Hemas turnover for 2005 tops Rs. 9.4 b

COMPANY RESULT: Hemas Holdings Limited recorded earnings of Rs 970 million, up from Rs 837 million in the previous year ending on March 31. This reflects an earnings growth of 15.9%.

Director and Chief Executive Officer Husein Esufally said yesterday that the group turnover increased by 7.2% over the year, closing at Rs 9.4 billion.

Hemas share price closed on March 31, 2006 at Rs 110.75. During the financial year under review, Hemas shares delivered a total return of 29.9%.

Strong industry growth coupled with market share gains helped revenues grow by 10.2%.

Earnings grew at a faster rate of 11.8%, despite higher taxation on account of the disallowance of 50% of all advertising and promotional expenditure.

The pharmaceuticals business maintained its leadership position in the private-sector market with the year-end market share standing at 15.8%.

In line with its ambition to enter the fast growing healthcare services industry, the sector made a strategic acquisition of a 25% stake in eChannelling Ltd, which controls the doctor reservation system at most leading private hospitals in the country.