2007 - Ceylon Petroleum Corporation

More documents

Recommendations

Info

40 The net profit for the year was Rs. 2,862.337 Mn. The details of our profits are given below: 2007 2006 Rs. Mn Rs. Mn Revenue 238,364.36 196,766.56 Cost of Sales (221,723.53) (187,230.90) Gross Profit 16,640.83 9,535.66 Operating Income 1,789.24 1,289.84 18,430.07 10,825.49 Operating Expenses (14,445.90) (12,740.53) Income Tax Expenses (1,121.84) 968.81 Profit for the year 2,862.33 (946.22) Market Value of the Properties CPC has decided to conduct a survey to evaluate the Market Value of the Corporation’s freehold properties during the year 2008. Reserves The total reserves of the Corporation stood at Rs. 5,541.46 Mn as at 31st December 2007 (2006 - Rs. 5,520.47 Mn). Movements are given in the Statement of Changes in Equity on page 67. Other Income Other Income which mainly consists of Interest Income on Treasury Bills and Dividend Income received from CPSTL. Income on Treasury Bills increased from Rs. 299.114 Mn to Rs. 785.728 Mn compared to previous year. Operating Expenses The total operating expenses increased from Rs. 12,740.52 Mn to Rs. 14,445.50 Mn, 13% increase. Capital Expenditure The total Capital Expenditure for the year was Rs. 245.912 Mn (Rs. 457.50 Mn in year 2006). Donations During the year, charitable donations amounting to Rs. 0.551 Mn were made by the Corporation. Contribution to the Government 2007 2006 Rs. Mn Rs. Mn Value Added Taxes 8,110 11,992 Excise Duty 13,757 13,888 Social Responsibility Levy 149 138 Dealers’ Turnover Tax & Imports Turnover Taxes 2,314 1,796 PAL 5,429 4,786 Custom Duty 580 286 Income Tax 833 119 Deemed Dividend 381 55 Total 31,553 33,060 Property, Plant & Equipment Details of Property, Plant & Equipment of the Corporation and their movements are given in Note 6 to the Financial Statements on pages 77 to 78. Contributed Capital The total Contributed Capital of the Corporation as at 31st December 2007 was Rs. 1,000 Mn. Board of Directors The Board comprises 7 Directors including the Chairman. The details of the Directors are given on pages 6 to 7. The Directors of the Corporation during the year under review were: Mr. Ashantha L.F. De Mel - Chairman Mr. Methsiri D. Wijegoonawardane Mr. Saliya Rajakaruna Mrs. Kanthi Wijetunge Mr. David Charitha Gooneratne Mr. M.U.M. Ali Sabry Capt. Nihal Keppetipola Mr. S.N.P. Palihena (resigned with effect from 21st February 2007) ANNUAL REPORT 2007 | CEYLON PETROLEUM CORPORATION
41 Directors’ Interest in Contracts & Related Party Transaction Directors’ interest in the contracts with the Corporation are referred in Note 21 to the Financial Statements. Compliance with Laws and Regulations The Corporation has not engaged in any activities contravening the laws and regulations. All those responsible for ensuring compliance with the provisions in various laws and regulations confirm their compliance to the Board. Future Developments The Corporation is planning to re-enter into Bunkering, Lubricant and LPG business while making all efforts to expand the refinery capacity with the assistance of the Government of the Islamic Republic of Iran. Environmental Protection CPC being the market leader of petroleum products in the island and the owner of the only local refinery in the country is fully aware of its obligation to minimise environmental pollution. We are concerned about the environmental safety in handling and usage of petroleum products. A capital project which enables to reduce sulphur content in diesel to less than 0.5% was commissioned in 2003 in the refinery and the Corporation restricts its diesel sales of more than 0.3% sulphur from 2004 onwards. The sulphur in diesel is restricted to 0.05% from this date. Statutory Payments The Directors, to the best of their knowledge and belief are satisfied that all statutory payments due to the Government and in relation to employees have been made on time. Events Occurring after the Balance Sheet Date In the opinion of the Directors, no material event of an unusual nature has arisen in the interval between the end of the financial year and the date of this Report, which could affect substantially the results of the operation of the Corporation for the financial year in respect of which the Report is prepared. Note 22 to the Financial Statements carries no such material events. Going Concern The Board of Directors has reviewed the Corporation’s business plan and is satisfied that the Corporation has adequate resources to continue its operations in the foreseeable future. Accordingly, the Financial Statements are prepared based on the going concern basis. Appointment of Auditors The Auditor General is the Auditor of the Corporation. He has been appointed in terms of the provisions in Article 154 of the Constitution of the Democratic Socialist Republic of Sri Lanka. For and on behalf of the Board of Directors Ashantha L.F. De Mel Chairman 30th September 2008 Colombo, Sri Lanka ANNUAL REPORT 2007 | CEYLON PETROLEUM CORPORATION
Page 1 and 2: Perhaps the most prized drop of liq
Page 3 and 4: About Us The Ceylon Petroleum Corpo
Page 5 and 6: 3 Chairman & Managing Director’s
Page 7 and 8: 5 commence in 2008. Our intent is t
Page 9 and 10: 7 A.L.F. de Mel Mr. Ashantha de Mel
Page 11 and 12: Ceylon Petroleum Corporation
Page 13: 11 Senior Management Team 1 2 3 4 5
Page 16 and 17: 14 Business Review Crude Distillery
Page 18 and 19: Roadrunners... 499 bowsers take 1,4
Page 20 and 21: 18 Katunayake Aviation Section Orug
Page 22 and 23: They also Serve who Stand and Wait.
Page 24 and 25: 22 Financial Review Results of Oper
Page 26 and 27: 24 Pricing Policy The Government wi
Page 28 and 29: Getting them “Up Where They Belon
Page 30 and 31: 28 Sustainability Report Corporate
Page 32 and 33: 30 Pyrolysis Project An Important S
Page 34 and 35: 32 Benefits to Sri Lanka The benefi
Page 36 and 37: Pump to Pump... With a network of 9
Page 38 and 39: 36 Corporate Governance As the majo
Page 40 and 41: 38 technology, finance, audit and s
Page 45 and 46: Financial Reports Report of the Aud
Page 47 and 48: Report of the Auditor General 2. Fi
Page 49 and 50: Report of the Auditor General 47 Au
Page 67 and 68: Income Statements Year ended 31st D
Page 69 and 70: Statements of Changes in Equity Yea
Page 71 and 72: Accounting Policies 1. CORPORATE IN
Page 73 and 74: Accounting Policies The cost incurr
Page 75 and 76: Accounting Policies 2.3.11 Capital
Page 77 and 78: Notes to the Financial Statements S
Page 79 and 80: Notes to the Financial Statements 5
Page 87 and 88: Notes to the Financial Statements R
Page 91 and 92: Ten Year Summary 89 DOMESTIC SALES
Page 93 and 94:
Ten Year Summary 91 Rupees Mn 1998
Page 95 and 96:
CORPORATE INFORMATION Name of the E
show all

2007 - Ceylon Petroleum Corporation

Create successful ePaper yourself

Delete template?

Save as template?