2021/2022 year-end shareholder loss amounted to J$260.67 million

Durrant Pate/Contributor

Jamaica’s lone cinema company, Palace Amusement, has seen a big surge in year-end revenues but it remains in the red.

For the year ended June 30, 2022, Palace Amusement reported total revenues of J$649.04 million, representing a whopping 514 per cent increase when compared with the J$105.77 million recorded for the corresponding period in 2021. The total revenue for the fourth quarter increased even more by an astounding 2,456 per cent to total J$275.40 million relative to the J$10.77 million recorded for the same period in 2021.

Direct expenses for the year amounted to J$706.27 million a 107 per cent increase when compared with J$341.79 million recorded for the same period in 2021. As such, gross loss for the period amounted to J$57.23 million, relative to a loss of J$236.02 million booked in 2021.

For the June quarter, Palace Amusement recorded a gross profit of J$45.53 million, relative a gross loss of J$50.81 million for the corresponding quarter of 2021. Notably, the company booked operating income of $9.42 million, versus $6.69 million recorded for the prior year.

Admin expenses up 54%

Administrative expenses increased by 54 per cent to total J$174.49 million when compared with the J$113.10 million recorded for the comparable period in the prior year. Consequently, operating loss for the period amounted to J$222.30 million, relative to an operating loss of J$342.43 million in the corresponding period of 2021.

For the quarter, operating profit totalled J$15.05 million relative to an operating loss of J$98.73 million booked in 2021. For the period, finance cost increased significantly to J$45.32 million relative to the J$15.90 million recorded in 2021, resulting in loss before tax of J$267.62 million, versus a loss of J$358.32 million booked in 2021.

Losses shaved by $123 million

Tax credit for the period was J$6.94 million (2021: tax charge of J$24.68 million). As a result, net loss amounted to J$260.68 million, relative to a net loss of J$383 million recorded in 2021. For the quarter, net profit amounted to J$8.05 million, relative to a net loss of J$128.28 million recorded for the same quarter in 2021.

Total comprehensive loss for the year amounted to J$252.14 million compared to an income of J$240.89 million for the corresponding period in 2021. While for the quarter, comprehensive income amounted to J$10 million (2021: J$493.25 million).

Consequently, net loss attributable to shareholders for the year amounted to J$260.67 million, versus an attributable loss of J$382.94 million documented for 2021.

Loss per share (LPS) for the year ended totaled J$181.40 (2021: LPS J$266.48). As at June 30, 2022, the company reported total assets of J$1.77 billion, a 14 per cent increase when compared to J$1.56 billion in the prior year.

This increase in assets was primary due to ‘Short-term deposits’ which closed at J$215.41 million (2021: nil). Shareholders’ Equity as at June 30, 2022 was J$383.31 million compared to J$636 million for the prior year.

This resulted in a book value per share of J$275.35 compared to J$442.58 booked a year ago.