Duyuru • Jul 19
Ambeon Capital PLC has filed a Follow-on Equity Offering in the amount of LKR 3.2 billion. Ambeon Capital PLC has filed a Follow-on Equity Offering in the amount of LKR 3.2 billion.
Security Name: Ordinary Share
Security Type: Common Stock
Securities Offered: 100,000,000
Price\Range: LKR 32
Transaction Features: Rights Offering Reported Earnings • May 21
Full year 2026 earnings released: EPS: LK₨2.46 (vs LK₨1.04 in FY 2025) Full year 2026 results: EPS: LK₨2.46 (up from LK₨1.04 in FY 2025). Revenue: LK₨19.3b (up 12% from FY 2025). Net income: LK₨2.47b (up 137% from FY 2025). Profit margin: 13% (up from 6.0% in FY 2025). Over the last 3 years on average, earnings per share has increased by 51% per year whereas the company’s share price has increased by 53% per year. New Risk • May 20
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: LK₨33.1b (US$98.8m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (36% accrual ratio). Minor Risks Dividend is not well covered by cash flows (493% cash payout ratio). Market cap is less than US$100m (LK₨33.1b market cap, or US$98.8m). New Risk • Mar 08
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Sri Lankan stocks, typically moving 6.8% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (68% accrual ratio). Minor Risks Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (6.8% average weekly change). Upcoming Dividend • Feb 06
Upcoming dividend of LK₨1.00 per share Eligible shareholders must have bought the stock before 13 February 2026. Payment date: 05 March 2026. Payout ratio is a comfortable 21% but the company is not cash flow positive. Trailing yield: 4.9%. Within top quartile of Sri Lankan dividend payers (4.1%). Higher than average of industry peers (2.2%). New Risk • Jan 25
New minor risk - Dividend sustainability The dividend is not well covered by cash flows. The company is paying a dividend despite having no free cash flows. Dividend yield: 4.8% This is considered a minor risk. Dividends are ultimately paid out of the company's available cash reserves. Companies that pay out too much of their cash flow are at risk of having to reduce or cut their dividend in future. If cash flow growth slows or cash flows fall, then there may not be enough cash reserves to maintain the same dividend. Or in extreme cases, companies may opt to take on debt to maintain the dividend. This risk is mitigated by the fact the dividend is covered by earnings, however, cash flows are generally more important. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (68% accrual ratio). Minor Risk Paying a dividend despite having no free cash flows. Duyuru • Nov 29
Ambeon Capital PLC Proposes Interim Dividend for the Financial Year Ending March 31, 2026 The board of directors of Ambeon Capital PLC has decided, subject to the approval of the shareholders, to distribution a sum of LKR 1,002,724,815/- to shareholders, by way of an interim dividend, from and out of the dividend income of the company for the financial year ending March 31, 2026. The Board of directors acknowledges that some shareholders may prefer dividends to be distributed to them in cash so that they may choose to invest the same into available investment opportunities whereas some shareholders who wish to contribute to and benefit from the growth prospects of the company and its ability to generate further returns, may prefer to receive shares in lieu of cash in the form of scrip dividend, thereby increasing their shareholding in the company. The decision of the board of directors is accordingly for the distribution of an interim dividend of LKR 1 per share amounting to a total dividend of LKR 1,002,724,815 to the shareholders of the company, with the option being give to each of the entitled shareholders to select, by completing and returning to the company a form to be made available to the shareholders, the manner in which such shareholder my receive the dividend that such shareholder is entitled to, from and out of the two options identified. Reported Earnings • Nov 12
Second quarter 2026 earnings released: EPS: LK₨3.12 (vs LK₨0.011 loss in 2Q 2025) Second quarter 2026 results: EPS: LK₨3.12 (up from LK₨0.011 loss in 2Q 2025). Revenue: LK₨4.42b (down 8.1% from 2Q 2025). Net income: LK₨3.13b (up LK₨3.14b from 2Q 2025). Profit margin: 71% (up from net loss in 2Q 2025). Over the last 3 years on average, earnings per share has increased by 77% per year but the company’s share price has increased by 87% per year, which means it is tracking significantly ahead of earnings growth. Duyuru • Oct 10
Ambeon Capital PLC (COSE:TAP.N0000) proposed to acquire an additional 18.27% stake in Myland Developments PLC (COSE:MDL.N0000) for LKR 56.3 million. Ambeon Capital PLC (COSE:TAP.N0000) proposed to acquire an additional 18.27% stake in Myland Developments PLC (COSE:MDL.N0000) for LKR 56.3 million on October 8, 2025. A cash consideration valued at LKR 8.5 per share will be paid by Ambeon Capital for 6.621377 million shares. Upon completion, Ambeon Capital PLC will own 69.30% stake in Myland Developments PLC. Ambeon Capital have sufficient financial arrangement to fund the transaction.
