Strong Q2 lifts Hemas H1 revenue to Rs. 66.6 Bn, up 9.5%, with EBITDA returning to YoY growth

EconomyNext and Lanka Business Online report that Hemas Holdings PLC recorded 17% year-on-year revenue growth in the quarter ended September 30, 2026, to about Rs. 37.8 billion. EconomyNext reports net profit of Rs. 2.00 billion, down from Rs. 2.06 billion a year earlier, and earnings per share of Rs. 0.67 compared with Rs. 0.69. Lanka Business Online says quarterly earnings more than doubled from the first quarter to Rs. 2.0 billion.

EconomyNext reports revenue growth across all four sectors: Life Sciences rose 16.2% to Rs. 18.37 billion, Consumer Brands grew 18.3% to Rs. 15.57 billion, Hospitals increased 19.3% to Rs. 3.21 billion, and Mobility advanced 3.7% to Rs. 646 million. EconomyNext attributes the Hospitals increase to more medical admissions and channel consultations. Lanka Business Online reports that Beauty, Home Care and Baby Care each recorded double-digit growth; it also says Bangladesh revenue grew by a single digit, male grooming there rose nearly 50%, and Back-to-School and Bags volumes in Learning grew by more than 50%.

EconomyNext reports cost of sales rose 22.5% to Rs. 26.57 billion, outpacing revenue growth and limiting gross-profit growth to 5.8%; gross margin fell 3.1 percentage points to 29.7%. Lanka Business Online says Hemas absorbed much of the higher raw-material, energy and freight costs associated with the Middle East conflict rather than passing them fully to customers. EconomyNext says price recovery was also held back by delays to regulated pharmaceutical price revisions. Lanka Business Online reports that Hemas Pharmaceuticals obtained six new product registrations and that Morison’s own-brand volumes rose 23%.

Lanka Business Online reports that first-half revenue reached Rs. 66.6 billion, up 9.5%, while EBITDA grew 0.9% year on year after declining 14.1% at the end of the first quarter. It puts second-quarter EBITDA at Rs. 4.5 billion, up 10.5%. The outlet says higher finance costs, reflecting increased borrowing for working capital and the Twiga acquisition, as well as a higher tax charge, weighed on group earnings.

EconomyNext and Lanka Business Online report that Hemas acquired a 75% stake in Kenya-based Twiga Stationers & Printers through Atlas Axillia during the quarter; EconomyNext dates the acquisition to August 17, 2026, and reports provisional goodwill of Rs. 1.40 billion from the initial consolidation. Lanka Business Online describes it as Hemas’s first international acquisition and says Twiga’s revenue is tracking in line with projections. Its report says pharmaceutical price revisions are a factor in the outlook, but the available text does not provide further detail.

Written automatically by AI from the outlets’ own reports, and not reviewed by an editor. It can be wrong — the original report is the authority.