JAT Archives - Page 2 of 3

October 12, 2022

JAT Pintharoo Shilpee Abhiman is a pioneering programme that was launched by JAT Holdings PLC, Sri Lanka’s market leader in wood coatings, in partnership with the National Apprentice Industrial Training Authority (NAITA), to uplift the industry and to help promising painters and carpenters build their lives and hone their craft, by providing these skilled but uncertified individuals with a formal certification in their field of work. Under this programme, NAITA has provided 100+ painters/woodcraftsmen, identified by JAT Holdings, with an NVQ Level 3 Wood Craftsman (Wood Finisher) Certification, upon the successful completion of an examination conducted by NAITA. This is the first such collaboration of this nature to offer certification for highly-skilled individuals, and is a milestone, not just for JAT Holdings, but for the industry as a whole.

These painters/woodcraftsmen, made up of 7 batches that successfully completed the programme, were formally presented with their certifications at the JAT Pintharoo Shilpee Abhiman Convocation Ceremony, held on the 6th of October 2022, at the JAT Holdings Auditorium. Individuals who obtained the NVQ Level 3 Certification, and who are also members of the JAT Loyalty Programme, are eligible to apply for a loan from HDFC bank to further their business interests. One such eligible painter/woodcraftsmen obtained the first such loan under this programme, which was ceremonially disbursed to him at the Convocation. Present at the JAT Pintharoo Shilpee Abhiman Convocation Ceremony were the Vice Chairman and other representatives of NAITA, the Chairman of HDFC Bank, along with key representatives from the bank and senior members of JAT Holdings’ Corporate Management Team, including Founder/Managing Director of JAT Holdings PLC, Aelian Gunawardene and Chief Executive Officer (CEO), Nishal Ferdinando.

Commenting on the success of the initiative, Nishal Ferdinando CEO of JAT Holdings said, “Our market leader position has been achieved by our passion for excellence. One way we have consistently achieved excellence is by constantly uplifting the industry by creating opportunities for skilled individuals, recognizing them, rewarding them and cheering them on as they hone their skills and deliver increasingly exceptional quality. To achieve this, we have launched a comprehensive loyalty programme in the form of JAT Pintharoo Shilpee Abhiman, and this partnership with NAITA and HDFC builds on the work we have already been doing. Therefore, it gives us great pride to congratulate the new graduates and we look forward to seeing even higher quality work from them in the future, as they build their skills and create value.”

JAT Pintharoo Shiplee Abhiman is a three-phase, long-term initiative by JAT Holdings to help formalize the industry, increase professionalism, and identify and promote talent and skill, while supporting innovation and growth. Phase One included the “JAT Loyalty” programme, the first-ever loyalty programme in the industry to offer loyalty points that can be directly converted to cash or used to fund savings, through a collaboration with Commercial Bank of Ceylon PLC, and the exclusive JAT Commercial Bank Debit Card.

Building on Phase One, Phase Two included the partnership with NAITA to provide NVQ Level 3 Certification through a fast-tracked programme, the first graduates of which were recognized at the JAT Pintharoo Shilpee Abhiman Convocation Ceremony. This initiative allows skilled individuals, identified by JAT Holdings, to complete the NVQ Level 3 Certification by directly sitting for the Assessment, based on the previous track record of their competencies, which have been identified by JAT through the training programme and the initial assessment conducted. Ordinarily, this Certification would take months to complete, time which many of these highly-skilled individuals do not have, as they would rather use their skills to create value and generate income to support their families. However, formal certification can go a long way in opening up opportunities for career development, higher education and further skills development. Thus, JAT Holdings has, in partnership with NAITA empowered these individuals to obtain formal certification recognizing their exceptional skills.

In Phase Three of the JAT Pintharoo Shilpee Abhiman Programme, JAT is partnering with companies that can further add value to and elevate the lives of painters. One such partnership is that with HDFC Bank, to support and enhance the lives of painters, by providing them with access to finance to become qualified individuals in the industry and grow their potential. This financing goes towards assisting painters to purchase equipment and for working capital requirements. A special mechanism for credit delivery and recovery have also been designed and implemented through this partnership, to further empower painters and woodcraftsmen.

