Hemas delivers strong earnings in FY25

Maintains 'AAA' credit rating despite revenue pressures

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HEMAS Holdings PLC yesterday announced strong earnings for the financial year ended 31 March 2025 and singled out the continuity of the 'AAA' credit rating despite revenue pressures.

Hemas Group delivered a strong performance during the year, accomplishing cumulative earnings of Rs. 8.1 billion, a year-on-year growth of 31.9%. Healthcare and Mobility sectors witnessed a cumulative revenue growth compared to last year, while the Consumer Brands sector recorded a 9.4% decline.

The Group's total revenue declined mar-ginally compared to previous year. Despite the dip in revenue, profitability margins strengthened, driven by operational efficiencies and a more favourable macroeconomic backdrop.

During the quarter, a revenue of Rs. 30.3 billion was achieved, a 3.5% decrease from the corresponding quarter of the previous year, while earnings grew by 63.6% to Rs. 2.6 billion compared to the same period last year.

Profit growth was primarily driven by strong performances in the Healthcare and Mobility sectors, complemented by a reduction in net finance expenses, which further supported the improvement in earnings.

Hemas also announced a final dividend of 70 cents per share.

The Group's financial position continues to demonstrate strength and resilience, supported by robust operating cash flows.

In a statement, Hemas said Fitch Ratings reaffirmed the Group's national long-term rating at 'AAA (lka) - Outlook Stable' for the sixth consecutive yearan affirmation of the Group's solid balance sheet, healthy cash flows, and prudent financial management.

Hemas' share price appreciated by 16.2% during the quarter, outperforming the ASPI, which declined by 0.8%. In light of this strong performance and to enhance market accessibility, the Group announced a 5-for-1 share sub-division.

Post-split, the share now trades at a more accessible level for local retail investors.