February 14, 2022
Figures are quoted in United States dollars (except where it is indicated otherwise):
Transjamaican Highway Limited (TJH), for the year ended December 31, 2021, reported a 16% increase in revenue to US$52.76 million relative to US$45.38 million in the corresponding period last year. Revenue for the fourth quarter amounted to US$15.29 million (2020: US$12.75 million), a 20% increase. TJH noted that, “The relaxation of the measures implemented during the quarter, to combat the spread of the COVID-19 virus has contributed to this increase.”
Other gains amounted to US$3.14 million relative to other gains of US$1.64 million for the comparable period in 2020. Whereas, for the quarter other gains totalled US$1.56 million relative to other gains of US$726,000 in 2020. The Company highlighted that, this was“ mainly due to increased interest earned on the investment of the Restricted Cash and foreign exchange gains realized on the revaluation of the 8.0% (JMD) Cumulative Redeemable Preference Shares.”
Operating expenses totalled US$34.06 million versus the US$31.03 million in the comparable period last year, a 10% increase year over year. Whereas operating expenses for the fourth quarter rose by 120% to US$9.06 million (2020: US$4.05 million). The Company noted, “This increase was primarily due to a cumulative adjustment to the amortization of intangibles for the year 2020 which was made during the 4th quarter of that year, thereby reducing the charge in that quarter. This was offset by an increase the Operator’s fee for the quarter.”
Administrative expense decreased 10% to US$1.21 million (2020: US$1.35 million). For the fourth quarter, there was a 4% decrease in administrative expenses to total US$438,000 (2020: US$454,000).
Finance cost amounted to US$15.28 million (2020: US$17.12 million). Finance cost for the fourth quarter equalled US$3.78 million when compared to US$3.80 million for the corresponding quarter last year. TJH noted that “This 11% decrease was due the savings realized from the debt restructuring which saw our existing loans being repaid and the Secured Notes being issued at a lower rate of interest during the first quarter of last year.”
Net Profit before taxation closed at US$5.34 million versus loss before taxation of US$2.48 million as at December 2020. TJH reported profit before tax of US$3.57 million versus a profit before tax of US$5.17 million for the fourth quarter of 2020.
The Company reported a taxation charge of US$1.35 million (2020: taxation credit of US$613,000) resulting in a net profit of US$3.99 million, relative to a loss of US$1.87 million booked for the corresponding period last year. Net profit for the quarter amounted to US$2.22 million relative to a profit of the US$1.21 million in 2020.
Consequently, earnings per share (EPS) amounted to 0.018 cent for the quarter relative to an EPS of US0.010 cent last year. For the year ended December 31, 2021, EPS amounted to US0.032 cent relative to an LPS of US0.015 cent booked in the corresponding period last year. The number of shares used in this calculation was 12,501,000,000 shares. TJH traded on February 11, 2022 at J$1.23 with a corresponding P/E ratio of 24.83 times while TJHUSD closed at US$0.0083.
Balance Sheet at a Glance:
As at December 31, 2021, total assets closed at US$309.24 million relative to US$320.48 million the prior year, a 4% decrease. This decrease was attributable to a 5% decline in ‘Intangible Asset’ which totalled US$225.77 million (2020: $238.06 million).
Shareholders’ equity totalled US$54.13 million (2020: US$57.04 million) resulting in a book value of US$0.0043 (2020: US$0.0045).
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