Through its CSR and Sustainability initiatives, particularly JAT Pintharoo Shilpee Abhiman, the Group is creating both direct and indirect positive impacts on sustainability and its core business, through the promotion of water-based wood-coating solutions and innovations to reduce reliance on solvents. The programmes also impact core areas such as livelihood development and education, helping to transform Communities and the Mind. JAT Pintharoo Shilpee Abhiman is also aligned with the UN Sustainable Development Goals (SDGs), particularly the goals of No Poverty, Quality Education, Decent Work and Economic Growth and Industry, Innovation and Infrastructure.

March 8, 2022

08th March 2022, Colombo Sri Lanka: JAT Holdings PLC, multinational conglomerate and leader in wood coatings in Sri Lanka and Bangladesh bagged 9 individual awards at the recently concluded National Sales Congress (NASCO) Awards 2020, organized by the Sri Lanka Institute of Marketing (SLIM). The awards were presented to members of JAT’s exemplary sales staff who acted as true warriors in the new wave, enabling the company to record an exceptional financial performance over the year in spite of the numerous pandemic related challenges that were posed.

Celebrating its 21^st year, the SLIM NASCO Awards reinforced its dedication to recognizing the efforts and performance of sales personnel, hosting the awards under the theme ‘Warriors of the New Wave’. With SLIM NASCO being Sri Lanka’s only credible and respected national awards ceremony that recognizes sales professionals, being acknowledged at the ceremony is a much-coveted experience that sales professionals and corporates across the island anticipate all year around.

This year, JAT Holdings was granted the opportunity of celebrating an astounding number of honours, taking home 9 individual awards across various categories. With JAT’s salesforce playing an integral part in the company’s performance, these wins come as an accurate representation of JAT Holdings’ stability and financial strength despite adverse market conditions. The awards are a reflection of how JAT’s salesforce worked tirelessly over the pandemic, risking their lives and those of their families to achieve the company’s goals, and serving as true warriors of the new wave. Acting as the lifeblood and backbone of JAT’s operations, the individuals were recognized at the awards night as the driving force of the organization, aiding JAT to record the best financial year in the history of the company.

Speaking at the awards, Director of Sales and Technical at JAT Holdings, Wasantha Gunaratne stated, “We are immensely grateful for the recognition of our staff today by Sri Lanka’s most esteemed and only sales awards, and we’d like to extend our thanks to SLIM for creating the only platform in Sri Lanka to recognize sales professionals and uplift the local playing field by grooming them. These individuals have gone above and beyond their line of duty, playing a pivotal part in the success of JAT Holdings over the past year. Even in the face of great adversity, with the COVID-19 pandemic posing ever-evolving challenges to our sales staff, these individuals were able to transform, adapt and overcome anything in their path to truly exceed in their individual capacities. We at JAT pride ourselves on our brilliant workforce and are eager to see the great things they are yet to achieve.”

At the ceremony, Buddika Chathuranga and R. M. Hirantha Lakshan Rathnayake were presented with the gold award, whilst Harsha Deshapriya Malwaththa, Dona Dilini Koshalee Ranasinghe and P. G. Nuwan Niroshan walked away with the silver awards, and D. N. Lorensu Hewa and Supun Madushanka Matharage received bronze awards in the Industrial, Manufacturing & Energy category. JAT’s winning streak was further upheld when K. Thisara Damayanthi Perera won a silver and K. T. D. P. S. Amarathissa won a bronze in the Shops & Showrooms category.

Since its founding in 1993, JAT Holdings has established itself as a market leader in Sri Lanka for wood coatings and as one of the country’s most promising conglomerates. This is further attested to by accolades such as being ranked amongst Sri Lanka’s Top 100 Most Respected Companies by LMD for 4 years consecutively and also ranking among the Top 20 Conglomerate Brands by Brand Finance. Up until its recent IPO in July 2021, JAT Holdings was the only privately held company in Sri Lanka to receive the coveted Moody’s ICRA “A+ Stable” rating for 5 years, consecutively. Having secured multiple spots at the SLIM NASCO Awards this year, JAT reinforces its position as one of Sri Lanka’s most successful multinational companies.

January 31, 2022

Group PAT up by 232% to LKR 717 million
TTM PAT LKR 1,102 million
Total revenue up by 72%
Company GP maintained above 30%
Exports revenue increased from 9% to 22% of total revenue

Multinational conglomerate and Sri Lanka’s and Bangladesh’s market leader in wood coatings, JAT Holdings PLC, has delivered impressive results during the 3^rd Quarter of FY 2021/22, despite subdued market conditions. Group Profit After Tax (PAT) rose 232%, against the same period in the year prior, to LKR 717 million for the quarter, while PAT for the trailing 12-months (TTM) stood at LKR 1,102 million.

