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Palace Multiplex in Montego Bay, Jamaica, is one of the cinemas operating under the management of Palace Amusement. (File photo)

Palace Amusement reports loss after mothballing two cinemas

Palace Multiplex in Montego Bay, Jamaica, is one of the cinemas operating under the management of Palace Amusement. (File photo)

Palace Amusement Limited posted revenues of J$919.8 million, for the year ended June 30, 2020, a downturn from $1.11 billion for the comparable 2019 period.

Palace Amusement reported losses of almost J$100 million.

The audited report comes after it announced the closure of two cinemas in the second quarter of 2020.

Up to June, the Palace saw net losses of $99.6 million, compared to net profit of $70.3 million at year end June 30, 2019.

In September, Palace shuttered Palace Cineplex and Palace Multiplex effective, citing impact of the COVID-19 pandemic and the continued restrictions placed on operations in the entertainment industry.

Inside Palace’s Sunshine Cineplex in Portmore, St Catherine. (Photo: Palace Amusement)

For the audited year, direct expenses were $800 million, while administration costs were $174.4 million. This compared $900 million in direct expenses in 2019 and administrative expenses of $186.7 million.

Loss per share was $69.48 per unit compared to earnings of $57.36 EPS for the 2019.

In its first quarter report directors said that despite their efforts to minimise overheads it was best to close the cinemas as there were s costs that are unavoidable whether or not the cinemas are operating.

In September, the company gave notice of its receipt of approval for a drive-through cinema in Kingston.

The company ended the year at June 2020 with cash and cash equivalents of $99.6 million, compared to $146.78 million at June 2019.