Fortress Resorts : Interim Financial Statements as at 31st March 2024

THE FORTRESS RESORTS PLC

INTERIM FINANCIAL STATEMENTS

FOR THE PERIOD ENDED

31 ST MARCH 2024

THE FORTRESS RESORTS PLC

INTERIM FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 ST MARCH 2024

CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 31 ST MARCH
	As.At		As.At	Change
	31.03.2024	31.03.2023	%
			Audited
ASSETS	Rs. 000		Rs. 000
Non-current assets
Property, plant & equipment	1,131,834	1,157,963	(2)
Right of use assets	39,442	41,355	(5)
Intangible assets	710	1,393	(49)
Current assets	1,171,986		1,200,711	(2)
Inventories	28,266	25,926	9
Trade and other receivables	58,935	24,169	144
Advances and prepayments	47,967	37,537	28
Short term deposits	862,331	523,579	65
Cash and cash equivalants	8,705	14,709	(41)
Total assets	1,006,204		625,920	61
2,178,190		1,826,631	19
EQUITY AND LIABILITIES
Capital and Reserves
Stated capital	1,108,867	1,108,867	-
Accumilated Profits/(losses)	706,480	500,278	(41)
Equity attributable to equity holders of the parent	1,815,347		1,609,145	(13)
Non controlling interest	1	1	-
Total equity	1,815,348		1,609,146	(13)
Non-Current Liabilities
Interest bearing loans and borrowings	61,712	57,255	(8)
Retired benefit obligation	30,449	19,675	(55)
Deferred tax liabilities	44,636	7,782	(474)
Current Liabilities	136,797		84,712	(61)
Trade and other payables	121,857	74,576	(63)
Contract liabilities	61,917	39,056	(59)
Interest bearing loans and borrowings	13,329	12,193	(9)
Income tax payables	28,942	6,948	(317)
	226,045		132,773	(70)
Total equity and liabilities				(19)
2,178,190	1,826,631
Net asset value per share (Rs.)	16.37	14.51

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

Sgd

Chief Financial Officer

The Board of Directors is responsible for the preperation and presentaion of these financial statements. Signed for and on behalf of the board by,

Sgd	Sgd
Director	Director

Colombo

17 th May 2024

Note :The above figures for the interim period are not audited

THE FORTRESS RESORTS PLC

INTERIM FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 ST MARCH 2024

STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE PERIOD ENDED 31 ST MARCH

		FOR 3 MONTHS ENDED	Change	YEAR TO DATE	Change
		31.03.2024			31.03.2023	%	31.03.2024	31.03.2023	%
		Rs. 000	Rs. 000		Rs. 000		Rs. 000
Revenue	407,042			183,760	122	921,487	434,696	112
Cost of sales	(90,522)			(62,268)	(45)	(282,850)	(170,082)	(66)
Gross profit					161				141
316,520			121,492	638,637	264,614
Other	income and gains	(2,422)			(10,334)	(77)	3,162	6,777	(53)
Selling	and marketing expenses	(19,379)			(10,307)	(88)	(53,565)	(26,440)	(103)
Administrative expenses	(110,893)			(91,313)	(21)	(408,259)	(319,792)	(28)
Finance cost	(1,862)			(1,792)	(4)	(7,346)	(7,823)	6
Finance income	24,563			24,862	1	94,076	81,984	15
Profit/(Loss) before tax					533				39,321
206,527			32,608	266,705	(680)
Income (tax expenses)/ reversal	(67,748)			(5,455)	(1,142)	(54,363)	(19,162)	(184)
Profit/(Loss) for the period					411				1,170
138,779			27,153	212,342	(19,842)
Other comprehensive income	-			-
Actuarial gain/(loss) on defined benefit obligation	(7,675)			461	(1,765)	(7,675)	461	(1,765)
Income tax effect	1,535			(138)	1,212	1,535	(138)	1,212
Net other comprehensive income not to be reclassified to profit
or loss in subsequent periods	(6,140)			323	(2,001)	(6,140)	323	(2,001)
Other comprehensive income for the year ,net of tax					(2,001)				(2,001)
(6,140)			323	(6,140)	323
Total comprehensive income/(loss) for the period net of tax					383				1,156
132,639			27,476	206,202	(19,519)
Profit and total comprehensive income attributable to
Entire profit and total comprehensive income is attributable to the equity holders of the parent
Basic earnings/(loss) Per Share	1.25			0.24	(411)	1.91	(0.18)	1,170
Dividend per share	-			-	-	-

