Resus Energy PLC

Interim Report
01st Quarter 2022-2023
RESUS ENERGY PLC
Interim Report 01st Quarter 2022-2023
Provisional Financial Statements
STATEMENT OF FINANCIAL POSITION - GROUP
Unaudited
30.06.2022
31.03.2022
ASSETS Rs. Rs.

Non-current assets
Property, plant and equipment 4,089,616,613 4,250,444,706
Right of use asset 35,990,615 36,949,994
Intangible assets 181,139,888 181,139,889
Deferred tax assets 94,263,650 94,263,707
4,401,010,766 4,562,798,296
Current assets
Inventories 17,106,497 15,458,368
Trade and other receivables 801,202,912 577,767,761
Income tax recoverable 1,891,520 1,891,520
Cash and cash equivalents 114,768,172 195,430,281
934,969,101 790,547,930
Total Assets 5,335,979,867 5,353,346,226

EQUITY AND LIABILITIES

Equity
Stated capital 773,891,366 773,891,366
Other components of equity 6,949,461 6,949,461
Retained earnings 998,125,572 927,525,961
Equity attributable to equity holders of the parent 1,778,966,399 1,708,366,788
Non-controlling interest - -
Total Equity 1,778,966,399 1,708,366,788

Non-current liabilities
Interest bearing loans and borrowings 2,652,657,969 2,623,681,680
Lease liability 31,282,060 31,829,231
Retirement benefit obligations 26,431,347 25,617,322
Deferred tax liabilities 53,719,457 53,719,457
2,764,090,833 2,734,847,690

Current liabilities
Trade and other payables 75,982,081 250,892,617
Lease liability 9,473,637 8,022,841
Income tax liabilities 3,522,772 3,522,772
Interest bearing loans and borrowings 382,711,483 466,762,346
Bank overdrafts 321,232,662 180,931,173
792,922,635 910,131,749
Total Equity and Liabilities 5,335,979,867 5,353,346,227
(1)
Net assets per share 22.51 21.62

The above figures are provisional and subject to audit.

These Financial Statements are in compliance with the requirements of the Companies Act No. 07 of 2007.

……………………………
R M S Tillakawardana
Chief Financial Officer

The Board of Directors is responsible for the preparation and presentation of these Financial Statements.
Signed for and on behalf of the Board by,

…………………………………… ……………………………….
G.A.K. Nanayakkara H A S Madanayake
Managing Director Chairman

18th August 2022

RESUS ENERGY PLC
Interim Report 01st Quarter 2022-2023
Provisional Financial Statements
STATEMENT OF FINANCIAL POSITION - COMPANY
Unaudited
30.06.2022
31.03.2022
ASSETS Rs. Rs.

Non-current assets
Property, plant and equipment 1,151,249,891 1,160,595,892
Right of use asset 10,006,660 10,657,152
Intangible assets 125,407,510 125,407,510
Investments in subsidiaries 736,644,125 736,644,125
Deferred tax assets - -
2,023,308,186 2,033,304,679
Current assets
Inventories 11,189,815 10,955,870
Trade and other receivables 688,319,139 512,384,176
Income tax recoverable 790,027 790,027
Cash and cash equivalents 98,862,521 190,695,163
799,161,502 714,825,236
Total Assets 2,822,469,688 2,748,129,915

EQUITY AND LIABILITIES

Equity
Stated capital 773,891,366 773,891,366
Other components of equity 5,194,210 5,194,210
Retained earnings 427,963,670 399,308,708
Equity attributable to equity holders of the parent 1,207,049,246 1,178,394,284
Non-controlling interest - -
Total Equity 1,207,049,246 1,178,394,284

Non-current liabilities
Interest bearing loans and borrowings 962,282,084 1,010,683,570
Lease liability 4,101,860 3,790,822
Retirement benefit obligations 25,908,780 25,103,523
Deferred tax liabilities 17,984,057 17,984,057
1,010,276,781 1,057,561,972

Current liabilities
Trade and other payables 116,858,562 159,595,598
Lease liability 4,242,827 4,332,571
Interest bearing loans and borrowings 221,192,895 253,187,698
Bank overdrafts 262,849,377 95,057,792
605,143,661 512,173,659
Total Equity and Liabilities 2,822,469,688 2,748,129,915
0
Net assets per share 15.27 14.91

The above figures are provisional and subject to audit.

