August 15, 2011

Bairaha Farms posts 47% profit drop

Bairaha Farms, Sri Lanka's largest poultry firm, has reported a 47% net drop in profits to LKR55.1 million (US$0.35 million) in June 2011 with revenues down 1% to LKR565 million (US$3.6 million).

Bairaha Farms reported earnings of LKR3.45 (US$0.02) per share for the quarter, with Sri Lanka's poultry stocks becoming speculator favourites with the sector being driven up to high multiples.

Sri Lanka's poultry industry is volatile and subject to sudden state intervention. The country's day-old-chick and poultry meat and egg prices rose last year amid shortages as the industry recovered amid state controls of retail prices and corn.