August 18, 2021
SSL Venture Capital Jamaica Limited (SSLVC), for the year ended June 30, 2021, reported revenues of $19.35 million versus $116.76 million reported in the prior year’s corresponding period. While for the quarter, revenue amounted $13,941 (2020: $3.53 million).
Cost of sales amounted to $19.15 million (2020: $105.12 million), thus resulting in gross profit of $196,958 relative to $11.64 million booked last year. Gross profit for the quarter amounted to $548 versus $1.47 million booked for the second quarter ended June 30, 2020.
Other operating income closed at $70.93 million (2020: $42.82 million) for the year ended June 30, 2021. In addition, administrative expenses totalled $52.14 million in the year ended June 30, 2021 compared to $139.69 million documented in the previous year.
The Company reported an ‘Impairment loss’ of $1.62 million at the end of 2020 and nil for the period under review.
Consequently, SSLVC recorded operating profit of $19 million versus a loss of $153.74 million reported in 2020. Operating profit for the second quarter closed at $62.64 million relative to an operating loss of $32.40 million reported for the same quarter of 2020.
Net finance cost for the period decreased 46% to close at $8.57 million compared to $16.02 million reported in 2020. As a result, loss profit taxation amounted to $10.42 million versus a loss of $169.76 million booked in 2020. For quarter profit before taxation amounted to $60.44 million, versus a loss of $34.52 million booked at the end of 2020.
For the year ended June 30, 2021, there was a taxation charge of $10.74 million (2020 tax credit: $16.93 million). The Company reported a net loss of $321,377 versus a loss of $152.83 million reported in 2020. Net profit for the quarter amounted to $63.70 million versus a net loss of $10.19 million booked in 2020.
However, net loss attributable to shareholders for the year end amounted to $253,442 (2020 net loss: 138.94 million). Also, net profit attributable to shareholders for the fourth quarter was $50.24 million versus a loss of $7.90 million booked twelve months earlier.
Loss per share (LPS) for the period amounted to $0.001 versus a loss per share (LPS) of $0.35 the prior year, while EPS for the quarter amounted $0.13 to $ (2020: LPS $0.02). The number of shares used in our calculations is 400,000,000. SSLVC stock price closed the trading period at a price of $0.80 on August 17, 2021.
Management noted, “these reduced losses when compared to prior periods were primarily driven by the write-off of payables balances owed to parent company of $96.4M relating to Bar Central Limited. Management was not able to secure a sale for Bar Central Limited and as such took the decision to write-off intercompany balances in order to facilitate wind up of the subsidiary.”
SSLVC also stated that, “based on the overall status of the company with no active operating entity, the Board and the Executive management team of the SSLVC Group along with the Parent Company, Stocks & Securities Limited are now in deliberations on the future of the company. The Board would like to reiterate from previous disclosures to the market that all decisions regarding the future of the company will consider the interest of all stakeholders of SSLVC.”
Balance Sheets Highlights:
As at June 30, 2021, total assets amounted to $67.48 million down 43% from the $118.38 million booked in 2020. ‘Receivables’ declined by $26.24 million to $19.69 million (2020: $45.94 million), ‘Deferred income taxes’ decreased by $10.74 million to $36.65 million (2020: $47.39 million) and ‘Property & Equipment’ went down by $6.46 million to closed at $6.35 million (2020: $12.81 million).
Shareholders’ deficit closed at $207.62 million relative to shareholders’ deficit $207.37 million recorded in the prior year’s corresponding period. This resulted in a shareholders’ deficit per share of $0.52 (2020: $0.52).
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