Hemas hydro power revenue sharply up

Hemas Holdings Limited (HHL) has finalised the acquisition of a mini hydro project in the Deraniyagala area and is gearing to start operations on the new wing of the Southern Hospital, according to Husein Esufally, CEO HHL.

"Turnover in the Healthcare sector grew by 22% to Rs.876 million during the quarter ended December 2007and the Southern Hospital is progressing well with positive cash flows within six months of acquisition. The new wing, which is expected to be operational in a few months, will increase the total bed strength to 50 and add two modern operating theatres. The Wattala hospital is nearing completion and with the involvement of our technical partners Columbia Asia,” he has said in his quarterly review to shareholders.

He has said that the revenue from Heladhanavi during the quarter was Rs 1.2 billion, up by 53% compared to the corresponding period last year. “Profits were affected by the decline in value of the foreign exchange deposit as a result of the depreciation in the US dollar and closed at Rs.43.3 million during the quarter,” he noted.

Growth in the Fast Moving Consumer Goods (FMCG) and Healthcare sectors was the main contributors to growth this quarter with bottom line growth of 20% in both sectors.” Operating profits for the period was Rs 407 million with an improvement in the margin from 9% in the last quarter, to 12%. Investment relief resulted in lower taxation liability for the group for the quarter under review boosting bottom line growth,” Esufally has said.

HHL recorded a turnover of Rs.3.5 billion and a profit after tax of Rs.258 million during the quarter ended December 2007, reflecting a year on year growth of 26% and 25% respectively.