Thursday, November 14, 2013

Today 5,829.05 3,185.96 Point Change + 13.01 + 7.68 % Change 0.22 % p 0.24 % p

ASPI S&P SL 20 Index YTD Performance ASPI S&P SL 20 Index

Level 23, East Tower, World Trade Centre, Colombo 01 Tel: +94 11 727 7000, Fax: +94 11 727 7099 Email: research@equity.softlogic.lk

3.3% 3.3% 525.7 848.9 37.1 37.4 2,424.9 36.6 186.4 149.8 22.5

Today's Turnover (LKR mn) Annual Average Daily Turnover (LKR mn) Volume (mn) Annual Average Daily Volume (mn) Market Capitalization (LKR bn) Net Foreign Inflow / (Outflow) [LKR mn] - Foreign Buying (LKR mn) - Foreign Selling (LKR mn) YTD Net Foreign Inflow / (Outflow) [LKR bn]

Bourse in green; moderate turnover...

CSE Diary for 14.11.2013

ASPI gains 13 points: The benchmark index was on a volatile note today with ups and downs during mid-day. The index reached a peak of 5832 towards mid-day before dipping marginally to close with a gain of 13 points. Nestle, Aitken Spence Hotel Holdings, Asian Hotels and Properties and Chevron Lubricants Lanka weighted positively on the index. S&P SL20 was also in the green with a gain of 7 points. Crossings in DIAL and GUAR: Two crossings were recorded for the day accounting for 47% of the days turnover. Dialog Telekom registered an offboard deal of 15mn shares at LKR9.0 while onboard activity was 157k shares. A further crossing was witnessed in Ceylon Guardian of 574k shares which was dealt at LKR200.0. On-board interest in JKH.W, HNB.X and LIOC: John Keells Holdings Warrants [W0023] gained

considerable investor attention with 400k shares trading during the day. The counter closed the day at LKR63.0 with a gain of 0.6%. Banking sector counters HNB [Non-Voting] and Sampath Bank witnessed investor interest with the former recording buying interest amidst strong earnings as the counter gained 1.5%. However the latter witnessed selling pressure trading at a 52-week low price of LKR166.5. Following healthy earnings of Lanka IOC investor interest persisted on the counter resulting in a gain of 1.0% to LKR29.1. Moderate retail activity: Retail investor interest was moderate during the day and centered around EChanneling which reached a 52-week high for the day while retail was also notable in Lanka IOC and Laugfs Gas.

Statistical Look Up
Treasury Bill (%) 3 months 6 months 12 months AWPLR Excess Liquidity (LKR 'bn) Inflation (%) Oct-13 as at 13.11.2013 YoY Change Annual Avg Week ending 08.11.2013 8.56 8.94 9.82 11.23 -4.11 6.7 7.6

6000 5950 5900

Index

5850
5800 5750 5700

ASPI Turnover LKR ('mn)

3350 3300 3,000 2,500 2,000 1,500 1,000 500 0 140.0 120.0 100.0 80.0 60.0 40.0 20.0 0.0

Volume ('mn)

Index

3250

3200 3150
3100

S&P SL20

Turnover

Volume

Today All Share Price Index S&P SL20 Index Turnover (LKR mn) Turnover (USD mn) Volume (mn shares) Traded Entities Market Capitalization (LKR bn) Foreign Purchases (LKR mn) Foreign Sales (LKR mn) Net Foreign Inflow (LKR mn) Market PER (X) Market PBV (X) Market Dividend Yield SECTOR INDICES Banks, Finance & Insurance Beverage, Food & Tobacco Construction & Engineering Diversified Healthcare Hotels & Travels Land & Property Manufacturing Plantation Telecom 5,829.1 3,186.0 525.7 4.0 37.1 218 2,424.9 186.4 149.8 36.6 15.4 2.0 3.0 Today 12,619.7 18,960.8 2,807.2 1,739.0 706.4 3,230.3 548.8 2,898.2 722.9 157.9

Pre Day 5,816.0 3,178.3 710.4 5.4 22.9 227 2,419.5 206.8 272.5 -65.7 15.4 2.0 3.0 Pre Day 12,632.9 18,859.7 2,781.7 1,739.6 706.4 3,196.7 545.9 2,872.2 724.5 161.0

Change % 0.22% p 0.24% p -26.00% -26.00% 62.02% -3.96% 0.22% -9.83% -45.00% -155.68% 0.01% 0.18% 0.00% % Change -0.11% 0.54% 0.92% -0.03% 0.00% 1.05% 0.52% 0.91% -0.22% -1.94% q p p q q p p p q q

Last Week 5,870.5 3,243.7 688.0 5.2 42.0 216 2,441.3 459.4 456.8 2.5 15.5 2.1 2.8 Last Week 12,708.9 18,918.1 2,807.4 1,793.1 687.1 3,223.5 553.7 2,900.9 731.0 159.0

% WoW Change -0.71% -1.78% -23.59% -23.59% -11.63% 0.93% -0.67% -59.41% -67.20% 1355.78% -0.70% -1.04% 7.14% % WoW Change -0.70% 0.23% -0.01% -3.02% 2.80% 0.21% -0.89% -0.09% -1.10% -0.70% Page | 2.