The 9 months under review also witnessed revenues rise 72%, while gross profit margins of the Company remained steady at over 30%. Export revenue share also rose to 22% of total revenue, against 9% achieved during the year prior. Investors will also be pleased to note that EPS (of trailing 12 months) stood at LKR 2.16. This resilient financial performance comes as the Company begins Q4, which has demonstrated to be the best quarter for JAT Holdings and the total Coatings Industry and accounts for as much as 45% of PAT historically due to seasonal factors.

Discussing the financial performance of the Company, Nishal Ferdinando – Director / CEO said, “It is with great pleasure that we present investors with the solid results we’ve achieved over the last quarter, just six months since our IPO. These metrics were achieved amidst a subdued market environment and other challenges, volatile exchange rates and a scarcity of materials in the global market. However, we adapted to the market conditions and remained agile, maintaining our gross profit margins. We also leveraged on our strong supplier relations and continuous improvements to our production processes through the implementation of lean and six sigma principles to maintain our gross profit targets.”

Resilient performance was also recorded across all of JAT Holdings business sectors. The WHITE by JAT product range recorded sales 62% above budget for the 1^st nine months of FY 2021/22, while sales in the brush and wood coatings segments increased by 57% and 33%, respectively, against the same period in the year prior. JAT Holdings’ Bangladesh operations also witnessed a 379% increase in revenue, which will be further boosted as a result of manufacturing commencing in Q4 of FY22 which is ahead of schedule. The Company has also secured a pipeline of projects worth in excess of LKR 1 billion, through luxury kitchen and wardrobe projects for premier developments such as Prime Grand Residencies and 606 The Address.

Commenting on the Company’s immediate future plans, Aelian Gunawardene – Founder and Managing Director added, “At this rate, we’re on track to meet our 1.2-billion-rupee PAT target for the current financial year. As a result of our strong financial performance, we have also been able to secure stocks of raw materials and other items for at least the next 5 months, which gives us flexibility amidst the current challenges facing imports. Furthermore, we are very enthusiastic about Q4 as we know it to historically be the most profitable quarter for us due to seasonality. Thus, backed by the resilient performance we have delivered over a challenging Q3, investors can look forward to an even more robust and rewarding performance during Q4. We expect to end FY 2021/22 having met all targets and exceeding expectations in every way. Furthermore, our R&D plant, which is scheduled to be fully functional by Q2 of FY23, will help to further boost our gross profit margins, enabling us to deliver exceptional value to our investors well into the future.”

The Company is also looking towards backward vertical integration to insulate its supply and value chains from external shocks and is looking at embarking on several ambitious projects and taking advantage of our strong liquidity.

Alongside delivering phenomenal financial performance, JAT Holdings is also devoting significant resources towards supporting wood craftsmanship in Sri Lanka through the JAT “Pinthaaroo-Shilpee Abhiman” (JAT පින්තාරු ශිල්පී අභිමන්) programme. This initiative is an extension of JAT’s longstanding Sayerlack Sathkaraya CSR programme and is being conducted in partnership with the National Apprentice Industrial Training Authority (NAITA), under the auspices of the Ministry of Skills Development, Vocational Education, Research & Innovation.

January 21, 2022

Colombo, Sri Lanka, 21 January 2022 – JAT Holdings, Sri Lanka’s trusted industry leader in finishing and furnishing, re-confirmed the firm’s commitment to its Initial Public Offering (IPO) investment priorities with the commencement of the construction of its state-of-the-art R&D centre adjoining its Head Office premises, located in Thalawathugoda. A groundbreaking ceremony was held on the 19th of January 2022.

As per the Investment priorities set out during the IPO on 20, July 2021, proceeds from the IPO have been utilised for the company’s near term objectives of investment to create the R&D Centre – making it not only one of Sri Lanka’s cutting-edge facilities, but also one of the best research centres in South Asia for coatings. Completion of the facility is expected within 7-9 months, will feature modern design by Architect – Chamika De Alwis, resulting in a conducive environment for innovation, housing 20+ R&D specialists including foreign experts; and advanced equipment and instruments such as FTIR, HPLC, GCMS Pyrolizer, UV-VISS Spectrophotometers for Reverse Engineering, Ready Lab reactors for Radleys, Particle size Analyzers, Minimum Film Forming Temperature instruments for Polymer synthesis & evaluation of polymers. The facility will also contain accelerated weather meters to measure the accelerated weathering resistance of paint and coatings, Humidity Chambers to measure the behaviour of the coating in varying humidity conditions, a Salt Spray machine to conduct coating testing against sea breeze environments, as well as all types of rheometers for Rheological properties when in the can, as well as during the application process, concrete water impermeability apparatus, Elongation testers for waterproofing and high-end Colour Spectrometers for colour accuracy and colour consistency.

