Dipped Products PLC
TypePublic
ISINLK0057N00006
IndustryMaterials
Founded1976 (1976)
Headquarters
Colombo
,
Sri Lanka
Areas served
  • Sri Lanka
  • Thailand
  • Italy
  • France
  • Poland
Key people
  • Mohan Pandithage (Chairman)
  • Pushpika Janadheera (Managing Director)
RevenueIncrease LKR80.099 billion (2023)
Increase LKR11.219 billion (2023)
Increase LKR8.502 billion (2023)
Total assetsIncrease LKR62.991 billion (2023)
Total equityIncrease LKR33.515 billion (2023)
Owners
Number of employees
Increase 2,245 (2023)
ParentHayleys PLC
SubsidiariesSee text
Websitedplgroup.com
Footnotes / references
[1]

Dipped Products PLC is a rubber glove manufacturer in Sri Lanka. The company also manages rubber and tea plantations.[2] The company was incorporated in 1976 and listed on the Colombo Stock Exchange in 1983. The company is one of the components of the S&P Sri Lanka 20 Index.[3] Sri Lankan conglomerate, Hayleys is the effective controlling shareholder of Dipped Products. The company was ranked 26th in LMD 100, an annual list of quoted companies in Sri Lanka by revenue.[4]

History

The company was incorporated in 1976 as Dipped Products Ltd and commenced trial production in the following year.[5] Dipped Products became a public company when it is listed on the Colombo Stock Exchange in 1983. The company expanded its production capacity in successive years since its incorporation. Management of Kelani Valley Plantations was awarded by the government in 1992 and in 1995 the company acquired it. The company expanded overseas with Icoguanti S.p.A., Italy in 2002 and Dipped Products (Thailand) in 2003. In 2011, Dipped Products acquired 66.7% of the ownership of Hayleys Plantation Services which is the holding company of Talawakelle Tea Estates PLC.[1] The company recorded its highest-ever revenue in 2021 with a revenue of LKR46.39 billion.[6]

Operations

Dipped Products is one of the five leading non-medical rubber glove manufacturers in the world. The company's market share of the global market accounts for 5%.[6] Upon declaration of the COVID-19 pandemic, the World Health Organization requested to increase the production of personal protective equipment (PPE) by 40% from the industry and the governments. Gloves were on the list of this request and it created both an opportunity and a challenge for the company.[7] Dipped Products have five manufacturing facilities, four in Sri Lanka and one in Thailand. In 2022, the company announced that they are venturing into sports and mechanic gloves production. To this effect, the company invested an LKR1 billion to construct a new manufacturing facility in Biyagama Export Processing Zone as a BOI project.[8]

Dipped Products benefitted from the diverted orders after the United States ban on imports from two subsidiaries of Top Glove on charges of forced labour.[9] The company's 2021 second-quarter earnings declined due to sharp rise in transportation and administrative costs.[10]

Controversies

In 2014, Dipped Products moved its Venigros factory in Weliweriya to Biyagama after the factory was forced to close after protests by the local residents.[11] In 2015, a factory of Dipped Products was embroiled in allegations of pollution lawsuit. The Police filed a lawsuit against Hanwella Rubber Products Ltd and the Avissawell High Court upheld the verdict of the magistrate court allowing the factory to continue with its operations.[12]

Subsidiaries

Hayleys Plantation Services, a sub-subsidiary of Dipped Products PLC by DPL Plantations acquired a 51% stake in Horana Plantations PLC from Vallibel Plantations Management Ltd for LKR700 million in March 2023.[13]

SubsidiaryHolding %Cost LKR (mns)Country
Dipped Products (Thailand) Ltd991,209Thailand
DPL Plantations (Pvt) Ltd 100550 Sri Lanka
D P L Premier Gloves Ltd1,450
D P L Universal Gloves Ltd3,500
Feltex (Pvt) Ltd15
Hanwella Rubber Products Ltd73152
ICOGUANTI S.p.A. 100625Italy
Venigros (Pvt) Ltd202Sri Lanka

Source: Annual Report, 2022/23 (p. 176)

See also

References

  1. 1 2 "Annual Report 2022/23" (PDF). cse.lk. Dipped Products PLC. Retrieved 6 June 2023.
  2. ↑ "Dipped Products PLC". ft.com. The Financial Times Ltd. Retrieved 2 June 2022.
  3. ↑ "S&P Sri Lanka 20 index includes Commercial Leasing, LOLC Finance". Economy Next. Echelon Media (Pvt) Ltd. 18 December 2021. Retrieved 2 June 2022.
  4. ↑ "Financial Profile". LMD 100. Media Services Pvt Ltd. Retrieved 2 June 2022.
  5. ↑ Abeysekera, Indra (2007). Intellectual Capital Accounting: Practices in a Developing Country (illustrated ed.). Routledge. p. 74. ISBN 9781134073610. Retrieved 2 June 2022.
  6. 1 2 "Dipped Products Group achieves highest Turnover of Rs. 46.39 bn and PBT of Rs.7.19 bn, despite COVID- 19 pandemic". colombopage.com. 19 May 2021. Retrieved 2 June 2022.
  7. ↑ "Lending a Hand: Andrew Ng". The CEO Magazine. 17 September 2021. Retrieved 2 June 2022.
  8. ↑ "Dipped Products to manufacture sports and mechanic gloves". The Morning. 5 January 2022. Retrieved 2 June 2022.
  9. ↑ "Dipped Products sales could moderate after pandemic fuelled performance last year". dailymirror.lk. Wijeya Newspapers. 25 June 2021. Retrieved 2 June 2022.
  10. ↑ "Dipped Products 2Q earnings decline on sharp rise in costs, moderation in sales". dailymirror.lk. Wijeya Newspapers. 11 November 2021. Retrieved 2 June 2022.
  11. ↑ Peiris, Vilani (24 January 2014). "Sri Lanka: Dipped Products announces factory relocation". World Socialist Web Site. Retrieved 2 June 2022.
  12. ↑ "Dipped Products second Sri Lanka factory in court over pollution allegations". Economy Next. Echelon Media (Pvt) Ltd. 3 June 2015. Retrieved 2 June 2022.
  13. ↑ "Hayleys takes over control of Horana Plantations for Rs. 700 m". Daily FT. Wijeya Newspapers. 31 March 2023. Retrieved 6 June 2023.
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