Softlogic Equity Research

High Index Calibre USD350 Mn

Company
JOHN KEELLS HOLDINGS CEYLON TOBACCO CARSON CUMBERBATCH NESTLE LANKA SRI LANKA TELECOM COMMERCIAL BANK [V] BUKIT DARAH DIALOG AXIATA HNB [V] AITKEN SPENCE DISTILLERIES LOLC CARGILLS DFCC BANK SAMPATH BANK ASIAN HOTELS & PROPERTIES

% of Mkt Cap 8.5% 8.1% 3.1% 4.4% 2.8% 3.7% 2.8% 3.0% 1.9% 1.9% 2.3% 1.2% 1.4% 1.4% 1.2% 1.3%

Volume 41,904 2,457 1,067 20 4,054 16,645 31 15,157,205 711 0 2,935 31,710 1,574 41,388 66,167 100

Turnover LKR ('000) 8,734.81 2,579.77 400.32 39.47 153.46 1,881.04 20.93 136,415.78 103.08 0.00 540.13 2,002.07 236.10 5,007.96 11,048.67 7.00

Turnover USD ('000) 66.65 19.68 3.05 0.30 1.17 14.35 0.16 1,040.83 0.79 0.00 4.12 15.28 1.80 38.21 84.30 0.05

Intraday High (LKR) 210.00 1,055.00 379.00 1,985.90 39.00 113.20 675.00 9.10 145.00 0.00 184.90 63.80 150.00 123.90 167.50 70.00

Intraday Low (LKR) 207.10 1,049.90 371.00 1,950.00 37.00 113.00 675.00 9.00 144.10 0.00 184.00 62.00 150.00 121.00 166.50 70.00

Close 208.40 1,050.00 378.10 1,973.30 37.60 113.00 675.00 9.00 144.90 113.50 184.00 63.00 150.00 123.90 166.90 70.00

Price Gainers
Company
S M B LEASING [X] CEYLON LEATHER [W 0014] LANKA ALUMINIUM SAMSON INTERNAT. AMAYA LEISURE

Price Losers
Today 0.40 1.90 31.50 96.50 75.00 Change + 0.10 + 0.30 + 4.40 + 8.50 + 5.90 % Change Company 33.33% 18.75% 16.24% 9.66% 8.54%
PC HOUSE CIFL SINHAPUTHRA FIN AMANA TAKAFUL SOFTLOGIC FIN

Today 0.70 1.00 88.50 1.40 26.00

Change - 0.10 - 0.10 - 6.50 - 0.10 - 1.80

% Change -12.50% -9.09% -6.84% -6.67% -6.47%

Top 05 Performers for the Day

Company
DIALOG CEYLON GUARDIAN JKH[WARRANTS] HNB[NON VOTING] LANKA IOC

Today 9.00 198.60 63.00 111.60 29.10

Pre Day 9.10 76.41 86.07 110.00 28.80

% Change -1.10% 159.91% -26.80% 1.45% 1.04%

Volume (mn) 15.16 0.60 0.40 0.19 0.55

Contribution to Total T/O 5.6% 4.9% 1.0% 0.9% 0.7%

Turnover (LKR) 136,415,775 120,008,135 25,237,531 21,609,244 15,883,287

Most Active
Company
DIALOG TESS AGRO[RIGHTS] PCH HOLDINGS PC HOUSE BLUE DIAMONDS[NON VOTING]

Today 9.00 0.10 1.40 0.70 1.20

Pre Day 9.10 0.10 1.40 0.80 1.20

% Change -1.10% 0.00% 0.00% -12.50% 0.00%

Volume (mn) 15.16 2.26 1.87 1.34 1.31

Contribution to Total T/O 5.6% 0.0% 0.1% 0.0% 0.1%

Turnover (LKR) 136,415,775 225,633 2,612,416 945,282 1,569,515

Softlogic Equity Research

Page | 3.

Currency Board
Local - Indicative Rate against LKR
Currency Australia China EU India Japan UK USA Dollar Yuan Euro Rupee Yen Pound Dollar Indicative Rate 14.11.2013 122.70 21.52 176.53 2.07 1.32 210.16 131.06

CSE Announcements
Dividends
Company 0 0 0 0 0
Company Description

DPS (LKR) 0.00 0.00 0.00 0.00 0.00

Proportion 0 0

XD Date 0 0 0 00-Jan-00 00-Jan-00

XR Date

Payment Date 1/0/1900 1/0/1900 1/0/1900 00-Jan-00 00-Jan-00

Renunciation

Rights Issues / Scrip Dividend / Sub division / Capitalization

0 0 0 0 0 0 1/0/1900 1/0/1900 1/0/1900 1/0/1900 1/0/1900 1/0/1900

Source: www.cbsl.gov.lk

New Listing
Company 0 0 Type of Security Code 1/0/1900 1/0/1900 Board 1/0/1900 1/0/1900 Offer Price 0.00% 0.00%