The expected completion of the transaction is October 31, 2025.
Seylan Bank PLC acted as financial advisor for Ambeon Capital PLC. Group Corporate Affairs, Ambeon Capital PLC acted as registrar to the offer. Valuation Update With 7 Day Price Move • Oct 02
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to LK₨35.60, the stock trades at a trailing P/E ratio of 22.6x. Average trailing P/E is 22x in the IT industry in Asia. Total returns to shareholders of 189% over the past three years. Duyuru • Aug 22
Ambeon Capital PLC (COSE:TAP.N0000) acquired 6.84% stake in Ceylon Hotels Corporation PLC (COSE:CHOT.N0000) for LKR 320 million. Ambeon Capital PLC (COSE:TAP.N0000) acquired 6.84% stake in Ceylon Hotels Corporation PLC (COSE:CHOT.N0000) for LKR 320 million on August 21, 2025. In related transaction Ambeon Holdings PLC acquired 45.9 million shares of The Kandy Hotels Company PLC, representing 6.09%. Through these investments, Ambeon partners with two distinguished players in Sri Lanka’s leisure and tourism industry, Ceylon Hotels Corporation and The Kandy Hotels Company, both with well-established footprints across heritage, cultural, and resort segments.
Ambeon Capital PLC (COSE:TAP.N0000) completed the acquisition of 6.84% stake in Ceylon Hotels Corporation PLC (COSE:CHOT.N0000) on August 21, 2025. Duyuru • Aug 20
Ambeon Capital PLC, Annual General Meeting, Sep 10, 2025 Ambeon Capital PLC, Annual General Meeting, Sep 10, 2025, at 10:00 Sri Lanka Standard Time. Reported Earnings • Aug 15
First quarter 2026 earnings released: EPS: LK₨600 (vs LK₨0.034 in 1Q 2025) First quarter 2026 results: EPS: LK₨600 (up from LK₨0.034 in 1Q 2025). Revenue: LK₨3.92b (up 32% from 1Q 2025). Net income: LK₨602.9m (up LK₨569.1m from 1Q 2025). Profit margin: 15% (up from 1.1% in 1Q 2025). Over the last 3 years on average, earnings per share has increased by 61% per year but the company’s share price has only increased by 39% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Jul 24
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to LK₨27.70, the stock trades at a trailing P/E ratio of 27.5x. Average trailing P/E is 23x in the IT industry in Asia. Total returns to shareholders of 378% over the past three years. Reported Earnings • May 28
Full year 2025 earnings released: EPS: LK₨1.01 (vs LK₨1.79 in FY 2024) Full year 2025 results: EPS: LK₨1.01 (down from LK₨1.79 in FY 2024). Revenue: LK₨17.3b (up 1.9% from FY 2024). Net income: LK₨1.01b (down 44% from FY 2024). Profit margin: 5.8% (down from 11% in FY 2024). Over the last 3 years on average, earnings per share has increased by 65% per year but the company’s share price has only increased by 56% per year, which means it is significantly lagging earnings growth. Recent Insider Transactions • Apr 13
Independent Non Executive Director recently bought LK₨52m worth of stock On the 9th of April, Duminda Weerasekare bought around 2m shares on-market at roughly LK₨26.00 per share. This trade did not impact their existing holding. This was the largest purchase by an insider in the last 3 months. This was the only on-market transaction from insiders over the last 12 months. Buy Or Sell Opportunity • Apr 08
Now 20% overvalued after recent price rise Over the last 90 days, the stock has risen 5.4% to LK₨25.30. The fair value is estimated to be LK₨21.06, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 4.6% over the last 3 years. Meanwhile, the company has become profitable. Buy Or Sell Opportunity • Mar 12
Now 23% overvalued after recent price rise Over the last 90 days, the stock has risen 18% to LK₨26.80. The fair value is estimated to be LK₨21.72, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 4.6% over the last 3 years. Meanwhile, the company has become profitable. New Risk • Feb 24
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: LK₨29.4b (US$99.4m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (10% average weekly change). Minor Risks Large one-off items impacting financial results. Market cap is less than US$100m (LK₨29.4b market cap, or US$99.4m). New Risk • Feb 12
