KLE Group Limited reported $78.79 million in revenue last year as it banks on its latest pivot to real estate as a path to restore its equity base.

The listed company earned $18.82 million in property management fees from the Bessa Project in Oracabessa, St Mary. Its subsidiary Bessa Resort Management Limited (BRML) also collected $59.97 million from furniture package sales from the property which has 86 luxury residences built on an eight-acre property.

KLE has invested $13.98 million in BMR which began operations this year in managing properties at the Bessa Project. KLE has a 25 per cent stake in the Bessa Project which is accounted for as a joint venture. The sale and retention of units at this property is expected to bring in cash for the business.

“Bessa Resort Management Limited (BRML) anticipates that the visibility and management of the villas will be through collaborations with leading global booking and resort management firms. Additionally, BRML is in the midst of securing a 40-year lease for a prime piece of land to expand the amenities which would include a restaurant,” the audited financials stated.

This was the first year that KLE generated revenue from its real estate move. KLE previously operated the Tracks & Records restaurant business up to July 2021 which it divested to T&R Restaurant Systems Limited (FranJam). FranJam is an associate company which KLE owns a 49 per cent stake in.

As a result, the company didn’t report revenue for four financial years (FY) and reported losses from its continuing operations for three years. These accumulated losses pushed the group from $8.65 million in positive equity in 2021 to a deficit of $11.57 million in 2025. The group has $161.81 million in liabilities compared to $150.23 million in assets.

“Management continues to have a reasonable expectation that the group and the company have adequate resources to continue in operation for at least the next 12 months and that the going concern basis of accounting remains appropriate,” the audited financials stated on the company’s ability to continue as a going concern.

KLE reported a consolidated operating profit of $27.58 million in 2025 which was an improvement to the $19.95 million operating loss in the prior year. However, FranJam’s net loss spiked four times from $7.72 million to $39.21 million as its Montego Bay T&R location suffered extensive damage due to a November 2025 fire. KLE’s share of that loss, and finance costs pushed it to report a loss from continuing operations of $1.73 million, which was lower than the $34.02 million figure in 2024.

“As for T&R Restaurants Systems Limited, the interest in franchising the restaurant is both local and international, reflecting a robust post-COVID revamp aimed at capitalising on these burgeoning opportunities. The major shareholders and directors have pledged their continued support for the operations,” the audited notes opined.

Although KLE reported a net profit of $2.97 million for 2025, its first profitable year since 2022, this figure was buoyed by a $4.71 million adjustment to its discontinued restaurant operations. With a cash outflow from operations of $23.25 million and loss from ongoing operations, KLE’s pivot might take longer to bear fruit.

“In partnership with Sagicor [Life], the company is buoyed by a contractual agreement to receive an advance exceeding US$1 million, reflective of a portion of the anticipated profits from this venture. This advance will act as the initial investment for these units. Revenue would be generated through both rental earnings and the appreciation in the value of these properties,” KLE’s audited notes explained on the company’s real estate plans.

KLE currently has a $72.80-million loan owed to Sagicor Bank Jamaica Limited which matured in July 2024. As a result, the company is currently working on renegotiating the terms with the bank.

BMRL received a loan of $15.97 million from Jamaica Coffee Corporation Limited (JCC) to support its ongoing operations which includes it holding $70.46 million in furniture and fixtures for sale. JCC and KLE are both chaired by David Shirley.

KLE began as Kingston Live Entertainment in September 2008 to focus on the nightlife and entertainment space in Jamaica. However, the company ceased operations at Fiction Lounge in March 2014 and sold the Famous Nightclub in Portmore in January 2016. The ‘SPF/Forever Beach’ series of parties were last held in August 2019 before the COVID-19 pandemic shelved future plans. Its push to monetise the Tracks & Record restaurant under the Usain Bolt branding was put under pressure when the pandemic strained the business.

Joseph Bogdanovich owns the other 51 per cent of FranJam and 23.17 per cent of KLE as its largest shareholder. Shirley is the fourth-largest shareholder with a 7.61 per cent stake, with the top 10 shareholders owning 81.65 per cent of the issued shares. When KLE listed on the JSE in October 2012, its shares opened at $3.70. Its shares last traded on April 9 at $0.87, with the company never paying a dividend. This means that early investors continue to wait for the business to realign itself and find its key niche.

KLE Chairman David Shirley .