These Financial Statements are in compliance with the requirements of the Companies Act No. 07 of 2007.

……………………………
R M S Tillakawardana
Chief Financial Officer

The Board of Directors is responsible for the preparation and presentation of these Financial Statements.
Signed for and on behalf of the Board by,

…………………………………… ……………………………….
G.A.K. Nanayakkara H A S Madanayake
Managing Director Chairman

18th August 2022

RESUS ENERGY PLC
Interim Report 01st Quarter 2022-2023
Provisional Financial Statements
STATEMENT OF PROFIT OR LOSS - GROUP

03 Months ended 30th June

2022 2021
Change %
Rs. Rs.
Revenue from contracts with customers 226,485,361 207,769,648 9
Direct costs (47,848,879) (33,922,649) (41)
Gross profit 178,636,482 173,846,998 3

Other operating income - - -

Administrative expenses (23,041,803) (21,176,843) (9)
Results from operating activities 155,594,679 152,670,155 2

Finance income 165,715 47,170 251

Finance cost (85,160,782) (38,670,354) (120)
Profit/(loss) before tax 70,599,612 114,046,971 (38)

Tax expense - - -
Profit/(loss) for the period 70,599,612 114,046,971 (38)

Attributable to:
Equity holders of the parent 70,599,612 114,046,971 (38)
Non-controlling interest - - -
70,599,612 114,046,971 (38)

Earnings/(loss) per share - basic/diluted 0.89 1.44

Dividend per share - -

STATEMENT OF COMPREHENSIVE INCOME - GROUP

03 Months ended 30th June
2022 2021 Change %
Rs. Rs.

Profit/(loss) for the period 70,599,612 114,046,971 (38)

Other comprehensive income not to be reclassified

to profit or loss in subsequent periods

Remeasurement gain/(loss) on Defined Benefit Plans - - -

Deferred tax effect on Actuarial gain/loss - - -
Other comprensive income for the period. Net of tax - - -
Total comprehensive income for the period, net of tax 70,599,612 114,046,971 (38)

Attributable to:
Equity holders of the parent 70,599,612 114,046,971 (38)
Non-controlling interest - - -
70,599,612 114,046,971 (38)

Figures in brackets indicate deductions.

The above figures are provisional and subject to audit.

RESUS ENERGY PLC
Interim Report 01st Quarter 2022-2023
Provisional Financial Statements
STATEMENT OF PROFIT OR LOSS - COMPANY

03 Months ended 30th June

2022 2021
Change %
Rs. Rs.
Revenue from contracts with customers 115,629,524 122,034,124 (5)
Direct costs (24,219,977) (20,765,247) (17)
Gross profit 91,409,547 101,268,877 (10)

Other operating income - - -

Administrative expenses (20,786,548) (18,147,449) (15)
Results from operating activities 70,623,000 83,121,428 (15)

Finance income 165,076 46,667 254

Finance cost (42,133,114) (23,597,450) (79)
Profit/(loss) before tax 28,654,962 59,570,645 (52)

Tax expense - - -
Profit/(loss) for the period 28,654,962 59,570,645 (52)

Attributable to:
Equity holders of the parent 28,654,962 59,570,645 (52)
Non-controlling interest - - -
28,654,962 59,570,645 (52)

Earnings/(loss) per share - basic/diluted 0.36 0.75

Dividend per share - -

STATEMENT OF COMPREHENSIVE INCOME - COMPANY

03 Months ended 30th June
2022 2021 Change %
Rs. Rs.

Profit/(loss) for the period 28,654,962 59,570,645 (52)

