August 18, 2020
Revenue for the first quarter of the 2020 financial year declined by 13% to $4.91 million (2019: $5.67 million).
Other operating income decreased in the first quarter of 2020 to $24.77 million. This compares to $26.12 million for prior year’s period, representing a decrease of 5% year over year.
As a result, total revenues decreased by 7% to $29.68 million for the 3-month period in review. This compares to the prior year’s amount of $31.79 million.
The Company’s year on year growth in total expenses amounted to 65%. This was attributed to a 159% increase in administration expenses to $11.59 million (2019: $4.47 million), and an 18% increase in other operating expenses to total $10.43 million relative to $8.85 million booked in 2019.
Consequently, profit from operations for the first quarter of 2020 fell to $7.66 million from the prior year’s figure of $18.47 million, representing a 59% uptick year over.
There was a drastic decline in finance costs in the first quarter of 2020 to $206,000 from $1.21 million in 2019.
Share of profit from interest in associate, net of tax of $2.04 million in the first quarter of 2020, compared to $2.48 million reported for the prior year’s corresponding quarter.
Consequently, profit from operations before taxation amounted to $9.49 million for the first three months ended June 30, 2020 relative to $19.73 million recorded for the corresponding period in 2019.
Taxation of $3.45 million was charged relative to $1.39 million reported in 2019. Following this, 1834 booked first quarter profit of $6.04 million relative to $18.35 million reported in 2019 a 67% contraction year over year.
The earnings per share for the three month period amounted to $0.0050 versus $0.0151. The twelve months trailing loss per share is $0.02, and the number of shares used in this calculation was 1,211,243,827 units. 1834 stock price closed the trading period on August 17, 2020 at $0.98.
Balance Sheet Highlights:
The company, as at June 30, 2020, recorded total assets of $1.50 billion, a decrease of 3% when compared to $1.56 billion as at June 30, 2019.The Company reported nil as at June 30, 2020 for ‘Assets held for Sale’ compared to $95.81 million report for the same period in 2019. ‘Pension fund receivable’ closed at nil compared to $39.84 million as at June 30, 2019. C
Total Stockholders’ equity as at June 30, 2020 closed at $1.45 billion, down 4% from $1.51 billion last year. This resulted in a book value of $1.20 compared to $1.25 billion as at June 30, 2020.
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.
