C T : ANNUAL REPORT 2021/2022

Creating Value since 1928

C T HOLDINGS PLC

Annual Report 2021 2022

CONTENTS

Overview

Our Business at a Glance	01
Milestones	02
Profile of Businesses	04
Financial Highlights	06
Operational Spotlight	07

Stewardship

Chairman's Message	08
Management Discussion and Analysis	10
Profile of Directors	14
Corporate Governance	17
Risk Assessment	20
Report of the Remuneration Committee	22
Report of the Nominations Committee	23

Financial Reports

Report of the Related Party Transactions Review Committee	24
Annual Report of the Board of Directors of the Company	28
Report of the Audit Committee	31
Statement of Directors' Responsibility	33
Independent Auditors' Report	34
Statement of Profit or Loss and Other Comprehensive Income	40
Statement of Financial Position	41
Statement of Changes in Equity	42
Statement of Cash Flows	44

Supplementary

Notes to the Financial Statements	46
Five Year Review - Group	134
Group Directory	135
Information of Shareholders	139
Notice of Annual General Meeting	143
Form of Proxy	147
Corporate Information	Inner Back Cover

OUR BUSINESS AT A GLANCE

C T Holdings PLC then known as Ceylon Theatres Limited was incorporated in 1928 with its primary focus on the entertainment industry. The Company owned and operated a string of cinemas in various parts of the country including such well known destinations such as Regal Colombo, Empire and Majestic cinemas.

The Company also set up the first film production and processing facilities in the country with the establishment of Ceylon Studios Ltd in 1956, thus paving the way for the development of the local film production expertise.

Despite the Company's first production "Asokamala" being unsuccessful, the Company persevered to subsequently produce hit films such as "Golu Hadawatha", "Akkara Paha", "Sakman Maluwa" etc. The hit film "Nidhanaya" was adjudged the best Sri Lankan film produced in the past 50 years.

Anticipating the effects of the changes within the film industry in the 1970s and 80s, the Company began to diversify into other areas of business, notably, consolidating its interest in Millers Limited and through it, Cargills (Ceylon) Ltd. (now Cargills (Ceylon) PLC). Millers Ltd was subsequently merged with C T Holdings PLC.

The Company also diversified into Financial Services and Real Estate. The subsidiary Cargills shed the Department Store concept to introduce and expand the Supermarket concept to Sri Lanka. This change was to be the most significant change to the Group and the backbone of future growth. Cargills also expanded into Food Processing, Restaurants, Dairy, Agri Business and Confectionery. A fully fledged Commercial Bank under the name 'Cargills Bank' was also set up by the Group. All this while also staying true to its roots in cinema business by developing cinemas with digital sounds, 3D viewing and upgrading facilities for patrons.

C T Holdings is now a diversified Group with an interest in Retail and Wholesale Distribution, FMCG, Restaurants, Real Estate, Entertainment, and Banking & Financial Services.

01	C T HOLDINGS PLC
Annual Report 2021	2022

MILESTONES

1928

Ceylon Theatres Limited established,

focusing primarily on the entertainment industry by Sir Chittampalam A. Gardiner.

1981

Acquired Millers

and Cargills and

ventured into retail

and distribution

under the

leadership of

1991

Mr. Albert A Page.

Completed the

Majestic City

shopping and

entertainment mall

through CT Land

Development PLC.

1992

2006

Entered the

Cargills

financial services

commissioned

sector through

its new state-

C T Smith

of-the art meat

Stockbrokers

processing facility.

(Member, Colombo

Stock Exchange) -

now re named as

1996

C T CLSA

Securities (Private)

KFC franchise

Limited.

awarded to

Cargills diversified

Cargills.

into food

processing with the

1999

acquisition of the

Goldi processed

Entered the

meat plant - now

Ceramic / Tiles,

known as Cargills

Plantation and

Quality Foods Ltd.

Packaging sectors.

2008	2009
Ceylon Theatres	C T Properties
merged with its	Limited completed
subsidiary Millers	its flagship
PLC to create an	'Empire' residential
investment holding	development					2010
Company.	project.
Cinema exhibition								Name of Ceylon
							Theatres PLC
operation
							changed to C T
transferred to a
2011							Holdings PLC
wholly owned
subsidiary, Ceylon	Cargills acquired
Theatres (Private)
Limited.	controlling
	interest in
	Kotmale Holdings
	PLC. Cargills
	also acquired
	Diana Biscuits
	Manufacturers
	(Private) Limited
	(subsequently
2002	re-named
Cargills acquired	Cargills Quality
Confectioneries				2012
the Walls Ice	(Pvt) Ltd).
Cream plant and								Cargills entered
CPC/Best foods
							the brewery sector.
production facility
							Ceylon Theatres
of jams, cordials
							added three new
and sauces.
							screens to the
								Majestic Cineplex
								including Sri
								Lanka's first ever
								3D cinema.

C T HOLDINGS PLC	02
Annual Report 2021 2022

				2021
2015		2016		Cargills launched
Retail sector		Cargills Bank		Cargills Online
		web portal for
comprising the		began expansion		online ordering and
supermarkets spun		of its network	2017	delivery
off into a separate		by opening 11	Cargills	Opened Cargills
Company with		branches.
	Square Mall,
new direct equity			commissioned
		Dematagoda
injection into the			the expanded
Company. Two new			dairy facility.
cinema screens			Cargills Square
set up by Ceylon			mall Gampaha
Theatres at Arcade			opened with a
Independence		2018	supermarket, KFC
Square, the		and two cinema
Group's Regal		Regal Cinema in	screens.
cinema was
	Nuwara Eliya fully
refurbished.	2014		2020
refurbished and
Cargills exited the
Group received	re-opened.
brewery sector.		Cargills
	license to set up			commenced its
	and operate a			175th year of
	Commercial Bank.		2019	operations
	Cargills Square Mall		Cargills opened the
	opened in Jaffna.
		C T Holdings	400th Cargills Food
	Exited the Ceramic
		completed 90	City supermarket
	/ Tiles, Plantation
		years of operations	in Wattala in early
	and Packaging
			2020
	sectors.		Cargills opened
			Cargills Food Hall,	Launched the
2013			bringing Sri Lanka's	Kotmale Cheese
		processing plant in
			first gourmet
Cargills set up			supermarket	Hatton
the TGI Fridays			experience at the
Franchise			Colombo City
Restaurant in			Centre Shopping
Colombo, Fort.			Mall
		03		C T HOLDINGS PLC
			Annual Report 2021 2022