February 19, 2024

iCreate Limited (ICREATE) for the year ended December 31, 2023, reported a 76% increase in revenue totalling $140.46 million compared to $79.63 million in the corresponding period last year. Revenue for the fourth quarter had a 114% increase to close at $62.09 million compared to $28.98 million for the comparable quarter of 2022.

Cost of sales amounted to $23.54 million (2022: $30.17 million), this represents a decrease of 22% year over year. Consequently, gross profit increased by 136% to $116.92 million compared to $49.46 million for the year ended December 31, 2022. The company booked gross profit of $57.49 million for the fourth quarter versus $19.56 million reported for the similar quarter of 2022.

Total operating expenses for the year ended December 31, 2023, amounted to $222.29 million, a 142% increase relative to $91.84 million reported in 2022. This was largely due to acquisition related expenses, which totalled $107.49 million (2022: nil), followed by administrative & general expenses, which increased by 16% to close at $99.14 million (2022: $85.25 million). Depreciation & amortization grew by 137% from $6.59 million in 2022 to $15.65 million in the period under review.

Net operating loss before tax for the year ended December 31, 2023, amounted to $102.93 million, a 147% increase relative to the net operating loss of $41.63 million reported in 2022. For the fourth quarter, the company booked a net operating income before tax of $23.49 million (2022: $332,000).

Finance costs for the year end totalled $27.13 million, a 421% increase from the corresponding period last year (2022: $5.21 million).

Pre-tax loss for the year ended December 31, 2023, amounted to $130.06 million, a 178% increase relative to $46.85 million reported in 2022. Pre-tax profit for the fourth quarter amounted to $20.05 million (2022: loss of $350,000).

Income tax for the year ended December 31, 2023, amounted to $7.66 million (2022: nil). Net operating loss after tax for the year amounted to $137.72 million, a 194% increase from the $46.85 million reported in 2022. For the fourth quarter, net operating income after tax was $12.39 million (2022: loss of $350,000). Net loss attributable to shareholders was $149.50 million (2022: loss of $39.94 million). For the quarter, net profit attributable to shareholders was $5.54 million (2022: net loss attributable to shareholders of $565,000).

Loss per share (LPS) for the year amounted to $0.16 (2022: $0.04), while earnings per share for the quarter totalled $0.01 (2022: LPS of $0.0006). The number of shares used in these calculations was 949,685,242.

Notably, ICREATE ‘s stock price closed the trading period on February 16, 2024, at a price of $0.41.

Balance Sheet Highlights:

The company’s assets totalled $706.09 million; a 2% decrease from $718.13 million booked in 2022.

Shareholder’s equity was $434.29 million (2022: $457.53 million), representing a book value per share of $0.46 (2022: $0.48).

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