Durrant Pate/ Contributor

Jamaican listed but St Lucian-registered investment company, Portland JSX Limited (PJX), has seen its profitability plummet into the red for the half-year period ended August 31, 2023.

Having made a small profit of US$376,681 for the half-year ended August 2022, PJX found the going tough this year, chalking up net losses for the August 2023 half year of a massive 2,413 per cent to reach negative US$8.71 million. For the second quarter, net loss reported was US$1.46 million, compared to US$416,643 for the corresponding period in 2022.

Consequently, the Loss Per Share (LPS) for the six months amounted to US$2.81 compared to an earning per share of US$0.12, while the LPS for the August 2023 quarter closed on US$ 0.47 (2022: LPS US$0.13). The 12-month trailing LPS was US$3.2 cents.

Losses continue to mount

Net loss of 1003 per cent was reported on financial assets classified as at fair value, closing the half-year at negative US$8.32 million compared to gains of US$920,949 in the corresponding period last year. Net loss on financial assets classified as at fair value for the second quarter of 2023 went down by 696 per cent negative US$1.30 million, compared to US$163,513 for the comparable quarter of 2022.

Interest from loans and receivables amounted to US$93,663 (2022: US$57,446), this represents an increase of 63 per cent year over year. Dividend income decreased by 50 per cent to US$63,889 compared to US$127,778 for the six months ended August 31, 2022.

The company booked dividend income of nil compared to US$63,889 in 2022. Foreign exchange gain amounted US$12,852 compared to foreign exchange losses of US$137,121. Net interest income decreased by 941 per cent from US$969,052 in 2022 to a loss of US$8.15 million in the period under review. Operating expenses for the six months ended August 31, 2023 amounted to US$182,674, a 44 per cent decline relative to US$326,469 reported in 2022.

Operating profit eroded

PJX reported an impairment loss year to date of US$159,294 compared to nil for the corresponding period last year. Operating loss for the six months amounted to US$8.49 million, relative to operating profit of US$642,583 reported in 2022.

Operating loss for the second quarter amounted to US$1.38 million (2022: US$276,732). Notably, PJX’s stock price closed the trading last week at a price of J$10.83.

PJX’s assets totalled US$26.50 million for the review down from US$41.85 million recorded a year ago. The decline in total assets was particularly due to ‘Securities purchased under resale agreements’ falling 93 per cent to close at US$694,542.

Financial investment at fair value declined 15 per cent from US$26.44 million to US$22.36 million, while financial investment at fair value through other comprehensive income fell 100% from US$5.00 million. Shareholder’s equity was US$22.56 million (2022: US$32.61 million), representing a book value per share of US$7.28 (2022: US$10.52 cents).