Sri Lanka Hemas Sept quarter net down 14-pct
ECONOMYNEXT – Sri Lanka’s Hemas Holdings said group net profit in the September 2017 quarter fell 14% to Rs726 million from a year ago.
Sales rose 8.6% to Rs11.7 billion over the period, according to interim accounts filed with the stock exchange.
Diluted earnings per share were Rs1.26. EPS for the six months to September 2017 were Rs2.47 with profit down 8% to Rs1.4 billion although sales rose 11.6% to Rs23 billion.
"Despite consolidated revenue growing aided by higher turnover from the healthcare and mobility sectors, group earnings indicate a decline due to our Bangladesh personal care business, pharmaceutical distribution, leisure and travel all facing margin challenges," Chief Executive Steven Enderby.
"Further cost escalations were experienced as we invest in expanding our consumer portfolio and build new pharmaceutical and logistics facilities.
"Domestic consumer demand remains soft impacted by higher headline inflation, drought conditions persisting in parts of the country, and headwinds from currency fluctuations and VAT increase."
(COLOMBO, November 13, 2017)