PULS reports 29% increase in year end net profits

September 1, 2020

Pulse Investments Limited (PULS), for the year ended June 30, 2020 reported that Revenue increased 9% year on year, closing the year at $678.07 million, up from $619.88 million in 2019, while for the fourth quarter revenue amounted to $202.99 million down 26% compared to the $274.56 million booked in 2019. 

Administrative and Other Expenses increased 5%, closing the year at $395.39 million relative to $376.59 million of last year. This resulted in gross profit increasing by 16%, closing the year at $282.68 million compared to the $243.29 million posted in 2019. For the quarter, however, PULS booked gross loss of $16.95 million compared to a gross profit of $41.53 million documented in the prior comparable period.

 Other income amounted to $583.67 million, an increase of 33% on the $439.80 million recorded for the 2019 financial year. The performance resulted from a fair value appreciation on investment property of $581.65 million compared to $439.80 million in 2019.

 This resulted in an operating profit of $866.35 million, an increase of 27% relative to the $683.09 million recorded last year. Finance Cost rose by 99%, closing the year at $12.66 million (2019: $6.36 million).

 Taxes of $13.32 million (2019: 23.49 million) were deducted for the year subsequent to a pre-tax profit of $853.69 million (2019: $676.73 million).

 Lastly, Net Profit rose by 29%, closing the year at $840.36 million, up from $653.24 million a year ago, while for the quarter Net Profit totalled $112.19 million relative to $324.23 million reported in 2019, a 65% decline.

 Total Comprehensive Income for the year amounted to $883.26 million relative to the $687.88 million booked in 2019, an uptick of 28%.

 Earnings per share amounted to $0.13 for the year relative to $0.10 in 2019. For the quarter, EPS closed at $0.02 (2019: $0.05). The number of shares used in the calculations is 6,522,952,176 units. PULS last traded on August 31, 2020 at $ 3.80.

Balance Sheet Highlights:

Assets totalled $4.70 billion, a year over year increase of 29% relative to the $3.65 billion booked the year prior. This movement was driven by an increase in ‘Investment Properties’ which closed at $3.09 billion (2019: $2.33 billion) and ‘Advertising Entitlements’ totalling $1.05 billion (2019: $868.76 million).

 Shareholder’s Equity as at June 30, 2020 stood at $4.09 billion (2019: $3.24 billion) resulting in book value per share of $2.51 (2019: $1.99).

Analyst Certification -The views expressed in this research report accurately reflect the personal views of Mayberry Investments Limited Research Department about those issuer (s) or securities as at the date of this report. Each research analyst (s) also certify that no part of their compensation was, is, or will be, directly or indirectly, related to the specific recommendation (s) or view (s) expressed by that research analyst in this research report.

Company Disclosure -The information contained herein has been obtained from sources believed to be reliable, however its accuracy and completeness cannot be guaranteed. You are hereby notified that any disclosure, copying, distribution or taking any action in reliance on the contents of this information is strictly prohibited and may be unlawful. Mayberry may effect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.

2020-09-02T08:11:17-05:00