nippon cement tokyo cement company (lanka) plc …

IN TERMS OF RULE 7.4 OF THE COLOMBO STOCK EXCHANGE

" NIPPON CEMENT "

TOKYO CEMENT COMPANY (LANKA) PLC

INTERIM FINANCIAL STATEMENTS (Unaudited)1st QUARTER

FOR THE QUARTER ENDED 30th JUNE 2021

::

CORPORATE INFORMATION

Appointed on 1st April 2021Non Executive Director & Nominee Director of Ube Singapore Holdings Pte. Ltd -

Page 1 of 11

Tokyo Cement Company (Lanka) PLC:NAME OF THE COMPANY

PQ 115:COMPANY REGISTRATION NO

A public Quoted Company with Limited Liability, Incorporated in :LEGAL FORM

Sri Lanka in 1982 and Listed on 1st January 1984

:BOARD OF DIRECTORS

Chairman and Non Executive Independent DirectorDr Harsha Cabral PC

Managing DirectorMr S. R. Gnanam

Non Executive DirectorMr A.S.G. Gnanam

Non Executive DirectorMr E. J. Gnanam

Non Executive Independent DirectorMr R Seevaratnam

Non Executive Independent DirectorMr Ravi Dias

DirectorMr W .C Fernando

Non Executive Independent DirectorMr Asite Talwatte

Mr Yaoki Hashimoto

Non Executive Independent Director Dr Indrajit Coomaraswamy

Seccom (Private) Limited, (Company Secretaries):COMPANY SECRETARIES

1E - 2/1, De Fonseka Place, Colombo 5

T Phone +9411 2590 176 Fax +9411 2 581618

E_Mail [email protected]

469 - 1/1 Galle Road, Colombo 3:HEAD OFFICE

T Phone +9411 2 558 100 Fax +9411 2 500 897

Web Site www.tokyocement.lk

Tokyo Cement Power (Lanka) (Private) Limited:SUBSIDIARY COMPANIES

Tokyo Eastern Cement Company (Private) Limited :

Tokyo Super Aggregate (Private) Limited:

Tokyo Supermix (Private) Limited:

BDO Partners, (Chartered Accountants):AUDITORS

Chittampalam A Gardiner Mawatha, Colombo 2

NominationRelated Party RemunerationAuditCOMMITTEE MEMBERS

CommitteeCommitteeCommitteeCommittee

_/_/Dr Harsha Cabral PC

_/_/_/_/Mr R Seevaratnam

_/_/_/_/Mr Ravi Dias

_/_/Mr Asite Talwatte

_/Mr S R Gnanam

::

Revenue from Contracts with Customers

PeriodTotal Comprehensive Income for the

Basic Earnings Per Share ( Rs)

Page 2 of 11TOKYO CEMENT COMPANY (LANKA) PLC

STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

- FOR THE THREE MONTHS PERIOD ENDED 30TH JUNE 2021 - COMPANY

COMPANY

Three Months Ended 30th June

% Change20202021

+/ (-)Rs ' 000Rs ' 000Continuing Operations

85%3,510,7546,503,025

98%(2,855,511)(5,646,395)Cost of Sales

---------------------------------------

31%655,243856,630Gross Profit

-56%6,0682,680Other Income

---------------------------------------

30%661,311859,310

182%(344,241)(969,672)Distribution Expenses

36%(189,171)(256,351)Administrative Expenses

---------------------------------------

-387%127,899(366,713)Profits / (Loss) from Operation

67%300,000500,000Dividend Income

-473,020Profit on Disposal of Vessel

---------------------------------------

42%427,899606,307Profit Before Interest and Taxation

-55%7,8053,479Finance Income

-64%(360,450)(129,282)Finance Expenses

---------------------------------------

75,254480,504Profit Before Taxation

-(86,491)Income Tax Expenses

---------------------------------------

75,254394,013PROFIT for the Period

--Other Comprehensive Income

---------------------------------------

75,254394,013

=====================

0.190.98

Sgd5th August 2021

Mr Ajith KumaraCOLOMBO

General Manager - FinanceThe above figures are provisional and subject to Audit

::

