Durrant Pate/ Contributor

University student accommodation provider, 138 Student Living (SL) has recorded consistent growth in its 2024 financial year with both revenues and net profit growing.

The company’s performance for the 12 months year-to-date is ahead of last year’s performance, generating net profit of $50.2 million for the quarter and $349.8 million for the full year. Net profit has consistently grown for the 12-month year-to-date period for the last four years.

Average occupancy for the year was 82% which was an improvement over last year’s 81%. 138 SL closed the year as at September 30, 2024 with an occupancy of 98%.

Revenues up 8% in Q4

For the September quarter revenues closed on $372 million, an increase of 8% compared to the $342 million recorded in 2023. The movement is derived from increased rates across all halls and other income. 

The company continues to experience a year-on-year increase in revenue with this trend expected to continue. For the quarter under review, other income contributed J$44.7 million and J$155.4 million for the financial year compared to J$28.4 and J$97.4 million for the corresponding periods, respectively. 

The increase is primarily driven by better utilization of laundry operations and a one-off sale of surplus equipment during the current quarter. Operating profit closed on J$136 million for the September quarter, a decline of 13% compared to J$155.5 million last year.

Higher expenses

The results were negatively impacted by increases in administrative expenses for general insurance, salaries, and internet services, the latter being required to enable enhanced WI-FI services for residents. 

Pre-tax was recorded at J$56.0 million for the last quarter compared to J$64.5 million in 2023. Earnings per stock unit (EPS) for the last quarter went down to $0.09 coming from $0.15 a year ago.

EPS for the year declined to $0.67 coming from $0.83 a year ago. 

Balance Sheet 

As at September 30, 2024, 138 SL’s total assets stood at J$10.5 billion, an increase from the prior year’s balance of $9.9 billion. This movement primarily originated from a revaluation of financial assets. 

Approximately 88% of the total assets or J$9.3 billion represents non-current assets, while the remaining 12% represents current assets. For the prior year, non-current and current assets represent 88% and 12% of total assets, respectively. 

Current liabilities stood at J$1.0 billion as at September 2024, a J$388.1 million or 27.6% decrease from the J$1.4 billion recorded at the end of the 2023 financial year. This was primarily driven by payment on long and short-term loan notes. 

Shareholders’ equity increased by J$1.4 billion to end the fourth quarter of 2024 at J$6.2 billion. This increase was primarily driven by the increase in retained earnings and increase in share capital.

Cash flow from operations totalled J$537.4 million, compared to J$600.2 million in September 2023, which is a 10.46% or J$62.8 million decline.