• Exceptional earnings performance driven by operational efficiencies, volume growth and cost optimization
• Reinforcing sustained value creation through disciplined execution and improved product offerings

Harischandra Mills PLC, an Ambeon Group company, reported a strong financial performance for 1QFY27, with Profit After Tax (PAT) growing by 147% year-on-year to LKR 91.8 million. Revenue increased by 31% to LKR 1.9 billion, while gross margins expanded to 18% during the quarter. The strong earnings momentum reflects not only the Company’s ability to navigate a challenging macroeconomic environment but also its success in unlocking value across key business segments.

The robust performance was primarily driven by easing raw material costs, volume growth, operational efficiencies and process improvements. The Food segment, Harischandra’s core operating segment, remained the key driver of topline growth, recording a 22% increase in revenue, supported by both price and volume growth. It also contributed significantly to profitability, with segment operating profit rising by 132% to LKR 83.2 million, supported by process improvements and enhanced operational efficiencies. Additionally, the company benefited from a decline in agricultural input prices during the quarter.

Commenting on the Company’s performance, Chairman Mr. Tissa Bandaranayake stated:
“These results were achieved amidst challenging macroeconomic conditions, including inflationary pressures and rising fuel costs linked to global developments. This performance reflects the resilience of our business and the strength of our operating model.”

Executive Director, Dr. Sajeeva Narangoda added: “We have a clear roadmap for Harischandra, with a strong focus on process improvements, strengthening our sales channels, and to improve the value propositions across the diverse product range. These initiatives are expected to drive sustained growth in the coming quarters.”

The Board of Directors of Harischandra Mills PLC comprises Mr. T. K. Bandaranayake (Chairman), Mr. S. N. Samarasinghe (Managing Director), Dr K. S. Narangoda (Executive Director), Mr. L. L. S. Wickremasinghe, Mr. S. A. S. Jayasundara, Mr. D. T. S. H. Mudalige, Mr. P. A. De Silva and Mr. S. L. Sebastian.