Tokyo Cement Co (Lanka) Ltd sees revenues fall in 4Q19

Tokyo Cement Co (Lanka) Ltd earned profits of LKR257m (US$1.42m) in the December quarter. Revenues fell 13 per cent to LKR8.2bn in the quarter, but cost of sales fell at a faster 23 per cent to LKR6bn, helping grow gross profits 32 per cent to LKR2.2bn.

In addition, distribution expense grew 18 per cent to LKR1.05bn. Sri Lanka has cut value added tax on cement, but also tightened price controls.

Tokyo Cement Co (Lanka) Ltd runs grinding plants in the country and also distributes imported cement. Tokyo Cement has been using coal ash from Sri Lanka's power plants to supplement clinker at its grinding plants, reports Economy Next.