August 17, 2023
Tropical Battery Company Limited (TROPICAL) for the nine months ended June 30, 2023 reported a 9% increase in Revenue totaling $2.13 billion compared to $1.96 billion in the corresponding period last year. Revenue for the third quarter had a 18% increase to close at $782.84 million compared to $661.84 million for the comparable quarter of 2022.
Cost of Sales amounted to $1.47 billion (2022: $1.36 billion), this represents an increase of 8% year over year. Consequently, gross profit increased by 12% to $666.95 million compared to $595.58 million for the nine months ended June 30, 2022. The company booked gross profit of $228.66 million for the third quarter versus $207.55 million reported for the similar quarter of 2022.
Administrative, marketing and selling expenses increased by 23% to close at $471.64 million (2022: $383.63 million), while Operating Profit decreased by 8% from $211.95 million in 2022 to $195.32 million in the period under review. As a result, other operating income for the nine months ended June 30, 2023 amounted to $17.24 million, a 70% increase relative to $10.17 million reported in 2022.
Profit before depreciation, net finance costs and taxation for the nine months ended June 30, 2023, amounted to $212.55 million, a 4% decrease relative to $222.12 million reported in 2022. Profit before depreciation, net finance costs and taxation for the third quarter amounted to $68.43 million (2022: $78.97 million). Depreciation totalled $49.59 million, an 8% increase from the corresponding period last year (2022: $45.76 million).
Net finance Cost for the nine months ended June 30, 2023, amounted to $30.20 million, a 4% increase relative to $31.31 million reported in 2022. Net finance Cost for the third quarter amounted to $12.01 million (2022: $11.19 million).
No taxes were incurred for the nine months ended June 30, 2023 (2022: $799,742) . Net Income for the nine months amounted to $132.76 million, an 8% decrease from the $144.24 million reported in 2022. For the third quarter, Net Income was $38.83 million (2022: $53.85 million).
Consequently, Earnings Per Share for the nine months amounted to $0.10 (2022: EPS: $0.11), while Earnings Per Share for the quarter totaled $0.03 (2022: EPS: $0.04). The twelve month trailing EPS was $0.14 and the number of shares used in these calculations was 1,303,750,000.
Notably, Tropical’s stock price closed the trading period on August 16, 2023 at a price of $2.05 with a corresponding P/E ratio of 14.36x.
Balance Sheet Highlights
The company’s assets totalled $2.61 billion (2022: $1.92 billion). “Inventories’ closed at $1.09 billion (2022: $787.76 million).
Shareholder’s equity was $1.11 billion (2022: $944.12 million), representing a book value per share of $0.85 (2022: $0.73).
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