GWEST reports six months net loss of $18.10 million

November 12, 2021

GWEST Corporation Limited (GWEST), for the six months ended September 30, 2021 reported revenue of $72.96 million, an increase of 33%, when compared with the $54.83 million booked last year. Revenue for the quarter totalled $41.97 million up 35% year over year (2020: $30.98 million). The company noted, “during the period we completed the build out of our surgery centre and overnight in-patient facility, which is expected to become operational within the third quarter of our financial year.”

Cost of sales rose 48% to total $17.68 million relative to the $11.97 million reported for the same period last year. Notwithstanding, gross profits rose by 29% to a total of $55.28 million in 2021 relative to the $42.86 million for the corresponding period in 2020. Gross profit for the quarter amounted to $33.13 million (2020: $25.05 million).

Administrative expenses closed the period at $21.26 million versus $22.54 million in the previous corresponding period. Other operating expenses amounted to $39.29 million (2020: $41.86 million).

In addition, other gains were reported at $6.65 million compared to a gain of $3.46 million booked same time in 2020. Finance cost amounted to $19.48 million (2020: $18.89 million).

As a result, GWEST reported loss before taxation of $18.10 million relative to the $36.97 million reported in 2020. Pretax loss for the second quarter totalled $7.16 million versus a loss of $20.26 million booked for the comparable quarter of 2020.

No taxes were charged resulting in a net loss for the period of $18.10 million (2020: $36.97 million). As for the quarter the net loss closed at $7.16 million (2020: $20.26 million).

Loss per share (LPS) for the quarter amounted $0.037 (LPS: 2020: $0.076). LPS for the six month period totalled $0.015 relative to an LPS of $0.042 in 2020. The trailing twelve-month earnings per share amounted to $0.085. The number of shares used in the calculations is 484,848,485. GWEST last traded on November 11, 2021 at $0.85 with a corresponding P/E ratio of 10.04 times.

GWEST noted, “our outlook for the coming quarters remain positive as there are signs that there will be further opening up of the economy and a rebound of both stopover tourism and cruise tourism. We have seen increased enquires in our investment properties and we expect to see improvement in the occupancy level in the upcoming periods.”


Balance Sheet at a glance:

As at September 30, 2021, total assets amounted to $1.67 billion, 4% more than the $1.60 billion the year prior. ‘Property and equipment’ contributed to the increase in the asset base, it rose by $133.58 million to total $361.81 million (2020: $228.24 million). This was partially tempered by ‘Due from related parties’ which contracted by 48% to end at $50.89 million (2020: $97.13 million).

Shareholders’ Equity totalled $672.14 million (2020: $631.08 million) resulting in a book value per share of $1.39 (2020: $1.30).














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