November 15, 2024

Kintyre Holdings JA Limited (ICREATE )

Unaudited financials for the nine months ended September 30, 2024:

Kintyre Holdings JA Limited  (ICREATE ) for the nine months ended September 30, 2024 reported a 57% increase in Revenue totaling $123.41 million compared to $78.38 million in the corresponding period last year. Revenue for the third quarter had a 59% increase to close at $55.09 million compared to $34.59 million for the comparable quarter of 2023.

Cost Of Sales amounted to $29.15 million (2023: $18.94 million), this represents an increase of 54% year over year. Consequently, gross profit  increased by 59% to $94.26 million compared to $59.44 million for the nine months ended September 30, 2023. The company booked gross profit  of $45.77 million for the third quarter versus $24.22 million reported for the similar quarter of 2023.

Administrative & General Exp decreased by 12% to close at $60.59 million (2023: $68.65 million), while Depreciation & Amortization decreased by 49% from $9.90 million in 2023 to $5.02 million in the period under review. As a result, total operating expenses for the nine months ended September 30, 2024 amounted to $65.61 million, a 65% decrease relative to $186.04 million reported in 2023.

Net Operating Income before tax for the nine months ended September 30, 2024, amounted to $33.31 million, relative to net operating loss before tax of $126.42 million reported in 2023. Net Operating Income before tax for the third quarter amounted to $26.20 million (2023: loss of $4.23 million). Finance and Policy Costs totaled $3.97 million, an 83% decrease from the corresponding period last year. (2023: $23.69 million).

Pre-tax profit for the nine months ended September 30, 2024, amounted to $29.34 million, relative to pretax loss of $150.12 million reported in 2023. Pre-tax profit for the third quarter amounted to $25.24 million (2023: loss of $13.96 million).

Income Tax for the nine months ended September 30, 2024 increased to $8.92 million (2023: nil) . Net Operating Income after tax for the nine months amounted to $20.42 million,  from net operating loss after tax of $150.12 million reported in 2023. For the third quarter, Net Operating Income after tax was $21.40 million (2023: loss of $13.96 million).

Consequently, Earnings Per Share for the nine months amounted to $0.02 (2023: LPS: $0.16), while Earnings Per Share for the quarter totaled $0.02 (2023: LPS: $0.01). The twelve month trailing EPS was $0.02 and the number of shares used in these calculations was 949,685,242.

Notably, ICREATE ‘s stock price closed the trading period on November 14, 2024 at a price of $0.40 with a corresponding P/E ratio of 22.83x.

Balance Sheet Highlights

The company’s assets totaled $564.70 million (2023: $699.56 million). The movement in total assets was mainly influenced by 42% decline in ‘Goodwill’ amounting to $278.90 million (2023: $509.85 million). Additionally, there was a $7.77 million decline in ‘Cash and bank balances’ amounting to $1.86 million (2023: $9.63 million).

Shareholder’s equity was $273.79 million (2023: $307.03 million), representing a book value per share of $0.29 (2023: $0.32).

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