Ceylon Guardian Investment Trust : GUAR - Interim Financials 31 December 2022

Ceylon Guardian Investment Trust PLC

Statement of Profit or Loss and Other Comprehensive Income - Group

(All figures are in Sri Lankan Rupees thousands)

	Three months ended		Nine months ended
	31st December			31st December
	2022	2021	Change %		2022	2021	Change %
Continuing operations
Revenue	310,021	335,640	(8)	667,381	783,071	(15)
Net change in fair value through profit or loss
financial assets	(657,732)	826,174	(180)	(35,184)	455,655	(108)
Profit/(loss) on investment activities	(347,711)	1,161,814	(130)	632,197	1,238,726	(49)
Administrative and other operating expenses	(72,126)	(53,072)	36	(202,245)	(152,340)	33
Profit/(loss) from operations	(419,837)	1,108,742	(138)	429,952	1,086,386	(60)
Profit/ (loss) from disposal of investment in
subsidiary	-	(156,021)	(100)	-	(156,021)	(100)
Net finance expense	(43,766)	(1,170)	3,641	(91,491)	(4,982)	1,736
Profit/(loss) before taxation	(463,603)	951,551	(149)	338,461	925,383	(63)
Income tax expense	(45,216)	(13,715)	230	(106,111)	(39,334)	170
Profit/(loss) for the period from continuing
operations	(508,819)	937,836	(154)	232,350	886,049	(74)
Discontinued operations
Profit after tax for the period from discontinued
operations	(484)	1,192	(141)	(3,464)	10,102	(134)
Profit/(loss) for the period	(509,303)	939,028	(154)	228,886	896,151	(74)
Other comprehensive income				228,886
Items that will never be reclassified to profit or
loss
Net change in fair value through other
comprehensive income financial assets	(270,807)	1,885,429	(114)	(1,430,677)	1,486,883	(196)
Items that are or maybe reclassified to profit or
loss
Net exchange difference on translation of foreign
operations	7,619	38	19,950	317,721	4,010	7,823
Other comprehensive income / (expense) for the
period	(263,188)	1,885,467	(114)	(1,112,956)	1,490,893	(175)
Total comprehensive income / (expense) for the
period	(772,491)	2,824,495	(127)	(884,070)	2,387,044	(137)
Profit/(loss) attributable to:
Equity holders of the parent	(426,601)	827,164	(152)	208,864	777,478	(73)
Non controlling interest	(82,702)	111,864	(174)	20,022	118,673	(83)
	(509,303)	939,028	(154)	228,886	896,151	(74)
Total comprehensive income/ (expense)	-	-		-	-
attributable to:
Equity holders of the parent	(644,983)	2,391,638	(127)	(714,637)	2,014,553	(135)
Non controlling interest	(127,508)	432,857	(129)	(169,433)	372,491	(145)
	(772,491)	2,824,495	(127)	(884,070)	2,387,044	(137)
	-	-		-	-
Earnings per share (Rs.)	(4.83)	9.37		2.37	8.81
Dividend per share (Rs.)*	-	-		-	-

Change % represents the percentage change in the current period's results compared to the corresponding period of previous year.

• Dividend per share is based on the proposed/ interim dividends. Figures in brackets indicate deductions.

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Ceylon Guardian Investment Trust PLC

Statement of Profit or Loss and Other Comprehensive Income - Company

(All figures are in Sri Lankan Rupees thousands)

	Three months ended		Nine months ended
	31st December			31st December
	2022	2021	Change %		2022	2021	Change %
Revenue	92,645	64,414	44	298,497	289,737	3
Net change in fair value through profit or loss
financial assets	(181,890)	603,851	(130)	101,194	462,098	(78)
Profit/(loss) on investment activities	(89,245)	668,265	(113)	399,691	751,835	(47)
Administrative and other operating expenses	(28,064)	(26,690)	5	(77,707)	(61,840)	26
Profit/(loss) from operations	(117,309)	641,575	(118)	321,984	689,995	(53)
Profit from disposal of investment in subsidiary	-	37,218	(100)	-	37,218	(100)
Net finance expense	(20,426)	(1,037)	1,870	(44,264)	(4,347)	918
Profit/(loss) before taxation	(137,735)	677,756	(120)	277,720	722,866	(62)
Income tax expense	(19,265)	(3,032)	535	(45,919)	(11,392)	303
Profit/(loss) for the period	(157,000)	674,724	(123)	231,801	711,474	(67)
				-
Other comprehensive income
Other comprehensive income for the period	-	-	-	-	-	-
Total comprehensive income / (expense) for the
period	(157,000)	674,724	(123)	231,801	711,474	(67)
Earnings per share (Rs.)	(1.78)	7.64		2.63	8.06
Dividend per share (Rs.)*	-	-		-	-