New major risk - Financial position The company's interest payments are not well covered by earnings. Net interest cover: 2.8x This is considered a major risk. If the company is unable to fund interest repayments on its debt through profits, it may be forced into reducing its debt burden through selling assets, undertaking a potentially costly capital raising or even into bankruptcy in the worst case scenario. Currently, the following risks have been identified for the company: Major Risks Interest payments are not well covered by earnings (2.8x net interest cover). Share price has been highly volatile over the past 3 months (11% average weekly change). Minor Risk Large one-off items impacting financial results. Reported Earnings • Feb 12
Third quarter 2025 earnings released: EPS: LK₨1.33 (vs LK₨0.13 in 3Q 2024) Third quarter 2025 results: EPS: LK₨1.33 (up from LK₨0.13 in 3Q 2024). Revenue: LK₨3.88b (up 15% from 3Q 2024). Net income: LK₨1.34b (up LK₨1.20b from 3Q 2024). Profit margin: 34% (up from 4.0% in 3Q 2024). Over the last 3 years on average, earnings per share has increased by 88% per year but the company’s share price has only increased by 24% per year, which means it is significantly lagging earnings growth. Buy Or Sell Opportunity • Jan 31
Now 20% overvalued after recent price rise Over the last 90 days, the stock has risen 144% to LK₨33.70. The fair value is estimated to be LK₨27.98, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 9.7% over the last 3 years. Meanwhile, the company has become profitable. Valuation Update With 7 Day Price Move • Jan 23
Investor sentiment improves as stock rises 37% After last week's 37% share price gain to LK₨32.30, the stock trades at a trailing P/E ratio of 62.6x. Average trailing P/E is 24x in the IT industry in Asia. Total returns to shareholders of 95% over the past three years. Valuation Update With 7 Day Price Move • Dec 04
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to LK₨18.90, the stock trades at a trailing P/E ratio of 36.7x. Average trailing P/E is 25x in the IT industry in Asia. Total returns to shareholders of 5.0% over the past three years. Valuation Update With 7 Day Price Move • Nov 20
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to LK₨16.00, the stock trades at a trailing P/E ratio of 31x. Average trailing P/E is 24x in the IT industry in Asia. Total loss to shareholders of 18% over the past three years. Reported Earnings • Nov 12
Second quarter 2025 earnings released: LK₨0.01 loss per share (vs LK₨1.20 profit in 2Q 2024) Second quarter 2025 results: LK₨0.01 loss per share (down from LK₨1.20 profit in 2Q 2024). Revenue: LK₨4.81b (up 17% from 2Q 2024). Net loss: LK₨10.8m (down 101% from profit in 2Q 2024). Over the last 3 years on average, earnings per share has increased by 102% per year but the company’s share price has fallen by 8% per year, which means it is significantly lagging earnings. Board Change • Aug 28
High number of new and inexperienced directors There are 5 new directors who have joined the board in the last 3 years. The company's board is composed of: 5 new directors. 1 experienced director. No highly experienced directors. Independent Non-Executive Chairman of the Board Don Tiburtius Handapangoda Mudalige is the most experienced director on the board, commencing their role in 2024. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of board continuity. Lack of experienced directors. Duyuru • Aug 23
Ambeon Capital PLC, Annual General Meeting, Sep 13, 2024 Ambeon Capital PLC, Annual General Meeting, Sep 13, 2024, at 11:30 Sri Lanka Standard Time. Reported Earnings • Aug 13
First quarter 2025 earnings released: EPS: LK₨0.03 (vs LK₨0.10 in 1Q 2024) First quarter 2025 results: EPS: LK₨0.03 (down from LK₨0.10 in 1Q 2024). Revenue: LK₨2.97b (down 37% from 1Q 2024). Net income: LK₨33.7m (down 67% from 1Q 2024). Profit margin: 1.1% (down from 2.2% in 1Q 2024). Over the last 3 years on average, earnings per share has increased by 121% per year but the company’s share price has fallen by 17% per year, which means it is significantly lagging earnings. Duyuru • Jun 08
