KEX reports three months net profit of $9.20 million

October 15, 2021

Knutsford Express Services Limited (KEX), for the three months ended August 31, 2021 reported total revenue of $232.56 million, a 91% increase when compared with the $121.78 million reported for the same period in 2020.

Administrative and general expenses rose 48% for the quarter to total $219.35 million (2020: $148.22 million). This resulted in gross profit of $13.22 million for the quarter compared to the gross loss of $26.43 million booked for the same quarter a year ago.

Finance costs increased to $5.56 million for the period from $2.96 million reported in 2020. In addition, finance income fell from $4.21 million in 2020 to $1.54 million in 2021, representing a decline of 63%.

As such KEX’s profit before taxation for the three months period amounted to $9.20 million, relative to loss before taxation of $25.18 million reported in 2020. No taxes were incurred for the quarter. Consequently, net profit amounted to $9.20 million relative to net loss after tax last year of $25.18 million.

Total Comprehensive income as at the end of the quarter amounted to $15.25 million relative to a loss of $20.72 million the prior year.

Earnings per share (EPS) for the quarter amounted to $0.02 (2020: LPS of $0.05). The twelve-month trailing LPS amounted to $0.12. The number of shares used in our calculations is 500,000,015. Notably, KEX’s stock price closed the trading period on October 15, 2021 at a price of $7.89.

KEX added, “We have focused on “Moving what matters” to our customers through the expansion of our courier service, adding new products and delivery options by improving logistics and introducing new technology. These measures are aimed at improving customer experience.”

Balance Sheet at a Glance: 

As at August 31, 2021, assets totalled $1.31 billion, $235.72 million more than the $1.08 billion recorded last year. The increase in total assets was largely attributable to increases in ‘Investment property’ and ‘Rights of use asset’ which closed at $110.45 million (2020: nil) and $136.94 million (2020: $9.31 billion), respectively. This was due to investment in “Knutsford Express Business Centre in Drax Hall. We expect the completion and full tenancy of the Business Centre in the third quarter,” as per KEX.

Shareholder’s equity closed at $681.04 million (2020: $744.69 million). As such, the book value per share was $1.36 (2020: $1.49).


Analyst Certification -The views expressed in this research report accurately reflect the personal views of Mayberry Investments Limited Research Department about those issuer (s) or securities as at the date of this report. Each research analyst (s) also certify that no part of their compensation was, is, or will be, directly or indirectly, related to the specific recommendation(s) or view (s) expressed by that research analyst in this research report.

Company Disclosure -The information contained herein has been obtained from sources believed to be reliable, however its accuracy and completeness cannot be guaranteed. You are hereby notified that any disclosure, copying, distribution or taking any action in reliance on the contents of this information is strictly prohibited and may be unlawful. Mayberry may effect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.