ECL reports 137% increase in three months net profit.

Express Catering Limited (ECL)

For the three months ended August 31, 2017

  • Revenues increased by 10% for the period to US$3.81 million (Q1 2016: US$3.47 million). The company commented that “Revenues have increased at an average of 3% annually for the last 2 fiscal years, so this is a much-improved performance”.
  • Cost of sales (COS) increased by 21% for the period to US$1.04 million (Q1 2016: US$855,612). As a result gross profit increased year-on-year for the three month period by 6%, from US$2.61 million in Q1 2016 to US$2.77 million in Q1 2017.
  • Total expenses decreased by 14% for the period in review to US$1.85 million in Q1 2017, down from US$2.16 million in Q1 2016. The decrease was associated with a 16% decline in administrative expenses to US$1.70 million from US$2.02 million. According to the company, the reduction was due to “planned elimination of Group related charges”. Depreciation and Amortization saw a 3% decline to US$137,124 compared to US$140,807 for 2016. A 121% increase in promotion expenses from US$5,464 to US$ 12,095 was a negligible addition to the expenses accumulated for the first quarter.
  • Consequently, operating profit increased by 104% to US$919,479 (Q1 2016: US$451,557).
  • Once a finance cost of US$482 (2016: US$6,623) is considered, total comprehensive profit for the year increased by 137% to US$834,448 (Q1 2016: US$352,629).
  • The twelve-month earnings-per-share was 095 cents while for Q1 2017, it amounted to US0.051 cents (2016: US0.022 cents). The number of shares used in our calculations was 1,637,500,000.

 

Balance Sheet Highlights:  

  • The company, as at August 31, 2017, recorded total assets of US$10.36 million, while total liabilities amounted to US$4.98million.
  • Total Stockholders’ equity as at August 31, 2017, closed at US$5.38 million, this resulted in a book value of US0.33 cents.
2017-10-19T16:07:23-05:00