Furthermore, the prevalence of its R&D centre will enable JAT Holdings to maintain GPs through innovations in wood coatings, decorative and performance coatings, enhancing the performance of existing products, as well as assisting backward vertical integration. In addition, the R&D Centre is expected to support JAT Holdings to further expand its presence in Bangladesh, India and African markets with the vision of becoming an internationally acclaimed leader in wood coatings. The commitment to ensuring the completion of these initiatives further prove JAT’s commitment to elevate Sri Lanka to global heights.

Commenting on the successful ground-breaking Founder & Managing Director, JAT Holdings – Aelian Gunawardene – stated, “We are incredibly pleased to announce the ground-breaking of our state-of-the-art R&D Centre. We are deeply committed to our investors and the strategic investment they have made with JAT Holdings. The enhancement of our R&D prowess is just the first step in our investment promises at the launch of our IPO, and we continue to uphold our end of this strategic investment to ensure all our stakeholders are able to reap a plethora of benefits on par with the growth of the company.”

In addition, proceeds from the company’s IPO will also be utilised to set up a manufacturing facility in Bangladesh, expanding the WHITE by JAT marketing and development initiatives and setting up a manufacturing facility in East Africa.

December 3, 2021

JAT 146 Residencies expected to maintain 25-35% capital gains
Upon completion in December 2023 – rental yields of up to 7% expected YoY

Colombo, Sri Lanka, December 2021 – JAT Property Group Pvt Ltd recently announced the launch of its fourth residential development – 146 Residencies, located in Thalawathugoda. The project which is expected for completion by March 2024 was launched with over 30% of apartment inventory already pre-sold, acting as a marker of the development’s investment potential.

Built on 92 perches, with a starting price of LKR 22 million, 146 Residencies is expected to bring in a minimum of 25-35% capital gains in the next 2 to 3 years; whilst offering potential rental yields of up to 7% year-on-year.

Speaking with Director, JAT Property Group Pvt Ltd – Richard Gunawardene stated: “I am extremely excited to introduce our fourth Real Estate Development within the Sri Lankan market – 146 Residencies. Each of our 112 Units in the total development are carefully thought of and curated to maximise efficiency, aesthetics and design. Following our experiences in the market and expertise gained, we have gone through each and every detail to deliver the best in common facilities; for leisure and functionality, ensuring that all amenities and features we offer will satisfy all our customer needs. Owing to its unique design and living spaces, 146 Residencies is expected to be one of the most sought after projects in such an exciting and upcoming neighbourhood which promises high returns on investment (ROI).”

Its 112 apartment units, spread out across 12 floors, offers 2, 3 and 4-bedroom apartments ranging from 688.6sqft to 2,367.2 sqft. The unique feature of this property is that investors and residents alike can opt for limited Garden-terrace apartments. The property’s 8,800 sq ft rooftop offers common facilities to suit the modern urbanite – offering a 360-degree view of the city and surrounding greenery, a feature swimming pool with an intricate mosaic design, bbq area and a designated kids’ playground. In addition, guests are also privy to a private recreational space, fitted with a bar, pool table and entertainment zones, as well as a modern fitness centre boasting all gym essentials our residents need.

Head of Sales, JAT Property Group Pvt Ltd – Atheek Jabir concluded: “We are pleased to announce 30% pre-sales for 146 Residencies in just under six [06] weeks. Whilst the industry as a whole is faced with uncertain times due to the ensuing pandemic, we thank our valued customers for their continued support and trust in us. We strongly believe that every design and detail – from its strategic location, breathtaking views, amenities and features, unit mix and apartment sizes to its value for money proposition, will come together to make 146 Residencies perfectly aligned for both investment purposes and residential living. Our goal at JAT Property is to assist our valued customers and guide them in selecting their future homes, whilst making long-lasting, impactful investments, and we are humbled and eager to continue serving them.”

