Profit-takings in Lanka IOC, Expolanka Holdings and Lankem Development; turnover Rs. 4.9 billion

By Hiran H.Senewiratne

The CSE started the day’s trading on a positive note yesterday and later on profit- takings were noted in some selected companies. Those were, Lanka IOC, Expolanka Holdings and Lankem Development, stock market analysts said.

However, some data show that local fuel consumption declined due to the quota system and the high cost of fuel supply, thus enabling fuel imports to drop to US $ 250 million from US $ 500-600 million. This indicated that fuel consumption has not matched the desired output level. Therefore, economic activities are also at a somewhat low level, market analysts said.

Lanka IOC, Expolanka Holdings and Lankem Development share prices declined due to profit -takings. However, Plantation sector counters became active despite the lower yield owing to the rupee depreciation against the dollar.

Amid those developments both indices moved downwards. The All- Share Price Index went down by 16.06 points and S and P SL20 declined by 12.5 points. Turnover stood at Rs 4.9 billion with two crossings. Those crossings were reported in JKH, which crossed 9.6 million shares to the tune of Rs 1.2 billion and its shares traded at Rs 125 and Renuka Holdings 2.3 million shares crossed to the tune of Rs 33.9 million; its shares traded at Rs 14.6.

In the retail market top seven companies that mainly contributed to the turnover were, Expolanka Holdings Rs 381 million (1.6 million shares traded), Lanka IOC Rs 367 million (two million shares traded), JKH Rs 324 million (2.5 million shares traded), Kotagala Plantations Rs 209 million (24.8 million shares traded), Lankem Development Rs 181 million (6.8 million shares traded), Horana Plantations Rs 159 million (3.3 million shares traded) and CIC Holdings Rs 111 million (1.6 million shares traded). During the day 154 million share volumes changed hands in 38000 share transactions.

It is said that high net worth and institutional investor participation was noted in JKH and Melstacorp. Mixed interest was observed in Expolanka Holdings, Lanka IOC and Hayleys Fabric, while retail interest was noted in Agstar, Browns Investments and Prime Lands Residencies.

The Food, Beverage and Tobacco sector was the top contributor to the market turnover (due to Lankem Developments) while the sector index gained 0.17 per cent. The share price of Lankem Development appreciated by Rs. 1.30 (5.33per cent) to close at Rs. 25.70.

Transportation sector was the second highest contributor to the market turnover (due to Expolanka Holdings) while the sector index increased by 6.68 per cent. The share price of Expolanka Holdings increased by Rs. 14.50 (6.69 per cent) to close at Rs. 231.25.