May 16, 2022
For the nine months ended March 31, 2022, SSL Venture Capital Jamaica Limited (SSLVC) earned $0 of Revenue (2021: $19.33 million). SSLVC reported no cost of sales (2021: $19.14 million) and consequently no Gross Profit for the period under review (2021: $194,410).
SSLVC reported ‘Other Operating Income’ of $51.83 million for the nine months period ended March 31, 2022 (2021: 130,351).
Administrative expenses were $33.66 million (2021: $43.97 million).
The venture capital company reported an Operating Income of $18.17 million versus a loss of $43.64 million in 2021. However, on a quarterly basis, SSLVC experienced an Operating Loss of $11.46 million. The company had finance costs of $1.13 million for the period (2021: $6.38 million).
Profit before taxation amounted to $17.04 million versus a Loss before Taxation of $50.02 million recorded twelve months earlier.
After a tax charge of $3.24 million (2021: tax credit $6.10 million), SSLVC reported a nine-months Net Profit of $13.80 million versus a loss of $43.92 million reported in 2021. On a quarterly basis, the company had a Net Loss of $11.28 million compared to a net loss of $8.99 million documented in Q3 of 2021.
Net Profit attributable to shareholders closed at $11.32 million compared to a Net Loss attributable to shareholders of $39.07 million. While for the quarter, Net Loss attributable to shareholders totalled $8.90 million versus a net loss attributable to shareholders of $8.44 million booked twelve months earlier.
Based on earnings for the period, SSLVC outputs an earnings per share (EPS) of $0.03. In the period prior, SSLVC had a loss per share of -$0.10. For the quarter, LPS amounted to $0.02 (2021: LPS of $0.02). The trailing twelve- months earnings per share was $0.52. The number of shares used in our calculations is 400,000,000. As at May 13, 2022, SSLVC stock price closed the trading period at a price of $1.65, with a corresponding P/E ratio of 3.15 times.
On the 31st of January 2022, the company advised the market that it had received an offer for the purchase of 100% of the issued share capital from Micro Financing Solutions at a price of $0.0948 per share. In their latest quarterly report, the board of directors of SSLVC said, “The Board and Executive Management took a decision to sell the company based on the company’s inability to generate revenues. Currently, an offer was received and addressed to our Shareholders from Micro-Financing Solutions Acquisitions Limited and the Directors are taking the necessary steps to prepare the required Directors’ Circular for regulatory approval and publication.”
Balance sheet at a glance:
As at March 31, 2022, Total Assets amounted to $20.11 million, 83% less than the $118.64 million reported in Q3 of 2021. This decrease was mainly due to decreases in ‘Deferred Tax Asset’ and ‘Receivables’ which closed at nil (2021: $53.49 million) and $4.87 million ($48.51 million), respectively.
As at March 31, 2022, SSLVC reported a Shareholders’ Deficit of $37.13 million relative to Shareholders’ Deficit $246.44 million recorded in the corresponding period last year. This outputs a shareholders’ deficit per share of $0.09 (2021: $0.62).
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