Alongside the Developer – JAT Property Group Pvt Ltd, 146 Residencies will be designed by a veteran architectural firm Design Consortium Limited (DCL). Considered the fourth project, 146 Residencies follows on from the success of JAT Property’s residential developments – ‘Forest Hill’ in Kandy, ‘77 on Fourth Residencies’ in Nawala and ‘96 Residencies’ in Kotte.

September 16, 2021

Founder-Managing-Director-JAT-Holdings-Aelian-Gunawardene-1.jpg

ICRA Lanka Limited, the premier investment rating agency in Sri Lanka affiliated to Moody’s, has reaffirmed that JAT Holdings PLC remains worthy of the agency’s much coveted [SL]A+ Rating with a stable outlook. JAT Holdings PLC has now retained this prestigious Issuer Rating for the 6^thconsecutive year, attesting to the company’s solid financial position and the respect it commands amongst the investment community. JAT Holdings PLC, the premier Sri Lankan multinational manufacturer of wood coating products, and diversified conglomerate, recently wooed investors through a successful oversubscribed IPO and listing on the Colombo Stock Exchange.

Speaking about this achievement, Aelian Gunawardene – Founder & Managing Director JAT Holdings PLC said, “The [SL]A+ rating from ICRA is a very prestigious rating that is coveted by the corporate community and the standards required to obtain it, are exceptional, rigorous and thorough. JAT Holdings PLC having achieved this rating continuously for 6 years is a clear indicator of the Company’s strength, stability and position. It is reflective of our experienced management team, our dominant market position for wood coatings in Sri Lanka, our exceptional brand equity and the strength and stability of our financial position. We are very proud to have retained this rating for 6 consecutive years and remain committed to continuing our excellent efforts to serve our customers, investors and the nation.”

JAT Holdings PLC enjoys the position of undisputed market leader in the wood coatings sector, despite competition from new and existing multinational companies, due to its stringent quality standards and the resulting trust and popularity the brand enjoys. Today, JAT is synonymous with premium water-based wood coatings in Sri Lanka, due to the strong brand equity the Company has built and the unparalleled quality provided by its “Sayerlack” brand. JAT Holdings PLC also enjoys dominance in the brush market, with its brand “Harris”, and in the luxury kitchens market with its brand “SEA Bauformat”. As a result, the company is frequently associated with many landmark developments and megaprojects across Sri Lanka.

As a result of its market-leading role and commitment to innovation, JAT Holdings enjoys a solid financial position. In FY2021, the Company’s operating profit margin (OPM) improved to 14.1% against 13.8% in the year prior, supported by a higher revenue share from wood coatings, which enjoys higher margins. In Q1 of FY2022, the company’s OPM further improved to 14.9% on account of improved management efficiencies.

JAT Holdings PLC’s capital structure also remains comfortable on account of healthy, internally generated funds and its relatively low level of debt. The LKR 1.5 Billion raised through its IPO in July 2021 will further enable the company to fund capex while maintaining its healthy capital structure over the medium-term. The Company’s debt indicators remain healthy amidst low debt levels and comfortable operating margins, with its debt profile skewed towards short-term working capital loans, while being free of term debt at the stand-alone level. JAT Holdings PLC’s future strategic expansion plans and investments in Sri Lanka, South Asia and Africa are tipped to help maintain the financial strength and stability of the company over the long-term. Furthermore, JAT has also commenced manufacturing operations in Bangladesh, further boosting its already established presence in the country.

Since its founding in 1993, JAT Holdings has established itself as a market leader in Sri Lanka for wood coatings and as one of the country’s most promising listed conglomerates being both in the manufacturing and exports sectors, where a major component of the Companies profit comes in foreign currency. This is further attested to by accolades such as being ranked amongst Sri Lanka’s Top 100 Most Respected Companies by LMD for 4 years consecutively and also ranking among the Top 20 Conglomerate Brands by Brand Finance. Prior to its IPO, JAT Holdings was also the only privately held company in Sri Lanka to receive the coveted Moody’s ICRA “A+ Stable” rating for 5 years consecutively, with the recent affirmation amounting to the 6th consecutive year.

