Selinsing : Interim financial statements for the quarter ended 30th September 2022

Summarised Financial Report

for the six months ended

30th September 2022

SELINSING PLC

Review of operations for the period ended 30th September 2022

The minority equity investments the Company holds in Shalimar Developments Sdn. Bhd. (SDSB) and in Shalimar (Malay) PLC (SMPLC) is the main business of the Company. SDSB's investee company carries out palm oil plantation operations in Indonesia.

The investee company continues to take measures to ensure that its business operations are carried out efficiently amidst several market and economic challenges. The Crude Palm Oil (CPO) prices which saw an upward trend in the fourth quarter of the previous financial year, experienced a significant and sudden reversal in prices during the latter part of the first half under review. This was due to multiple reasons, including a global price correction of commodities, fears of a global recession, the duty on CPO sales introduced by the Indonesian government and higher build-up of stocks in the Indonesian domestic market. In the backdrop of these challenges, the investee Company is focused in managing its resources to ensure that it is able to preserve the long term value of the investment to its stakeholders.

The only source of income for the period is the interest income earned from the Company's short-term deposits in Sri Lanka. Accordingly, the Company recorded an after tax profit of Rs. 3.78 Mn from its operations during the period under review; compared to a profit of Rs. 26.10 Mn recorded in the corresponding period of the previous financial year.

Minimum Public Holding

As previously informed, the Company is not in compliance with the minimum public holding requirements in relation to a Company Listed on the Main Board of the Colombo Stock Exchange (CSE) as per Rule 7.14.1 (a) of the Listing Rules of CSE, due to which the Company was transferred to the 'Watch List' of the CSE in terms of Rule 7.14.2 (b) of the previous Listing Rules of the CSE with effect from 2nd July 2018.

However, the CSE via their Circular No. 03/2019 dated 3rd October 2019 amended the Listing Rules on enforcement actions applicable for non-compliance with minimum public holding requirements with effect from 12th September 2019. Accordingly, in terms of Rule 7.14.2 of the Listing Rules of the CSE, the company was transferred to the Second Board with effect from 15th November 2019.

We wish to highlight that the objective of the voluntary offer made to all shareholders on 17th March 2011 was to acquire the entire minority shareholding as a step towards the consolidation of the oil palm plantation business. The offer documents also mentioned that upon completion of the voluntary offer, the rationale for remaining listed will be evaluated. Since the voluntary offer did not result in the acquisition of the entire minority shareholding, the Company continued to remain listed.

Taking into consideration that a voluntary offer had been made and also considering that there is no requirement for additional capital infusion to the Company and resultantly, there being no plans for issuing of new shares nor a dilution by the majority shareholder and as previously communicated to shareholders through market disclosures and Annual Reports and in terms of the revised Listing Rules, we will report the proposed course of action.

Agro Harapan Lestari (Pvt) Ltd

Managers

04th November 2022

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SELINSING PLC

Statement of Profit or Loss

	Quarter ended		Six months ended
(All figures in Sri Lankan Rupees '000)	30th September	Change	30th September	Change
	2022	2021		2022	2021
			%			%
Dividend income	-	26,513	-100%	-	26,513	-100%
Interest income	4,440	(534)	-931%	6,178	1,337	362%
Administrative expenses	(495)	(568)	-13%	(983)	(1,089)	-10%
Profit before tax for the period	3,945	25,411	-84%	5,195	26,761	-81%
Income tax expense	(1,109)	(339)	227%	(1,413)	(665)	112%
Profit for the period	2,836	25,072	-89%	3,782	26,096	-86%
Earnings Per Share (Rs.)	0.50	4.42		0.67	4.60
Statement of Comprehensive Income	Quarter ended		Six months ended
	30th September	Change	30th September	Change
	2022	2021		2022	2021
			%			%
Profit for the period	2,836	25,072	-89%	3,782	26,096	-86%
Other Comprehensive Income
Other Comprehensive Income / (Expense) not to be reclassified to Profit or
Loss in subsequent periods
Gain / (Loss) on Change in Fair Value of Financial Assets classified under Fair	209,175	-	100%	62,724	(96,590)	-165%
Value Through Other Comprehensive Income (FVOCI)
Net Other Comprehensive Income / (Expense) not to be reclassified to Profit or	209,175	-	100%	62,724	(96,590)	-165%
Loss in subsequent periods
Other Comprehensive Income / (Expense) for the period, net of Tax	209,175	-	100%	62,724	(96,590)	-165%
Total Comprehensive Income / (Expense) for the period, net of tax	212,011	25,072	746%	66,506	(70,494)	-194%

