Durrant Pate/Contributor

University of the West Indies (UWI) Mona campus accommodations provider, 138 Student Living (SL), and the campus administration are to conclude their renegotiation of the Concession Agreements (specifically related to Irvine Hall) by the end of September.

UWI Chairman Ian Parsard reports that the renegotiation of the Concession Agreements is at an advanced stage. These items include lower income recognition for the Irvine Hall variation claim, related lower interest on The UWI receivables, and higher electricity charges. 

Additionally, higher costs were recorded for general insurance, internet service, and other utilities. Parsard admitted that 138SL’s financial performance for the third quarter and year-to-date has been “negatively impacted by fundamental changes emanating from the ongoing negotiations with UWI Mona. Once these agreements are concluded, 138SL and The UWI will both benefit from operating with better clarity after the reset of the Concession Agreement”. 

However, the outlook for 138SL to a return to near full occupancy in the current fourth quarter, 2025, along with an increase in short-term business and revenue from other sources. Given the strong demand for quality and safe student 138SL anticipates that this positive trend will persist and 138SL will continue to deliver profitable results.

Below par performance

Revenue for the third quarter amounted to $277.9 million, while net profit stood at $48.1 million. Profit from operations for the June quarter amounted to $105.5 million, representing a 47% decline from $198.3 million recorded in the corresponding quarter in the prior year. This performance was impacted by items emerging from ongoing discussions with The UWI. 

These outcomes, Parsard declared, ”were all below the corresponding periods in 2024. The core activity of the business continues to be buoyant with strong occupancy levels for the year-to-date. Average occupancy for the quarter June 30, 2025, was 80% compared to 74% recorded in the prior year’s corresponding quarter, reflecting the continued trend in our return to normalcy in occupancy rates.”

The year-to-date performance saw revenue totalling $1.1 billion with net profit closing at $207.6 million. The nine-month performance was similarly impacted, with profit from operations reflecting a 22% decline to $447.7 million from $575.1 million. 

After accounting for finance costs, profit before taxation for the quarter declined to $31.9 million, a 73% contraction from $119.2 million recorded in the previous year, while net profit of $48.1 million was 55% below the comparative quarter. 

More financial highlights

Earnings per share (EPS) unit for the quarter stood at $0.09, compared to $0.20 in the corresponding period of 2024. For the nine months ended June 30, 2025, the EPS unit stood at $0.39, compared to $0.59 for the corresponding year-to-date period ended June 30, 2024.

Total assets amounted to $10.5 billion, reflecting a modest increase from $10.4 billion as at September 30, 2024. Non-current assets represented approximately 88% ($9.2 billion) of total assets, while current assets accounted for 12%. In the prior year, non-current and current assets constituted 88% and 12%, respectively, of total assets. 

Current liabilities stood at $1.3 billion as of June 30, 2025, reflecting an increase of $224.9 million (20%) from $1.0 billion at the end of the 2024 financial year. The change was primarily due to increases in land leases and utility charges due to The UWI.