November 2, 2026
The Palace Amusement Company Limited (PAL)
Audited financials for the twelve months ended June 30, 2026:
The Palace Amusement Company Limited (PAL) reported revenue of $961.75 million for the twelve months ended June 30, 2026, a 27% decline compared to $1.32 billion in the corresponding period of the prior year. Box office receipts fell 27% to $597.94 million (2025: $818.05 million) and confectionery sales fell 27% to $302.98 million (2025: $416.33 million), with the Palace Multiplex in Montego Bay the weakest site, where box office receipts declined 72% to $45.41 million from $164.37 million following the impact of Hurricane Melissa.
Direct expenses totalled $940.19 million (2025: $1.22 billion), a 23% decrease. Gross profit declined by 79% to $21.56 million, down from $103.93 million for the twelve months ended June 30, 2025. Gross profit margin was 2.24% against 7.86% in the prior year, as direct expenses fell by less than revenue; film cost fell 31% to $271.24 million while staff costs, which sit within direct and administrative expenses, fell 11% to $360.15 million.
Administrative expenses declined by 16% to $216.86 million (2025: $256.82 million), while other operating income rose from $4.48 million in 2025 to $247.44 million in the period under review, of which $229.27 million is an insurance refund relating to losses sustained from Hurricane Melissa. Consequently, operating profit for the twelve months ended June 30, 2026 amounted to $52.14 million, compared to an operating loss of $148.40 million in 2025, an operating margin of 5.42% (2025: negative 11.22%).
Finance costs for the twelve months ended June 30, 2026 amounted to $41.88 million, a 2% decrease compared to $42.87 million in 2025.
Profit before taxation totalled $10.26 million (2025: Loss before taxation of $191.27 million). The tax charge for the twelve months amounted to $200.45 million, compared with a tax credit of $44.32 million in 2025, reflecting the derecognition of $192.68 million of the deferred tax asset.
Net loss for the twelve months ended June 30, 2026 amounted to $190.19 million (2025: Net loss: $146.95 million), a 29% widening. Net loss attributable to stockholders was $190.09 million, a 29% increase on the net loss attributable to stockholders of $147.80 million in 2025.
As a result, Loss Per Share (LPS) for the twelve months amounted to $0.22 (2025: LPS: $0.17). The twelve-month trailing LPS was $0.22, based on 862,216,800 shares. Notably, PAL’s stock price closed the trading period on October 30, 2026, at a price of $0.49, 49% below the $0.96 recorded on October 17, 2025.
Balance Sheet Highlights
The company’s assets totalled $2.21 billion (2025: $2.05 billion). The movement in total assets was primarily attributable to a 25% increase in property, plant and equipment, from $1.49 billion to $1.86 billion, following a revaluation of land and buildings, partially offset by a 97% decline in deferred tax assets (from $215.31 million to $6.25 million) and a 29% reduction in cash and cash equivalents (from $157.04 million to $111.06 million). Receivables more than doubled, rising 130% to $70.70 million (2025: $30.73 million), of which $37.05 million is insurance proceeds receivable.
Shareholders’ equity attributable to parent was $1.10 billion (2025: $898.58 million), representing a book value per share of $1.27 (2025: $1.04). The 22% increase in equity reflects a $391.89 million revaluation gain, net of tax, recognised in other comprehensive income, which more than offset the $190.09 million loss attributable to stockholders.
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