Ambeon Capital PLC Announces Changes to Composition of Board Committees Ambeon Capital PLC announced that consequent to the changes to the Board of Directors of the Company, the Board Sub-Committees were reconstituted as follows with effect from 4 June 2024. Audit Committee: Mr. Sujeewa Mudalige (Chairman); Mr. Savanth Sebastian; and Mr. Samresh Kumar. Related Party Transactions Review Committee: Mr. Savanth Sebastian (Chairman); Mr. Sujeewa Mudalige and Mr. Samresh Kumar. Remuneration Committee: Mr. Savanth Sebastian (Chairman); Mr. Sujeewa Mudalige and Mr. Samresh Kumar. Reported Earnings • May 29
Full year 2024 earnings released: EPS: LK₨1.59 (vs LK₨0.17 in FY 2023) Full year 2024 results: EPS: LK₨1.59 (up from LK₨0.17 in FY 2023). Revenue: LK₨17.0b (down 18% from FY 2023). Net income: LK₨1.77b (up LK₨1.60b from FY 2023). Profit margin: 10% (up from 0.8% in FY 2023). Over the last 3 years on average, earnings per share has increased by 123% per year but the company’s share price has only increased by 36% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Apr 16
Investor sentiment improves as stock rises 25% After last week's 25% share price gain to LK₨11.90, the stock trades at a trailing P/E ratio of 8.4x. Average trailing P/E is 24x in the IT industry in Asia. Total returns to shareholders of 138% over the past three years. Duyuru • Apr 04
ARCASIA Investrnents & Trading (Pvt) Ltd acquired 11.97% stake in Ambeon Capital PLC (COSE:TAP.N0000). ARCASIA Investrnents & Trading (Pvt) Ltd acquired 11.97% stake in Ambeon Capital PLC (COSE:TAP.N0000) on April 1, 2024. ARCASIA Investrnents & Trading (Pvt) Ltd completed the acquisition of 11.97% stake in Ambeon Capital PLC (COSE:TAP.N0000) on April 1, 2024. New Risk • Apr 01
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Sri Lankan stocks, typically moving 7.7% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (7.7% average weekly change). Minor Risks Large one-off items impacting financial results. Market cap is less than US$100m (LK₨8.82b market cap, or US$29.4m). Valuation Update With 7 Day Price Move • Apr 01
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to LK₨8.80, the stock trades at a trailing P/E ratio of 6.2x. Average trailing P/E is 23x in the IT industry in Asia. Total returns to shareholders of 76% over the past three years. Reported Earnings • Feb 17
Third quarter 2024 earnings released: EPS: LK₨0.12 (vs LK₨0.12 loss in 3Q 2023) Third quarter 2024 results: EPS: LK₨0.12 (up from LK₨0.12 loss in 3Q 2023). Revenue: LK₨3.38b (down 40% from 3Q 2023). Net income: LK₨136.1m (up LK₨253.0m from 3Q 2023). Profit margin: 4.0% (up from net loss in 3Q 2023). Over the last 3 years on average, earnings per share has increased by 97% per year but the company’s share price has only increased by 7% per year, which means it is significantly lagging earnings growth. Board Change • Dec 01
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 2 experienced directors. 4 highly experienced directors. Independent Non-Executive Director Yudy Kanagasabai was the last director to join the board, commencing their role in 2020. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. New Risk • Nov 07
New major risk - Financial position The company's interest payments are not well covered by earnings. Net interest cover: 2.1x This is considered a major risk. If the company is unable to fund interest repayments on its debt through profits, it may be forced into reducing its debt burden through selling assets, undertaking a potentially costly capital raising or even into bankruptcy in the worst case scenario. Currently, the following risks have been identified for the company: Major Risk Interest payments are not well covered by earnings (2.1x net interest cover). Minor Risks Large one-off items impacting financial results. Market cap is less than US$100m (LK₨7.82b market cap, or US$23.9m). Duyuru • Sep 22
Ambeon Capital PLC Announces Retirement of Priyantha Damian Joseph Fernando as a Independent Non-Executive Director Ambeon Capital PLC announced that Mr. Priyantha Damian Joseph Fernando, Independent Non-Executive Director ceased to be a Director of the company with effect from the conclusion of the AGM held on 20 September 2023. Duyuru • Aug 29
