• CIEL Limited reports financial results for the full year ended 30 June 2016

    3 Oct 2016

    CIEL Limited achieved a 13% revenue growth and a 6% rise in Earnings Before Interest, Depreciation and Taxes (EBITDA) compared to the prior year, as the Group benefited from the larger base of its diversified and increasingly international investment portfolio that it set out to develop two years ago. The Net Asset Value (NAV) of the Company was resilient and stood at MUR 8.47 per share at year end, despite falling local stock market indices.

    The results of the Textile, Finance and Healthcare clusters helped mitigate the negative impact of the Hotels & Resorts cluster on the Group’s profitability for the period under review:

    • CIEL Textile contributed significantly to CIEL’s profitability thanks to its internationalisation and notably the strong performance of Aquarelle group.
    • CIEL Finance maintained a good performance driven mainly by its banking operations although its results were somehow affected by adverse exchange rate fluctuations in Madagascar.
    • CIEL Healthcare consolidated for the full year The Medical and Surgical Centre Limited (Fortis Clinique Darné-FCD) and for the first time International Medical Group (IMG, Uganda) while completing a new investment in Hygeia Nigeria Limited.
    • CIEL Agro & Property posted reduced profitability due to lower contribution from its property activities whilst at Alteo level results were impacted by an increase in finance costs linked to the debt contracted for the acquisition of the Kenyan sugar plant (Transmara).
    • CIEL Hotels and Resorts incurred significant losses with the closure for renovation of three luxury resorts as part of Sun Limited’s five-year plan to grow from an entirely renovated asset base. In addition, Sun Limited consolidated for the first time the Four Seasons Resort at Anahita. It is also worth recalling that the results of the previous year had been boosted by a fair value gain. As part of its strategy, Sun Limited is well advanced in a debt restructuring plan that aims at bringing down the average cost of debt, matching debt servicing with future cash flows, and consequently ease pressure on its current liabilities.

    Group Profit after Tax stood at MUR 1.18bn (2015 – MUR 2.18bn). Group Profit Attributable to ordinary shareholders was at MUR 477m (2015 – MUR 1.13bn) for the year under review.

    CIEL has now a well-established investment portfolio and management is focused on extracting optimal profitability from its promising asset base. The current indicators point towards an improved profitability in the current year.