Kelani Tyres’ Share Price Up 30%, Profits Double
Sri Lanka-based manufacturer Kelani Tyres PLC has recently witnessed its share price jump up 30 per cent. Speaking to local newspapers Managing Director Rohan Fernando said apart from the company’s strong performance in the last quarter, he is “unaware of any reason” for this. for share prices to increase except for the high performance of the company in the last quarter. However, he did concede that the stock jump was “an unusual increase in the price of shares traded.”
Fernando noted that the Kelani, which currently has a 65-68 per cent market share is hoping to break the 70 per cent domestic market share barrier by the end of 2008.
Colombo Stock Exchange filings show that profit before tax (PBT) for the last quarter ending 31/03/08 in the company’s Ceat Kelani Associated Holdings (Pvt) Ltd join venture grew 100 per cent from 35 million to 70 million rupees. Ceat Kelani is a 50:50 joint venture.