Express Catering implements price increases, portion control and other cost saving measures

 



Express Catering Limited (ECL) for the third quarter ending February 28, 2025, reported total passengers accessing the post security departure lounge of the Sangster International Airport during the third quarter of 652,656.

This generated revenue of US$7.43 million for a spend rate per passenger of US11.38. For the similar quarter in the prior year, 705,116 passengers accessed the departure lounge. Total revenue of US$7.04 million was earned at a spend rate per passenger of US$10.0.

Management noted that despite the decline in passenger totals, total revenue and spend rate improved as a result of the strategic measures that the company has been implementing over time.

Net profit earned for the quarter was US$1.77 million for an EPS of 0.108 US cents per share. This is compared to a net profit of US$1.06 million for an EPS of 0.065 US cents for the similar period in the prior year.

For the nine months to date, the passenger total was 1.80 million. This generated revenue of US$18.89 million for a spend per passenger rate of US$10.49.

The metrics for the similar nine months in the prior year were passenger total of 1.96 million passengers, revenue of US$18.67 million and spend rate of US$9.53

Net profit for the nine months was US$3.22 million for an EPS of 0.197 US cents. Net profit earned for the similar period in the prior year was US$2.09 million, for an EPS of 0.127 US Cents.

Dividend declared and paid for the fiscal year to date was just over US$1.00 million.

Management noted that of all the cost categories, Cost of Sales (COS) continues to be the best area of savings for the quarter and year to-date positions. This category registered just under seven percentage points improvement for the Quarter and just under five percentage points improvement for the nine months.

“ The improvement was a combination of price increases, better portion controls, as well as improved supply chain agreements. The team intends to build on the trend for the rest of the year,” Chairman Ian dear stated,

Savings were also recorded in salaries and wages, in line with the previously stated intention to better utilize this resource. There was also a shift in cost allocation from property rental expenses to lease amortization, in line with the increase in Lease obligation under IFRS 16 rules.

Dear concluded, “The winter season is now ending but the outlook is for an excellent summer season.”

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