Knutsford Express Services Limited (KEX) says it was decided that there will be no recommendation to shareholders to consider and vote for the payment of a dividend at the 2020 Annual General Meeting, following its Board of Directors’ meeting held on September 10.
The company, which posted its audited year-end results this week, saw significant decline in net profit alongside revenue decline at year-end May 31, 2020 to $1.02 billion, down from $ 1.15 billion in inflows in 2019.
Administrative and general expenses climbed to $974 million, up from $936 million in 2019.
Net profit for the year was $33.56 million compared to $ 188.47 million in 2019.
Earnings per share for profit attributable to the shareholders of the company during the year came out at $0.07 compared to $0.38 in 2019.
In its comments on the COVID-19 impact, company directors said the measures taken by various governments to contain the virus have affected global economic activity and that Jamaica has not been spared the effects of the pandemic.
They said, “The Group has taken several measures to protect customers and employees in coaches and offices against the COVID-19 virus. At this stage, the impact of the pandemic has been a decrease in ridership and courier activity which has resulted in a loss for the first quarter ended August 31, 2020.
“While various government measures and restrictions to control the pandemic persist, the Group’s operations are expected to be affected negatively. The Group is, however, unable at this time to determine the full financial impact on its future profitability, cash flows and financial position.”
The company has been cutting expenses since relocating its headquarters from Kingston to St Ann at the start of the year.
Knutsford Express retains its registered office located at 10 Harbour Circle, Montego Bay, St James.