Key Corporate Diclosures

No Corporate Disclosures

Material Dealings by Related Parties of Listed Companies

Company C T HOLDINGS Name Mr J.C Page 0 Relationship Director 0 Transaction sale 0 Quantity 400,000 0 Price (LKR) 150.00 0.00 Date 13-11-13 0

Global Markets
Index AMERICA Dow Jones Industrial Average EUROPE EURO STOXX 50 Price EUR FTSE 100 Index ASIA Nikkei 225
* Time is as at ET

Value 15,821.6 3,040.8 6,684.6 14,876.4

Change 71.0 19.6 54.6 309.3

Change % 0.45% p 0.65% p 0.82% p 2.12% p

Time* 16:33 05:14 05:14 01:28

Source: www.bloomberg.com

Commodity Markets
Commodity ENERGY Crude Oil (WTI) AGRICULTURE ICE Cotton #2 CBOT Wheat METALS COMEX Gold COMEX Copper
* Time is as at ET

Units USD/bbl. USd/lb. USd/bu. USD/t oz. USd/lb.

Price 93.70 78.11 651.25 1,283.00 315.70

Change -0.18 -0.48 5.75 14.60 -0.25

Change % -0.19% q -0.61% q 0.89% p 1.15% p -0.08% q

Time* 05:04 05:04 05:22 05:03 05:03 Page | 4.

Source: www.bloomberg.com

Softlogic Equity Research

TOP STORIES
Local
Sri Lanka to sign up US$2.0bn in property developments Sri Lanka is to sign up 2.0 billion US dollars of property development deals for which tax concessions will be given, investment promotions minister Lakshman Abeywardene said.China Communications Constructions Company will reclaim the sea near Colombo port in a 1.3 billion US dollar project. The 8-year project will be financed by 390 million US dollars of equity and 910 million US dollars of loans. Another Chinese firm, AVIC International Engineering (Hong Kong) Ltd, and Nice View Apartments of Hong Kong is in a 250 million US dollar mixed development project. [Source: www.lbo.lk] Rupee at near 6-week low on importer demand The Sri Lankan rupee ended weaker to hit its lowest in nearly six weeks on Wednesday as importers bought dollars to meet the year-end seasonal importer demand, while the banks bought the greenback due to tight rupee liquidity, dealers said. The spot rupee ended at Rs. 131.18/21 per dollar, its lowest close since 4 October and down from Tuesdays close of Rs. 131.07/13. Dealers expect the currency to be weighed down by continued importer dollar demand ahead of the December festive season. [Source: www.ft.lk] Economically, Sri Lanka has come a long way- Packer Sri Lanka could be a leading tourism Mecca for the rising middle class of India, China and the rest of Asia, said Chairman Crown Resorts Australasia, James Packer. Speaking at the ongoing CHOGM Business Forum, he said that that an opportunity to develop the country as a base and destination for mass, luxury and business tourism was something was is committed to go through with his company Crown Resorts. [Source: www.dailynews.lk] Sampath Bank seventh in Business Today Top 25 2012-13 Sampath Bank has moved up to the seventh position in the Business Today Top 25 2012-13, based on its financial performance during the financial year ending 31 December 2012. In the previous year, Sampath Bank was in the 12th position. With a profit after tax of Rs. 5.1 billion, Sampath Bank recorded an increase of 51.6%. The year 2012 was a year of consolidation with branch expansion and rapid business growth in an environment where the countrys monetary policy was directed at reducing credit expansion and stabilising the banking sector. [Source: www.ft.lk]

Global
Euro Recovery Wanes as Germany Slows and France Contracts Germanys economy lost momentum in the third quarter while France and Italy contracted, adding to evidence that the euro regions recovery is flagging. German GDP rose 0.3 percent from the second quarter, when it increased by 0.7 percent. Thats in line with the median of 41 estimates in a Bloomberg News survey. The French and Italian economies both shrank 0.1 percent. The European Unions statistics office in Luxembourg is due to publish data for the euro area at 11 a.m., for which economists predict growth of 0.1 percent compared with 0.3 percent in the prior three months. [Source: www.bloomberg.com] Japan Slowdown Flashes Warning to Abe as Reforms Await Japanese companies eased off on capital-spending growth in the third quarter and failed to step up exports even with a cheaper yen, contributing to an economic slowdown that puts pressure on Prime Minister Shinzo Abe. Gross domestic product rose at an annualized 1.9 percent, down from 3.8 percent the previous quarter, with the gain relying on government spending and an accumulation of inventories, the Cabinet Office reported in Tokyo. A widening trade gap lopped off 1.8 percentage point from growth. Corporate investment increased 0.7 percent, down from 4.4 percent. [Source: www.bloomberg.com] Softlogic Equity Research Page | 5.

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