August 15, 2023
138 Student Living Ltd. (138SL) for the nine months ended June 30, 2023 reported a 12% increase in Income totaling $982.14 million compared to $878.70 million in the corresponding period last year. Income for the third quarter had a 4% increase to close at $321.01 million compared to $307.52 million for the comparable quarter of 2022.
Other Operating Income amounted to $65.97 million (2022: 14.86 million), this represents a increase of 344% year over year. Consequently, total revenue increased by 17% to $1.05 billion compared to $893.57 million for the nine months ended June 30, 2022. The company booked total revenue of $347.45 million for the third quarter versus $309.34 million reported for the similar quarter of 2022.
Administrative expenses increase by 25% to close at $500.50 million (2022: $400.89 million), while Profit From Operation increased by 11% from $492.68 million in 2022 to $547.61 million in the period under review. As a result, finance cost for the nine months ended June 30, 2023 amounted to $269.83 million, a 1% decrease relative to $271.93 million reported in 2022.
Profit Before Taxation for the nine months ended June 30, 2023, amounted to $277.78 million, a 26% increase relative to $220.75 million reported in 2022. Profit Before Taxation for the third quarter amounted to $94.36 million (2022: $78.25 million). Taxation totalled $7.72 million compared to a tax credit of $17.92 million in the prior comparable period.
Net Profit for the nine months amounted to $270.06 million, a 13% increase from the $238.66 million reported in 2022. For the third quarter, Net Profit was $88.92 million (2022: $85.23 million).
Consequently, Earnings Per Share for the nine months amounted to $0.65 (2022: EPS: $0.58), while Earnings Per Share for the quarter totaled $0.21 (2022: EPS: $0.21). The twelve month trailing EPS was $0.96 and the number of shares used in these calculations was 414,500,000.
Notably, 138SL’s stock price closed the trading period on August 15, 2023 at a price of $4.64 with a corresponding P/E ratio of 4.85x.
Balance Sheet Highlights
The company’s assets totalled $9.70 billion (2022: $10.48 billion). ‘Financial Asset- Service Commission Rights’ amounted to $8.47 billion (2022: $8.53 billion).
Shareholder’s equity was $4.77 billion (2022: $4.66 billion), representing a book value per share of $11.51 (2022: $11.25).
Disclaimer:
Analyst Certification – The views expressed in this research report accurately reflect the personal views of Mayberry Investments Limited Research Department about those issuer (s) or securities as at the date of this report. Each research analyst (s) also certify that no part of their compensation was, is, or will be, directly or indirectly, related to the specific recommendation(s) or view (s) expressed by that research analyst in this research report.
Company Disclosure – The information contained herein has been obtained from sources believed to be reliable, however its accuracy and completeness cannot be guaranteed. You are hereby notified that any disclosure, copying, distribution or taking any action in reliance on the contents of this information is strictly prohibited and may be unlawful. Mayberry may effect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.
