May 11, 2020
Mailpac Group Limited (MAILPAC)’s revenue amounted to $364.78 million for the three months ended March 31, 2020 while cost of sales totalled $181.46 million. As such gross profit summed to $183.31 million for the period under review.
Administrative and general expenses equalled $66.18 million for the three months while selling and distribution costs totalled $9.95 million. Thus, operating expenses for the quarter amounted to $76.12 million, which “comprised mostly of staff costs, advertising expenses, and store operating expenses,” as noted by Management. As such, operating profit for the quarter closed at $107.19 million.
Other income amounted to $2.09 million for the quarter ended March 31, 2020.
Finance and policy costs for the quarter totalled to $7.37 million. Consequently, MAILPAC booked profit before taxation of $101.91 million for the three months ended March 2020.
There was no taxation incurred due to the 100% income tax remission under the rules of the Jamaica Junior Stock Exchange, thus resulting in net profit of $101.91 million for the three months ended March 31, 2020.
Consequently, earnings per share (EPS) amounted to $0.041 for the quarter ended March 31, 2020. The trailing EPS is $0.13. The number of shares used in this calculation was 2,500,000,000 shares. MAILPAC closed the trading period on May 11, 2020 at $1.81.
MAILPAC noted, “towards the end of the quarter, the rapid spread of COVID-19 has led to lower consumer confidence and limitation on consumer movements which has had varied impacts on our ecommerce platform. While we anticipate that the crisis will present challenges and opportunities for our industry, Mailpac’s strategy will continue to be focused on delivering the highest level of solutions and service to the consumer market through ecommerce. More importantly, we have taken all the necessary measures required to ensure the continued safety and wellness of our team and our customers. We have substantially expanded our delivery infrastructure and have employed various in-store strategies to limit person to person contact.”
Balance Sheet at a glance:
As at March 31, 2020, total assets closed at $534.60 million. Notably, cash and cash equivalents totalled $194.40 million and intangible assets amounted to $243.66 million as at March 31, 2020.
Shareholders’ equity totalled $455.55 million resulting in a book value of $0.18.
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