JAM | Apr 20, 2023

Strong growth in revenues at Knutsford Express

/ Our Today

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Knutsford Express

Nine-month net profit of J$211.39 million

Durrant Pate/ Contributor

Jamaican ground transport operator, Knutsford Express Services has seen strong growth in revenues for the combined three quarters, ended February 28, 2023.

Total revenues ended the nine-month period at J$1.28 billion, a 65 per cent increase over the J$774.41 million made during the corresponding period in 2022. For the third quarter, revenues amounted to J$467.87 million, a 55 per cent jump over the J$301.19 million booked in 2022. 

The management attributes the increase to significant improvements in visitor travel onboard Knutsford Express’ coach services. According to the management, “our visitors find a convenient, reliable and safe mode of transportation in the Knutsford Express service to travel across and around the island upon arrival. In addition, residents are increasingly finding our cost-effective services for passengers and packages”.

The management notes, “our real estate Investment at Knutsford Express Drax Hall Business Centre has contributed to the growth of our total assets which grew 23.7 per cent.”

Behind the success of the Jamaican coach company is father and son duo Oliver Townsend (CEO) and Gordon Townsend. Photo taken in October 2013 in Mandeville, Manchester. (Photo: Facebook @KnutsfordExpress1)

Administrative and general expenses for the period rose by 41 per cent to total J$1.00 billion (2022: J$709.11 million). Consequently, gross profit for the review period amounted to J$277.97 million versus J$65.30 million last year. 

Profitability improving

Profit before taxation for the combined three quarters amounted to J$235.44 million relative to a profit before taxation of J$52.25 million reported in 2022. Taxation charge amounted to J$24.06 million (2022: nil). 

Consequently, net profit for the nine-month period closed on J$211.39 million relative to J$45.39 million a year ago. Net profit for the February quarter closed at J$68.28 million compared to J$38.82 million booked in 2022.

Total comprehensive income amounted to J$211.39 million for the period under review (2022: profit of $52.00 million), while for the third quarter, total comprehensive income closed at J$68.28 million (2022: profit of J$38.79 million).

Net profit for the nine-month period closed at J$211.39 million relative to J$45.39 million a year ago. Net profit for the February quarter closed at J$68.28 million compared to J$38.82 million booked in 2022.

As such, earnings per share (EPS) for the nine months ended amounted to J$0.42, relative to an EPS of  J$0.09 reported for the corresponding period. 

Knutsford Express traded last week at a price of J$11.72 with a corresponding P/E of 21.18 times.

Balance sheet at a glance

As February 28, 2023, total assets totaled J$1.63 billion, which is J$312.57 million more than the J$1.32 billion recorded last year. The increase in total assets was largely due to an increase in ‘Short term Investments’ which rose by J$186.13 million to total J$274.67 million (2022: J$88.53 million).

‘Investment Property’ also contributed to the rise in the total asset base by closing at J$492.05 million (2022: J$110.45 million). Shareholder’s equity closed at J$962.49 million (2022: J$717.79 million). 

As such, the book value per share was J$1.92 (2022: J$1.44).


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