Sri Lanka Hemas Power net up on higher hydro, thermal generation

Nov 08, 2010 (LBO) – Higher electricity generation from both thermal and hydro power plants helped Sri Lanka’s Hemas Power make a net profit of 124 million rupees in the September 2010 quarter, a stock exchange filing said. The company had made a loss of 3.5 million rupees in the same period a year ago.

Earnings per share were 0.98 rupees in the September 2010 quarter compared with a loss of 0.07 rupees the previous year.

Sales of the firm, which is a unit of the Hemas Holdings group, rose 39 percent to 889 million rupees during the period.

Its thermal power plant generated a 76 million rupee after-tax profit compared with a loss of 6.5 million rupees the year before while profit from hydro rose to 52 million rupees from 11 million rupees.

“Importantly, more than 40 percent of our net profits for the quarter and the half-year derived from the hydropower sector,” Hemas Power managing director Kishantha Nanayakkara said in a statement.

“Though hydropower is seasonal, the fact that it now influences our net profit considerably signifies the positive impact of our efforts to striking a balance between the hydropower and thermal sectors.”

Work on the firm’s Magalganga hydro power project was “pro