Meikles Limited Group Executive Chairman John Moxon in the Abridged Unaudited results for the six months ended 30 September 2018 says the trend of greatly increased profit earned in the first six months of the current financial year has continued into the first period of the second six months.
The Group’s profit after tax from continuing operations grew by 467% to US$15.3 million from US$2.7 million achieved the previous year.
“Profit after tax for the six month’s period ended 30 September 2018 had surpassed the result for the full financial year ended 31 March 2018 of US$7.7 million by 99%,” Moxon says.
Meikles Limited owns businesses in supermarkets, hotels, departmental stores, wholesalers and agriculture.
Meikles’ supermarkets known as TM Supermarkets trading as TM PnP profit after tax grew by 107% to US$6.7 million in the previous year.
The Group’s agriculture business Tanganda profit after tax grew to US$5.6 million from US$0.6 million in the previous year according to Moxon.
On hotels, the Meikles Executive Chairman says “Profit after tax for the six month’s period was US$1.4 million, a growth of 175% above the previous year.”
“Group revenue for the half year ended 30 September 2018 grew by 30% to US$330.8 million from US$254.0 million in the comparable period.”
Meikles, however, closed the Meikles Mega Market operations during the period under review due to working capital constraints in the departmental stores.
“EBITDA (Earnings before interest, tax, depreciation, and amortization) for the period was a loss of US$1.2 million compared with a loss of US$1.8 million in the previous year,” Moxon says. “Funding arrangements for working capital requirements are being secured and new store models are being developed.”
EBITDA is a measure of a company’s operating performance.