Growth at Hemas Holdings has been driven by the healthcare sector during the first quarter 2011/12 under review, the company said.
The Group achieved a revenue growth of 19% to Rs. 4.97 billion during this period compared to the same period last year with Pharmaceuticals Distribution and Hospitals businesses being the main contributors to the growth in revenue, according to its CEO Husein Esufally.
Group earnings however declined by 10% over last year to Rs. 262 million, mainly due to the decrease in profits from the FMCG and Transportation businesses. “Our Healthcare Sector, however, enjoyed a good first quarter to record a healthy profit growth of 132% over the previous year,” he said.
The Healthcare sector enjoyed a healthy growth of 16% to record Rs.1.8 billion, whilst profitability grew by 132% to Rs. 111 million.
“Business growth was largely fuelled by the growth in the private pharmaceutical industry and amidst challenging market conditions the business was able to maintain its market leadership position with a market share of 16.3%,” he added.
The Leisure sector completed the first quarter with a 44% growth in turnover to close at Rs. 209 million, mainly due to a 106% 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.
“We share the optimistic outlook surrounding the business environment and have an active investment agenda with new projects in our Hospital, Hotel and Power businesses.
At the same time we are focused on investing into and growing our existing business lines, and are confident that after a relatively slow start, the growth momentum would be restored in the months to come,” Mr Esufally said in the statement