PAL reports 130% increase in year end net profit

The Palace Amusement Company (1921) Limited (PAL) for the year ended June 30, 2017 booked a 9% increase in revenues to $990.14 million (2016: $909.24 million), while for the fourth quarter, an increase of 20% was observed. For the quarter, revenue rose to $299.06 million relative to $249.33 million in 2016.

Direct expenses for the year inched up by 8% to $789.25 million (2016: $728.02 million). As a result, gross profit improved by 11% to $200.89 million (2016: $181.23 million). The gross profit for the quarter totalled $71.93 million from $51.57 million, following a 15% growth in Direct Expenses year over year.

Other operating income increased to $12.77 million (2016: $11.53), an 11% growth, while administrative expenses increased 4% to $174.96 million (2016: $167.98 million).

Consequently, operating profit for the year jumped to $38.70 million relative to the $24.77 million reported for the corresponding period in 2016, a 56% growth year over year. operating profit for the quarter rose 208% from $10.67 million in 2016 to $32.81 million.

Interest expense decreased to $1.36 million, a 31% reduction compared to $1.98 million recorded in 2016. As such, profit before taxation increased 64% to $37.33 million relative to $22.79 million booked in 2016.

PAL recorded nil for taxes compared to $6.59 million booked in 2016. As such, net profit for the year was 130% higher than the prior year, totaling $37.33 million, $21.13 million compared to $16.21 million booked in 2016.

The company reported net profit attributable to shareholders of $37.53 million compared to $16.35 million in 2016, an increase of 130%  year over year. Net profit attributable to shareholders for the quarter amounted to $32.48 million compared to $9.70 million in 2016.

As such, the earnings per share (EPS) for the year amounted to $26.11 relative to $11.38 last year, while for the quarter the EPS totalled $22.60 compared to $6.75. The amount of shares used in our calculation is 1,437,028.


Balance Sheet Highlights:

 The company, as at June 30, 2017, recorded Total Assets of $496.39 million, an increase of 6% when compared to $466.94 million recorded last year.

Total Stockholders’ Equity as at June 30, 2017 closed at $351.93 million, compared to $314.69 million for the corresponding period last year. This resulted in a book value of $244.90 per share compared to $218.98 as at March 31, 2016.





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