of 11TOKYO CEMENT COMPANY (LANKA) PLC

STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

- FOR THE THREE MONTHS PERIOD ENDED 30th JUNE 2021 - GROUP

GROUP

Three Months Ended 30th June

% Change20202021

+/ (-)Rs ' 000Rs ' 000

Continuing Operations

38%7,720,25110,663,557Revenue from Contracts with Customers

53%(5,620,162)(8,624,947)Cost of Sales

--------------------------------------------------

-3%2,100,0892,038,610Gross Profit

-43%6,8923,895Other Income

--------------------------------------------------

-3%2,106,9812,042,505

139%(683,649)(1,634,144)Distribution Expenses

40%(238,552)(333,593)Administrative Expenses

--------------------------------------------------

-94%1,184,78074,768Profits from Operations

-473,020Profit on Disposal of Vessel

--------------------------------------------------

-54%1,184,780547,788Profit Before Interest and Taxation

-9%11,28710,229Finance Income

-66%(440,289)(149,391)Finance Expenses

--------------------------------------------------

-46%755,778408,626Profit before Taxation

49%(74,199)(110,827)Income Tax Expenses

--------------------------------------------------

-56%681,579297,799Profit for the Period

--Other Comprehensive Income

-56%681,579297,799Total Comprehensive Income for the Period

-57%692,634296,733Attributable to Equity of the Parent

-110%(11,055)1,066Non Controlling Interest

1.730.74Basic Earning Per Share ( Rs)

The above figures are provisional and subject to Audit

::

Company

required by the Colombo Stock Exchangefor the peeriod then ended are drawn up from the unaudited accounts of the Company, and they provide the informationStatement of Financial Position of the Company as at 30th June 2021 and the Consolidated Statement of Comprehensive Income

accounts for circulation to the members of the Company in terms of Rule 7.4 of the Colombo Stock ExchangeThe Board of Directors at its meeting held on 5th August 2021, on the Recommendation of the Audit Committee, approved the


Page 4 of 11CONSOLIDATED STATEMENT OF FINANCIAL POSITION

AS AT 30th JUNE 2021

Group

31 st March30th June31 st March30th June

2021202120212021

Rs ' 000Rs ' 000Rs ' 000Rs ' 000ASSETS

Non Current Assets

13,389,93413,187,21328,248,73428,060,205Property, Plant and Equipment

1,249,1011,238,0891,518,3051,492,940Right of Use Assets

34,12538,93675,51579,734Intangible Assets

12,237,17712,237,177--Investments in Subsidiaries

----------------------------------------------------------------------

26,910,33726,701,41529,842,55429,632,879Total Non Current Assets

----------------------------------------------------------------------

Current Assets

2,245,2561,929,0333,239,7853,404,981Inventories

2,905,8613,096,0704,554,4545,038,870Trade and Other Receivables

589,094589,379--Amount Due from Subsidiaries

--7,9888,073Financial Assets at Amortized Cost

240,976683,9041,489,0311,454,052Cash and Cash Equivalents

----------------------------------------------------------------------

5,981,1876,298,3869,291,2589,905,976Total Current Assets

----------------------------------------------------------------------

32,891,52432,999,80139,133,81239,538,855TOTAL ASSETS

====================================

Figures in brackets indicate deductions

Sgd Mr W C FernandoSgd Mr S R Gnanam

DirectorManaging Director5th August 2021

COLOMBO

::

Company


CONSOLIDATED STATEMENT OF FINANCIAL POSITION

Page 5 of 11AS AT 30th JUNE 2021

Group

31 st March30th June31 st March30th June

2021202120212021

Rs ' 000Rs ' 000Rs ' 000Rs ' 000

EQUITY AND LIABILITIES

Capital and Reserves

4,239,6114,239,6114,239,6114,239,611Stated Capital

12,242,13612,134,96217,743,57617,539,122Retained Earnings

------------------------------------------------------------------------

16,481,74716,374,57321,983,18721,778,733Equity Attributable to Equity holders of Parent

