COLOMBO, Sri Lanka – 29 August 2026 – THE AUTODROME PLC (CSE: AUTO.N0000), a prominent name in Sri Lanka’s automotive and diversified business sectors, has officially released its Annual Report for the financial year ended 31st March 2026. The report, dated 28th August 2026, details a year of strategic consolidation and disciplined execution in a subdued economic environment, highlighting efforts to manage inventory and adapt to evolving market conditions.
Financial Performance: Navigating Through Turbulence
The financial year 2025/26 proved to be a period of significant strategic adjustments for THE AUTODROME PLC. Despite challenging economic conditions, the Group’s revenue remained broadly in line with the previous financial year. However, a deliberate strategy to liquidate accumulated inventory from 2024/25, coupled with competitive pricing, led to a reduced gross profit margin of 16.2% (down from 22.8% in the previous year).
- Net Loss: The Group recorded a net loss after tax of Rs. 21.2 million for the year, a notable shift from the Rs. 29.8 million profit reported in the previous financial year. This loss is primarily attributed to the strategic inventory rationalization.
- Inventory Management: A key focus for the year was successfully reducing inventory holdings. Inventory levels significantly declined to Rs. 133 million as at 31st March 2026, from Rs. 332 million a year earlier, strengthening working capital.
- Rental Income: Diversified income streams continued their positive trajectory, with rental income increasing by 13% to Rs. 41 million, reflecting the Company’s successful property portfolio management and new retail tenants.
- Finance Income: Finance income saw a decline to Rs. 34.0 million (from Rs. 53.0 million), influenced by lower interest rates and the Company’s investment in stocks.
- Net Asset Value: The Group’s net asset value per share demonstrated resilience, increasing to Rs. 171.39 as at 31st March 2026 (2025 – Rs. 165.91).
- Share Performance: The Company’s share price traded between Rs. 104.50 and Rs. 490.00 during the year, closing at Rs. 329.00 as at 31st March 2026.
- Dividend: Following careful consideration of financial performance and future funding requirements, the Board of Directors has not recommended a dividend payment for the financial year ended 31st March 2026.
Strategic Outlook and Operational Milestones
THE AUTODROME PLC’s management maintained a vigilant approach to operational efficiency and prudent working capital management. The Company actively sold 12,533 Bridgestone tyres and provided services to 3,362 customers during the year.
Looking ahead, the Company expresses optimism regarding the gradual recovery of the domestic motor vehicle market, especially with the increasing entry of Electric Vehicles (EVs) and Plug-in Hybrid Electric Vehicles (PHEVs) into the Sri Lankan market. As the authorized distributor for Bridgestone tyres, THE AUTODROME PLC is strategically positioned to capitalize on this trend with its comprehensive range of EV and hybrid vehicle-specific tyres.
In a significant post-balance sheet development, the Company partnered with Chargenet (Pvt) Ltd, powered by Codegen Group, to install one of the fastest (80kW) EV charging stations at its main office location in Colombo. Operational since May 2026, this initiative provides the Company with a modest yet significant “green image” and an ecosystem of dining, banking, and retail for waiting customers.
Corporate Governance and Leadership
THE AUTODROME PLC affirmed its commitment to robust corporate governance, confirming compliance with the Listing Rules of the Colombo Stock Exchange (CSE). The Annual Report provides detailed insights into the Board of Directors, Audit Committee, Remuneration Committee, Nominations & Governance Committee, and Related Party Transactions Review Committee.
A notable update from the report is the upcoming retirement of the Chairperson of the Board, Mrs. Bernadette J. Aloysius. Having joined the Company in 1989 and serving as Chairperson since April 2013, Mrs. Aloysius will step down at the conclusion of the 74th Annual General Meeting scheduled for Tuesday, 29th September 2026. The Board expressed its profound appreciation for her leadership and significant contributions. The AGM will also consider the re-election of Prof. John A. Aloysius and the re-appointment of Messrs. Ernst & Young as auditors for 2026/27.
Sustainability and Employee Engagement
The Company continues to prioritize high standards of customer service, leveraging digital channels and its island-wide dealer network for Bridgestone products. Beyond tyre sales, the Company has successfully diversified income through premises rental, investment income, and web development services, further strengthening financial sustainability.
Employee engagement remains a top business priority, with a culture that fosters open communication, values contributions, and offers growth opportunities. The Company prides itself on being an Equal Opportunity Employer, actively promoting diversity and ensuring fair treatment regardless of gender, race, age, or background. Female participation at the executive level stands at 47%. Environmental initiatives include maintaining greenery, reducing paper usage, and promoting Bridgestone Ecopia tyres, which reduce carbon emissions.
For a comprehensive understanding of THE AUTODROME PLC’s performance and strategic direction, the full Annual Report as at 31st March 2026 can be accessed via the Colombo Stock Exchange website.
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