Other comprehensive income not to be reclassified

to profit or loss in subsequent periods

Remeasurement gain/(loss) on Defined Benefit Plans - - -

Deferred tax effect on Actuarial gain/loss - - -
Other comprensive income for the period. Net of tax - - -
Total comprehensive income for the period, net of tax 28,654,962 59,570,645 (52)

Attributable to:
Equity holders of the parent 28,654,962 59,570,645 (52)
Non-controlling interest - - -
28,654,962 59,570,645 (52)

Figures in brackets indicate deductions.

The above figures are provisional and subject to audit.

RESUS ENERGY PLC
Interim Report 01st Quarter 2022-2023
Provisional Financial Statements
STATEMENT OF CHANGES IN EQUITY - GROUP

Attributable to equity holders of the parent

Other components of equity
Stated Revaluation Retained Total Non-controlling Total
capital reserve earnings interest equity
03 Month ended 30 June 2022 Rs. Rs. Rs. Rs. Rs. Rs.

Balance as at 1st April 2022 773,891,366 6,949,461 927,525,961 1,708,366,788 - 1,708,366,788

Profit for the period - - 70,599,612 70,599,612 - 70,599,612

Other comprehensive income - - - - - -

Total comprehensive income for the period - - 70,599,612 70,599,612 - 70,599,612

Balance as at 30th June 2022 773,891,366 6,949,461 998,125,572 1,778,966,399 - 1,778,966,399

Attributable to equity holders of the parent

Other components of equity
Stated Revaluation Retained Total Non-controlling Total
capital reserve earnings interest equity
Year ended 31 March 2022 Rs. Rs. Rs. Rs. Rs. Rs.

Balance as at 1st April 2021 773,891,366 6,949,461 453,430,493 1,234,271,320 - 1,234,271,320

Profit for the period - - 472,782,265 472,782,265 - 472,782,265

Other comprehensive income - - 1,418,679 1,418,679 - 1,418,679

Total comprehensive income for the period - - 474,200,944 474,200,944 - 474,200,944

Balance as at 31st March 2022 773,891,366 6,949,461 927,631,437 1,708,472,264 - 1,708,472,264

Figures in brackets indicate deductions.

The above figures are provisional and subject to audit.

RESUS ENERGY PLC
Interim Report 01st Quarter 2022-2023
Provisional Financial Statements
STATEMENT OF CHANGES IN EQUITY - COMPANY

Attributable to equity holders of the parent

Other components of equity
Stated Revaluation Retained Total
capital reserve earnings equity
03 Month ended 30 June 2022 Rs. Rs. Rs. Rs.

Balance as at 1st April 2022 773,891,366 5,194,210 399,308,708 1,178,394,284

Profit for the period - - 28,654,962 28,654,962

Other comprehensive income - - - -

Total comprehensive income for the period - - 28,654,962 28,654,962

Balance as at 30th June 2022 773,891,366 5,194,210 427,963,670 1,207,049,246

Attributable to equity holders of the parent

Other components of equity
Stated Revaluation Retained Total
capital reserve earnings equity
Year ended 31 March 2022 Rs. Rs. Rs. Rs.

Balance as at 1st April 2020 773,891,366 5,194,210 208,561,043 987,646,619

Profit for the period - - 189,476,238 189,476,238

Other comprehensive income - - 1,271,427 1,271,427

Total comprehensive income for the period - - 190,747,665 190,747,665

Balance as at 31st March 2022 773,891,366 5,194,210 399,308,708 1,178,394,284

Figures in brackets indicate deductions.

The above figures are provisional and subject to audit.

RESUS ENERGY PLC
Interim Report 01st Quarter 2022-2023
Provisional Financial Statements
STATEMENT OF CASH FLOW - GROUP

For the 03 Months Ended 30th June 2022 2021

Rs. Rs.