--63,92764,993Non Controlling Interest

------------------------------------------------------------------------

16,481,74716,374,57322,047,11421,843,726Total Equity

Non Current Liabilities

3,450,0002,953,7763,962,5713,467,745Interest Bearing Borrowing

884,225913,4432,218,3432,260,900Deferred Tax Liability

262,727277,470358,762376,610Retirement Benefits Obligations

246,673236,441425,726402,854Finance Lease Obligation

------------------------------------------------------------------------

4,843,6254,381,1306,965,4026,508,109

------------------------------------------------------------------------

CURRENT LIABILITIES

4,441,8174,651,9735,377,2615,856,396Trade and Other Payables

2,963,0943,440,748--Amount Due to Related Parties

3,965,7703,543,3804,212,8084,308,463Short Term Borrowings

35,00236,35094,55985,070Finance Lease Obligation

160,469571,647436,668937,091Bank Overdraft

------------------------------------------------------------------------

11,566,15212,244,09810,121,29611,187,020Total Current Liabilities

------------------------------------------------------------------------

32,891,52432,999,80139,133,81239,538,855TOTAL EQUITY AND LIABILITIES

====================================

Net Assets Represented by :

267,300,000267,300,000267,300,000267,300,000 Ordinary Shares - Voting

133,650,000133,650,000133,650,000133,650,000 Ordinary Shares - Non Voting

41.1140.8454.8354.32Net Assets Per Share

::


STATEMENT OF CASH FLOWS

COMPANYGROUP

30-06-2030- 06 - 2130-06-2030- 06 - 21FOR THE PERIOD ENDED 30th JUNE

Rs ' 000Rs ' 000Rs ' 000Rs ' 000

Cash Flow from Operating Activities

Cash Generated from OperationsA

75,254480,504755,778408,626Profit before Taxation

-Adjustment for -

183,943206,480352,045378,822Depreciation

16,31617,99918,31521,456Provision for Gratuity

-(473,020)-(473,020)(Profit) on Sale of Vessel

13,31915,36714,62030,312Amortization of Lease/Intangible Assets

(90)(3,479)(400)(10,229)Interest Income

346,275125,127414,891140,665Interest Expense

(300,000)(500,000)--Dividend Income

1,1074,1553,6488,726Lease Interest

----------------------------------------------------------------

336,124(126,867)1,558,897505,358Operating Profit before Working Capital Change

461,037316,223948,741(165,196)(Increase) / Decrease in Inventory

259,676(247,482)329,850(553,014)(Increase) / Decrease in Receivables

(105,148)210,156181,321479,135Increase / (Decrease) in Payables

528,096477,369--Advance (to) /From Subsidiary Companies

1,479,785629,3993,018,809266,283Cash Generated from Operation

(346,275)(125,127)(414,891)(140,665)Interest Paid

---(9,506)Income Tax Paid

-(3,256)(1,559)(3,608)Gratuity Paid

1,133,510501,0162,602,359112,504Net Cash from Operating Activities

Cash Flow from Investing Activities

(81,410)(105,118)(313,601)(291,652)Purchase and Construction of Property, Plant and Equipment

-574,379-574,379Sale Proceeds from Disposal of PPE

-(9,166)-(9,166)Intangible Assets Acquired

--(121)(85)Withdrawal of Short Term Investment

300,000500,000--Dividend Received

903,47940010,229Interest Received

218,680963,574(313,322)283,705Net Cash Generated in Investing Activities

Cash Flow from Financing Activities

(683,619)(918,614)(1,290,079)(399,171)Receipt/(Repayment) of Term Loans ( net)

