Tropical Battery Company Limited (Tropical)
Unaudited financials for the nine months ended June 30, 2026:
Tropical Battery Company Limited (Tropical) for the nine months ended June 30, 2026 reported a 5% increase in Revenue totalling $4.86 billion compared to $4.63 billion in the corresponding period last year. Revenue for the third quarter had a 9% increase to close at $1.60 billion compared to $1.46 billion for the comparable quarter of 2025.
Year to date, Cost of sales amounted to $2.95 billion (2025: $3.06 billion), this represents a decrease of 4% year over year. Consequently, gross profit increased by 22% to $1.92 billion compared to $1.57 billion for the nine months ended June 30, 2025. The company booked gross profit of $641.86 million for the third quarter versus $527.70 million reported for the similar quarter of 2025.
Administrative, marketing and selling expenses increased by 10% to close at $1.42 billion (2025: $1.29 billion). As a result, Operating profit increased by 80% from $276.86 million in 2025 to $499.41 million in the period under review. Notably, Other operating income for the nine months ended June 30, 2026 amounted to $74.42 million, up from $8.10 million reported in 2025, though this included approximately $69.1 million of non-recurring gains arising from the sale-and-leaseback of the Ferry property.
Profit before depreciation, net finance costs and taxation for the nine months ended June 30, 2026, amounted to $573.83 million, a 101% increase relative to $284.97 million reported in 2025. Profit before depreciation, net finance costs and taxation for the third quarter amounted to $218.95 million (2025: $108.39 million). Depreciation totalled $155.42 million, a 37% increase from the corresponding period last year (2025: $113.24 million).
Finance costs for the nine months amounted to $414.91 million compared to $392.83 million reported in 2025. Finance income totalled $108.13 million versus $57.86 million in the prior period. As a result, Net finance costs for the nine months ended June 30, 2026, amounted to $306.78 million, an 8% decrease relative to $334.97 million reported in 2025. Net finance costs for the third quarter amounted to $102.74 million (2025: $118.33 million).
The tax charge incurred for the nine months ended June 30, 2026 amounted to $25.88 million (2025: $3.40 million). Net profit for the nine months amounted to $85.75 million, a turnaround from the net loss of $166.64 million reported in 2025. For the third quarter, Net profit was $48.50 million (2025: net loss of $59.80 million). Net profit attributable to shareholders amounted to $63.57 million (2025: loss of $154.75 million).
Net profit attributable to shareholders amounted to $63.57 million (2025: net loss attributable to shareholders of $154.75 million).
Consequently, Earnings Per Share for the nine months amounted to $0.04 (2025: LPS: $0.011), while Earnings Per Share for the quarter totalled $0.02 (2025: LPS: $0.04). The twelve-month trailing EPS was $0.16 and the number of shares used in these calculations was 1,753,193,391.
Notably, Tropical’s stock price closed the trading period on August 14, 2026, at a price of $1.42 with a corresponding P/E ratio of 9.06x.
Balance Sheet Highlights
The company’s assets totalled $8.02 billion (2025: $8.08 billion). The movement in total assets was primarily attributable to a 72% decrease in ‘Property, plant and equipment’ to $372.02 million (2025: $1.31 billion) following the sale-and-leaseback of the Ferry property, largely offset by a 99% increase in ‘Right-of-use assets’ to $679.54 million (2025: $342.18 million) and a 26% increase in ‘Accounts receivable’ to $1.24 billion (2025: $985.34 million).
Shareholder’s equity was $1.68 billion (2025: $863.16 million), representing a book value per share of $0.96 (2025: $0.49).
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