Advertising and production agency Limners and Bards, operating under the name The Lab, saw its year-end profit increase 22 percent, with revenue reaching the $1 billion mark.
Total revenue for the year ended October 31, 2021, was $1.2 billion, up from $911 million in the previous year.
The revenue increase was driven by growth in media publishing and production.
For the year ended October 31, 2021, The Lab reported net profit of $155.5 million, up from $127 million in the comparable year. This includes a loss of $6.1 million recorded by Scope Caribbean.
This loss is mainly due to start-up costs related to the incorporation of Scope in May 2021. The subsidiary was set up to benefit from influencer marketing.
In addition, there is a $2 million tax deferred due to the loss incurred by Scoop, the lab noted.
The Lab, led by CEO Kimala Bennett, operates as three distinct business units: Production Agency, Advertising and Media.
The group’s administrative expenses increased by $63.8 million, or 36 percent, over the previous year. These increases are primarily attributable to scale start-up costs and staff costs.
Meanwhile, the plant’s balance sheet shows total assets increased by $122.5 million, or 23 percent, over last year. Non-current assets increased by $46.2 million due to new leasehold property on Constant Springs Road.
Current assets increased by $83.8 million, primarily due to increases in receivables ($63.8 million) and cash and investment balances ($34.8 million).
The company said the increase in accounts receivable was mainly due to revenue growth.
“We have implemented strict control and controls over receivables,” the company said.