Lanka Tiles
{{Short description|Sri Lankan manufacturing company}}
{{Infobox company
| name = Lanka Tiles PLC
| logo = Lanka Tiles logo.jpg
| logo_caption = Logo of Lanka Tiles PLC
| former_name = Lanka Floortiles (1999-2013)
| type = Public
| traded_as = {{Colombo Stock Exchange|TILE.N0000}}
| ISIN = {{ISIN|sl=n|pl=y|LK0114N00005}}
| industry = Capital goods
| founded = {{Start date and age|1984|3|30}}
| hq_location_city = Colombo
| hq_location_country = Sri Lanka
| key_people = {{Unbulleted list|A. M. Weerasinghe (Chairman)|J. A. P. M. Jayasekera (Managing Director)}}
| revenue = {{increase}} LKR18.684 billion
| revenue_year = 2023
| operating_income = {{increase}} LKR5.298 billion
| income_year = 2023
| net_income = {{decrease}} LKR3.688 billion
| net_income_year = 2023
| assets = {{increase}} LKR18.627 billion
| assets_year = 2023
| equity = {{increase}} LKR12.932 billion
| equity_year = 2023
| num_employees = {{increase}} 744
| num_employees_year = 2023
| parent = Lanka Walltiles PLC (68.217%)
| subsid = Swisstek (Ceylon) PLC (47.80%; Associate company)
| website = {{URL|https://www.lankatiles.com/}}
}}
Lanka Tiles PLC, doing business as LANKATILES, is a glazed ceramic and porcelain tile manufacturing company in Sri Lanka. The company was incorporated in 1984 and two years later was listed on the Colombo Stock Exchange. Lanka Tiles was a part of the government-owned Ceylon Ceramics Corporation. In 1991, all but one division of Ceylon Ceramics Corporation was incorporated as Lanka Ceramic Limited. Ceylon Theatres acquired Lanka Ceramic from the government of Sri Lanka. In 2013, Royal Ceramics acquired 80% of the stake in Lanka Ceramic, thus bringing Lanka Tiles under the umbrella of the Vallibel One Group. The company capitalised on an anti-dumping duty imposed by the government of the United States on goods originating in China and started exporting mosaic tiles to the United States. Lanka Tiles was one of the 100 most valuable brands in Sri Lanka in 2022. Due to weakening demand as a result of the prevailing economic crisis in the country, the company restarted its operations in India. Lanka Tiles is also an LMD 100 company in Sri Lanka.
History
Lanka Tiles was incorporated on 30 March 1984.{{cite news |title=Lanka Tiles |url=https://books.google.com/books?id=mJgPAQAAMAAJ&q=lanka+tiles+1984 |access-date=18 February 2023 |work=Moody's International Manual |publisher=Moody's Corporation |date=1998 |pages=7950}} The company was listed on the Colombo Stock Exchange two years later. Lanka Tiles and its present parent Lanka Walltiles were parts of the government-owned Ceylon Ceramics Corporation. In 1987, the company exported 80% of its production.{{cite web |last1=Tantawy |first1=M. M. Morsi |title=Ceramic Research Laboratory |url=https://open.unido.org/api/documents/4818575/download/(R)%20SRI%20LANKA.%20CERAMIC%20RESEARCH%20LABORATORY.%20TERMINAL%20REPORT%20(16285.en) |publisher=UNIDO |access-date=18 February 2023 |page=17 |date=6 May 1987}} In line with the government policy of privatisation, all but one division of Ceylon Ceramics Corporation incorporated as Lanka Ceramic Limited in 1991.{{cite web |title=Annual Report 1992 |url=https://www.cbsl.gov.lk/sites/default/files/cbslweb_documents/publications/annual_report/archives/en/1992_06_Chapter_04_en.pdf |website=cbsl.gov.lk |publisher=Central Bank of Sri Lanka |access-date=18 February 2023 |page=54 |date=1992}} When the government divested its stake in Lanka Ceramic, Ceylon Theatres acquired 65% of the stake.{{cite book |last1=Ganesh |first1=Gopal |title=Privatisation and Labour Restructuring |date=2008 |publisher=Academic Foundation |location=New Delhi |isbn=978-81-7188-634-0 |page=92 |url=https://books.google.com/books?id=ZBuUNzIgJjAC |access-date=18 February 2023 |language=en}} Lanka Tiles was renamed Lanka Floortiles after the acquisition.{{cite web |title=Annual Report 2012/13 |url=https://cdn.cse.lk/cmt/upload_report_file/503_1380274846.pdf |website=cse.lk |publisher=C T Holdings PLC |access-date=18 February 2023 |page=2 |date=2013}}
