Pulse Investment Limited says that given the global downturn in the international modelling industry brought about by the impact of the novel coronavirus disease (COVID-19), they are expecting to lose about five per cent or some $60 million in earnings at the end of this financial year.

“Overall we anticipate no more than a five per cent reduction in revenues for the year ended June 30, 2020 and will do what we can to make up for this with our other business lines,” said executive chairman Kingsley Cooper in a telephone interview with the Jamaica Observer on Monday.

Cooper said that while they have decided to close Pulse Rooms and the Peter Tosh Museum in keeping with the precautions of the COVID-19 pandemic, most of the company’s other business lines remains stable.

The company recently offered rent-free concessions for the month of April to 46 tenants at their New Kingston and Stony Hill locations, urging other landlords who may be in a similar position to do so whilst also encouraging tenants who can afford to pay to do so.

“We are giving up April’s rent, so as to provide immediate relief to our tenants. That’s approximately $7 million for the month for our 46 tenants.

“Pulse is making this gesture in a spirit of “community” as Jamaica and the world battles the coronavirus. We believe it is important for Jamaicans to realise that we have to be united in facing this challenge, as it affects us all—helping each other, where we can, is also helping ourselves,” he stated.

PROSPECTS FOR GROWTH CONTINUES

The lifestyle, real estate, and media company which yielded a strong financial performance last year also noted that they were still in pursuit of the growth strategies that were recently announced at their last annual general meeting (AGM) held in February.

These included acquiring substantial stakes in Irie Jam 360 Media, a New York-based radio, TV, and Internet media group and also in an undisclosed cosmetic company.

“The other acquisitions are still being considered but our efforts are now centred along planning rather than execution— given the current challenges. As for Pulse Homes, this is now at a preliminary stage and was not intended to commence before 2021 — as such it is likely to be unaffected by corona,” Cooper told the Business Observer.

The founder and chairman of the established modelling and lifestyle company which recently announced its intention to raise additional capital by way of making an additional public offering (APO) noted that they are still making plans to implement this decision, taking into consideration the current uncertainties caused by the COVID-19 crises which has been affecting all segments of society.

“We recognise that not a lot is currently certain so we cannot set a date for an equity raise. The APO was one of the options we were authorised to consider at the AGM. The other was a rights issue. We were more inclined towards an APO as this option will allow us to go to the wider market right away,” he stated.