Ambeon Capital PLC, Annual General Meeting, Sep 20, 2023 Ambeon Capital PLC, Annual General Meeting, Sep 20, 2023, at 14:00 Sri Lanka Standard Time. Location: Registered Office located at No. 10, Gothami Road, Colombo 8 Sri Lanka Agenda: To receive and consider the Annual Report of the Board of Directors and the Financial Statements of the Company for the year ended 31 March 2023 and the Report of the Auditors thereon; to re-elect Director; to re- appoint the retiring Auditors Messrs. Ernst & Young, Chartered Accountants as the Auditors of the Company to hold office from the conclusion of this meeting until the conclusion of the next Annual General Meeting and to authorize the Directors to determine their remuneration; and to consider any other business of which due notice has been given. New Risk • Aug 17
New major risk - Financial position The company's interest payments are not well covered by earnings. Net interest cover: 1.2x This is considered a major risk. If the company is unable to fund interest repayments on its debt through profits, it may be forced into reducing its debt burden through selling assets, undertaking a potentially costly capital raising or even into bankruptcy in the worst case scenario. Currently, the following risks have been identified for the company: Major Risks Interest payments are not well covered by earnings (1.2x net interest cover). High level of non-cash earnings (21% accrual ratio). Minor Risks Profit margins are more than 30% lower than last year (1.6% net profit margin). Market cap is less than US$100m (LK₨9.53b market cap, or US$29.6m). Reported Earnings • Aug 17
First quarter 2024 earnings released: LK₨0.10 loss per share (vs LK₨0.12 loss in 1Q 2023) First quarter 2024 results: LK₨0.10 loss per share (improved from LK₨0.12 loss in 1Q 2023). Revenue: LK₨4.68b (up 24% from 1Q 2023). Net income: LK₨101.3m (up LK₨221.3m from 1Q 2023). Profit margin: 2.2% (up from net loss in 1Q 2023). Over the last 3 years on average, earnings per share has increased by 25% per year but the company’s share price has increased by 31% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Jun 02
Full year 2023 earnings released: EPS: LK₨0.12 (vs LK₨0.22 in FY 2022) Full year 2023 results: EPS: LK₨0.12 (down from LK₨0.22 in FY 2022). Revenue: LK₨20.7b (up 48% from FY 2022). Net income: LK₨120.2m (down 45% from FY 2022). Profit margin: 0.6% (down from 1.6% in FY 2022). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 6% per year but the company’s share price has increased by 45% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Feb 12
Third quarter 2023 earnings released: LK₨0.12 loss per share (vs LK₨0.47 profit in 3Q 2022) Third quarter 2023 results: LK₨0.12 loss per share (down from LK₨0.47 profit in 3Q 2022). Revenue: LK₨5.65b (up 32% from 3Q 2022). Net loss: LK₨116.9m (down 125% from profit in 3Q 2022). Over the last 3 years on average, earnings per share has fallen by 19% per year but the company’s share price has increased by 33% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Jan 04
Investor sentiment improved over the past week After last week's 17% share price gain to LK₨11.90, the stock trades at a trailing P/E ratio of 76.1x. Average trailing P/E is 21x in the IT industry in Asia. Total returns to shareholders of 164% over the past three years. Valuation Update With 7 Day Price Move • Dec 12
Investor sentiment improved over the past week After last week's 21% share price gain to LK₨10.50, the stock trades at a trailing P/E ratio of 67.2x. Average trailing P/E is 21x in the IT industry in Asia. Total returns to shareholders of 102% over the past three years. Valuation Update With 7 Day Price Move • Nov 28
Investor sentiment improved over the past week After last week's 17% share price gain to LK₨8.10, the stock trades at a trailing P/E ratio of 51.8x. Average trailing P/E is 21x in the IT industry in Asia. Total returns to shareholders of 62% over the past three years. Reported Earnings • Nov 19