Change % represents the percentage change in the current period's results compared to the corresponding period of previous year.

* Dividends per share is based on the proposed/ interim dividends.

Figures in brackets indicate deductions.

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Ceylon Guardian Investment Trust PLC

Statement of Financial Position

(All figures are in Sri Lankan Rupees thousands)

	Group			Company
	31.12.2022	31.03.2022	31.12.2022	31.03.2022
As at		(Audited)			(Audited)
ASSETS
Non-current assets
Property, plant and equipment	2,752	2,747	-	-
Intangible assets	-	2,594	-	-
Right of use assets	1,926	7,703	-	-
Investment in subsidiaries	-	-	1,785,546	1,785,546
Investment in fair value through other comprehensive income	5,962,861	7,393,538	-	-
Deferred tax asset	2,800	1,360	-	-
Investments in fixed deposits	3,365,569	-	1,689,372	-
Total non-current assets	9,335,908	7,407,942	3,474,918	1,785,546
Current assets		174,034	4,733	102,841
Trade and other receivables	16,127
Investments in equity and debt securities	7,449,999	8,194,740	2,268,517	2,812,613
Investments in unit trusts	267,313	363,961	106,797	162,908
Investments in fixed deposits	1,061,857	982,954	330,391	360,028
Cash and cash equivalents	992,107	2,771,255	219,681	1,006,130
Total current assets	9,787,403	12,486,944	2,930,119	4,444,520
Asset-held-for sale	46,570	50,034	35,000	35,000
Total assets	19,169,881	19,944,920	6,440,037	6,265,066
EQUITY AND LIABILITIES	-		-
Equity		1,128,726	1,128,726	1,128,726
Stated capital	1,128,726
Capital reserves	324,836	324,836	208,660	208,660
Revenue reserves	14,083,363	15,047,768	4,786,989	4,757,371
Total equity attributable to equity holders of the parent	15,536,925	16,501,330	6,124,375	6,094,757
Non controlling interest	2,937,132	3,148,737	-	-
Total equity	18,474,057	19,650,067	6,124,375	6,094,757
Non-current liabilities		8,382	-	-
Employee benefits	9,557
Total non-current liabilities	9,557	8,382	-	-
Current liabilities		187,739	40,279	98,896
Trade and other payables	81,495
Lease liabilities	2,057	7,998	-	-
Current tax liabilities	40,182	32,205	15,040	12,884
Short term borrowings	562,533	58,529	260,343	58,529
Total current liabilities	686,267	286,471	315,662	170,309
Total liabilities	695,824	294,853	315,662	170,309
Total equity and liabilities	19,169,881	19,944,920	6,440,037	6,265,066
	-	-	-	-
Net assets per ordinary/ deferred share (Rs.)	175.98	185.87	69.37	68.65

The Statement of Financial Position as at 31st December 2022 and the related Statements of Profit or Loss and Other Comprehensive Income, Changes in Equity and Cash Flows for the period ended as disclosed in pages 1 to 5 have been drawn up from unaudited accounts.

I certify that these financial statements comply with the requirements of the Companies Act No. 07 of 2007.

(Sgd).

V.R. Wijesinghe

Director - Finance

Carsons Management Services (Private) Limited

The board of directors is responsible for the preparation and presentation of these financial statements.

