May 17, 2021
Sagicor Real Estate XFUND Limited, for the three months ended March 2021, reported total revenue of $1.06 billion relative to $1.31 billion recorded in 2020, a 19% decline year over year.
Hotel revenue for the three months decreased to $721.02 million in 2021 versus $1.35 billion in 2020, a 47% decline year over year. Net capital gains for the period under review amounted to $331.24 million compared to net capital loss of $220.82 million documented in the prior comparable period. Also, net investment income closed the first quarter at $9.22 million (2020: $5.77 million) reflecting a 60% increase when compared to the corresponding quarter.
No Other income and Hotel Revenue from discontinued operations were reported for the period relative to the $510,000 and $175.89 million reported the prior year, respectively.
Operating expenses fell 31% to $999.85 million compared to $1.45 billion in the prior corresponding period. Of this:
- Hotel expenses declined to $618.95 million, down 33% when compared to $924.49 million in the prior corresponding period.
- Depreciation closed at $196.78 million (2020: $188.30 million), reflecting a 5% increase when compared to the corresponding period last year.
- Interest expenses declined by 9% to $164.51 million (2020: $180.78 million)
- Other operating expenses went up by 24% to total $19.61 million (2020: $15.87 million)
Consequently, operating profit amounted to $61.63 million versus an operating loss of $131.13 million booked in the previous corresponding period.
Loss on sale of interest in associate closed the period at $233.09 million (2020: nil).
As a result, the Company reported a loss before tax of $171.46 million relative to a loss before tax of $4.48 billion for 2020 three months period. Tax expense totaled $31.75 million (2020: tax credit of $8.91 million), resulting in net loss of $203.20 million compared to net loss of $4.47 billion recorded in March 2020.
XFUND recorded net loss attributable to shareholders of $202.11 million versus net loss attributable to shareholders of $2.77 billion booked in the same period last year.
Total comprehensive loss closed the period under review at $1.88 billion versus total comprehensive loss of $3.95 billion was recorded in the similar period last year.
As such, loss per share (LPS) for the three months period amounted to $0.09 (2020: LPS $1.23). The trailing twelve-month LPS is $3.31. The number of shares used in our calculations was 2,243,005,125. As at May 17, 2021, the stock traded at $7.69.
The Company mentioned, “A high degree of uncertainty still surrounds the pandemic and especially the improved economic projections. X Fund continues to carefully monitor and assess the current economic environment. The Group is committed to the health and wellness of our team, clients and stakeholders by implementing a multidimensional approach to safeguard health, minimize risk and ensure business continuity. We remain cautiously optimistic about the future and continue to manage the business accordingly.”
Balance Sheet Highlights:
The Company, as at March 31 2021, recorded Total Assets of $30.06 billion, an 34% decline when compared to $45.22 billion recorded as at March 2020. This was as a result of ‘Investment in Jamziv Limited’ which closed nil (2020: $23.91 billion). Additionally, ‘Property, plant and equipment’ closed at $12.85 billion (2020: $15.07 billion).
Total Shareholders’ Equity as at March 31, 2021 closed at $14.08 billion, a 39% decrease from the $23.16 billion recorded for the corresponding period last year. This resulted in a book value per share of $6.28 (2020: $10.33).
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