May 15, 2023

Figures are quoted in United States dollars (except where it is indicated otherwise):

Transjamaican Highway Limited (TJH), for the three months ended March 31, 2023, reported a 21% increase in revenue which totalled US$17.99 million, relative to US$14.88 million in the corresponding quarter last year.

Other loss amounted to US$140,000 for the quarter ended March 31, 2023 (gain 2022: US$11,000).

The growth is other gains was due to, “foreign exchange losses realized on the revaluation of the 8.0% (JMD) Cumulative Redeemable Preference Shares for the quarter and was offset by slightly higher interest earned from the investment of the Restricted Cash.”

For the three months ended March 31, 2023, operating expenses totalled US$5.49 million versus the US$9.75 million in the comparable quarter last year, a 44% decrease year over year. “This decrease was primarily due to cost savings realized further to the acquisition of the subsidiary which allowed for the modification of the fees thus reducing our cost to operate.”

This was partially offset by:

• Higher consultancy fees as we undertake an exercise to restructure our operations
• Higher marketing cost associate with promoting the usage of the My t-Tag App and also to encourage a greater usage of the Tags.
• Higher Insurance cost associated with the renewals of our coverage for the motorway
• Security and maintenance cost incurred for the Group.

Administrative expenses rose 493% to US$2.06 million (2022: US$347,000).

Profit before taxation closed at US$6.65 million versus a profit before taxation of US$1.15 million as at March 2022.

The Company reported taxation of US$1.67 million for the three months ended March 31, 2023 (2022: US$477,000). This resulted in a net profit of US$4.98 million, a 639% growth on the US$674,000 for the corresponding quarter last year.

Consequently, earnings per share (EPS) amounted to US0.040 cents for the quarter ended March 31, 2023 relative to US0.0054 cents last year. The twelve months trailing LPS amounted to US0.023 cents. The number of shares used in this calculation was 12,501,000,000 shares. TJH traded on May 12, 2023 at J$1.82 while TJHUSD closed at US$0.01.

Balance Sheet at a Glance:

As at March 31, 2023, total assets closed at US$291.76 million relative to US$307.99 million the prior year.  This decline was attributed to the 5% decrease in ‘Intangible asset’ which ended at US$208.67 million (2022: US$222.18 million). The movement was offset by a 50% increase in ‘Cash and bank balances’ amounting to US$11.94 million (2022: US$7.96 million).

Shareholders’ equity totalled US$44.97 million (2022: US$54.81 million) resulting in a book value of US$0.0036 (2022: US$0.0044).

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