BAS income soars in spite of ‘inhospitable economy’

Bermuda Aviation Services Limited posted a comprehensive income of $1.27m for the six months ending September 30. 

This represented a 60 per cent improvement from year-on-year.

Alan Cook, group president and CEO said in a letter to shareholders: “At this stage, no one will require reminding of the state of the local economy. It is more inhospitable than it was one year ago. In an adverse economic climate, our response has been to increase sales. 

“Revenues have improved by $8 million over the prior year, bolstered by the addition of our newer subsidiaries, Eff-Tech and BESCO. However, the most notable revenue increase was made by CCS. CCS continues to raise the bar in one of the most challenging environments. Consequently, Gross Profit increased by nearly $2 Million and Income from Continuing Operations improved by 62 per cent.”

He said there has been a moderate growth in total assets - nearly $4 Million. While the cash position has decreased from last year, the receivables have grown by over $7 Million. 

Mr Cook said: “We are encouraged by the growth in receivables as our customers continue to utilize our services. 

“However, we are mindful that they must be monitored to reduce any potential exposure. We have managed to keep our liabilities in check. The only notable liability increase relates to Deferred Revenue. This is indicative of the increased pipeline of work that we have managed to generate over the prior period.

“The strength of BAS rests in its diverse, but synergistic, group of companies. This diversity has served to offset the exposures that some of our subsidiaries face.”

He added BAS anticipates that the remainder of the fiscal year will continue to be affected by a sluggish economy. 

“We continue to be guardedly optimistic that some exciting opportunities will be generated for BAS by utilizing the synergistic services base and skillsets offered by the BAS Group of Companies.”