February 24, 2025
Productive Business Solutions Limited (PBS)
Unaudited financials for the twelve months ended December 31, 2024:
Productive Business Solutions Limited (PBS) for the twelve months ended December 31, 2024 reported an 18% increase in Revenue totaling US$387.56 million compared to US$327.61 million in the corresponding period last year. Revenue for the fourth quarter had a 5% increase to close at US$99.17 million compared to US$94.62 million for the comparable quarter of 2023.
Direct Expenses amounted to US$271.06 million (2023: US$225.54 million), this represents an increase of 20% year over year. Consequently, gross profit increased by 14% to US$116.51 million compared to US$102.07 million for the twelve months ended December 31, 2023. The company booked gross profit of US$36.76 million for the fourth quarter versus US$28.11 million reported for the similar quarter of 2023.
Other Income increased by 89% to close at US$4.85 million (2023: US$2.56 million), while Selling, General and Administrative Expenses increased by 15% from US$78.15 million in 2023 to US$89.97 million in the period under review. As a result, Operating profit for the twelve months ended December 31, 2024 amounted to US$31.39 million, a 19% increase relative to US$26.49 million reported in 2023.
Finance Costs for the twelve months ended December 31, 2024, amounted to US$18.35 million, a 29% decrease relative to US$14.17 million reported in 2023. Finance Costs for the fourth quarter amounted to US$6.15 million (2023: US$3.88 million). Share of investee’s profit or loss amounted to US$513,000 (2023: nil). Consequently, Profit before Taxation totaled US$13.56 million, a 10% increase from the corresponding period last year. (2023: US$12.31 million).
The tax charge for the twelve months ended December 31, 2024, amounted to US$5.06 million, a 20% increase relative to US$4.23 million reported in 2023. The tax charge for the fourth quarter amounted to US$2.29 million (2023: US$1.73 million).
Net profit attributable to shareholders for the twelve months ended December 31, 2024 had a 5% increase to reach US$8.40 million (2023: US$8.02 million). Total comprehensive income for the twelve months amounted to US$7.42 million, a 29% decrease from the US$10.49 million reported in 2023. For the fourth quarter, Total comprehensive income was US$5.29 million (2023: US$2.20 million).
Consequently, Earnings Per Share for the twelve months amounted to US$0.05 (2023: US$0.04), while Earnings Per Share for the quarter totaled US$0.03 (2023: US$0.01). The number of shares used in these calculations was 186,213,513 units.
Notably, PBS’s stock price closed the trading period on February 21, 2025 at a price of US$1.37 with a corresponding P/E ratio of 30.36x.
Balance Sheet Highlights
The company’s assets totaled US$398.93 million (2023: US$377.26 million). The movement in total assets was mainly influenced by a 24% increase in ‘Plant, property and equipment’ amounting to US$37.90 million (2023: US$30.60 million) and a 16% increase in ‘Inventories’ amounting to US$49.73 million (2023: US$42.94 million).
Shareholders’ equity was US$82.63 million (2023: US$76.52 million), representing a book value per share of US$0.44 (2023: US$0.41).
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.
