February 17, 2025

MAILPAC Group Limited (MAILPAC)

Unaudited financials for the twelve months ended December 31, 2024:

MAILPAC Group Limited (MAILPAC) for the twelve months ended December 31, 2024 reported a 53% increase in Revenue totaling $2.56 billion compared to $1.67 billion in the corresponding period last year. Revenue for the fourth quarter had a 79% increase to close at $839.42 million compared to $469.86 million for the comparable quarter of 2023.

Cost of Sales amounted to $1.31 billion (2023: $864.40 million), this represents an increase of 52% year over year. Consequently, gross profit increased by 55% to $1.25 billion compared to $809.96 million for the twelve months ended December 31, 2023. The company booked gross profit of $423.35 million for the fourth quarter versus $218.10 million reported for the similar quarter of 2023.

Administrative and general expenses increased by 85% to close at $783.67 million (2023: $424.34 million), while selling and promotion costs increased by 43% from $66.41 million in 2023 to $94.83 million in the period under review. As a result, total expenses for the twelve months ended December 31, 2024 amounted to $878.50 million, a 79% increase relative to $490.76 million reported in 2023.

Operating profit for the twelve months ended December 31, 2024, amounted to $373.80 million, a 17% increase relative to $319.21 million reported in 2023. Operating profit for the fourth quarter amounted to $120.11 million (2023: $72.42 million). Finance and policy costs totaled $115.94 million, an 89% increase from the corresponding period last year. (2023: $61.50 million).

Profit Before Taxation for the twelve months ended December 31, 2024, amounted to $259.12 million, a 1% decrease relative to $261.68 million reported in 2023. Profit Before Taxation for the fourth quarter amounted to $76.45 million (2023: $58.48 million).

Taxation for the twelve months ended December 31, 2024 had a 288% increase to reach $5.97 million (2023: $1.54 million) . Net Profit for the twelve months amounted to $253.15 million, a 3% decrease from the $260.14 million reported in 2023. For the fourth quarter, Net Profit was $70.48 million (2023: $56.94 million).

Consequently, Earnings Per Share for the twelve months amounted to $0.10 (2023: EPS: $0.10), while Earnings Per Share for the quarter totaled $0.03 (2023: EPS: $0.02). The number of shares used in these calculations was 2,500,000,000.

Notably, MAILPAC’s stock price closed the trading period on February 14, 2025, at a price of $2.63 with a corresponding P/E ratio of 25.97x.

Balance Sheet Highlights

The company’s assets totaled $1.17 billion (2023: $674.93 million). The movement in total assets was influenced by a $144.31 million increase in ‘Right-of-use asset’ amounting to $185.81 million (2023: $41.51 million), 218% increase in ‘Trade and other receivables’ amounting to $168.48 million (2023: $53.04 million), a $97.96 million increase in ‘Plant, property and equipment’ amounting to $242.02 million (2023: $144.05 million) and a 28% increase ‘Cash and bank balances’ amounting to $253.76 million (2023: $198.85 million).

Shareholder’s equity was $878.07 million (2023: $562.73 million), representing a book value per share of $0.35 (2023: $0.23).

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