Second quarter 2023 earnings released: EPS: LK₨0.42 (vs LK₨0.17 in 2Q 2022) Second quarter 2023 results: EPS: LK₨0.42 (up from LK₨0.17 in 2Q 2022). Revenue: LK₨4.29b (up 20% from 2Q 2022). Net income: LK₨417.3m (up 148% from 2Q 2022). Profit margin: 9.7% (up from 4.7% in 2Q 2022). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 30% per year but the company’s share price has increased by 10% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Oct 07
Investor sentiment deteriorated over the past week After last week's 23% share price decline to LK₨11.20, the stock trades at a trailing P/E ratio of 7.6x. Average trailing P/E is 21x in the IT industry in Asia. Total returns to shareholders of 120% over the past three years. Duyuru • Sep 28
Ambeon Capital PLC, Annual General Meeting, Sep 27, 2022 Ambeon Capital PLC, Annual General Meeting, Sep 27, 2022, at 13:30 Sri Lanka Standard Time. Valuation Update With 7 Day Price Move • Sep 06
Investor sentiment improved over the past week After last week's 25% share price gain to LK₨12.00, the stock trades at a trailing P/E ratio of 8.2x. Average trailing P/E is 22x in the IT industry in Asia. Total returns to shareholders of 173% over the past three years. Reported Earnings • Aug 15
First quarter 2023 earnings released: LK₨0.12 loss per share (vs LK₨1.65 profit in 1Q 2022) First quarter 2023 results: LK₨0.12 loss per share (down from LK₨1.65 profit in 1Q 2022). Revenue: LK₨3.77b (up 50% from 1Q 2022). Net loss: LK₨120.0m (down 107% from profit in 1Q 2022). Over the last 3 years on average, earnings per share has increased by 17% per year but the company’s share price has increased by 32% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Aug 02
Investor sentiment improved over the past week After last week's 16% share price gain to LK₨7.20, the stock trades at a trailing P/E ratio of 4.6x. Average trailing P/E is 22x in the IT industry in Asia. Total returns to shareholders of 67% over the past three years. Valuation Update With 7 Day Price Move • Jul 19
Investor sentiment improved over the past week After last week's 18% share price gain to LK₨6.70, the stock trades at a trailing P/E ratio of 4.3x. Average trailing P/E is 22x in the IT industry in Asia. Total returns to shareholders of 63% over the past three years. Valuation Update With 7 Day Price Move • Jul 04
Investor sentiment improved over the past week After last week's 25% share price gain to LK₨7.00, the stock trades at a trailing P/E ratio of 4.5x. Average trailing P/E is 21x in the IT industry in Asia. Total returns to shareholders of 75% over the past three years. Reported Earnings • Jun 02
Full year 2022 earnings released: EPS: LK₨1.56 (vs LK₨1.92 loss in FY 2021) Full year 2022 results: EPS: LK₨1.56 (up from LK₨1.92 loss in FY 2021). Revenue: LK₨14.6b (down 20% from FY 2021). Net income: LK₨1.56b (up LK₨3.49b from FY 2021). Profit margin: 11% (up from net loss in FY 2021). Over the last 3 years on average, earnings per share has fallen by 6% per year but the company’s share price has increased by 25% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • May 18
Investor sentiment improved over the past week After last week's 44% share price gain to LK₨7.20, the stock trades at a trailing P/E ratio of 21.3x. Average trailing P/E is 21x in the IT industry in Asia. Total returns to shareholders of 106% over the past three years. Valuation Update With 7 Day Price Move • Mar 29
Investor sentiment deteriorated over the past week After last week's 21% share price decline to LK₨8.20, the stock trades at a trailing P/E ratio of 9x. Average trailing P/E is 24x in the IT industry in Asia. Total returns to shareholders of 110% over the past three years. Valuation Update With 7 Day Price Move • Feb 23
Investor sentiment deteriorated over the past week After last week's 17% share price decline to LK₨13.10, the stock trades at a trailing P/E ratio of 14.4x. Average trailing P/E is 30x in the IT industry in Asia. Total returns to shareholders of 264% over the past three years. Reported Earnings • Feb 17
Third quarter 2022 earnings: Revenues and EPS in line with analyst expectations Third quarter 2022 results: EPS: LK₨0.47 (up from LK₨0.49 loss in 3Q 2021). Revenue: LK₨4.29b (down 4.3% from 3Q 2021). Net income: LK₨470.4m (up LK₨965.6m from 3Q 2021). Profit margin: 11% (up from net loss in 3Q 2021). Revenue was in line with analyst estimates. Over the last 3 years on average, earnings per share has increased by 34% per year but the company’s share price has increased by 61% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Nov 12
