799,423	926%
435,406,681	Other Income	279,097,284		335,693,677	-17%	90,167,245		102,633,215	-12%
678,298,081		1,107,365,270	532,013,619		611,614,400	153,432,638
	Less :
32,473,676	Selling and Distribution Expenses	18,803,538	28,042,135	-33%	9,181,328	4,884,757	88%
391,395,182	Administrative Expenses	341,699,858	320,946,977	6%	125,343,988	103,472,379	21%
(3,329,318)	Impairment Charge / (Reversal) on Trade Receivables	137,637,140	437,706	31345%	93,225,041	(10,328,911)	1003%
62,668,142	Other Operating Expenses	58,147,560		44,456,812	31%	24,015,063		17,342,205	38%
195,090,399	Profit before Interest and Tax	551,077,174	138,129,989	299%	359,848,980	38,062,208	845%
1,849,098	Finance Income	3,735,762	1,412,016	165%	1,370,621	634,618	116%
(177,863,775)	Finance Cost	(22,283,797)	(164,676,474)	-86%	(15,292,414)		(26,235,182)	-42%
(176,014,677)	Net Finance Costs	(18,548,035)		(163,264,458)	-89%	(13,921,793)		(25,600,564)	-46%
19,075,722	Profit / (Loss) before Tax	532,529,139	(25,134,469)	2219%	345,927,187	12,461,644	2676%
(14,570,419)	Income Tax Expense	(125,584,840)		(15,650,664)	702%	(66,576,057)		(22,363,120)	198%
4,505,303	Profit / (Loss) for the Period	406,944,299	(40,785,133)	1098%	279,351,130	(9,901,476)	2921%
	Other Comprehensive Income
	Items that will Never be Reclassified to Profit and Loss
1,065,586	Defined Benefit Plan - Actuarial Gain / (Loss)	(900,000)	(900,000)	0%	(300,000)	(300,000)	0%
(255,741)	Deferred Tax Reversal / (Charge) on Defined Benefit Plan	189,000		216,000	-13%	63,000		48,000	31%
809,845		(711,000)		(684,000)		(237,000)		(252,000)
809,845	Total Other Comprehensive Income, net of Tax	(711,000)		(684,000)	4%	(237,000)		(252,000)	-6%
5,315,148	Total Comprehensive Income for the period	406,233,299		(41,469,133)	1080%	279,114,130		(10,153,476)	2849%
1.24	Basic and Diluted Earnings / (Loss) per Share	112.39	(11.26)		77.15	(2.73)

Figures in brackets indicate deductions.

The above figures are provisional and subject to audit

LANKA ASHOK LEYLAND PLC

INTERIM FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2021

STATEMENT OF CHANGES IN EQUITY

	Stated	General	Retained	Total
	Capital	Reserve	Earnings	Equity
	Rs.	Rs.	Rs.	Rs.
Balance as at 01st April 2020	49,375,150	887,347,500	2,431,362,944	3,368,085,594
Total Comprehencive Income
Loss for the period	-	-	(40,785,133)	(40,785,133)
Other Comprehensive Income, net of Tax	-	-	(684,000)	(684,000)
Total Comprehencive Income	-	-	(41,469,133)	(41,469,133)
Transactions with owners of the Company
Contribution / Distribution
Dividends	-	-	(18,104,215)	(18,104,215)
Total Transactions with Owners of the Company	-	-	(18,104,215)	(18,104,215)
Balance as at 31st December 2020
49,375,150	887,347,500	2,371,789,596	3,308,512,246
Balance as at 01st April 2021
49,375,150	887,347,500	2,419,620,055	3,356,342,705
Total Comprehencive Income
Profit for the period	-	-	406,944,299	406,944,299
Other Comprehensive Income, net of Tax	-	-	(711,000)	(711,000)
Total Comprehencive Income	-	-	406,233,299	406,233,299
Transactions with Owners of the Company
Contribution / Distribution
Dividends	-	-	(7,241,686)	(7,241,686)
Total Transactions with Owners of the Company	-	-	(7,241,686)	(7,241,686)
Balance as at 31st December 2021
49,375,150	887,347,500	2,818,611,668	3,755,334,318
Figures in brackets indicate deductions.

