September 18, 2023

Margaritaville (Turks) Limited (MTL)

Audited financials for the year ended May 31, 2023:

Margaritaville (Turks) Limited (MTL) for the year ended May 31, 2023 reported a 177% increase in Revenue totaling US$7.26 million compared to US$2.62 million in the corresponding period last year. Revenue for the fourth quarter had a 39% increase to close at US$2.28 million compared to US$1.64 million for the comparable quarter of 2022.

Cost of Sales amounted to US$2.24 million (2022: US$884,666), this represents an increase of 153% year over year.

Consequently, gross profit increased by 190% to US$5.02 million compared to US$1.73 million for the year ended May 31, 2022. The company booked gross profit of US$1.37 million for the fourth quarter versus US$1.00 million reported for the similar quarter of 2022.

Administrative Expenses increased by 91% to close at US$3.83 million (2022: US$2.01 million), while Depreciation and Amortization decreased by 6% from US$278,916 in 2022 to US$262,869 in the period under review.

Total expenses for the year ended May 31, 2023 amounted to US$4.13 million, a 79% increase relative to US$2.31 million reported in 2022.

Operating profit for the year ended May 31, 2023, amounted to US$1.69 million relative to operating loss of $576,714 reported in 2022. Operating profit for the fourth quarter amounted to US$1.15 million (2022: US$178,130).

Finance cost for the year ended May 31, 2023, amounted to US$21,465, a 34% decrease relative to US$32,424 reported in 2022. Finance cost for the fourth quarter amounted to US$5,851 (2022: US$32,424).

There were no taxes for the period under review. As such, net profit for the year ended May 31, 2023 grew to US$1.67 million from net loss of US$609,138 reported in 2022. For the fourth quarter, net profit was US$490,550 (2022: US$167,455).

Consequently, Earnings Per Share for the year end amounted to US$0.03 (2022: LPS: US$0.01), while Earnings Per Share for the quarter totaled US$0.01 (2022: EPS: US$0.003). The number of shares used in these calculations was 67,500,000.

Notably, MTLJA and MTLUSD closed the trading period on September 15, 2023 at a price of J$16.29 and $0.12, respectively.

Balance Sheet Highlights

The company’s assets totalled US$6.05 million (2022: US$4.26 million). The 42% increase in total assets was particularly due to ‘Owing by related companies’ growing by US$1.79 million to close at US$2.21 million.

Shareholder’s equity was US$3.97 million (2022: US$2.30 million), representing a book value per share of US$0.06 (2022: US$0.03).

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