JKH posts strong Q2; points to better 2H

TOP blue chip John Keells Holdings PLC (JKH) has reported a strong second quarter and signalled a far better second half, defying critics and pessimists.

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JKH has doubled Earnings Before Interest, Taxes, Depreciation, and Amortisation (EBITDA) to Rs. 18.3 billion, which includes investees based on the share of Profit After Tax (PAT), but excludes all impacts from foreign currency exchange gains and losses (other than for equity-accounted associates), to demonstrate the underlying cash operational performance of businesses.

JKH Chairperson Krishan Balendra said: "Overall, the Group's business momentum remains robust, with our large-scale investments beginning to yield results. Based on current performance trends, and the typical high seasonality witnessed in some of our key industry groups in the 2H of the financial year, Group EBITDA is expected to improve over 1H performance, which would result in a strong growth over the previous financial year." JKH said it delivered a strong quarterly performance at Group level, marked by the contribution from its new investments and businesses, as well as a robust contribution across the portfolio. The operationalising of key investments in 1H of the year provides a strong platform to translate to an enhanced profit contribution over 2H and the ensuing financial year.

Group EBITDA at Rs. 18.36 billion in Q2 of financial year 2025/26 is a significant increase of 127% against Group EBITDA of Rs. 8.09 billion recorded in the corresponding period of the previous financial year.

Cumulative Group EBITDA for 1H of financial year 2025/26 at Rs. 31.33 billion is an increase of 98% against the previous year. "Given the high seasonality in many of our businesses, 2H performance is expected to improve further over 1H," Balendra said.