MTL reports a first quarter net loss of US$282,156

October 15, 2021

Margaritaville (Turks) Limited (MTL) for the three months ended August 31, 2021, reported revenues which decreased drastically by 97% for the period to US$543 (2020: US$20,417).

Cost of sales also went down by US$19,604 to US$812 (2020: US$20,416) which resulted in a gross loss of US$269. Management noted the company, “The first ship to set sail from a US port, since the start of the pandemic in March of 2020, departed in June of 2021. This is significant for the industry as the US is the point of embarkation for almost all cruises into the Caribbean, inclusive of the Grand Turk Crusis Port.” Additionally, “the Government of the Turks and Caicos is expecting crushing to commence into the Grand Turk Cruise Port before the end of calendar 2021 and company is getting into a state of preparedness, with recruitment fairs arranged to commence over the next two weeks.”

Total expenses decreased 36% for the period under review to US$281,887 in 2021, down from US$438,085 in 2020. The decrease was associated with a 44% decline in administrative expenses from US$364,992 in 2020 to US$204,629 in 2021. The Company also highlighted, “The improvement in the current quarter was mainly from savings realized in staff related cost as the company had to formally separate from some team members due to the protracted period of cruise suspension.” Depreciation and amortization slid less than 1% to US$72,839 (2020: US$73,093). Other expenses incurred for the period under review amounted to  US$4,419 (2020: nil).

Consequently, the Company reported a net loss of US$282,156, relative to a net loss of US$438,084 booked twelve months earlier. Total comprehensive loss for the quarter amounted to US$282,156 relative to an income of US$438,084 million the previous year.

The twelve-month trailing loss-per-share was US$0.018, while for Q1 2021, LPS amounted to US$0.0042 compared to an LPS of US$0.0065 of the corresponding period of last year. The number of shares used in our calculations was 67,500,000. MTLJA and MTLUSD last traded on October 14, 2021 at $14.70 and $0.095, respectively.

Balance Sheet Highlights:

The company, as at August 31, 2021, recorded total assets of US$4.04 million, a decrease of 16% when compared to US$4.78 million as at August 31, 2020. This was mainly as a result of no ‘Owing by related companies’ for the period, relative to US$409,509 book as at August 31, 2020. ‘Property, plant and equipment’ declined to US$2.96 million (2020: US$3.24 million), representing a 9% year over year decline.

Total Stockholders’ equity as at August 31, 2021 closed at US$2.63 million, a 32% decrease from US$3.86 million for the corresponding period last year. This resulted in a book value of US$0.039 (2020: US$0.057).


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