DCOVE reports 34% decline in year end net profits

Date: March 11, 2019

Dolphin Cove Limited (DCOVE), for the twelve months ended December 31, 2018 reported total revenue of US$14.89 million, a 10% decrease when compared to US$16.63 million booked the year prior. For the quarter total revenues decline by 9% to close the period at US$3.27 million versus $3.60 million in the previous year.

Revenue from Dolphin Attraction contributed US$8.21 million to total revenue; this represents a 10% decline when compared to the US$9.14 million reported in 2017. Revenues from the Ancillary Services totalled US$6.68 million, down by 11% from last year’s US$7.50 million.

Total direct cost for the period totalled US$1.67 million, this was 2% more than the US$1.64 million reported in 2017. Gross Profit for the period dipped by 12%, amounting to US$13.21 million relative to 2017’s total of US$14.99 million.

Total Operating Expenses dropped by 4%, moving from US$10.93 million in 2017 to US$10.45 million. This decrease was primarily due to a 14% decrease in selling expenses which amounted to US$3.92 million (2017: US$4.57 million). Other operations rose from US$3.68 million in 2017 to $3.92 million, while administrative expenses fell 3% to $2.60 million (2017: US$2.68 million).

Finance income increased by 203%, totalling US$130.96 relative to US$43,279 last year.

Finance cost reported a 37% increase from US$277,141 for the same period in 2017 to US$378,718.

Profit before taxation fell by 30% to US$2.77 million from US$3.94 million. Taxes for the year amounted to US$433,108.

Net Profit for the period was US$2.34 million, 34% less than the US$3.53 million booked the prior year. Net loss for the fourth quarter amounted to US$611,611 when compared to $US589,134 in 2017.

Earnings per stock (EPS) unit for the twelve months totaled US$0.006 relative to US$0.009 in 2017, while for the quarter LPS was US$0.0016 (LPS: 2017:$0.0015). The number of shares used in the calculation was 392,426,376. The stock traded at JMD $11.62 as at March 8, 2019.

Balance sheet as at December 31, 2018:-

As at December 31, 2018, the company’s assets totalled US$32.32 million, 9% more than the US$29.58 million reported as at December 31, 2017. The movement was as a result of a US$1.75 increase in property, plant, and equipment which totalled US$22.68 million relative to US$20.93 in 2017.

The company closed the financial period with shareholders’ equity in the amount of US$28.82 million (2017: US$26.44 million). This resulted in book value per share of US$0.073 (2017: US$0.067).

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