GWEST reports nine months net loss of $29.20 million

February 4, 2022

GWEST Corporation Limited (GWEST), for the nine months ended December 31, 2021 booked Total revenue of $108.67 million, an increase of 24% when compared with the $87.32 million booked last year. Revenue increased by 13% or $4.22 million for the third quarter, amounting to $36.72 million (2020: $32.51 million). The company highlighted that “The increase in revenue is mainly attributable to the increase in income from patient fees resulting from increased patient count. Our patient fees for the nine months to December 31, 2021 have increased by 67% over the comparable period in the prior year.”

The cost of sales amounted to a total of $26.53 million relative to the $18.67 million reported for the same period last year. For the quarter, the cost of sales rose from $6.70 million in 2020 to $8.84 million for the period under review.

Consequently, gross profit increased 20% or $13.49 million to a total of $82.14 million relative to the $68.65 million for the corresponding period in 2020. For the quarter, there was an 8% increase in gross profit to $27.88 million compared to $25.80 million the prior year.

Over the nine month period administrative expenses declined by 57% to close at $14.26 million (2020: $33.09 million). For the quarter, administrative expenses decreased from $11.84 million in 2020 to $9.21 million in 2021.

Other operating expenses was $75.69 million for period under review (2020: $67.19 million), while finance cost amounted to $30.52 million relative to $26.91 million booked in for the comparable period in 2020.

No Taxes were charged for the period. As such, net loss amounted to $29.20 million relative to the loss of $50.10 million reported in 2020. Net loss for the quarter amounted to $11.05 million (2020 Loss of: $13.13 million).

Loss per share (LPS) for the period amounted to $0.06 compared to and LPS of $0.10 recorded in 2020. The LPS for the quarter amounted to $0.02 relative to an LPS of $0.03 in 2020. The trailing-twelve-month EPS amounted to $0.09. The number of shares used in the calculations is 484,848,485. GWEST closed the trading period on February 11, 2022, at $0.96.

GWEST stated, “The results demonstrate encouraging signs and the hope for continued improvement for the future.”

Balance Sheet at a glance:

As at December 31, 2022, total assets amounted to $1.64 billion, 2% more than $1.60 billion the year prior, “This is due to increased property plant and equipment as a result of the capital expenditure on the build-out of our surgery centre and overnight in-patient facility,” according to GWEST. ‘Property and equipment’ increased 60% and closed at $363.43 million (2020: $226.46 million). A Few notable line items in current assets are: ’Investment Property’ with an increase of $83.18 million to $952.72 million for the period under review; and ‘Due from Related Parties’ with a decrease of $103.62 million to $52 million for the period under review. ‘Cash and Bank Balances’ decreased $54.58 million to $2.63 million as at December 2021. GWEST explained that the decrease in the cash and short term position is, “ due to capital expenditure over the period.”

Shareholders’ Equity totaled $661.04 million (2020: $617.96 million) resulting in a book value per share of $1.36 (2020: $1.27).


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