Note :The above figures for the interim period are not audited : Figures in brackets indicate deductions

THE FORTRESS RESORTS PLC

INTERIM FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 ST MARCH 2024

COMPANY, STATEMENT OF FINANCIAL POSITION AS AT 31 ST MARCH	As.At		As.At	Change
		31.03.2024	31.03.2023	%
				Audited
ASSETS	Rs. 000		Rs. 000
Non-current assets
Investment in subsidiary	1,000,010	1,000,010	-
		1,000,010		1,000,010	-
Current assets
Other receivables	84,957	92,777	(8)
Cash and cash equivalents	43	44	(2)
Total assets		85,000		92,821	(8)
	1,085,010		1,092,831	-
EQUITY AND LIABILITIES
Capital and reserves
Stated capital	1,108,867	1,108,867	-
Accumilated profits/(losses)	(25,766)	(18,044)	43
Total equity		1,083,101		1,090,823	-
Non-current liabilities
Interest bearing loans and borrowings	-	-
Retirement benefit obligation	-	-	-
Current liabilities		-		-
Trade & other payables	1,909	2,008	5
Bank overdraft	-	-	-
Total equity and liabilities		1,909		2,008	5
	1,085,010		1,092,831	-
Net asset value per share (Rs.)	9.77	9.84

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

Sgd

Chief Financial Officer

The Board of Directors is responsible for the preperation and presentaion of these financial statements. Signed for and on behalf of the board by,

Sgd	Sgd
Director	Director
Colombo
17 th May	2024

Note :The above figures for the interim period are not audited

THE FORTRESS RESORTS PLC

INTERIM FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 ST MARCH 2024

COMPANY, STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE PERIOD ENDED 31 ST MARCH

	FOR 3 MONTHS ENDED	Change	YEAR TO DATE	Change
	31.03.2024	31.03.2023	%	31.03.2024	31.03.2023	%
Revenue	Rs. 000		Rs. 000		Rs. 000		Rs. 000
-	-		-	-	-
Cost of sales	-	-		-	-	-
Gross profit								-
-	-		-	-
Other income and gains	-	-	-	-	-	-
Selling and marketing expenses	-	-		-	-
Administrative expenses	(2,013)	(923)	(118)	(7,723)	(4,367)	(77)
Finance cost	-	-	-	-	-	-
Finance income	-		-		-		-	-
Profit/(Loss) before tax	(2,013)	(923)	(118)	(7,723)	(4,367)	(77)
Income tax expenses	-			-	-	-	-
Profit /(Loss) for the period				(118)				(77)
(2,013)	(923)	(7,723)	(4,367)
Other comprehensive income/(Loss)	-
Total comprehensive income/(Loss) for the period				(118)				(77)
(2,013)	(923)	(7,723)	(4,367)
Basic Earnings / (Loss) per share for the period	(0.02)	(0.01)	(118)	(0.07)	(0.04)	(77)
Dividend per share	-	-	-	-	-

Note :The above figures for the interim period are not audited : Figures in brackets indicate deductions