First half 2022 earnings released The company reported a poor first half result with weaker earnings, revenues and profit margins. First half 2022 results: Revenue: (down 100% from 1H 2021). Net income: (down LK₨105.0m from profit in 1H 2021). Profit margin: (down from 1.2% in 1H 2021). Over the last 3 years on average, earnings per share has fallen by 35% per year but the company’s share price has increased by 66% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Oct 25
Investor sentiment improved over the past week After last week's 29% share price gain to LK₨18.30, the stock trades at a trailing P/E ratio of 27.2x. Average trailing P/E is 14x in the Luxury industry in Sri Lanka. Total returns to shareholders of 289% over the past three years. Board Change • Sep 11
Insufficient new directors There is 1 new director who has joined the board in the last 3 years. The company's board is composed of: 1 new director. 7 experienced directors. 1 highly experienced director. Alternate Director Revantha Devasurendra was the last director to join the board, commencing their role in 2020. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Board Change • Sep 10
Insufficient new directors There is 1 new director who has joined the board in the last 3 years. The company's board is composed of: 1 new director. 7 experienced directors. 1 highly experienced director. Alternate Director Revantha Devasurendra was the last director to join the board, commencing their role in 2020. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Board Change • Sep 07
Insufficient new directors There is 1 new director who has joined the board in the last 3 years. The company's board is composed of: 1 new director. 7 experienced directors. 1 highly experienced director. Alternate Director Revantha Devasurendra was the last director to join the board, commencing their role in 2020. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Board Change • Sep 06
Insufficient new directors There is 1 new director who has joined the board in the last 3 years. The company's board is composed of: 1 new director. 7 experienced directors. 1 highly experienced director. Alternate Director Revantha Devasurendra was the last director to join the board, commencing their role in 2020. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Valuation Update With 7 Day Price Move • Sep 06
Investor sentiment deteriorated over the past week After last week's 17% share price decline to LK₨18.60, the stock trades at a trailing P/E ratio of 27.8x. Average trailing P/E is 14x in the Luxury industry in Sri Lanka. Total returns to shareholders of 280% over the past three years. Recent Insider Transactions • Aug 31
Non Independent Non-Executive Director recently sold LK₨4.1m worth of stock On the 24th of August, Ranil Pathirana sold around 200k shares on-market at roughly LK₨20.73 per share. In the last 3 months, there was an even bigger sale from another insider worth LK₨16m. Insiders have been net sellers, collectively disposing of LK₨24m more than they bought in the last 12 months. Recent Insider Transactions • Aug 26
Non Independent Non-Executive Director recently sold LK₨2.9m worth of stock On the 20th of August, Ranil Pathirana sold around 166k shares on-market at roughly LK₨17.22 per share. This was the largest sale by an insider in the last 3 months. This was the only on-market transaction from insiders over the last 12 months. Valuation Update With 7 Day Price Move • Aug 20
Investor sentiment deteriorated over the past week After last week's 25% share price decline to LK₨17.70, the stock trades at a trailing P/E ratio of 26.4x. Average trailing P/E is 12x in the Luxury industry in Sri Lanka. Total returns to shareholders of 312% over the past three years. Reported Earnings • Aug 15
