January 14, 2025
Paramount Trading Limited (PTL)
Unaudited financials for the six months ended November 30, 2024:
Paramount Trading Limited (PTL) reported a 6% decrease in revenue, totalling $788.52 million for the six months ended November 30, 2024, compared to $836.47 million in the corresponding period last year. Revenue for the second quarter decreased by 3%, closing at $399.41 million compared to $410.42 million for the comparable quarter of 2023.
Direct expenses amounted to $525.91 million (2023: $502.61 million), representing a 5% year-over-year increase. Consequently, gross profit decreased by 21% to $262.62 million, compared to $333.86 million for the six months ended November 30, 2023. The company booked a gross profit of $129.21 million for the second quarter versus $137.21 million reported for the similar quarter of 2023.
Other operating expenses increased by 180%, closing at $23.06 million (compared to other operating income of $28.69 million for 2023), while administrative expenses increased by 4%, from $229.17 million in 2023 to $238.87 million in the period under review. As a result, total expenses for the six months ended November 30, 2024, amounted to $250.37 million, a 5% increase relative to $239.36 million reported in 2023.
Operating loss for the six months ended November 30, 2024, amounted to $10.81 million relative to the operating profit of $123.19 million reported in 2023. Operating profit for the second quarter amounted to $7.35 million (2023: $44.66 million). Net finance cost totalled $41.54 million, a 65% increase from the corresponding period last year (2023: $25.23 million).
Pre-tax loss for the six months ended November 30, 2024, amounted to $52.35 million relative to the pre-tax profit of $97.96 million reported in 2023. Pre-tax loss for the second quarter amounted to $14.40 million (2023: pre-tax profit of $33.12 million).
Net loss for the six months amounted to $52.35 million from the net profit of $78.25 million reported in 2023. For the second quarter, net loss was $14.40 million (2023: net profit of $24.84 million).
Consequently, loss per share for the six months amounted to $0.03 (2023: EPS: $0.05), while loss per share for the quarter totalled $0.01 (2023: EPS: $0.02). The twelve-month trailing LPS was $0.09, and the number of shares used in these calculations was 1,542,467,080.
Notably, PTL’s stock price closed the trading period on January 13, 2025, at $1.15.
Balance Sheet Highlights
The company’s assets totalled $2.15 billion (2023: $2.01 billion). This increase was attributable to inventories, which amounted to $764.00 million (2023: $541.32 million). Additionally, property, plant, and equipment also contributed to the increase, equating to $631.59 million (2023: $554.12 million).
Shareholders’ equity was $987.17 million (2023: $1.14 billion), representing a book value per share of $0.64 (2023: $0.74).
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