Hayleys MGT Knitting Mills has reported a turnover of US$ 31.9 million for the six months ending September 30, 2008, a growth of 12 % over the first half of the previous year.
This growth was achieved despite production volumes remaining on par with that of the corresponding six months, and was made possible by a greater focus on value added products in the company’s portfolio, Hayleys MGT Joint Managing Director Bandula Weerasinghe said in a press release.
However, the additional costs of energy in the period reviewed had negated these gains by eroding margins, he disclosed.
The company’s profit after tax and Economic Service Charge (ESC) at $ 1.425 million reflected a decline of 45 % over the first six months of 2006-07, despite the growth in turnover.
In order to offset the rising costs of energy, Hayleys MGT Knitting Mills has invested significantly on a biomass steam generator which is expected to be commissioned before the end of the financial year, Mr. Weerasinghe said. This is believed to be the biggest firewood fuelled steam energy generator in the country, he added.