April 3, 2024
K.L.E. Group Limited (KLE) for the year ended December 31, 2023, reported a 199% increase in other operating income totalling $54.02 million compared to $18.06 million in the corresponding period last year. For the fourth quarter, the company booked other operating loss of $1.29 million compared to other operating income of $14.32 million for the comparable quarter of 2022.
Administrative and other expenses amounted to $56.34 million (2022: $12.46 million), this represents an increase of 352% year over year. Consequently, loss from operation amounted to $2.31 million compared to operating profit of $5.59 million for the year ended December 31, 2022. The company booked loss from operation of $2.66 million for the fourth quarter versus operating profit of $10.62 million for the similar quarter of 2022.
Finance costs decreased by 3% to close at $11.03 million (2022: $11.33 million). Share of post-tax loss of equity accounted associate amounted to $14.45 million in the period under review relative to share of post-tax profit of equity accounted associate of $3.20 million in 2022. Loss before taxation for the year ended December 31, 2023,plummeted to $27.79 million from the pre-tax loss of $2.54 million reported in 2022.
Taxation for the year ended December 31, 2023, amounted to $572,000 (2022: nil). Adjustments to discontinued operation results experienced an 84% reduction. Consequently, net loss for the year totalled $24.14 million relative to net profit of $24.67 million for the prior year. For the fourth quarter, net loss was $14.49 million (2022: net income of $7.07 million).
Total comprehensive loss for the year amounted to $23.04 million relative to comprehensive income of $24.96 million reported in 2022. For the fourth quarter, total comprehensive loss was $14.14 million (2022: comprehensive income of $6.99 million).
Loss per share (LPS) for the year amounted to $0.24 (2022: EPS of $0.25), while LPS for the quarter totalled $0.14 (2022: EPS of $0.07). The number of shares used in these calculations was 100,000,000.
Notably, KLE’s stock price closed the trading period on April 2, 2024, at a price of $2.39.
Balance Sheet Highlights:
The company’s assets totalled $107.04 million (2022: $142.82 million); a year-over-year decrease of 25% largely attributed to declines in short-term investments (down 73% or $19.70 million) and investment in associate (down 20% or $14.45 million). Notably, receivables experienced a 106% uptick to reach $20.21 million (2022: $9.82 million).
Shareholder’s equity was $10.57 million (2022: $33.61 million), representing a book value per share of $0.11 (2022: $0.34).
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.
