According to the company's managing director, Kishantha Nanayakkara this drop in net profit is resulted by rising of the bulk of operational and maintenance in the previous period in the first half of the of previous year.
However for the nine months ended 31 December 2010, the company recorded a 114 percent increase in net profits, amounting to Rs.313 million, compared with the corresponding period, last year.
"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" Hemas Power Managing Director Kishantha Nanayakkara said.
Nanayakkara attributed the company's growth to the hydro power plants recording good rainfall and Heladhanavi rupee working capital and term loans being converted to US dollars, thereby reducing finance cost significantly.
Hemas ventured into the area of power generation at a crucial period, when the Government of Sri Lanka was actively encouraging private sector participation in power generation, due to its own inability to effectively meet the country's rising energy demands. Hemas Power's newest addition the Magal Ganga project is to be completed shortly in line with the expected costs the report added.
source - www.dailymirror.lk
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