November 16, 2021
Productive Business Solutions Limited (PBS) for the nine months ended September 30, 2021 reported a 29% increase in revenues from US$112.70 million for the 2020 period to US$145.46 million in 2021. As for the quarter total revenue increased by 7% to US$42.41 million from US$39.54 million booked twelve months earlier.
Direct expenses increased 51% to close the period at US$97.17 million when compared to $64.44 million for the same period of 2020. As such, gross profit for the period under review slightly increased to US$48.29 million (2020: US$48.26 million). Gross profit for the quarter amounted to US$17.92 million (2020: US$15.58 million).
Other income declined by 29% totalling US$503,000 relative to US$712,000 in the prior corresponding period.
Selling, general and administrative expenses amounted to US$43.14 million (2020: $42.41 million), reflecting a 2% year over year increase.
However, operating profit went down 14% for the period to total US$5.66 million relative to US$6.56 million in the prior comparable period. As for the third quarter, operating profit closed at US$1.69 million (2020: US$2.50 million).
Finance costs increased slightly to total US$6.50 million versus US$6.47 million in 2020.
As such, loss before taxation amounted to US$839,000 relative to a profit of US$88,000 in 2020. As for the quarter, loss before taxation closed at US$1.31 million, relative to a profit of US$418,000 booked in 2020.
After taxation of US$1.40 million (2020: US$1.36 million), the Company reported net loss of US$2.24 million (2020: US$1.28 million). The third quarter reported a net loss of US$1.56 million (2020: net loss of US$137,000).
Net loss attributable to shareholders amounted to US$2.29 million for the nine months ended September 30, 2021 versus a loss attributable to shareholders of US$1.32 million in the comparable period last year. As for the quarter, net loss attributable to shareholders amounted to US$1.60 million (2020: US$114,000).
Total comprehensive loss attributable to shareholders for the period was US$3.34 million versus a loss of US$3.21 million in the same period last year. The third quarter comprehensive loss closed at US$1.41 million (2020: US$1.10 million).
For the period the company reported a loss per share (LPS) of US$0.0123 (2020: US$0.007). The third quarter LPS totalled US$0.0086 (2020: US$0.0006), while twelve month trailing LPS was US$0.0047. The total number of shares employed in our calculations amounted to 186,213,523 units. The stock price closed trading on November 15, 2021 at US$1.01.
PBS noted, “key wins across our business in 2021 include; High-end banking solutions for two Central American banks and mission critical digital printing projects for the upcoming Presidential elections in Honduras and Nicaragua. In the Caribbean, PBS is implementing a National Identification Systems (NIDS) as well as signing its first major ATM, as a service agreement with one of the largest Caribbean banks. In the Public Education sector, the company has provided technology products, complex large-scale services and content solutions for more than 400K devices across many countries. These successful initiatives demonstrate that PBS continues to be a trusted technology enterprise partner.”
Furthermore, “the acquisition of PBS Technologies Limited significantly increases the scale of our business and shifts the mix of our business towards enterprise information technology and communications. Geographically, it adds Trinidad and Tobago, Antigua and Guyana to our footprint and balances our revenue streams across the Caribbean and Central America. Finally, it deepens our leadership team and adds technical expertise.”
Balance Sheet at a glance:
As at September 30, 2021, PBS had total assets totalling US$309.09 million (2020: US$174.51 million), which represents an increase of 77%. This movement was mainly attributed to an increase in ‘Intangible assets’ which closed at US$111.28 million (2020: US$20.28 million).
Shareholders Equity amounted to US$77.89 million (2020: US$32.01 million) with a book value per share of US$0.42 (2020: $0.17).
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