Cash generated from/(used in) operating activities

Profit/(loss) before tax 70,599,612 114,046,972

Adjustments for;
Depreciation 26,059,835 18,073,217
Depreciation of Right of use Asset 959,379 968,703
Provision for Defined Benefit Plan 814,025 805,257
Finance Cost 74,320,909 37,612,738
Finance charges on lease liability 903,623 1,052,622
Finance Income (165,715) (47,169)
Operating profit before working capital changes 173,491,668 172,512,340

Decrease / ( increase ) in inventories (1,648,129) -

Decrease / ( increase ) in trade and other receivable (223,435,150) 29,781,040
(Decrease) / Increase in trade and other payables (174,910,535) (6,280,087)
Cash generated from/(used in) operating activities (226,502,147) 196,013,293

Finance cost paid (74,223,597) (40,256,051)

Gratuity paid - (395,022)
Net cash generated from/(used in) operating activities (300,725,744) 155,362,221

Cash flows from/(used in) investing activities

Acquisition of property, plant and equipment 134,671,005 (147,910,972)
Finance income received 165,715 47,169
Net cash used in investing activities 134,836,719 (147,863,804)

Cash flows from/(used in) financing activities

Proceeds from interest bearing loans and borrowings - 124,608,566
Repayments of interest bearing loans and borrowings (55,074,574) (209,513,835)
Net cash (used in)/generated from financing activities (55,074,574) (84,905,269)

Net decrease in cash and cash equivalents (220,963,598) (77,406,851)

Cash and cash equivalents at the beginning of the period 14,499,108 (368,248,157)
Cash and Cash equivalents at the end of the period (206,464,490) (445,655,008)

Analysis of cash and cash equivalents;

Cash and cash equivalents 114,768,172 4,277,356
Bank overdrafts (321,232,662) (449,932,365)
Cash and cash equivalents at the end of the period for the purpose of statement of cash Flow (206,464,490) (445,655,009)

Figures in brackets indicate deductions.

The above figures are provisional and subject to audit.

RESUS ENERGY PLC
Interim Report 01st Quarter 2022-2023
Provisional Financial Statements
STATEMENT OF CASH FLOW - COMPANY

For the 03 Months Ended 30th June 2022 2021

Rs. Rs.

Cash generated from/(used in) operating activities

Profit/(loss) before tax 28,654,962 59,570,645

Adjustments for;
Depreciation 9,654,680 9,703,156
Depreciation of Right of use Asset 650,492 611,001
Provision for Defined Benefit Plan 805,257 805,257
Finance Cost 21,900,092 23,333,736
Finance charges on lease liability 221,293 263,714
(Profit)/Loss on Sale of Fixed Assets -
Non Cash Payment -
Finance Income (165,076) (46,666)
Operating profit before working capital changes 61,721,698 94,240,843

Decrease / ( increase ) in inventories (233,945) -

Decrease / ( increase ) in trade and other receivable (175,934,963) 25,968,188
Increase/(decrease) in trade and other payables (42,737,036) 33,443,495
Decrease / ( Increase ) in Financial Assets -
Cash generated from/(used in) operating activities (157,184,246) 153,652,526

Finance cost paid (21,900,092) (24,955,316)

Gratuity paid 1 (395,022)
Net cash generated from/(used in) operating activities (179,084,336) 128,302,188

Cash flows from/(used in) investing activities

Acquisition of property, plant and equipment (308,690) (4,834,030)
Proceeds From Lease Liability - -
Finance income received 165,076 46,666
Investments in Subsidiaries - -
Net cash used in investing activities (143,614) (4,787,364)

Cash flows from/(used in) financing activities

Proceeds from interest bearing loans and borrowings - -
Lease rental paid (2) -
Repayments of interest bearing loans and borrowings (80,396,277) (117,627,754)
Dividends Paid - Ordinary Shares - -
Net cash (used in)/generated from financing activities (80,396,279) (117,627,754)

Net decrease in cash and cash equivalents (259,624,228) 5,887,070

Cash and cash equivalents at the beginning of the period 95,637,372 (308,148,432)
Cash and Cash equivalents at the end of the period (163,986,857) (302,261,362)

Analysis of cash and cash equivalents;

Cash and cash equivalents 98,862,521 3,683,370
Bank overdrafts (262,849,377) (305,944,730)
Cash and cash equivalents at the end of the period for the purpose of statement of cash Flow (163,986,857) (302,261,360)

Figures in brackets indicate deductions.