August 31, 2021

31^st August 2021, Colombo: JAT Holdings PLC, the market leader for wood coatings in Sri Lanka, was recently accredited with the coveted CIDA SP 01 Certification. The Construction Industry Development Authority (CIDA) is the national body responsible for working towards enhancing the competence and reliability of Sri Lanka’s construction industry and bringing it on par with global standards. The CIDA certification system implements various standards, policies and regulations across the construction industry. JAT Holdings PLC has received CIDA accreditation in the specialized construction category (SP) for the following fields of specialty: Floor, Wall & Ceiling Finishes (SP1), Furniture, Fittings & Equipment (SP1) and Carpentry & Joinery (SP2).

Explaining the significance of this achievement, Gavin vanDort – General Manager – Project Sales at JAT Holdings PLC said, “Achieving CIDA accreditation is a significant milestone for JAT, as a newly listed public limited company in Sri Lanka with immediate confirmed projects in excess of 1 billion rupees, which will be realized over the coming financial year. From the inception, we have worked incredibly hard to ensure that our technologies and processes were always exceptional and, now that we have fulfilled the stringent quality, operational and financial requirements laid down by CIDA, we are in the privileged position to claim CIDA accreditation.”

In order to meet the rigorous requirements for CIDA accreditation, JAT Holdings has ensured that it retains qualified inhouse supervisory staff at the NVQ-level 3 or above, while also having completed projects cumulatively worth in excess of LKR 180 million or at least one project under each category, for which certification is being obtained, worth at least LKR 24 million. In addition to this, applicants for CIDA certification are required to have obtained ISO standard certification and maintain ongoing CSR programmes that benefit the community. Having fulfilled all of these conditions and met other technical standards, JAT Holdings PLC was found to be eligible for CIDA certification.

vanDort went on to add, “I am proud to say that achieving CIDA certification cements our formidable reputation as leader and specialist in the construction industry, and we look forward to innovating and creating new products while enhancing our existing portfolio.. It is the wide support we enjoy from all stakeholders that has allowed us to solidify our industry leading status and strong financial position amidst a highly constrained market environment. Therefore, I also take this opportunity, on behalf of JAT holdings, to very sincerely thank our customers, people and investors for their continued faith, trust and patronage.”

Since its founding in 1993, JAT Holdings PLC has established itself as a market leader in Sri Lanka for wood coatings and as one of the country’s most promising listed conglomerates. This is further attested to by accolades such as being ranked amongst Sri Lanka’s Top 100 Most Respected Companies by LMD for 4 years consecutively and also ranking among the Top 20 Conglomerate Brands by Brand Finance. JAT has also partnered with some of Sri Lanka’s most iconic projects such as Prime Grand, Luna Tower, Altair, and Ritz-Carlton. It is also the only privately held company in Sri Lanka to receive Moody’s coveted ICRA “A+ Stable” rating for 5 years, consecutively.

June 21, 2021

19^th June 2021, Colombo: Sri Lanka’s market leader for wood coatings and diversified conglomerate, JAT Holdings, ended FY 2020/21 with a strong and solid performance, against the backdrop of challenging market and economic conditions. Despite recording a marginal nett loss in the first half, owing to the pandemic, the group mounted a successful recovery in the second half, posting a healthy LKR 621 Mn profit after tax, completely reconciling losses incurred earlier in the year, driving gross profit margins from 27.6% to 30.7% YoY, while maintaining nett the profit margin at 11.2%.

These performance figures reflect the enviable position that JAT Holdings has established for itself, since its inception in 1993, as a market leader in Sri Lanka and one of the country’s most promising conglomerates. This is further attested to by accolades such as being ranked amongst Sri Lanka’s Top 100 Most Respected Companies by LMD for 4 years consecutively and also ranking among the Top 20 Conglomerate Brands by Brand Finance. JAT Holdings was also the only privately held company in Sri Lanka to receive Moody’s coveted ICRA “A+ Stable” rating for 5 years, consecutively.

Discussing the Company’s remarkable performance across the most challenging of financial years, Nishal Ferdinando – Chief Executive Officer, JAT Holdings said, “Being the leader in wood coatings, possessing a strong product portfolio in paints, brushes, ergonomic office furniture, decking, ceilings, bespoke kitchens, etc.; in addition to having significant revenue streams from Bangladesh and other South Asian countries through multiple sales channels, enabled JAT to successfully mitigate the effects of the pandemic and remain resilient through 2020/21. We pivoted to a work from home model for our corporate staff, while ensuring the safest possible work environments for our manufacturing staff and resolved to stand up and fight for a better future. Our efforts have paid off, and the results we have delivered speak for themselves. As part of our future growth trajectory, we are looking to raise capital from the public, to further our growth aspirations and expand our sphere of influence. We are proud to say that, with the resilient performance we have delivered amidst the most challenging environment, any investor can confidently place their trust in us.”

