August 15, 2023
The Palace Amusement Company Limited (PAL) for the year ended June 30, 2023 reported a 134% increase in Revenue totaling $1.52 billion compared to $649.04 million in the corresponding period last year. Revenue for the fourth quarter had a 74% increase to close at $480.31 million compared to $275.40 million for the comparable quarter of 2022.
Direct expenses amounted to $1.22 billion (2022: $706.27 million), this represents an increase of 73% year over year. Consequently, gross profit increased by 620% to $297.33 million compared to a loss of $57.23 million for the year ended June 30, 2022. The company booked gross profit of $117.80 million for the fourth quarter versus $45.53 million reported for the similar quarter of 2022.
Administration expenses increased by 19% to close at $207.02 million (2022: $174.49 million), while Other operating income increased by 63% from $9.42 million in 2022 to $15.35 million in the period under review. As a result, operating profit for the year ended June 30, 2023 amounted to $105.66 million, a 148% increase relative to the loss of $222.30 million reported in 2022.
Finance costs – interest expense for the year ended June 30, 2023, amounted to $57.78 million, a 27% increase relative to $45.32 million reported in 2022.
Profit Before taxation for the year ended June 30, 2023, amounted to $47.88 million, a 118% increase relative to a loss of $267.62 million reported in 2022. Profit before taxation for the fourth quarter amounted to $44.03 million (2022: $1.12 million).
Net Profit for the year ended June 30, 2023 increased to reach $47.88 million (2022: net loss of $260.68 million) . Net Profit attributable to stockholders of the company for the year amounted to $47.98 million, a 118% increase from the net loss attributable to stockholders $260.67 million reported in 2022. For the fourth quarter, Net Profit attributable to stockholders of the company was $44.06 million (2022: $8.06 million).
Consequently, Earnings Per Share for the year amounted to $0.06 (2022: LPS of $0.30), while Earnings Per Share for the quarter totaled $0.05 (2022: EPS of $0.01). The number of shares used in these calculations was 862,216,800.
Notably, PAL’s stock price closed the trading period on August 14, 2023 at a price of $2.00 with a corresponding P/E ratio of 35.94x.
Balance Sheet Highlights
As at June 30, 2023, the Company reported total assets of $1.66 billion, a 6% decrease when compared to $1.77 billion in the prior year. This decrease in assets was primary due to ‘Property, Plant &Equipment’ which closed at $1.03 billion (2022: $1.09 billion).
Shareholder’s equity was $430.45 million (2022: $383.31 million), representing a book value per share of $0.50 (2022: $0.44).
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