The above figures are provisional and subject to audit.

RESUS ENERGY PLC
Interim Report 01st Quarter 2022-2023
Provisional Financial Statements
EXPLANATORY NOTES TO THE INTERIM FINANCIAL STATEMENTS

1 Basis of preparation

The condensed interim financial statements have been prepared in accordance with Sri Lanka Accounting Standard LKAS-34, Interim Financial

Reporting. The condensed interim financial statements should be read in conjunction with the annual financial statements for the year ended 31st March
2021, including the changes to accounting policies as a result of convergence to revised Sri Lanka Accounting Standards (SLFRSs/LKASs). Further,
provisions of the Companies Act No. 7 of 2007 have been considered in preparing the interim financial statements.

2 Changes in accounting policies

The accounting policies adopted in the preparation of the interim condensed consolidated financial statements are consistent with those followed in the
st
preparation of the Group’s annual consolidated financial statements for the year ended 31 March 2021.

3 Contingent Liabilities

The Tax Appeal Commission issued its determination related to year of assessments 2011/12 and 2012/13 ruling against the Company. The Company has
appealed to the Court of Appeal against the determination.

Other than the above, there have been no material changes to the contingencies disclosed in the annual audited financial statements for the year ended 31st
March 2021.

4 Events after the reporting period

There have been no material events occurring after the reporting period that require adjustments to or disclosure in the financial statements.
RESUS ENERGY PLC
Interim Report 01st Quarter 2022-2023
Provisional Financial Statements
SHARE INFORMATION AS AT 30TH JUNE 2022

1 Market Price per Share 2022 2021

Rs. Rs.
Highest 20.00 28.60
Lowest 11.00 23.50
Closing 12.00 26.20
Last Traded Price 12.00 26.00

Number of Shares 79,030,655 79,030,655

Market Capitalization on30th June 2022 948,367,860 2,070,603,161

2 The percentage of shares held by the public as at 30th June 2022 was 34.69% (30th June 2021 - 34.71%).
The number of public share holders as at 30th June 2022 was 2,789 (30th June 2021- 2,497)

Float adjusted market capitalization (Rs.) 328,799,137

The Company complies with option 5 of the Listing Rules 7.13.1 (a) - Less than Rs. 2.5 Bn Float Adjusted Market Capitalization which
requires 20% minimum Public Holding.

3 Shares of the Company were listed on the Colombo Stock Exchange on 8th October 2009.

4 The number of shares held by the Board of Directors are as follows;

As at 30.06.2022 30.06.2021
Mr. H. A. S. Madanayake - Chairman - -
Mr. U. G. Madanayake - -
Prof. K. A. M. K. Ranasinghe 135 135
Mr. U. P. Egalahewa - -
Mr. G. A. K. Nanayakkara (Managing Director) 151,594 151,594
Ms. D. C. Abeyawardena 38,404 21,404
Mr. K P P M Amarasiri - Alternate Director - -
190,133 173,133

