Based on the provided PDF, I will analyze the financial report as a financial analyst for a hedge fund. However, I must note that the document does not contain a full financial report with detailed income statements, balance sheets, or cash flow statements. The information is limited to an audit report and some notes. I’ll provide an analysis based on the available information.
Financial Analysis: Prospera Global Limited (FY2024)
Net Loss: \$3.07 million (2023: \$1.50 million)
Report Overview
This analysis is based on the audited financial statements of Prospera Global Limited (formerly known as Sinjia Land Limited) for the financial year ended 31 December 2024. The report is dated 3 April 2025.
Business Description
The report does not provide a detailed business description. However, it mentions that the company has incorporated a wholly-owned subsidiary, PGL Capital Limited, in Mauritius, which has been granted a Global Business Licence and an Investment Dealer Licence. This suggests the company is diversifying into financial and operational support services [[7]].
Financial Performance
- Net Loss: The Group incurred a net loss of \$3.07 million for FY2024, compared to \$1.50 million in FY2023, indicating a significant decline in profitability [[7]].
- Net Assets: The Group’s net assets have declined to \$1.43 million in FY2024 from \$1.81 million in FY2023 [[7]].
- Cash Flow: The Group continues to experience net cash outflows from operating activities, amounting to \$1.74 million in FY2024 (2023: \$0.99 million) [[7]].
Key Investor Considerations
- Going Concern Issues: The auditor has highlighted a material uncertainty related to the company’s ability to continue as a going concern [[3]].
- Regulatory Investigation: The company is assisting in an investigation by the Commercial Affairs Department (CAD) and the Monetary Authority of Singapore (MAS) regarding a potential offence under the Securities and Futures Act [[8]].
- Business Expansion: The company has incorporated a new subsidiary in Mauritius and appointed a new Chief Operating Officer as part of its strategic growth initiatives [[7]].
- Additional Funding: The company obtained a loan of S\$850,000 from its substantial shareholder and CEO on 21 March 2025 [[7]].
Special Activities to Improve Profitability
- Diversification into financial and operational support services through the new Mauritius subsidiary [[7]].
- Appointment of a new Chief Operating Officer as part of strategic growth initiatives [[7]].
- Exploration of fundraising options to access additional working capital [[7]].
Investment Recommendations
For current shareholders: Consider reducing exposure. The company’s increasing losses, declining net assets, and ongoing cash outflows present significant risks. However, the strategic initiatives and additional funding may provide some potential for turnaround.
For potential investors: Exercise caution. While the company is taking steps to improve its position, the current financial situation and ongoing regulatory investigation suggest high risk. It may be prudent to wait for signs of improvement before considering an investment.
Disclaimer: This recommendation is based solely on the limited information provided in the audit report and accompanying notes. It does not constitute a comprehensive financial analysis or personalized investment advice. Investors should conduct their own due diligence and consult with a qualified financial advisor before making any investment decisions.