First quarter 2022 earnings released: EPS LK₨1.65 (vs LK₨0.049 in 1Q 2021) The company reported a decent first quarter result with improved earnings and profit margins, although revenues were weaker. First quarter 2022 results: Revenue: LK₨2.51b (down 27% from 1Q 2021). Net income: LK₨1.65b (up LK₨1.60b from 1Q 2021). Profit margin: 66% (up from 1.4% in 1Q 2021). Over the last 3 years on average, earnings per share has increased by 20% per year but the company’s share price has increased by 70% per year, which means it is tracking significantly ahead of earnings growth. Is New 90 Day High Low • Feb 23
New 90-day low: LK₨5.40 The company is down 8.0% from its price of LK₨5.90 on 25 November 2020. The Sri Lankan market is up 26% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Luxury industry, which is up 19% over the same period. Reported Earnings • Feb 17
Third quarter 2021 earnings released: LK₨0.49 loss per share (vs LK₨0.06 profit in 3Q 2020) The company reported a poor third quarter result with weaker earnings, revenues and control over costs. Third quarter 2021 results: Revenue: LK₨4.48b (down 14% from 3Q 2020). Net loss: LK₨495.2m (down LK₨558.6m from profit in 3Q 2020). Over the last 3 years on average, earnings per share has increased by 62% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Jan 05
Investor sentiment improved over the past week After last week's 23% share price gain to LK₨7.60, the stock is trading at a trailing P/E ratio of 14.9x, up from the previous P/E ratio of 12.1x. This compares to an average P/E of 14x in the Luxury industry in Sri Lanka. Total returns to shareholders over the past three years are 52%. Is New 90 Day High Low • Jan 05
New 90-day high: LK₨7.60 The company is up 52% from its price of LK₨5.00 on 07 October 2020. The Sri Lankan market is up 25% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Luxury industry, which is up 25% over the same period. Valuation Update With 7 Day Price Move • Nov 26
Market bids up stock over the past week After last week's 16% share price gain to LK₨5.90, the stock is trading at a trailing P/E ratio of 11.5x, up from the previous P/E ratio of 10x. This compares to an average P/E of 12x in the Luxury industry in Sri Lanka. Total returns to shareholders over the past three years are 23%. Is New 90 Day High Low • Nov 24
New 90-day high: LK₨6.00 The company is up 43% from its price of LK₨4.20 on 26 August 2020. The Sri Lankan market is up 13% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Luxury industry, which is up 20% over the same period. Reported Earnings • Nov 17
Second quarter 2021 earnings released: EPS LK₨0.06 The company reported a decent second quarter result with improved earnings and profit margins, although revenues were weaker. Second quarter 2021 results: Revenue: LK₨5.33b (down 17% from 2Q 2020). Net income: LK₨55.9m (up LK₨67.6m from 2Q 2020). Profit margin: 1.0% (up from net loss in 2Q 2020). The move to profitability was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 85% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Duyuru • Nov 06
Ambeon Capital PLC, Annual General Meeting, Nov 26, 2020 Ambeon Capital PLC, Annual General Meeting, Nov 26, 2020, at 15:30 Indian Standard Time. Agenda: To receive and consider the Annual Report of the Board of Directors and the Financial Statements of the Company for the year ended 31st March 2020 and the Report of the Auditors thereon; To re-elect as a Director, Mr. S H Amarasekara who retires by rotation in terms of Article 87 of the Articles of Association of the Company and being eligible, offers himself for re-election as a Director; and to discuss other issues. Valuation Update With 7 Day Price Move • Oct 13
Market bids up stock over the past week After last week's 17% share price gain to LK₨5.60, the stock is trading at a trailing P/E ratio of 17.6x, up from the previous P/E ratio of 15.1x. This compares to an average P/E of 13x in the Luxury industry in Sri Lanka. Total return to shareholders over the past three years is a loss of 2.4%. Is New 90 Day High Low • Oct 02
New 90-day high: LK₨5.90 The company is up 74% from its price of LK₨3.40 on 03 July 2020. The Sri Lankan market is up 19% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Luxury industry, which is up 36% over the same period.