Solomon Sharpe Chief Executive Officer at Main Event Entertainment Group has released the following report to shareholders for The Nine Months Ending July 31, 2025.
Despite the year-to-date lag in the core business, the company generated revenues of $623.142 million for the third quarter of 2025. This increase of $192.078 million or 44% shows a positive shift compared to the third quarter of 2024. Revenues earned from a proprietary event were a significant contributing factor to the quarter’s top line performance. We are encouraged by the results realized and intend to continue to fine tune and improve this product in the coming quarters.
Year-to-date revenue total $1 , 523.537 million, representing a 7% improvement from the prior year-to-date total of $1 ,426.391 million. The company has realized modest growth in revenues from M-Style Décor and Multimedia services year over year. However, revenues earned from our core business of Entertainment and Promotions remain below prior year levels.
Financial Performance
- Revenues for Q3 2025 reached $632.142 million, a 44% increase from Q3 2024.
- Year-to-date revenues totaled $1.523 billion, up 7% from $1.426 billion in the previous year.
- Gross profit for Q3 increased by 30% to $267.608 million, with a year-to-date gross profit of $735.093 million.
- Net profit for Q3 was $47.134 million, down 64% year-over-year, with a year-to-date net profit of $111.464 million, a 25% decrease.
- Earnings per share (EPS) for Q3 was 16 cents, a 60% increase from 10 cents in Q3 2024.
Operating Expenses
- Total operating expenses rose by 11% to $623.284 million, driven by a 15% increase in administrative expenses.
- Depreciation expense decreased by $13.323 million to $75.849 million year-to-date.
- Finance costs were slightly higher at $9.036 million, with a reduction in taxation charges by $2.895 million.
Gross profit for the quarter saw a 30% increase, growing from $205.678 million to $267.608 million. For the nine-month period, a 2% or $15.530 million increase has been realized. The company’s gross profit margin year-to-date went from the 50% reported in the prior year to 48%. This decline is largely attributable to strategic investments made to successfully execute our proprietary events. We anticipate improvement and recovery in margins with future executions, as we will continue to develop on these initiatives, with keen focus on identifying and maximizing efficiencies.
The operating and net profits have shown marked growth for the third quarter, improving by $20.908 million or 59% and $18.383 million or 64% respectively. On a year-to-date basis, there is a contraction in profits year over year. Operating profits of $135.524 million show a 23% decline from $175.672 million for same period in 2024. Net profits have similarly decreased by $37.557 million or 25%, moving from $149.021 million to $111.464 million at the end of this third quarter. Total operating expenses have increased by $61.990 million or 11% to $623.284 million from $561.294 million. A $64.108 million or 15% increase in administrative and general expenses; and a $9,737 million or 43% increase in amortization charges account for this rise in operating costs.
Balance Sheet
- Total assets increased to $1.319 billion from $1.250 billion year-over-year.
- Current assets rose to $897.318 million, with significant increases in receivables and cash equivalents.
- Shareholder’s equity grew to $993.963 million, up from $961.429 million in July 2024.
- Current liabilities increased to $315.073 million, reflecting higher trade payables and finance lease obligations.
The year-to-date depreciation expense of $75.849 million is $13.323 million below the $89.222 million reported for the prior period. Finance costs remain only marginally higher than 2024, at $9.036 million; and taxation charge for the current year-to-date shows a reduction of $2.895 million.
On the Balance Sheet, total assets as at July 31, 2025 amount to $1 , 318.851 million, up from $1 , 250.277 million as at July 31, 2024. Total non-current assets show a slight decline year over year, from $428.123 million to $421.533 million. Current assets increased from $822.154 million to $897.318 million over the same period. This results from increases of over $59 million in receivables, and over $11 million in cash and cash equivalents. As at July 31, 2025, cash and bank balances amounted to $130.181 million, and short-term deposits stood at $257.373 million.
Current liabilities increased by $49.690 million in the period, from $265.383 million to $315.073 million as at July 31 , 2025. The movement reflects increased trade payables and higher finance lease obligations, offset by reductions in debt. Non-current liabilities consist solely of lease obligations totalling $9.815 million as at July 31, 2025; and the Company is scheduled to fully settle the remaining $21 million in debt within the next nine months.
Shareholders’ equity has closed this quarter at $993.963 million, up from $961.429 million in July 2024. Retained earnings has seen a 4% growth, moving from $857.777 million to $890.311 million.
Strategic Outlook
- The company aims to improve operational efficiencies and drive growth in the final quarter of the financial year.
- Continued focus on proprietary events is expected to enhance revenue and profit margins in the coming quarters.
- The management expresses gratitude to shareholders, customers, and employees for their support and commitment.
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