TAL Lanka Hotels : Interim financial statements for the quarter ended 31st December 2022

TAL LANKA HOTELS PLC

Interim Financial Statements

For the period ended 31st December 2022

TAL LANKA HOTELS PLC

PROVISIONAL FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST DECEMBER 2022 STATEMENT OF FINANCIAL POSITION AS AT

Audited		Un Audited	Un Audited
Year ended		9 Months ended	9 Months ended
31.03.2022		31.12.2022	31.12.2021
Rs' 000		Rs' 000	Rs' 000
	ASSETS
	NON-CURRENT ASSETS
4,002,574	Property, Plant & Equipment	3,732,393	3,468,411
873	Intangible Assets	211	1,287
765,076	Right of Use Assets	755,182	768,373
18,695	Equity securities designated as at FVOCI	18,695	15,821
808,128	Investments in fixed deposits	-	541,099
5,595,345		4,506,481	4,794,991
	CURRENT ASSETS
63,960	Inventories	113,402	70,499
137,694	Trade and Other Receivables	263,859	109,334
42	Amounts receivable from related parties	1,556	1,125
80,689	Advance and Prepayment	90,865	89,704
6,284	Tax Recoverable	6,284	10,263
-	Investments in fixed deposits	94,251	-
192,196	Cash & Cash Equivalents	142,810	65,499
480,864		713,026	346,425
6,076,209	TOTAL ASSETS	5,219,507	5,141,416
	EQUITY AND LIABILITIES
	CAPITAL AND RESERVES
1,396,375	Stated Capital	1,396,375	1,396,375
4,146	Fair value reserve of Financial assets at FVOCI	4,146	1,560
1,894,366	Revaluation Reserves	1,766,229	1,372,030
(3,161,077)	Retained Earnings	(4,459,661)	(2,112,828)
133,810	Total Equity	(1,292,911)	657,136
	NON-CURRENT LIABILITIES
3,676,884	Interest Bearing Borrowings	3,923,646	2,836,404
566,520	Deferred Tax Liabilities	566,520	420,459
38,078	Retirement Benefit Obligations	41,160	59,504
4,281,482		4,531,326	3,316,367
	CURRENT LIABILITIES
947,081	Interest Bearing Borrowings	1,116,110	470,941
504,478	Trade and Other Payables	696,132	489,460
108,130	Amounts payable to related parties	168,849	132,936
101,228	Bank Overdraft	-	74,576
1,660,917		1,981,092	1,167,913
6,076,209	TOTAL EQUITY AND LIABILITIES	5,219,507	5,141,416
0.96	Net Assets Value per Share (Rs.)	(9.26)	4.71

These Financial Statements are in compliance with the requirements of the Companies Act No. 7 of 2007

Paras Puri

Area Financial Controller- Sri Lanka & Maldives

Director of Finance - Taj Samudra , Colombo

The Board of Directors is responsible for the preparation and presentation of these financial statements. Approved and signed for and on behalf of the Board of Directors of TAL Lanka Hotels PLC

V.Govindasamy	T.De Zoysa - Director
Director	Director
Colombo
10th January 2023

TAL LANKA HOTELS PLC

PROVISIONAL FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST DECEMBER 2022

COMPANY STATEMENT OF PROFIT OR LOSS AND COMPREHENSIVE INCOME

	Quarter ended		9 Months ended
Audited	31st December		31st December
Year ended	Un Audited	Un Audited		Un Audited	Un Audited
31.03.2022	2022	2021	Change	2022	2021	Change
Rs' 000	Rs '000	Rs '000	%	Rs '000	Rs '000	%

1,147,421	Revenue from contract with customers	778,505	373,748	> 100	1,579,689	611,555	> 100
(1,409,814)	Cost of Sales	(590,001)	(377,092)	-56	(1,506,415)	(929,600)	-62
(262,393)	Gross Profit/(Loss)	188,504	(3,344)	> 100	73,274	(318,045)	> 100
312	Other Operating Income	-	167	> -100	814	215	> 100
(44,306)	Marketing Expenses	(25,288)	(11,837)	> -100	(56,387)	(33,275)	-69
(257,422)	Administrative Expenses	(200,694)	(64,655)	> -100	(446,341)	(183,655)	> -100
(563,810)	Loss from Operations	(37,477)	(79,669)	53	(428,640)	(534,761)	20
(1,114,927)	Finance Cost	(129,324)	(37,270)	> -100	(1,025,862)	(98,854)	> -100
22,382	Finance Income	6,593	6,498	1	27,781	14,076	97
(1,656,355)	Loss Before Tax	(160,208)	(110,442)	-45	(1,426,720)	(619,539)	> -100
(58,552)	Tax Expenses	-	-		-	-
(1,714,907)	Loss for the period	(160,208)	(110,442)	-45	(1,426,720)	(619,539)	> -100
	Other Comprehensive income/(expense), net of income tax
	Items that will not be reclassified subsequently to profit or loss:
555,785	Revaluation gain on building	-	-		-	-
13,671	Re-measurement gain/(loss) on defined benefit plans	-	-
2,587	Equity investment at FVOCI - net change in fair value	-	-
572,042	Other Comprehensive Income/(Expense) for the period, Net of Tax	-	-		-	-
(1,142,865)	Total Comprehensive iExpense for the period	(160,208)	(110,442)	-45	(1,426,720)	(619,539)	> -100
(12.28)	Loss per Share (Rs.)	(1.15)	(0.79)		(10.22)	(4.44)

