August 17, 2021
Revenue for the first quarter of the 2021 financial year increased by 39% to $7.40 million (2020: $5.33 million).
Other operating income decreased in the first quarter of 2021 to $11.52 million, this compares to $24.35 million for prior year’s period, representing a decrease of 53% year over year.
As a result, total revenues decreased by 36% to $18.92 million for the first three months in review. This compares to the prior year’s amount of $29.68 million.
The Company’s year on year reduction in total expenses amounted to 47%. This was attributed to a 55% decrease in administration expenses to $5.17 million (2020: $11.59 million), and a 30% decrease in other operating expenses to total $7.26 million relative to $10.43 million booked in 2020.
Consequently, profit from operations for the first quarter of 2021 fell to $7.21 million from the prior year’s figure of $7.66 million, representing a 6% decrease year over.
There was an increase in finance costs in the first quarter of 2021 to $347,000 from $206,000 in 2020.
1834 reported a share of profit from interest in associate of $7.94 million for the quarter under review, up from $2.04 million reported for the prior year’s corresponding quarter.
Consequently, profit from operations before taxation amounted to $14.80 million for the first three months ended June 30, 2021 relative to $9.49 million recorded for the corresponding period in 2020.
Tax benefit of $50,000 was booked relative to a tax charge of $3.45 million reported in 2020. Following this, 1834 booked a first quarter profit of $14.85 million relative to $6.04 million reported in 2020, a 146% improvement year over year.
The earnings per share for the three months period amounted to $0.012 (2020: $0.005). The twelve months trailing earnings per share is $0.07, and the number of shares used in this calculation was 1,211,243,827 units. 1834 stock price closed the trading period on August 16, 2021 at $0.93 with a corresponding P/E of 12.53 times.
Balance Sheet Highlights:
The company, as at June 30, 2021, recorded total assets of $1.68 billion, an increase of 11% when compared to $1.51 billion as at June 30, 2020. The increase in the asset base is primarily as a result of a 35% growth in ‘Investments’ to $402.65 million (2020: $297.29 million). ‘Investment Properties’ also contributed to growth by amounting to $492.50 million (2020: $437.10 million) as at June 30, 2021.
Total Stockholders’ equity as at June 30, 2021 closed at $1.53 billion, up 5% from $1.45 billion last year. This resulted in a book value of $1.26 compared to $1.20 billion as at June 30, 2020.
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