Further Financials

FY 2020/21 saw the Company enjoying its highest ever recorded YoY revenue growth, 29%, in the Sri Lankan market for wood coatings, paints and brushes. This is significant as it was achieved despite operating through more than 2 months of lockdowns. The Company also enjoyed positive cash flows for over 7 months of the year at a stretch, despite challenges, ending the year nett positive with LKR 490 Mn as at 31st March 2021. The strength of the Company’s cash position is further attested to by a nett debt (cash)/equity ratio of negative 0.03. Current and liquidity ratios increased to 3.26 and 2.29, respectively, against 2.61 and 1.76 from the year prior, while gearing saw an easing to 9.07% over the period.

Operations

In the face of the pandemic, JAT Holdings launched WHITE by JAT, a range of premium quality brilliant white emulsion paint, available through ecommerce channels and doorstep delivery. A National Medicines Regulatory Authority (NMRA) approved broad spectrum Hand Sanitizer and Surface Cleaner were also launched under the JAT Care vertical, to provide high-quality sanitization options to the local market.

Three new showrooms were launched during the prior year as part of a planned strategy for expansion. The new showrooms are located at the Company’s Head Office in Thalawathugoda, in Nawala and at One Galle Face, Colombo. This initiative bore fruit over the course of the year under review, helping to strengthen the Retail Kitchens business in particular. Together, these activities contributed towards record revenue growth in the Sri Lankan market and helped fuel the resilient recovery recorded in the second half.

Overall project volume declined 82% as a result of the pandemic, as most development projects halted or slowed down across the year. However, the outlook remains positive as economic recovery gets underway. The Company has secured over LKR 1 Bn worth of projects as at 31st March 2021, which will contribute to revenues over the coming financial years.

Major operational challenges were experienced due to import restrictions imposed on several raw materials and products in the project vertical. This was further exacerbated by unfavourable exchange rate movements, which put pressure on the bottom line. Unprecedented disruptions to distribution channels and supply chains served to further compound the operational quagmires of FY 2020/21.

Sponsorships, CSR and Loyalty Growth

JAT Holdings gained international recognition as the official overseas team sponsor for Sri Lanka Cricket for the 2020/21 season and was also the only Sri Lankan company to sponsor the Kandy Tuskers during the LPL 2020. The Company also conducted various CSR activities, most notably ‘Sayerlack Sathkaraya’, to assist painters and carpenters to rebuild their lives in the aftermath of the pandemic; as this was a segment that was badly affected, but without much visibility. JAT Holdings also donated products from its JAT Care line of sanitizers to hospitals, the police and the tri-forces to help with COVID-19 risk mitigation.

The Company’s loyalty base exceeded 100,000 among Sayerlack customers, in a short span of two years, despite adverse market conditions, underscoring the brand equity and trust that JAT has gained

Corporate Governance

Four Non-Executive Directors were appointed to the Board of Directors of the Company during the year, increasing the age and gender diversity of the Board. This will further positively impact the quality of decision making and ensure sound management in the future.

Future Plans

In addition to JAT Holdings’ overall growth trajectory, guided by its corporate strategy, the Company’s primary near-term objectives include an Initial Public Offering (IPO) and listing on the Colombo Stock Exchange, in a bid to raise capital. These funds will be used to drive development activities such as the establishment of a new state-of-the-art R&D facility and the commissioning of a new manufacturing plant in Bangladesh, for which negotiations have been completed and initial implementation is underway. Discussions are also ongoing to commission a plant in Africa. Together, these new facilities will further consolidate the Company’s position in these regional markets, while also contributing towards revenue and margin growth.

May 3, 2021

Forerunners of the modern gender equal cooperate model

04^th May 2021, Colombo: JAT Holdings, Sri Lanka’s trusted leader of wood coatings, proudly presents its gender balanced leadership, inclusive of 3 ladies of distinction who have been appointed to its high-powered Board of Directors. With the visionary aim to enhance the quality of management decisions, the mixed representation of the Board will bring about a variety of perspectives, ideas, expertise and problem-solving – further positioning JAT Holdings as a game-changer in the corporate world.