5 Twenty major shareholders of the Company are as follows;

30.06.2022 30.06.2021
%
No. of Shares No. of Shares

1 Trydan Partners (Pvt) Ltd 25,714,012 32.54 25,714,012

2 ACL Cables PLC 25,705,718 32.53 25,705,718
3 Hatton National Bank / Ayenka Holdings (Pvt) Ltd 4,365,904 5.52 14,388,368
4 Employees Trust Fund 2,035,128 2.58 2,147,237
5 Bank of Ceylon Account No 1 977,527 1.24 1,512,838
6 Merchant Bank of Sri Lanka & Finance /Acquest (Private) Limited 902,992 1.14 -
7 Hatton National Bank / Mushtaq Mohamed Fuad 822,869 1.04 -
8 Hatton National Bank / Anuja Chamila Jayasinghe 635,095 0.80 -
9 Finance Land and General (Private) Limited 524,507 0.66 -
10 Ambeon Capital PLC 475,000 0.60 -
11 Mr. S Vasudevan Subramaniam 433,467 0.55 -
12 CHC Investments (Pvt) Ltd 400,000 0.51 -
13 Miss. Durga Sithampalam 370,189 0.47 370,189
14 Seylan Bank PLC / Gladstone Capital (Private) Limited 349,990 0.44 -
15 Merchant Bank of Sri Lanka & Finance / G S N Peiris 280,000 0.35 -
16 Seylan Bank PLC / Hotel International (Pvt) Ltd 266,892 0.34 -
17 Ace Power Generation Matara (Pvt) Ltd 264,000 0.33 -
18 Tangerine Tours 260,000 0.33 376,551
19 MBSL Insurance (Pvt) Ltd 233,803 0.30 233,803
20 Merchant Bank of Sri Lanka & Finance PLC / U S Rathnayake 219,157 0.28
65,236,250 82.55
Shares held by the balance shareholders 13,794,405 17.45
Total Issued Shares 79,030,655 100.00
RESUS ENERGY PLC
Interim Report 01st Quarter 2022-2023

CORPORATE INFORMATION

Legal Form
Quoted Public Company with limited liability,
the ordinary shares of the Company were listed on the Colombo Stock Exchange on 8th October 2009

Date of Incorporation
11 June 2003

Date of Re-Registration under the Companies Act No 7 of 2007

11 September 2007

Company Registration Number

PV 415 PB PQ

Accounting Year End

31 March

Registered Office
No. 250/1,
Torrington Avenue, Colombo 7,
Sri Lanka.
Telephone: +94-11-7731731
Facsimile: +94-11-7731555

Directors
Mr. H A S Madanayake - Non-Executive Chairman
Mr. G A K Nanayakkara - Managing Director
Mr. U G Madanayake - Non-Executive Director
Professor K A M K Ranasinghe - Independent Non-Executive Director
Mr. U P Egalahewa PC - Independent Non-Executive Director
Ms. D C Abeyawardena -Independent Non-Executive Director
Mr. K P P M Amarasiri - Alternate Director

Audit Committee
Professor K A M K Ranasinghe - Chairman
Mr. U P Egalahewa PC
Ms. D C Abeyawardena

Remuneration Committee
Mr. U P Egalahewa PC - Chairman
Professor K A M K Ranasinghe
Mr. H A S Madanayake

Related Party Transactions Review Committee

Mr. U P Egalahewa PC - Chairman
Professor K A M K Ranasinghe
Ms. D C Abeyawardena

Secretaries
Nexia Corporate Consultants (Private) Limited
No. 181, Nawala Road, Narahenpita, Colombo 5.
Tel : 0112368154
Fax : 0112368621

Registrars
S S P Corporate Services (Private) Limited
No. 101, Inner Flower Road, Colombo 3.
Tel : 0112573894

Auditors
Ernst & Young
Chartered Accountants
No. 201, De Saram Place, Colombo 10.

Bankers
Sampath Bank PLC
Commercial Bank of Ceylon PLC
National Development Bank PLC
Hatton National Bank PLC
Seylan Bank PLC
Nations Trust Bank PLC
Pan Asia Banking Corporation PLC
DFCC Bank PLC

Investor Relations
RESUS Energy PLC
No 250/1, Torrington Avenue,
Colombo 07
Sri Lanka
Telephone : +(94) 11 7731731
Facsimile : +(94) 11 7731555
NOTES