Bermuda Aviation Services Reports Earnings
In a filing with the Bermuda Stock Exchange, Bermuda Aviation Services Limited reported earnings to March 31, 2021.
The filing stated: “Bermuda Aviation Services Limited [the Company] and its subsidiaries [the Group] report a total comprehensive loss of $1.1 million for the year ended March 31, 2021, compared to a comprehensive loss of $1.9 million in the prior year. The main contributors to the comprehensive loss are impairment loss on goodwill and the impairment of non-financial assets.
“In July 2020, the Company sold 100% of its ownership in CCS as part of its strategic decision to focus on the Company’s core businesses of Facilities Management and Automotive Services.
“Revenues from continuing operations were $12.5 million for the year, which is a decrease of $3.0 million over prior year. Total cost of revenue was $4.6 million, a decrease of $1.9 million; resulting in a gross margin of $7.9 million compared to $9.0 million in the prior year.
“The Company has now reduced its bank loan by $3.0 million, which included a one-time payment of $2.25 million during the year from the proceeds of the CCS sale and an additional $0.4 million of interest in the year. This has strengthened the Company’s consolidated statement of financial position and reduced longer term cost of interest payments.
“Total operating expenses from continuing operations decreased by $1.8 million year over year. Management’s efforts to reduce operating expenses have been realised through all expense categories.
“Total operating income for the Group is $1.5 million for the current year compared to prior year, which was $0.9 million. The Group has been focusing on new revenue opportunities while realising operating efficiencies through improvements in internal processes and margin management.
“The Company did not declare or pay dividends during the fiscal year ended March 31, 2021 as the Board of Directors continues to consider it prudent to suspend dividend payments while the Company executes its strategic plan and strengthens the financial position of the Group, including the significant reduction in borrowing.
“The outbreak of Covid-19 has heightened the cleaning standards and sanitisation requirements for commercial office spaces. Clients have made additional requests to clean and disinfect all commonly-used areas, offices and facilities to mitigate risk in connection with the virus. As a result, BAS FM is experiencing new growth opportunities through BAS FM’s facilities management and cleaning services.
“Automotive services continue to make a positive contribution to the results of the Group despite the current economic climate.
“We take this opportunity to thank our employees for their commitment, hard work and dedication to the Group throughout the year and particularly these last several months with the uncertainty around the COVID-19 outbreak.
“The Company is continuing to closely monitor operations and remains change-agile as the needs of customers continue to evolve such that we are positioned to respond accordingly.”
