Strong performance by Atlas underpins Hemas profit growth | Sunday Observer

Strong performance by Atlas underpins Hemas profit growth

Hemas Holdings PLC continued its recovery from a challenging first six months with Q3 FY 19/20 Group revenue and operating profit broadly in line with Q3 FY18/19. On a Quarter on Quarter (Q-o-Q)basis, we grew strongly over Q2 FY19/20.

Revenue grew by Rs. 2.3 bn, 14.9% over Q2 while operating profit and earnings rose by Rs. 1.2 bn and Rs.767.5 mn. This growth was driven by Consumer and Healthcare businesses with strong performance by Atlas during the important back to school season.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 Rs. 47.0 bn for the nine months ended December 31,2019, 2.1% lower than last year. Operating profits for the first nine months of the financial year were Rs. 2.6 bn, a Year-on-Year (YoY) decline of 39.9%. Group earnings stood at Rs. 755.9 mn for the nine months. Q3 indicated a significant recovery in profitability to Rs. 974.7 mn from the cumulative loss of Rs.218.8Mn during Q1 and Q2.

“The Group delivered an underlying revenue of Rs. 46.6 bn and earnings of Rs. 1.1 bn, 1.8% growth and 57.0% decline over the past year, excluding the negative impact of Rs. 230 mn from N*able, the technology business sold in Q2 FY20 and Hemas Southern Hospitals which we exited in Q3 FY19,” a company spokesman said.