Approved & Signed on behalf of the Investment Managers,	Approved & signed on behalf of the Board,
(Sgd).	(Sgd).	(Sgd).
K. Selvanathan	M.A.R.C. Cooray (Mrs)	D.C.R. Gunawardena
Director	Chairperson	Director
Guardian Fund Management Limited
Colombo
10th February 2023

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Ceylon Guardian Investment Trust PLC

Statement of Changes in Equity

(All figures are in Sri Lankan Rupees thousands)

GROUP				Attributable
				to equity	Non
	Stated	Capital	Revenue	holders of	controlling	Total
	capital	reserves	reserves	the parent	interest	equity
Balance as at 1st April 2022	1,128,726	324,836	15,047,768	16,501,330	3,148,737	19,650,067
Surcharge tax for the year of assessment
2020/21*	-	-	(73,194)	(73,194)	(16,533)	(89,727)
Balance as at 1st April 2022 (adjusted)	1,128,726	324,836	14,974,574	16,428,136	3,132,204	19,560,340
Profit/(loss) for the period	-	-	208,864	208,864	20,022	228,886
Other comprehensive income / (expense)
for the period	-	-	(923,501)	(923,501)	(189,455)	(1,112,956)
Total comprehensive income / (expense)
for the period	-	-	(714,637)	(714,637)	(169,433)	(884,070)
Cash dividend	-	-	(176,574)	(176,574)	(25,639)	(202,213)
Balance as at 31st December 2022	1,128,726	324,836	14,083,363	15,536,925	2,937,132	18,474,057
					-
Balance as at 1st April 2021	1,128,726	324,709	15,288,695	16,742,130	3,319,563	20,061,693
Profit/(loss) for the period	-	-	777,478	777,478	118,673	896,151
Other comprehensive income /(expense)
for the period	-	-	1,237,075	1,237,075	253,818	1,490,893
Total comprehensive income/ (expense)
for the period	-	-	2,014,553	2,014,553	372,491	2,387,044
Cash dividend	-	-	(142,049)	(142,049)	(24,171)	(166,220)
Elimination of Non controlling interest on
disposal of Sri Lanka Fund	-	-	-	-	(127,598)	(127,598)
Balance as at 31st December 2021	1,128,726	324,709	17,161,199	18,614,634	3,540,285	22,154,919
COMPANY			Stated	Capital	Revenue	Total
			capital	reserves	reserves	equity
Balance as at 1st April 2022			1,128,726	208,660	4,757,371	6,094,757
Surcharge tax for the year of assessment 2020/21*		-	-	(25,609)	(25,609)
Balance as at 1st April 2022 (adjusted)			1,128,726	208,660	4,731,762	6,069,148
Profit/(loss) for the period			-	-	231,801	231,801
Other comprehensive income / (expense) for the period		-	-	-	-
Total comprehensive income / (expense) for the period		-	-	231,801	231,801
Cash dividend			-	-	(176,574)	(176,574)
Balance as at 31st December 2022			1,128,726	208,660	4,786,989	6,124,375
Balance as at 1st April 2021			1,128,726	208,660	5,059,992	6,397,378
Profit/(loss) for the period			-	-	711,474	711,474
Other comprehensive income /(expense) for the period		-	-	-	-
Total comprehensive income/ (expense) for the period		-	-	711,474	711,474
Cash dividend			-	-	(142,049)	(142,049)
Balance as at 31st December 2021			1,128,726	208,660	5,629,417	6,966,803

Figures in brackets indicate deductions.

• As per the provisions of Surcharge Tax Act No. 14 of 2022, although the Group / Company did not become liable to pay surcharge tax as a stand-alone entity, the Company and the Group were liable for surcharge tax on the basis that the Company and the Group were part of the Carson Cumberbatch PLC Group, of which the aggregate taxable income exceeded the threshold as stipulated in the aforesaid Act. Accordingly, the Company was liable for a surcharge tax of Rs. 25,608,612/- out of the taxable income of Rs. 102,434,449/- pertaining to the year of assessment 2020/21 and the Group was liable for a surcharge tax of Rs. 89,727,650/- out of the taxable income of Rs. 358,910,600/-.The Company/ Group paid the surcharge tax liability in two equal installments on 18th April 2022 and 10th July 2022.

The expense of surcharge tax is accounted in accordance with the "Addendum to Statement of Alternative Treatment on Accounting for Surcharge Tax levied under the Surcharge Tax Act No. 14 of 2022 " issued by the Institute of Chartered Accountants of Sri Lanka on 10th August 2022.

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