July 29, 2010 (LBO) – Sri Lanka’s Hemas Power said net profit for the June 2010 quarter shot up 967 percent to 80 million rupees from a year ago on a sharp increase in earnings from hydropower. Sales of the company, a unit of the Hemas Holdings group, fell five percent to 729 million rupees owing to lower thermal power revenue, a stock exchange filing said.
“The reduction arose manly from an 11 percent reduction in revenue at Heladhanavi,” Hemas Power managing director Kishan Nanayakkara said.
“However, the excellent performance of the hydropower sector reflecting a 405 percent increase in revenue between comparative quarters helped to nullify this impact to some degree.”
Revenue from thermal power fell to 669 million rupees in June 2010 from 755 million the year before while revenue from hydro power rose to 53 million from 11 million rupees.
Profit from thermal power rose to 42 million from seven million rupees while profit from hydro power shot up to 40 million from six million rupees a year ago.
Nanayakkara said the revenue reduction at Heladhanavi stemmed from a tariff cut and lower power generation owing to a maintenance overhaul.
“Almost half of our net prof