Elite Diagnostic Lamenting Effects Of Growing Pains On Company’s Financial Performance
The Directors of Elite Diagnostic Limited are lamenting the effects of growing pains on the company’s financial performance, in their most recent unaudited financial statements for the third quarter and nine months to March 31st 2018.
This as net profit after tax for the third quarter amounted to JA$6.7 million, declining by 64% from JA$18.9 Million, with year to date profit after tax lower at JA$18.6 million from 32.9 million, due primarily to increased administrative costs related to the opening of the Liguanea location in November 2017.
Revenues in the third quarter, as a result of the increased services demand and the opening of the new location, increased by 20% to JA$78.2 million when compared to the JA$65.2 Million for 2017.
Managing Director Warren Chung in his report to shareholders indicated that their continued investment in state of the art diagnostic equipment has resulted in property, plant and equipment increasing by 144%, from JA$177.5 million to JA$434.26 million, and he expects that the company will experience revenue growth as a result of these investments.
He pointed to revenue, for the new Liguanea location, of JA$6.9 million for the third quarter, compared to JA$2.5 million for the second quarter, as demonstration of this.
A 3T MRI that was scheduled to be operational in late April was delayed until May and is expected to add significant revenue once operational. The company also recently purchased another MRI system, with plans to expand services outside of Kingston he reported.
Elite Diagnostic Limited closed the nine-month period with lower net profits after tax of JA$18.6 Million down from JA$33Million and earnings per share of 6 cents down from 11 cents.BM
To view Elite Diagnostic Limited Unaudited Financial Statements for the Third Quarter Ended March 31, 2018 click HERE