August 14, 2026
138 Student Living Jamaica Limited (138SL)
Unaudited financials for the nine months ended June 30, 2026
138 Student Living Jamaica Limited (138SL) for the nine months ended June 30, 2026, reported revenue of $1.141 billion, a 6% increase compared to $1.073 billion in the corresponding period last year. Revenue for the third quarter totalled $325.83 million, representing a 17.3% increase over $277.90 million in the comparable quarter of the prior year. This improvement was driven by a $36.3 million increase in long-term rental revenue reflecting improved rental rates, a $2.0 million increase in short-term rental revenue, and a $10.4 million increase in other income, together with the non-recurrence of the $34.5 million negative UWI interest adjustment recorded in the corresponding prior-year period. These positive movements were partially offset by a $33.9 million reduction in income recognised in relation to the Irvine Hall Variation Claim.
Total operating expenses for the nine months amounted to $656.73 million, a 5% increase over $625.71 million in the prior year. For the quarter, expenses of $203.89 million were 18.3% higher year over year, attributable primarily to the movement in expected credit losses, together with higher utilities, professional fees, insurance and other operating expenses, partially offset by lower staff costs, repairs and maintenance, and land-lease expenses. Notwithstanding, Profit from Operations for the nine months improved by 8% to $484.74 million (2025: $447.75 million), with a quarterly operating margin of approximately 37.4%.
Finance costs for the nine months declined by approximately 11% to $199.98 million (2025: $225.84 million), reflecting the benefit of scheduled principal repayments and a $307.6 million reduction in interest-bearing borrowings since September 30, 2025. The combination of stronger operating performance and lower finance costs contributed to Profit before Taxation of $284.76 million (2025: $221.91 million), a 28% increase.
Taxation for the nine months amounted to $15.03 million (2025: $14.35 million). As such, Net Profit increased by 30% to $269.73 million (2025: $207.56 million). Net Profit for the quarter totalled $56.31 million, a 17% increase over the $48.13 million reported in the prior-year quarter, producing a net profit margin of approximately 17.3% for the quarter and 23.6% year-to-date.
Consequently, Earnings Per Stock Unit for the nine months increased by 28% to $0.50 (2025: EPS: $0.39), while Earnings Per Stock Unit for the quarter totalled $0.10 (2025: EPS: $0.09). The twelve-month trailing EPS was $0.61, and the number of ordinary stock units used in these calculations was 536,855,600.
Notably, 138SL’s stock price closed the trading period on August 13, 2026, at a price of $2.97 with a corresponding trailing P/E ratio of approximately 4.85x.
Balance Sheet Highlights
As at June 30, 2026, total assets were approximately $8.99 billion (2025: $9.79 billion), while the financial asset relating to service concession rights stood at $8.06 billion. Receivables increased to $693.44 million from $603.61 million at September 30, 2025, a significant portion of which relates to the Irvine Hall Variation Claim, the contractual occupancy guarantee and other amounts due from The University of the West Indies. The Group’s cash balance was $21.48 million at the reporting date, compared with $76.39 million at September 30, 2025, reflecting scheduled debt-service obligations and working-capital requirements.
Shareholders’ equity rose to $4.96 billion (2025: $5.62 billion), representing a book value per share of approximately $9.23 (2025: $10.47).
Total interest-bearing borrowings decreased by approximately $307.6 million since September 30, 2025, in line with scheduled principal repayments.
The Group achieved average year-to-date occupancy of approximately 89% and earned an “A” rating with a score of 89.31% on the JSE Corporate Governance Index, completing a five-year improvement from a “C” rating in 2021. The Group continues to progress its debt refinancing and restructuring programme, which remains subject to completion of the relevant approvals, funding arrangements and documentation.
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