Swadeshi Industrial Works PLC, an old established, modestly capitalized company manufacturing and marketing personal care and fabric care products including toilet soap, laundry soap, detergents and personal care products, has posted a 44% increase in group turnover to Rs.1.7 billion in the year ended March 31, 2009 and posted a profit after-tax of Rs.8.3 million against a loss of Rs.7.9 million the previous year according to the company’s annual report.

The company founded in 1941 which has a stated capital of Rs.1.3 million and whose ten-rupee share was last transacted at Rs.2,850 is closely held and had paid no dividends for the past several years.

The biggest single shareholder of Swadeshi is Dr. T. Senthilverl with 35.30% followed by Mrs. A.M. Wijewardene with 33.45% and Sedawatte Exports Limited with 19.43%.

Mrs. Wijewardene, Chairperson/MD of the company, has said in the annual report that with the cessation of the war and improved security, there will be opportunities to distribute products in the North and the East in the future.

She also reported that the reduction in international energy prices in the latter half of the financial year under review had helped reduce manufacturing cost.

"Expansion of the distribution network, timely introduction of new products and continued brand development activities contributed positively to higher turnover," the Chairperson said.

She also reported that interest cost had increased to Rs.62.3 million for the group from Rs.47.4 million the previous year on account of higher interest rates.

"We will focus on improving distribution and the availability of products across the country, with special attention being paid to the North and East," she said.

"We will consolidate our efforts to enhance the brand image of our products during the ensuing year. Measures will also be implemented to improve our working capital and cost management."