October 15, 2024
Margaritaville (Turks) Limited (MTL)
Unaudited financials for the first quarter ended August 31, 2024:
Margaritaville (Turks) Limited (MTL) for the first quarter ended August 31, 2024, reported a 40% increase in revenue totaling US$2.53 million compared to US$1.81 million in the corresponding three months last year.
Cost of Sales amounted to US$671,451 (2023: US$475,245), this represents an increase of 41% year over year. Consequently, gross profit increased by 40% to US$1.86 million compared to US$1.33 million for the first quarter ended August 31, 2023.
Administrative Expenses increased by 43% to close at US$1.40 million (2023: US$978,619), while Depreciation and Amortization expenses decreased by 15% from US$68,579 in 2023 to US$58,250 for the three months. As a result, Total Expenses for the first quarter amounted to US$1.47 million, a 39% increase relative to US$1.05 million reported in 2023.
Operating profit for the three months amounted to US$393,393, a 41% increase relative to US$279,526 reported in 2023.
Other operating expenses totalled US$617, a 99% decrease from the corresponding period last year. (2023: expense of US$44,138).
Finance cost for the first quarter ended August 31, 2024, amounted to US$4,100, a 29% decrease relative to US$5,760 reported in 2023.
No taxes were reported. As such, Total Comprehensive profit for the three months amounted to US$388,575, a 69% increase from the US$229,628 reported in 2023.
Consequently, Earnings Per Share for the three months amounted to US0.58cents (2023: EPS: US0.34cents). The twelve-month trailing EPS was US1.21cents or (J$1.90) and the number of shares used in these calculations was 67,500,000.
Notably, MTL’s stock price closed the trading period on October 14, 2024, at a price of J$13.36 with a corresponding P/E ratio of 7.04x.
Balance Sheet Highlights
The company’s assets totalled US$7.75 million (2023: US$6.32 million). The growth in total assets was mainly driven by a 67% or US$1.80 million increase in ‘owing to related companies’ closing the period at US$4.50 million (2023: US$2.70 million).
Shareholder’s equity was US$5.02 million (2023: US$4.20 million), representing a book value per share of US$0.07 (2023: US$0.06).
Disclaimer:
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 affect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.