Dolphin Cove Limited more than tripled its net profit for the three months to September 30, 2011 when compared to the corresponding period last year.

The $49 million in net profit it posted for the period under review reflected a 254 per cent improvement to the bottom line in the prior year largely due to the tax concession, which made the company (as a result of listing on the Jamaican Stock Exchange (JSE) Junior Market last year) avoid a 33 1/3 per cent tax charge, and reversal of the loss position to profitability of its year-old Hanover operations.

The Hanover park, which was opened in August 2010, returned $13.3 million in pre-tax profit for the three-month period ending September 30, 2011 compared to a loss of $6.3 million in the prior year.

The loss at the Hanover park last year was attributed to growing pains associated with its start-up, but since the fourth quarter of 2010, when it incurred a loss of approximately $10 million, it has reported regular monthly profits. What’s more, Dolphin Cove’s directors, in a report to shareholders accompanying the financial statements, said that “the major portion of hotel guests between Negril and Western Montego Bay (were) now being sent to our Hanover park”.

On the other hand, the more mature Ocho Rios park in St Ann, saw its revenue decline year on year by 14 per cent to $183 million during the review period, while its pre-tax profit was flat at $43.5 million.

The directors said the performance of Ocho Rios was “acceptable” given that tourists were being diverted to Hanover and that the Falmouth port, which opened in March 2011, was “only now getting into stride”.

The St Ann-based operations is expected to benefit from a rise in cruise ship arrivals in Ocho Rios in the 2011/2012 tourist season, given that Norwegian Cruise Lines, which has not visited Jamaica for several years, is projecting 38 calls to Jamaica. They started with two calls into Ocho Rios on October 19, 2011.

Overall, Dolphin Cove increased its gross revenue by 21.7 per cent to $279.1 million while cutting direct expenses by 2.6 per cent to $38.2 million. Even though operating expenses rose 21.9 per cent to $186.3 million, reflecting additional costs associated with the expansion to Hanover, profit before tax rose from $23.2 million during the end-September quarter of 2010 to $49 million in the review period. The 49.3 million tax charge in the year prior brought down the bottom line to $13.9 million but there was no tax charge this year.

The directors of the company said the more diversity is being added to the marine parks, with an aviary scheduled to be completed at Ocho Rios this month, while additional features are planned for both parks.