With this specific prescience as its mission, Dr. Siva Selliah, (Chairman, JAT) and Mr. Aelian Gunawardene, (Managing Director, JAT) unanimously determined the tremendous advantage of acknowledging the enormous aptitude in females of power. Moreover, in granting them the platform, authority and freedom of creativity with which to utilize the expertise of each individual, this verdict would further pave the way for women of equal stature to gain the distinction they deserve.

By bringing a wealth of diversity, not only in providing gender equality, panache and cutting-edge proficiency to the Board, Mrs. Priyanthi Peris, Mrs. Joyce Gunawardene and Mrs. Anika Williamson eloquently herald a vision of the compelling influential role which modern women will play in the future of the Sri Lankan business model.

Mrs. Priyanthi Pieris, Attorney-at-Law of the Supreme Court of Sri Lanka, encompasses nearly 40 years of expertise in the field of Corporate/Securities Law. Currently serving on the Boards of LOLC Finance PLC, Associated Electrical Corporation Ltd and MTN Corporate Consultants (Pvt) Ltd, Mrs. Pieris also brings in a wealth of experience gained as the Legal Adviser for the Ministry of Finance from 2004 to 2011.

Mrs. Joyce Gunawardene currently serves as an Executive Director to Brush Master (Pvt) Ltd. With over 15 years of experience in the field of Advertising and Promotion, Mrs. Gunawardene was appointed to the Board of Directors of JAT Holdings in 2015. She holds a B.Sc. Degree in Psychology from the University of NSW Australia.

Mrs. Anika Williamson currently serves as an Executive Director to JAT Global (Private) Limited and was appointed to the Board of JAT in 2020. She has over 8 years of experience working in finance, import, export and banking industries. In the year 2020, Mrs. Williamson was appointed as the Finance Director of JAT Property Group (Private) Limited. She holds a Double Degree in Accounting and Entrepreneurship from Curtin University, Australia and was a member of the prestigious Pro Vice Chancellors Chapter.

The appointment of a well-balanced, diversified Board of Directors will enable a larger pool of ideas, perspectives and expertise, which will further allow the organization to explore more convenient and efficient methods of obtaining overall organizational goals. Therefore, it is a forgone conclusion that JAT Holdings will continue to carve even more innovations onto the rock-solid fabric of their business model.

August 10, 2020

10^th August 2020, Colombo: JAT Holdings, the pioneer in the wood coatings industry with explicit brand recognition for bringing space into life, recently concluded an extremely successful initiative which greatly reduced the financial burden of painters who had to work in the midst of the COVID-19 pandemic. The success of this corporate social responsibility drive was a direct result of the organisation’s strife to stay close to and understand the difficulties faced by their customers during these trying times.

Together with their creative agency, JAT was able to establish a plan which detailed how the company could help painters and carpenters who work in the Finishing and Furnishing industries, since the pandemic caused their work to come to a halt. The organization was keen to provide painters with reputed JAT products to help resume the work that was paused.

By strategizing on the boom in digital media during the pandemic, JAT reached an audience of close to 2 million individuals, sharing 500,000 messages with carpenters which resulted in 650 entries for the giveaway. Following this, 26 entries were selected who received Rs. 15,000 worth of goods on a daily basis during the month of May 2020.

Voicing his thoughts on this initiative, Dilshan Rodrigo, General Manager – Head of Marketing for JAT Holdings stated, “At JAT, we’ve always maintained a sincere and close rapport with our customer base. We understand their needs and livelihoods well. This is why we decided on the tag, ‘Always there for the ones who need our help’ for this campaign. Soon after the lockdown measures were implemented, we became aware of the financial difficulties that our customers had to reckon with,” He further went on to note, “Their work came to a halt and most felt stranded and financially strapped. We did not hesitate to set up means to help them rebuild their livelihoods. After reaching out to our agency, Isobar Sri Lanka, they helped us design this effective campaign and we were deeply touched by the response we received from our customers.”

Additionally, JAT took a step further to help anyone with the technical know-how on how to finish the paused work. Many of the painters and their assistants were unable to travel from home to their work sites and back. JAT identified this and requested their technical team to offer guidance and knowledge on how to finish anyone’s work without the help of their painters or assistants.

As an organisation which always seeks to give back to the individuals, communities and all other stakeholders they operate with, JAT stressed that this initiative was carried out to support the Furnishing and Finishing industry by lending a helping hand to assist affected people in restarting their lives after a period of financial limbo.

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JAT gives back to painters and manual labourers during times of hardship