MONETABRIEF – Profits at Sri Lanka's United Motors, which has agencies for Mitsubishi and Perodua, saw profits plunge 73 percent to 309 million rupees in the September 2026 quarter from a year ago, as demand fell and import controls were slammed.
Earnings were 0.30 rupees (thirty cents) per share for the quarter. For the six months to September, earnings were 1.11 rupees per on total profits of 1,117 million rupee which were down 20.7 percent, from a year earlier.
Revenues fell 23.7 percent to 9,578 million rupees, cost of sales fell 24.4 percent to 7,368 million rupees, and gross profits fell 21.2 percent to 2,209 million rupees.
Last year there was pent up demand for vehicle after restriction imposed after 2020 rate cuts and excess liquidity were removed.
https://monetabrief.com/news/sri-lanka-extends-vehicle-import-surcharge-till-dec-31/384
The rupee also collapsed from 330 to 330 to the US dollar, further pushing up import costs and either squeezing margins or selling prices.
The central bank also tightened loan to value ratio, reducing the ability to buy cars on credit.
Data showed that vehicle registrations were falling across the board in the September quarter.
Morto cars registrations fell 28 percent to 2,609 in August from July, SUVs and crossovers fell 27 percent to 3,226 vans fell 38 percent to 763, and motor cycles fell 12 percent to 33,498.
While sales plunged distribution costs at United Motors fell marginally to 418 million rupees from 445 million.
Unspecified administrative costs rose to 1,098 million rupees from 816 million rupees.
(Colombo/Nov10/2026)