1834 reports in first quarter net loss $29.7 million

August 12, 2022

1834 Investments Limited (1834)

For the three months ended June 30, 2022: –

1834 Investments Limited (1834) posted revenue of $6.42 million, a 13% decrease when compared to $7.4 million reported for the comparable period in 2021. Other losses amounted to $21.7 million compared to other gains of $11.52 million in 2021.

Total Expenses increased by 58% from $11.71 million in June 2021 to $18.48 million on June 30, 2022. Of total expenses, administrative expense went up by 147% to close at $12.79 million (2021: $5.17 million). Other operating expenses decreased by 21% to $5.72 million (2021: $7.26 million). The company recorded a decrease in impairment gain to $36,000 (2021: $712,000).

Finance costs for the period amounted to $386,000 compared to $347,000 reported for the comparable period of 2021. 1834 Investments inherited a share of loss from an interest in an Associate, amounting to $2.06 million, while in June 2021, they received a share of profit worth $7.94 million.

Given the inherited loss, 1834 Investments recorded a Loss before Taxation of $36.22 million relative to a Profit before taxation $14.8 million in 2021.

A tax credit of $6.51 million was incurred for the three-month period compared to tax charge $50,000 reported in 2021. 1834 Investments experienced a loss for the period of $29.71 million relative to a profit of $14.85 million for the prior year.

1834’s Loss per share (LPS) for the period of $0.0245 (2021: EPS $0.0123). The trailing twelve-month loss per share (LPS) is $0.034. The number of shares used in this calculation was 1,211,243,827 units. As at August 12, 2022, the stock traded at $1.15.

Balance Sheet Highlights:

The Company, as at June 30, 2022, held Total Assets worth $1.80 billion, and 7% increase when compared to $1.68 billion recorded last year. The movement was primarily attributable to increases in ‘Cash and Cash Equivalents’ which now totalled $215.88 million (2021: $25.76 million) and ‘Investment Properties’ amounted to $545 million (2021: $492.5 million)

Total Shareholders’ Equity as at June 30, 2022 closed at $1.47 billion, compared to $1.53 billion recorded for the same period in 2021. This resulted in a book value per share of $1.21 compared to a value of $1.26 as at June 30, 2021.


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