Hemas Holdings turnover up 12% to Rs. 3.57 billion in 2 Q, 2007

Hemas Holdings recorded a turnover of Rs 3.57 Bn for the quarter ended September 2007 reflecting a year on year growth of 12%.

This quarter was a challenging one for the company which had to face the adverse effects of reduced consumer spending and depressed margins, whilst investing for future growth.

Higher input costs, increased costs of distribution and sustained high interest rate scenario, impacted operating margins for the quarter which declined to 9% from 14% during the corresponding period last year.

Operating profit closed at Rs 322Mn for the quarter, down by 27% compared to the corresponding period last year.

Although tax efficiency improved, an increase in finance cost by 49% resulted in Profit after tax declining from Rs 310Mn to Rs 176Mn for the second quarter of the year.