Changes represent the percentage change in current period's results compared to corresponding period of last year.

Figures in brackets indicate deductions/negative changes.

The above figures are subject to audit.

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SELINSING PLC

Statement of Financial Position

(All figures in Sri Lankan Rupees '000)
		As at	As at
	Note	30.09.2022	31.03.2022
ASSETS
Non-Current Assets
Property, Plant and Equipment		220	311
Non-current financial assets	(Note 3)	11,249,981	11,187,258
Total Non- Current Assets		11,250,201	11,187,569
Current Assets
Prepayments and other receivable		119	340
Income tax receivable		-	126
Short term investments		1,697	108,252
Cash and cash equivalents		112,636	3,367
Total Current Assets		114,452	112,085
Total Assets		11,364,653	11,299,654
EQUITY AND LIABILITIES
Equity
Stated capital	(Note 6)	69,401	69,401
Retained earnings		305,998	304,212
Other reserves		10,950,616	10,887,892
Total Shareholders' Funds		11,326,015	11,261,505
Current Liabilities
Provisions and accrued expenses		230	322
Income tax payable		581	-
Unclaimed dividend		37,827	37,827
Total Current Liabilities		38,638	38,149
Total Liabilities		38,638	38,149
Total Equity and Liabilities		11,364,653	11,299,654
Net Asset per share (Rs.)		1,994.63	1,983.27

I certify that these financial statements are in compliance with the requirements of the Companies Act No. 7 of 2007.

(Sgd.)

Aneesh Dudeja

President / Chief Financial Officer

The Board of Directors is responsible for the preparation and presentation of these financial statements.

Approved & signed for and on behalf of the Managers,	Approved & signed for and on behalf of the Board,
(Sgd.)	(Sgd.)	(Sgd.)
Rushdi Azeez	M. Selvanathan	H. Selvanathan
Director	Chairman	Director
Agro Harapan Lestari (Pvt) Ltd

04th November 2022

The above figures are subject to audit.

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SELINSING PLC
Statement of Changes in Equity
(All figures in Sri Lankan Rupees '000)
		Fair Value	Retained	Total
	Stated Capital	Shareholders'
	Reserve	Earnings
		Funds
Balance as at 1st April 2021	69,401	7,293,940	330,038	7,693,379
Profit for the period	-	-	26,096	26,096
Other comprehensive income for the period	-	(96,590)	-	(96,590)
Total comprehensive income for the period	-	(96,590)	26,096	(70,494)
Interim Dividend -2021/22	-	-	(53,943)	(53,943)
Balance as at 30th September 2021
69,401	7,197,350	302,191	7,568,942

		Stated	Fair Value	Retained	Total
		Shareholders'
		Capital	Reserve	Earnings
		Funds
Balance as at 1st April 2022		69,401	10,887,892	304,212	11,261,505
Surcharge tax	(Note 08)	-	-	(1,996)	(1,996)
Balance as at 1st April 2022 (Adjusted)		69,401	10,887,892	302,216	11,259,509
Profit for the period		-	-	3,782	3,782
Other comprehensive income for the period		-	62,724	-	62,724
Total comprehensive income for the period		-	62,724	3,782	66,506
Balance as at 30th September 2022
	69,401	10,950,616	305,998	11,326,015

Figures in brackets indicate deductions/negative changes

The above figures are subject to audit.

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