Sri Lanka’s Hemas Group profit down 5-pct in 3Q amid on-going recovery

Steven Enderby, Chief Executive Officer, Hemas Holdings

Feb 14, 2020 (LBO) – Sri Lanka’s Hemas Holdings which has interests in FMCG, leisure, and healthcare has posted a shareholder profit of 974.7 million rupees in the third quarter, down 4.9 percent from a year earlier, interim accounts showed.

On a year-to-date basis, the Group’s performance has been impacted by the aftermath of the Easter Sunday attacks during Q1 and Q2, recording a consolidated revenue of 47.

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0 billion rupees for the 9 months ended December 31, 2019, 2.
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1 percent lower than last year.
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Operating profits for the first nine months of the financial year were 2.

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6 billion, a Year-on-Year (YoY) decline of 39.
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9 percent. Group earnings stood at 755.9 million for the nine months.

The Group has seen an on-going recovery in a period of weak economic growth while Q3 indicated a recovery in profitability to 974.7 million from the cumulative loss of 218.

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8 million during Q1 and Q2.

On a quarterly basis, group revenue grew by 2.

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3 billion, 14.9 percent over Q2 while operating profit and earnings rose by 1.2 billion and 767.5 million driven by consumer and healthcare businesses with a strong performance by Atlas during the important back to school season.

"We continue to work hard to sustain our growth in the final quarter," CEO of Hemas Holdings, Steven Enderby said in his quarterly review.

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"We anticipate an improvement in consumer sentiment and economic activity due to the fiscal stimulus measures, announced by the new Government, feeding through into the economy."

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