Carson Cumberbatch PLC, one of the richest conglomerates quoted on the CSE, has posted a strong result in the year ended March 31, 2009 with an attributable group profit of Rs.1.78 billion, up from Rs.1.72 billion the previous year, with superior performances from its oil palm plantations (profit of Rs.1.9 billion) and investment holdings and financial services that earned Rs.1.2 billion.

Casron’s Chairman Tilak de Zoysa said that these results had been posted in "one of the toughest years encountered by the group in recent times."

"Despite all odds, Carsons weathered the many challenges posed and emerged resilient amidst the uncertainties that prevailed in our key businesses and markets," he said.

"Now midway through 2009, we look forward to a year that promises a recovery worldwide, coupled with opportunities never before experienced in Sri Lanka."

The consolidated profit of Rs.2.95 billion for the year under review was almost the same as the previous year despite the difficult conditions that had been faced.

Noting that the end of the war against terrorism, that had suppressed the true growth potential of the Sri Lankan economy, de Zoysa said that the achievement of the government and armed forces under the President’s leadership enabled the dawn of the long desired peace.

"In paying tribute to the courage of those who laid down their lives for a better tomorrow for all of us, we can only say that it is now our collective responsibility to ensure that we do not leave room for such colossal sacrifices to be made again by our children in future," he said.

Carsons had continued to optimize investment in its core businesses of plantations and brewing as permitted by its cash resources, the chairman said. They were committing more funds to expand the cultivated areas in the plantation sector and more investment was being made in the Indian brewery joint venture undertaken with Carlsberg of Denmark.

Their investment sector had taken a 15% stake in Durdans Medical and Surgical Hospital Limited taking Carsons into health care, and they will be evaluating similar equity partnerships elsewhere to broad base the group’s exposure to the growth sector in Sri Lanka.

During the year under review Carsons have divested their 36.9% share of Union Assurance to their joint venture partner JKH taking a capital gain.

The share split and capitalization of reserves during the year under review had increased the number of Carson’s shares by almost 16 times "enhancing the liquidity, affordability and tradability of the share," de Zoysa said.

He was upbeat about investment prospects given the newly created opportunities in Sri Lanka and the lower interest rate regime now prevailing. However, there was a need to inject funds and ensure major improvements in the country’s infrastructure which is an essential precursor to development.

"The availability of very long term project financing to fund such projects at competitive long term interest rates is required," de Zoysa said.

Carsons is into beverages, real estate, hotels, airlines and management services in addition to its interest in oil palm plantations and investment holdings and financial services.

The group commands 6.34% of the market capitalization of the CSE.

The company has a stated capital of Rs.1.1 billion, capital reserves of Rs.4.9 billion and revenue reserves of Rs.7.3 billion. Long term borrowings were running at Rs.2.8 billion and borrowings falling within one year at Rs.1.1 billion.

Bukit Darah PLC, a member of the group with 46.40% of the company’s equity is the top shareholder of Carsons followed by Tower Investments Ltd. (10.66%), Fulcrum Ltd. (9.78%) and Lake View Investments (8.79%).The major beneficial owners of the group are Messrs. Manoharan and Hariharan Selvanathan.