Improved Revenues Aid in Shrinking Losses at PBS

• Despite robust revenue growth, Productive Business Solutions Ltd experienced a loss attributable to shareholders of US$726K for the 6-months ending June 2021 (loss of $1.14Mn H1 2020). 
• Revenue grew by 40.9% (29.89Mn) and other income improved by 32.2% YoY due strong performance of its information technology business. The receding impact of COVID-19 in the first half also positively impacted earnings. There was also a sharp recovery in print volumes, though they remain 7.0% below pre-COVID levels. 
• The earnings were also supported by a 20.3% (US$892K) decline in finance costs and a 7.3% (US$2.11Mn) reduction in selling, admin and general expenses. 
• Despite these favourable developments, direct expenses and taxation rose by 79.5% (US$32.19Mn) and 42.9% (US$347K), respectively and were the main reasons for the net loss.
• PBS’s stock price has appreciated by 4.6% since the start of the year and closed Thursday’s trading session at a price of $0.78 per share. At this price, the stock trades at a P/E ratio of 1.6x earnings, which is below the USD Stock Market average of 8.5x.

(Source: PBS Financials)