TAL LANKA HOTELS PLC

PROVISIONAL FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST DECEMBER 2022 STATEMENT OF CHANGES IN EQUITY

	Stated	Revaluation	Fair value	Retained	Total
	Capital	Reserve	reserve of	Earnings	Equity
			Financial assets
			at FVOCI
	Rs.'000	Rs.'000	Rs.'000	Rs.'000	Rs.'000
Balance as at 01 April 2021	1,396,375	1,472,378	1,560	(1,593,638)	1,276,675
Loss for the Period	-	-	-	(619,539)	(619,539)
Other Comprehensive Income	-	-	-	-	-
Transfer of depreciation,net of deferred tax	-	(100,348)	-	100,348	-
Balance as at 31 December 2021	1,396,375	1,372,030	1,560	(2,112,828)	657,136
Balance as at 01 April 2022	1,396,375	1,894,366	4,146	(3,161,077)	133,810
Loss for the Period	-	-	-	(1,426,720)	(1,426,720)
Other Comprehensive Income	-	-	-	-	-
Transfer of depreciation,net of deferred tax	-	(128,137)	-	128,137	-
Balance as at 31 December 2022	1,396,375	1,766,229	4,146	(4,459,661)	(1,292,911)

TAL LANKA HOTELS PLC

PROVISIONAL FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST DECEMBER 2022 CASH FLOW STATEMENT

Audited		Un Audited	Un Audited
Year ended		9 Months ended	9 Months ended
31.03.2022		31.12.2022	31.12.2021
Rs' 000		Rs.'000	Rs.'000
	Cash Flows From / (Used in) Operating Activities
(1,656,355)	Loss before Tax	(1,426,720)	(619,539)
	Adjustments for
-	Gain on disposal of property, plant and equipment	(661)	-
377,224	Depreciation on property, plant and equipment	295,323	264,116
2,754	Amortization of intangible asset	662	2,340
13,191	Amortization of Right of use assets	9,893	9,893
7,897	Provision for defined benefit plans	10,129	13,428
5,002	Impairment Provision for Trade and Other Receivables	-	-
890	Impairment Provision/(Reversal) for Inventories	-	(1,503)
(22,382)	Interest income	(27,781)	(14,076)
139,970	Interest expense	253,683	94,303
9,514	Economic service charge write-off	-	5,535
1,003,267	Unrealised exchange loss	731,567	2,458
(119,027)	Operating Profit/(Loss) before Working Capital Changes	(153,905)	(243,045)
(9,640)	(Increase) / decrease in inventories	(49,443)	(13,787)
(107,416)	(Increase) / decrease in trade and other receivables	(126,165)	(74,053)
1,042	(Increase) / decrease in amounts receivable from related companies	(1,514)	(41)
4,833	(Increase) / decrease in deposits, prepayments and advances	(10,176)	(4,182)
105,949	Increase / (decrease) in trade and other payables	191,654	75,370
(11,257)	Increase ) in amounts payable to related companies	60,720	15,274
(135,516)	Cash Generated from Operations	(88,829)	(244,464)
(35,000)	(Investment)/Withdrawals from plan asset	-	(35,000)
(592)	Net Retirement benefits (paid)/receipt from fund	(7,047)	(592)
(10,640)	Interest paid	(445,430)	(8,014)
(5,481)	Income tax paid	-	-
(187,229)	Net Cash flows From/(used in) Operating Activities	(541,305)	(288,070)
	Cash Flows from / (Used in) Investing Activities
-	Net proceeds from disposal of property, plant and equipment	661	-
(13,318)	Purchase of property, plant and equipment	(25,142)	(12,309)
383	Interest received	57,767	170
(387,640)	Net (Investment) / Withdrawal in Fixed deposits	871,560	(387,640)
(400,575)	Net Cash Flows from/(Used in) Investing Activities	904,846	(399,779)
	Cash Flows from (Used in) Financing Activities
387,640	Proceed from related party loans	-	387,640
379,000	Proceed from bank loans	334,044	379,000
-	Repayment of loans	(645,743)	-
(2,000)	Principal Payment under Finance Lease Liabilities	-	(2,000)
764,640	Net Cash Flows Used in Financing Activities	(311,699)	764,640
176,835	Net Increase/(Decrease) in Cash and Cash Equivalents	51,842	76,791
(85,868)	Cash and Cash Equivalents at the beginning of the year	90,968	(85,868)
90,968	Cash and Cash Equivalents at the end of the Period	142,810	(9,077)

For the purpose of the cash flow statement, the Period end cash and cash equivalents comprise of the following:

192,196	Cash at Bank & In Hand	142,810	65,499
(101,228)	Bank Overdraft	-	(74,576)
90,968		142,810	(9,077)