Workers of the company launched a strike action in August 2010, demanding a pay increase. The strike action was resolved after 19 days following successful salary negotiations with the trade union.{{cite news |title=Lanka Tiles factory back in action |url=https://www.sundaytimes.lk/100905/BusinessTimes/bt31.html |access-date=18 February 2023 |work=The Sunday Times |publisher=Wijeya Newspapers |date=5 September 2010}} 450 workers out of a 580-cadre strike again in 2011. The workers agreed to abide by the collective agreement.{{cite news |title=Lanka Tiles employees back at work after stoppage |url=https://www.ft.lk/article/46655/Lanka-Tiles-employees-back-at-work-after-stoppage |access-date=18 February 2023 |work=Daily FT |publisher=Wijeya Newspapers |date=6 September 2011}} A consortium led by Royal Ceramics acquired 80% of Lanka Tiles's parent Lanka Ceramic in May 2013, bringing Lanka Tiles under the Vallibel One Group.{{cite news |title=Royal Ceramics acquires 80% of Lanka Ceramic |url=https://www.dailymirror.lk/29036/royal-ceramics-acquires-80-of-lanka-ceramic |access-date=18 February 2023 |work=Daily Mirror |publisher=Wijeya Newspapers |date=6 May 2013}} With the acquisition, Royal Ceramics gained a near-monopoly of the Sri Lankan tile market.{{cite news |title=Royal Ceramics gains tile monopoly through Rs.2.9bn acquisition |url=https://www.pressreader.com/sri-lanka/daily-mirror-sri-lanka/20130507/282291022742171 |access-date=18 February 2023 |work=Daily Mirror |publisher=Wijeya Newspapers |date=7 May 2013 |via=PressReader}} Lanka Tiles invested LKR200 million to export mosaic tiles to the United States in 2019. The company signed an agreement with the Chinese firm Foshan Shiwan Yulong Ceramic and Benjamin Malloy. The agreement was signed when the United States government imposed an anti-dumping duty on ceramic products of Chinese origin.{{cite news |title=Lanka Tiles to export porcelain mosaic tiles with Rs. 200 m investment |url=http://bizenglish.adaderana.lk/lanka-tiles-to-export-porcelain-mosaic-tiles-with-rs-200-m-investment/ |access-date=18 February 2023 |work=adaderana.lk |publisher=Ada Derana |date=16 December 2019}} In the same year, Lanka Tiles expanded its contract manufacturing in India to combat cheap imports from India. A few years earlier, the company signed an agreement with Ambani Vitrified to manufacture glazed vitrified tiles.{{cite news |title=Sri Lanka's Royal Ceramics group expands contract manufacture in India |url=https://economynext.com/sri-lankaaes-royal-ceramics-group-expands-contract-manufacture-in-india-14427/ |access-date=18 February 2023 |work=Economy Next |publisher=Echelon Media |date=14 June 2019}}
Operations
Lanka Tiles is included in the 2022 100 most valuable brand index in Sri Lanka. The company ranked 48th, rising by ten ranking positions from the previous year.{{cite news |title=Lanka Tiles among Top 100 Most Valuable Consumer Brands |url=https://archives1.sundayobserver.lk/2022/05/22/business/lanka-tiles-among-top-100-most-valuable-consumer-brands |access-date=18 February 2023 |work=Sunday Observer |publisher=Associated Newspapers of Ceylon Limited |date=22 May 2022}}{{cite web |title=Sri Lanka 100 2022 |url=https://brandirectory.com/download-report/brand-finance-sri-lanka-100-2022-full-report.pdf |website=brandirectory.com |publisher=Brand Finance |access-date=18 February 2023 |pages=12, 15 |date=2022}} Even though the government imposed an import ban on tiles, Lanka Tiles is facing rising raw material, machinery costs and weakening demand due to the prevailing economic crisis.{{cite news |title=Tile manufacturers worried over maintaining growth momentum amid declining consumer demand |url=https://www.dailymirror.lk/business-news/Tile-manufacturers-worried-over-maintaining-growth-momentum-amid-declining-consumer-demand/273-238806 |access-date=18 February 2023 |work=Daily Mirror |publisher=Wijeya Newspapers |date=10 June 2022}} Lanka Tiles restarted its tile manufacturing operations in India and also planning on opening a distribution channel. Despite the company ramping up production, the company came to realise its demand was falling in Sri Lanka and inventories were building up.{{cite news |last1=Edirimuni Chandrasekera |first1=Duruthu |title=Sri Lanka's Lanka Tiles restarts Indian operation |url=https://www.sundaytimes.lk/230108/business-times/sri-lankas-lanka-tiles-restarts-indian-operation-507360.html |access-date=18 February 2023 |work=The Sunday Times |publisher=Wijeya Newspapers |date=8 January 2023}}
Ranking
Lanka Tiles was one of the LMD 100 companies in Sri Lanka. Lanka Tiles is ranked 68th in the 2022 rankings. LMD 100 lists the quoted companies in Sri Lanka by revenue annually.{{cite web |title=LMD 100 |url=https://lmd.lk/wp-content/uploads/2023/01/06-WEB-FINANCIAL-PROFILE-TOP-100-TABLE-2021-22.jpg |website=lmd.lk |publisher=Media Services |access-date=18 February 2023 |date=2022}}
See also
References
{{Reflist}}
External links
- [https://www.lankatiles.com/ Official website]
{{Hayleys Vallibel One}}
{{All Share Price Index}}
Category:1984 establishments in Sri Lanka
Category:Manufacturing companies established in 1984
Category:Companies listed on the Colombo Stock Exchange
Category:Manufacturing companies based in Colombo