Pulse received $1.3b in sponsorship in '08

Published: Wednesday September 10, 2008

Pulse Investments Limited received well clear of $1.3 billion in sponsorship during its financial year that ended June 30, 2008. But that was nearly all of the company's revenue during the year.

Other revenue sreams that derived from model agency income, sublet of leasehold properties and ticket sales totalled a mere $37 million, marginally higher than the $36 million it earned the year before.

The company, which was restructured and relisted on the Jamaica Stock Exchange (JSE) in 2006 by its main principal shareholder Kingsley Cooper, saw declines in income from model agency and ticket sales, but saw sublet income go up over the year.

The audited results for the financial year that was submitted to the JSE this week, did not, however, give a breakdown of the $921 million in expenses, which allowed the company enough breathing room to post a profit of $430 million, up from $266 million the year before.

Pulse improved its cash position from just under $2 million at the end of June 2007 to $61 million as at June 30, 2008.

A big part of the increase, however, was associated with the success of the firm's rights issue in May this year, which netted the company $120 million.

But most of the company's capital base, which stood at $1.48 billion, reflected advertising entitlement and unexpired sponsorship in kind, which combined made up 91 per cent of current assets and 61 per cent of total assets, or $953 million at the end of June 2008.

Market capitalisation of the stock on the exchange was $1.52 billion at the end of trading yesterday when the share price stood at $5.60, which was considerably higher than where it started the year - $2.60 - although lower than its 52-week peak of $8 a share.


Source: Jamaica Observer
http://www.jamaicaobserver.com/magazines/Business/html/20080909T230000-0500_139989_OBS_PULSE_RECEIVED_____B_IN_SPONSORSHIP_IN____.asp