(6,980)(13,039)(10,139)(31,253)Lease Rental Paid

-(501,187)-(501,187)Dividend Paid

(690,599)(1,432,840)(1,300,218)(931,611)Net Cash Generated /(used) in Financing Activities

661,59131,750988,819(535,402)Net Increase / (Decrease) in Cash and Cash Equivalents

(515,123)80,507(959,513)1,052,363Cash and Cash Equivalents at Beginning of Year

146,468112,25729,306516,961Cash and Cash Equivalents at End of Year

Analysis of Cash and Cash EquivalentsB

301,735683,904731,3291,454,052Bank and Cash Balances

(155,267)(571,647)(702,023)(937,091)Bank Overdrafts

146,468112,25729,306516,961

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Page 7 of 11STATEMENT OF CHANGES IN EQUITY

Attributable to Equity Shareholders

TOTALNon TotalRetainedStated CapitalGROUP

EQUITYControlling EarningsVoting and

InterestNon Voting

Rs ' 000Rs ' 000Rs ' 000Rs ' 000Rs ' 000

17,249,86293,30017,156,56212,916,9514,239,611Balance as at 1st April 2020

681,579(11,055)692,634692,634-Profit/ (Loss) for the Period

--------------------------------------------------------------------------------------

17,931,44182,24517,849,19613,609,5854,239,611Balance As at 30th June 2020

============================================

22,047,11463,92721,983,18717,743,5764,239,611Balance as at 1st April 2021

297,7991,066296,733296,733-PROFIT for the Period

(501,187)-(501,187)(501,187)Dividends Paid

--------------------------------------------------------------------------------------

21,843,72664,99321,778,73317,539,1224,239,611Balance As at 30th June 2021

============================================

COMPANY

TOTALRetainedStated Capital

EQUITYEarningsVoting and

Non Voting

Rs ' 000Rs ' 000Rs ' 000

15,565,79311,326,1824,239,611Balance as at 1st April 2020

75,25475,254-PROFIT for the Period

-----------------------------------------------------

15,641,04711,401,4364,239,611Balance As at 30th June 2020

===========================

16,481,74712,242,1364,239,611Balance as at 1st April 2021

394,013394,013-PROFIT for the Period

(501,187)(501,187)-Dividends Paid

-----------------------------------------------------

16,374,57312,134,9624,239,611Balance As at 30th June 2021

===========================

st March 2021 and are in compliance with LKAS 34 - Interim Financial Reporting of the Company and Group.The Company has followed the same Accounting Policies as disclosed in the Annual Report for the financial year ended 31

Amount Due to Subsidiary Companies for Rs. 3,440 million.Regulations No. 04 of 2020, dated 16th July 2020] on account of importation of finished goods for Rs.2,526 million andCurrent Liabilities of the Company include Bills Payable after 180 days [as regulated by Imports and Exports (Control)

presentation.year. The previous year's figures and phrases have been re-arranged wherever necessary to conform to the current year'sThe accounting policies have been consistently applied by the Company and are consistent with those of the previous

reportsignificant change in the nature of the contingent liability and contingent asset which were disclosed in the previous annualNo material events subsequent to the period have occurred where adjustments are necessary. There has been no

Page 8 of 11NOTES

Dividend Payments1

Non VotingVotingDate

Ord ShareOrd SharePaid

Rs 1/50Rs 1/5022nd Oct 2020First and Final Dividends 2019/20

per shareper share

Rs 1/25Rs 1/255th July 2021First Interim Dividends 2020/21

per shareper share

Share Trading from 1 st April 2021 to 30th June 20212

30th June 2030th June 2130th June 2030th June 21

Non VotingNon VotingVotingVoting

6,02314,91210,68810,322No of Transactions

16,467,71127,158,46131,723,81515,202,529No of Shares Traded

430,674,5661,772,060,461917,706,8301,084,551,863Value of Shares Traded (Rs)

Stated Capital of Rs 4,239,611,750/= is Represented by : 3

267,300,000 Ordinary Shares - Voting

133,650,000 Ordinary Shares - Non Voting

Accounting Policies4

5

Sale of Electricity to The National Grid6

The excess power generated from the Biomass power plant is sold to the National Grid.

