Hemas Group posts Rs 4.97 b revenue in 1 H

Hemas Holdings PLC, Group achieved a revenue growth of 19 percent to close at Rs 4.97 billion after their first quarter of the financial year ending March 31 2012. “Our Pharmaceuticals Distribution and Hospitals businesses remain the main contributors to the growth in revenue recording a year on year growth of 14 percent and 26 percent respectively, while our FMCG business achieved a revenue growth of 9 percent for the period under review,” Chief Executive Officer Husein Esufally said.

Group Earnings however declined by 10 percent over last year to Rs 262 million, mainly due to the decrease in profits experienced by our FMCG and Transportation businesses. Our Healthcare Sector, however, enjoyed a good first quarter to record a healthy profit growth of 132 percent over the previous year.

The FMCG business recorded a turnover of Rs 1.6 billion, an increase of 9 percent during the quarter with our brands Fems, Goya, Kumarika and Velvet performing well following recent brand initiatives.

The Healthcare sector enjoyed a healthy growth of 16 percent to record Rs 1.8 billion, whilst profitability grew by 132 percent to achieve Rs 111 million. The sector performance was mainly attributable to the growth in the pharmaceutical distribution business which enjoyed a topline growth of 14 percent.

The Leisure sector completed the first quarter with a 44 percent growth in turnover to close at Rs 209 million, mainly due to a 106 percent growth in revenue enjoyed by Hotel Dolphin.

With Hotel Serendib closed for refurbishment during the quarter, profitability for the sector took a dip to record a loss of Rs 22 million. Despite the off-peak season all our hotels have enjoyed occupancy rates in excess of 70 percent and we expect refurbishment of Hotel Serendib to be completed in time for the upcoming winter season.

The Transportation sector dominated by our aviation businesses achieved a revenue growth of 4 percent to record Rs 181 million, but, experienced a drop in profitability by 37 percent to record Rs 42 million.

The revenue of the Power sector grew by 38 percent to record Rs 987 million, mainly due to the upward revision of fuel prices which came into effect from September last year and the increased generation of our thermal power plant.