April 15, 2025
Margaritaville (Turks) Limited(MTL)
Unaudited financials for the nine months ended February 28, 2025:
Margaritaville (Turks) Limited (MTL), for the nine months ending February 28, 2025, reported a 33% increase in revenue totaling $6.98 million compared to $5.25 million in the corresponding period last year. Revenue for the third quarter had a 33% increase to close at $2.54 million compared to $1.90 million for the comparable quarter of 2024.
Cost of Sales amounted to $1.85 million (2024: $1.33 million), resulting in a 39% year-over-year increase. However, this was offset by a robust 31% increase in gross profit, which reached $5.13 million compared to $3.92 million for the nine months ending February 28, 2024. The company booked a gross profit of $1.88 million for the third quarter, significantly improving over the $1.42 million reported for the similar quarter of 2024.
Administrative Expenses increased by 25% to close at $3.93 million (2024: $3.14 million). This increase can be attributed to [specific reasons for the rise in administrative expenses]. At the same time, depreciation and amortization remained stable at $174,749 during the period under review. As a result, total expenses for the nine months ended February 28, 2025, amounted to $4.12 million, a 24% increase relative to $3.33 million reported in 2024.
Operating profit for the nine months ending February 28, 2025, amounted to $1.01 million, a 71% increase relative to $590,096 reported in 2024. Operating profit for the third quarter amounted to $443,698 (2024: $211,543). Other operating expenses totaled $12,559, a 75% increase from last year’s corresponding period. (2024: cost of $50,295).
Finance costs for the nine months that ended February 28, 2025, amounted to $10,918, a significant 33% decrease relative to $16,359 reported in 2024. This decrease can be attributed to [specific reasons for the decreased finance costs]. Finance costs for the third quarter amounted to $3,143 (2024: $5,144).
There were no taxation charges for the nine months ending February 28, 2025. Total Comprehensive profit for the year for the nine months amounted to $986,588, an 89% increase from the $521,909 reported in 2024. For the third quarter, the Total Comprehensive profit was $437,450 (2024: $222,174).
Consequently, Earnings Per Share for the nine months amounted to $1.46 (2024: EPS: $0.77), while Earnings Per Share for the quarter totaled $0.65 (2024: EPS: $0.33). The twelve-month trailing EPS was $0.02, and the number of shares used in these calculations was 67,500,000.
MTL’s stock price closed the trading period on April 14, 2025, for $13.36, with a corresponding P/E ratio of 5.09x.
Balance Sheet Highlights
The company’s assets totaled $8.86 million (2024: $6.50 million). The overall growth in the company’s asset base is mainly attributed to a 71% year-over-year increase in “Owing by related companies,” which rose to $5.63 million (2024: $3.02 million), along with a 62% increase in “Cash and bank balance,” which reached $125,685 (2024: $111,561) by the end of the period.
Shareholder’s equity was $5.62 million (2024: $4.50 million), representing a book value per share of $0.08 (2024: $0.07).
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.