THE FORTRESS RESORTS PLC

INTERIM FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 ST MARCH 2024

STATEMENT OF CHANGES IN EQUITY FOR THE PERIOD ENDED 31 ST MARCH

	Attributable to the equity holders
			of the parent
	Stated Capital		Accumulated		Non		Total
Group			Controlling
		Profit		Interest
	Rs. 000		Rs. 000		Rs. 000		Rs. 000
Balance as at 01st April 2023	1,108,867	500,278	1	1,609,146
Profit for the period	-	212,342	-	212,342
						-
Other comprehensive income for the year, net of tax	-	(6,140)	-	(6,140)
Balance as at 31 st March 2024
1,108,867	706,480	1	1,815,348
Balance as at 01 st April 2022	1,108,867	519,797	1	1,628,665
Loss for the period	-	(19,842)	-	(19,842)
Other comprehensive income for the year, net of tax	-	323	-	323
Balance as at 31 st March 2023
1,108,867	500,278	1	1,609,146
Company			Stated		Accumulated		Total
		Capital		Profit/(Losses)
			Rs. 000		Rs. 000		Rs. 000
Balance as at 01st April 2023		1,108,867	(18,043)	1,090,824
Loss for the period		-	(7,723)	(7,723)
Balance as at 31 st March 2024
	1,108,867	(25,766)	1,083,101
Balance as at 01 st April 2022		1,108,867	(13,677)	1,095,190
Loss for the period		-	(4,367)	(4,367)
Balance as at 31 st March 2023
	1,108,867	(18,044)	1,090,823

Note :The above figures for the interim period are not audited :Figures in brackets indicate deductions

THE FORTRESS RESORTS PLC

INTERIM FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 ST MARCH 2024

STATEMENT OF CASH FLOWS FOR THE PERIOD ENDED
31 ST MARCH	FOR THE PERIOD ENDED		FOR THE PERIOD ENDED
	Group			Company
	2024			2023	2024	2023
	Rs. 000	Rs. 000		Rs. 000		Rs. 000
Cash Flows From / (Used in) Operating Activities
Profit/(Loss) before tax	266,705			(680)	(7,723)	(4,367)
Adjustments for
Depreciation	62,638			63,490	-	-
Amortisation of intangible assets	706			1,086
Depreciation of right of use assets	1,913			1,913	-	-
Finance cost	7,346			7,824	-	-
Finance income	(94,076)			(81,984)	-	-
(Profit)/Loss on disposal of property, plant & equipment	500			1,462	-	-
Provision for defined benefit obligation	5,964			3,695		-		-
Operating Profit/(Loss) before working capital changes	251,697			(3,194)	(7,723)	(4,367)
(Increase)/ decrease in inventories	(2,340)			(6,120)	-	-
(Increase)/ decrease in trade and other receivables and prepayments	(45,196)			15,927	7,820	4,242
Increase/(decrease) in trade and other payables and contract liabilities	70,142			(4,632)		(98)		125
Cash Generated from / (used in) operations	274,303			1,981	(1)	-
Finance cost paid	(45)			(851)	-	-
Defined benefit obligation paid	(2,865)			(2,666)	-	-
Income tax paid	(87)			(16,840)		-		-
Net cash from / (used in) operating activities	271,306			(18,376)	(1)	-
Cash flows from / (used in) investing activities
Proceeds from disposal of property pant and equipment	371			179	-	-
Acquisition of property, plant and equipment	(37,985)			(16,867)	-	-
Acquisition of intangible assets	(24)			(783)	-	-
Withdrawals /(investment ) treasury bills	(111,504)			(204,830)	-	-
Investement in fixed deposits	(724,316)			(334,254)
Withdrawal of fixed deposits	497,069			579,113	-	-
Finance income received	100,789			44,144		-		-
Net cash from/(used in) investing activities	(275,600)			66,702	-	-
Cash Flows from (used in) financing activities
Re-payment of bank loans	-			(82,705)	-	-
Principal payments under finance lease liabilities	(3,902)			(3,620)		-		-
Net cash from/(used in) financing activities	(3,902)			(86,325)		-		-
Net increase/(decrease) in Cash and cash equivalents	(8,197)			(38,000)	(1)	-
Cash and cash equivalents at the beginning of the period	6,868			44,868		44		44
Cash and cash equivalents at the end of the period	(1,329)			6,868	43	44

For the purpose of the cash flow statement, the period end cash and cash equivalents comprise of the following:

Cash at Bank & In Hand	8,705	14,709	43	44
Bank Overdraft		(10,034)		(7,841)		-		-
		(1,329)		6,868		43		44
Note :The above figures for the interim period	are not audited
:Figures in brackets indicate deductions

THE FORTRESS RESORTS PLC

INTERIM FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 ST MARCH 2024

NOTES TO THE INTERIM FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 ST MARCH

1.	Market Price of Ordinary Shares
			31.03.2024	31.03.2023
			Rs.	Rs.
		Highest Price Per Share for the Quarter	23.00	23.50
		Lowest Price Per Share for the Quarter	18.00	14.00
		Last Traded	23.00	22.00
2.	Financial year of the Company / Group ends on 31st March . Interim figures are for three months ended 31 st March 2024
3.	The Statement of Financial Position of the Company and Group as at 31 st March 2024 and Statements of Income, Changes in Equity and Cash Flow for
	the period then ended have been prepared in accordance with Sri Lanka Accounting Standars 34 ,interim financial statements and are in agreement with
	the books of accounts maintained by the group and have provided the information required by the Colombo Stock Exchange.
4.	The presentation and classification of figures for the corresponding period of the previous year have been amended, where relevant, to be comparable
	with those for the current year.
5.	All values included in these Financial Statements are in' 000' rupees unless otherwise stated.
6.	Subsidiaries.

The Subsidiaries and its controlling percentages of the Group,which have been consolidated are as follows
Subsidiaries	2024	2023	Nature of the Operations
Direct holding
La Forteresse (Private) Limited	100%	100%	Operation of Small Luxurry Hotel
Indirect holding
Summer Season Mirissa (Private ) Limited	99.99%	99.99%	Operations not yet commenced

Investment in subsidiaries are carried at cost less impairments (if any) in the separate financial statements

7. Net Assets value per Share has been calculated, for all periods, based on the number of shares in issue as at 31 st March 2024, amounting to 110,886,684.

8. There has not been a significant change in the nature of the contingent liabilities,which were disclosed in the Annual Report for the year ended	31 st
March 2023.

1. There have been no material events occurring after the Balance Sheet date that require adjustments or disclosure to interim financial statements as at 31 st March 2024.
2. Graphical Analysis of Seasonality performance - For the Quarter

450,000

400,000

350,000

300,000

250,000

200,000

150,000

100,000

50,000

-

(50,000)

(100,000)

2020

2021

2022

2023

2024

Revenue

Profit / (Loss) from Operating Activities

Net Profit /( Loss)

1. The percentage of the shares held by public as at 31 st March 2024 was 16.863% Comprising of 1808 Shareholders. (31 st March 2023 -16.93% Comprising 1842 shareholders)
2. The float adjusted market capitalization as at 31 st March 2024 - Rs.430,070,997.00
3. The Float adjusted market capitalization of the company falls under Option 2 of Rule 7.13.1(b) of the Listing Rules of the Colombo Stock Exchange and the Company has complied with the minimum public holding requirment applicable under the said option.

NOTES TO THE INTERIM FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 ST MARCH 2024

1. The interim financial statements are unaudited and have been prepared in accordance with the same accounting policies and methods set out in the Annual Financial Statements for the year ended 31 March 2023 and are in compliance with the Sri Lanka Accounting Standard 34 - Interim Financial Reporting.
2. The number of shares held by the Board of Directors as of 31 st March 2024 are as follows:

	Name of the Director	No of Shares	%
1	Mr. Malik Joseph Fernando	833,333	0.75
2	Mr.L.N.De Silva Wijeyeratne	Nil	-
3	Mr.J.A.S.Sumith Adhihetty	13,741	0.01
4	Mr.C.Vishvajit Cabraal	Nil	-
5	Mr.K.D.Harindra Perera	Nil	-
6	Mr.C.Umagiliya Weerawardena	Nil	-
7	Mr.Jan Peter Vant Twest	Nil	-
8	Mr.Jitendra Romesh Gunaratne	Nil	-
9	Mr.Dilhan Crishantha Fernando	833,333	0.75
10	Ms. Amarasunghe Arachchige Kawshi Amarasinghe	Nil
11	Mr.Wasantha Leelananda	Nil
12	Ms.K.A.D.B Perera	Nil
13	Mr.R.N.Malinga (Alternate Director to Malik J Fernando)	Nil	-
	Mr. Amrit Merril Joseph Fernando (Alternate Director to Mr.D.C Fernando)	Nil
14			-