Comparative Information7

Events After the Reporting Period8

::

of public shareholding. (as per the Rule no 7.13.1 (a) of continuing listing requirement of the CSE). ordinary shares, Tokyo Cement (Lanka) PLC complies with the option 3 and option 2 respectively for minimum requirementAs the float adjusted market capitalization is less than Rs 7.5 Bn for Voting ordinary shares & less than 10 Bn for Non-Voting

Page 9 of 11NOTES - Continued

Holding and Subsidiary Companies9

% holdingSubsidiary Companies

100 %Tokyo Cement Power (Lanka) (Pvt) Limited

100 %Tokyo Eastern Cement Company (Pvt) Limited

51 %Tokyo Super Aggregate (Pvt) Limited

100 %Tokyo Supermix ( Pvt) Limited

The Group accounts for the period 2020/21 includes the operating results of the subsidiary companies

30th June 2030th June 2130th June 2030th June 21Market Price per Share10


30.1072.0034.2077.40Highest for The Period

16.0058.9019.2064.60Lowest for The Period

29.3059.1033.3065.80Last Traded for The Period

Public Shareholding11

30th June 2030th June 2130th June 2030th June 21


100 %100 %39.16 %39.16 %The percentage of shares held by Public

4,53668375,3216,895No of Public Shareholders

30th June 2030th June 2130th June 2030th June 21Float Adjusted Market Capitalization12


RsRsRsRs

3,915,945,0007,898,715,0003,485,666,8446,887,593,944

Minimum Public Holding13

::


30th Jun 2030th Jun 21Twenty Largest Voting Shareholders as at

%No of Shares%No of Shares

27.5%73,507,17227.5%73,507,172St. Anthonys Consolidated (Pvt) Ltd

20.1%53,820,75620.1%53,820,756South Asian Investment (Pvt) Ltd

10.0%26,730,00010.0%26,730,000Ube Singapore Holdings Pte. Ltd

6.2%16,528,3166.0%16,038,000Marina Bay Holding And Investment Pte.Ltd.

3.0%8,019,3673.0%8,019,367Capital City Holdings (Private) Limited

0.3%683,3132.9%7,739,372J.B. Cocoshell (Pvt) Ltd

1.2%3,245,6031.2%3,245,603Northern Trust Company S/A Apollo Asia Fund Limite

-Not in Top 20 List1.2%3,209,263Peoples Leasing & Finance Plc/Hi Line Trading (Pv

-Not in Top 20 List1.0%2,584,594Hatton National Bank Plc-Ndb Wealth Growth And Inc

0.9%2,400,0000.9%2,400,000State Street Luxembourg C/O Ssbt-Goodhart Partners

-Not in Top 20 List0.6%1,655,301Sezeka Limited

-1,096,9400.4%1,096,940Mr. R. Maheswaran

-1,096,9390.4%1,096,939Miss A. Radhakrishnan

0.4%1,096,9390.4%1,096,939Miss M.P. Radhakrishnan

0.4%1,031,5650.4%1,031,565Employees Trust Fund Board

0.0%Not in Top 20 List0.4%1000000Hatton National Bank Plc/Sri Dhaman Rajendram Arud