LANKA ASHOK LEYLAND PLC

INTERIM FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2021

STATEMENT OF CASH FLOWS

For the	For the Period Ended 31 st December	2021	2020
Year Ended
31-Mar-21
Rs.		Rs.		Rs.
Audited	Cash flows from Operating Activities
19,075,722	Profit / (Loss) before Tax	532,529,139	(25,134,469)
	Adjustment For :
117,518,042	Depreciation of Property, Plant and Equipment	72,905,525	93,058,225
3,337,817	Amortization of Intangible Assets	2,514,794	2,514,794
15,547,736	Depreciation of Right-of-Use Assets	9,937,720	11,742,028
13,982,157	Provision for Employee Benefits	10,800,000	12,300,000
(3,329,318)	Impairment Provision / (Reversal) on Trade & Other Receivables	137,637,140	437,706
143,666,639	Charge for Provision for Inventory	193,677,069	118,391,327
177,596,091	Finance Costs	22,283,796	162,914,881
(1,779,657)	Interest Income	(3,416,223)	(1,320,751)
(407,986,130)	Lease Interest Income	(260,158,887)	(312,272,552)
(5,779,656)	Gain on Sale of Property, Plant and Equipment	(4,007,019)	(5,779,656)
(189,838)	Charge / (Reversal) for Provision for Free Service	4,742,349	(436,496)
(2,008,524)	Charge / (Reversal) for Provision for Warranty	2,409,922	(1,453,357)
(69,441)	Fair Value Gain on Equity Investments	(27,386)	(91,265)
(39,943,946)	Reversal for Tax Assessment	-		(12,067,729)
10,561,972		189,298,800	67,937,155
29,637,694	Operating Profit before Working Capital Changes	721,827,939	42,802,686
	Working Capital Changes in
(341,265,162)	Inventories	1,140,092,547	1,644,313,599
426,375,842	Trade and Other Receivables	83,876,484	353,570,389
-	Amounts due from Related Party	(21,300,000)	(7,652,745)
478,677,046	Trade and Other Payables	118,498,994	(83,624,070)
1,745,170,053	Amounts due to Related Party	(715,664,066)		24,076,353
2,308,957,779		605,503,959	1,930,683,526
2,338,595,473	Cash Generated from Operations	1,327,331,898	1,973,486,212
(168,928,703)	Interest Paid	(19,132,603)	(156,684,714)
(8,292,837)	Employee Benefit paid	(3,881,040)	(6,252,412)
(14,831,327)	Payments of Income Taxes	(46,459,226)		(2,400,000)
(192,052,867)		(69,472,869)	(165,337,126)
2,146,542,606	Net Cash Generated from Operating Activities	1,257,859,029	1,808,149,086
	Cash flows from Investing Activities
409,767,181	Interest Received	263,963,310	313,981,349
18,675,185	Proceeds from Sale of Property, Plant and Equipment	8,201,711	18,675,185
(24,782,287)	Acquisition of Property, Plant & Equipment	(104,571,944)		(3,063,071)
403,660,079	Net Cash Flows Generated from Investing Activities	167,593,077	329,593,463
	Cash Flows from Financing Activities
551,240,493	Short Term Loans obtained during the period	1,624,425,069	141,416,336
(3,048,177,191)	Short Term Loans repaid during the period	(2,488,149,227)	(2,307,278,361)
(23,631,161)	Payment of Lease Liability	(19,172,789)	(23,090,498)
(18,104,215)	Dividend Paid	(7,241,686)		(18,104,215)
(2,538,672,074)	Net Cash Flows Used in Financing Activities	(890,138,633)	(2,207,056,738)
11,530,611	Net Increase in Cash & Cash Equivalents	535,313,473	(69,314,189)
(48,186,547)	Net Cash & Cash Equivalents at the Beginning of the period	(36,655,936)		(48,186,547)
(36,655,936)	Net Cash & Cash Equivalents at the End of the period	498,657,537	(117,500,736)
	Analysis of Cash & Cash Equivalents at the end of the period
17,278,304	Cash & Cash Equivalents	580,175,429	7,000,123
(53,934,240)	Bank Overdraft	(81,517,892)		(124,500,859)
(36,655,936)		498,657,537	(117,500,736)

Figures in brackets indicate deductions.