16. Twenty largest shareholders of the company as of 31 st March 2024 are as follows:

	Name of the Share Holder	No of Shares	%
1	M J F HOLDINGS (PRIVATE) LIMITED	28,616,411	25.807
2	VALLIBEL LEISURE (PRIVATE) LIMITED	24,417,932	22.021
3	VALLIBEL ONE PLC	20,618,257	18.594
4	MR.K.D.D. PERERA	10,329,317	9.315
5	L B FINANCE PLC	4,051,100	3.653
6	MR. MERRIL J FERNANDO(DECEASED)	2,124,400	1.916
7	MERCHANT BANK OF SRI LANKA & FINANCE PLC/S.A.A HASITHA	1,627,771	1.468
8	BANK OF CEYLON NO. 1 ACCOUNT	1,451,100	1.309
9	SEYLAN BANK PLC/JAYANTHA DEWAGE	1,441,400	1.300
10	MR. A P L FERNANDO	1,144,400	1.032
11	MR. M. J. FERNANDO	833,333	0.752
12	MR D.C FERNANDO	833,333	0.752
13	EMFI CAPITAL LIMITED	826,793	0.746
14	MSS INVESTMENTS(PRIVATE ) LIMITED	663,267	0.598
15	MR.M.P.D COORAY	658,145	0.594
16	DR.D.JAYANNTHA	621,000	0.560
17	MR.G.V.C.Y PANDITHARATHNA	514,714	0.464
18	MERCHANT BANK OF SRI LANKA & FINANCE PLC/D.WEERASINGH	499,327	0.450
19	HATTON NATIONAL BANK PLC/MUSHTAQ MOHAMED FUAD	378,704	0.342
20	ROYAL CERAMICS LANKA PLC	336,100	0.303

Corporate Information

Name of the Company	Secretaries
The Fortress Resorts PLC	P W Corporate Secretarial (Pvt) Ltd.
	No.3/17, Kynsey Road.
Company Registration No	Colombo 08.
PQ 207	Telephone : [phone]
	Fax : [phone]
Legal Form	Email: [e-mail]
External Auditors
Public Quoted Company with Limited Liability,
Quoted on the Diri Savi Board of the Colombo	Ernst & Young
Stock Exchange.	Chartered Accountants
	201,De Seram Place,
Registered Office	Colombo 10.
Level 29, West Tower	Internal Auditors
World Trade Center, Echelon Square
Colombo 01.	KPMG
	32A, Sir Mohamed Macan Markar Mawatha,
Board Of Directors	Colombo 03, 00700
Tel: [phone]
Mr.K D Harindra Perera (Chairman)	Fax: [phone]
Mr. J A S Sumith Adhihetty
Mr. Malik Joseph Fernando
(Alternate Director Mr.R N Malinga)	Bankers
Mr. L N De Silva Wijeyeratne
Mr.Chathura Vishvajit Cabraal	Bank of Ceylon
Mr.C Umagiliya Weerawardena	Sampath Bank PLC
Mr.Jitendra Romesh Gunaratne	Pan Asia Banking Corporation PLC
Mr.Jan Peter Vant Twest
Mr.Dilhan Crishantha Fernando
(Alternate Director Mr.Amrith Merril Joseph Fernando)
Ms.K A D B Perera
Ms. Amarasunghe Arachchige Kawshi Amarasinghe
Mr. Vasantha Leelananda
Subsidiary Companies
La Forteresse (Private) Limited
Summer Season Mirissa (Pvt) Ltd
Hotel
The Fortress Resorts & Spa, Koggala
Telephone : [phone]
Fax : [phone]
Email: [e-mail]