-Not in Top 20 List0.3%870,000Dfcc Bank Plc A/C 1

-Not in Top 20 List0.3%764,083Mr. M.Z. Mohamed Ghouse

-Not in Top 20 List0.3%752,146Amana Bank Plc/Mr.Mohamed Nayaz Deen

-Not in Top 20 List0.3%749,338Ayenka Holdings Private Limited

70.80%189,256,91077.6%207,407,378TOTAL

Twenty Largest Non Voting Shareholders as at

30th Jun 2030th Jun 21

%No of Shares%No of Shares

7.90%10,561,7897.9%10,561,789Northern Trust Company S/A Apollo Asia Fund Limite

Not in Top 20 List4.9%6,608,204Serendip Investments Limited

4.22%5,643,5244.2%5,643,524Employees Provident Fund

1.69%2,259,3602.5%3,382,944Deutsche Bank Ag-National Equity Fund

3.68%4,914,6062.5%3,343,706Deutsche Bank Ag As Trustee For Jb Vantage Value E

3.16%4,226,0002.1%2,826,000Gf Capital Global Limited

Not in Top 20 List1.5%2,012,000Seylan Bank Plc/Aasiri Manmohan Iddamalgoda

Not in Top 20 List1.3%1,787,000Mr. K.A.S.R. Nissanka

1.35%1,808,6681.0%1,290,794Peoples Leasing & Finance Plc/Hi Line Trading (Pv

-Not in Top 20 List0.9%1,250,000Dfcc Bank Plc/A.R. Fernando

0.00%

Not in Top 20 List0.9%1,143,104Askold (Private) Limited

Not in Top 20 List0.9%1,140,524Sezeka Limited

0.82%1,093,7260.9%1,139,726Mr. Y.A.H. Rajkotwala

0.77%1,024,9170.8%1,120,695Bank Of Ceylon A/C Ceybank Century Growth Fund

Not in Top 20 List0.7%975,000Mercantile Investments And Finance Plc

-

0.65%873,0300.7%873,030Mr. V.A.D.L.W. Perera

-Not in Top 20 List0.6%859,826Mr. M.A. Jafferjee

1.10%1,472,5150.6%857,589Dfcc Bank Plc A/C 1

-Not in Top 20 List0.6%839,199Mr. A.N. Esufally

Not in Top 20 List0.6%820,620Mr. M.F. Shabdeen

-

25.35%33,878,13536.3%48,475,274TOTAL

::

(Private) LimitedSt Anthony's Consolidated

Singapore Pte. Ltd )and Nominee Director of UBE Mr Yaoki Hashimoto (Non Executive

Page 11 of 11TOKYO CEMENT COMPANY (LANKA) PLC

Non Voting Ordinary SharesVoting Ordinary SharesDirectors / CEO's Shareholdings

No ofNo ofNo ofNo of

Shares HeldShares HeldShares HeldShares Held

As at 30/06/20As at 30/06/21As at 30/06/20As at 30/06/21

0073,507,17273,507,172

001414Mr Gnanam A S G

001414Mr Gnanam S R - Managing Director/CEO

001414Mr Gnanam E J

0026,730,00026,730,000Ube Singapore Holdings Pte. Ltd

0000

71,28071,28000Mr W .C Fernando - Director

Independent Non Executive Directors

0000Mr Ranjeevan Seevaratnam

0000Dr Harsha Cabral PC

0000Mr Ravi Dias

0000Mr Asite Talwatte

0000Dr Indrajit Coomaraswamy

--------------------------------------------------------------------------------

71,28071,280100,237,214100,237,214

==========================================

133,650,000133,650,000267,300,000267,300,000Total Shares in Issue

Chief Executive Officer's Shareholding

Mr S R Gnanam, the Managing Director and Chief Executive Officer is also director and shareholder of the following companies

Non Voting Ordinary SharesVoting Ordinary Shares

No ofNo ofNo ofNo of

Shares HeldShares HeldShares HeldShares Held

As at 30/06/20As at 30/06/21As at 30/06/20As at 30/06/21

NilNil73,507,17273,507,172St Anthony's Consolidated ( Pvt) Limited

NilNil53,820,75653,820,756South Asian Investment (Pvt) Limited

NilNil8,019,3678,019,367Capital City Holdings (Pvt) Limited

NilNil545,292545,292St Anthony's Hardware (Pvt) Limited

--------------------------------------------------------------------------------

NilNil135,892,587135,892,587TOTAL

==========================================

........................End..........................

::

nippon cement tokyo cement company (lanka) plc …

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