EXPRESS Catering Limited has reported a dramatic reversal in financial performance, plunging into a quarterly net loss of US$536,680 following Hurricane Melissa’s devastating impact on Jamaica’s tourism infrastructure. The airport concessionaire witnessed a severe 40% contraction in revenue, dropping to US$2.97 million for the September-to-November quarter compared to US$4.98 million in the same period last year.
The catastrophic storm triggered a 73% collapse in passenger traffic through Sangster International Airport in November alone, with airport operator Grupo Aeroportuario del Pacífico reporting a decline from 373,000 to just 99,100 passengers. This represented 157,000 fewer passengers overall during the quarter, fundamentally undermining the company’s operational viability.
Chief Executive Ian Dear described the unprecedented situation: ‘We virtually had zero visitors. The only people we had were people coming in to help with the rescue and response.’ The hurricane’s damage to hotel accommodations across Jamaica’s north coast resulted in massive cancellations of stopover visitor arrivals, creating a ripple effect throughout the tourism ecosystem.
Despite implementing aggressive cost containment measures that reduced administrative expenses by 19%, the company could only generate a minimal operating profit of US$27,979—a drastic fall from US$1.07 million in the prior period. The combination of evaporated passenger traffic and increased finance costs created perfect storm conditions for the airport food and beverage operator, which manages prominent brands including Starbucks, Auntie Anne’s, Cinnabon, Dairy Queen and Bob Marley’s One Love Restaurant.
However, CEO Dear expressed emerging optimism as recovery patterns begin to materialize. ‘We are definitely seeing positive momentum and as it stands right now, I think every hotel room that is open in Jamaica, certainly on the North Coast, is seeing some strong, great occupancies,’ he noted during discussions with the Jamaica Observer.
The rebuilding timeline indicates three Sandals properties will reopen in May, followed by four Royalton hotels by September and eight Hyatt properties by November. Dear highlighted that short-term rental platforms like Airbnb have partially mitigated the hotel room shortage during this transition period.
While near-term challenges persist—with stopover arrivals projected to decline by up to 40% during the current winter season—the company’s leadership maintains robust confidence in Jamaica’s tourism recovery. Dear projected that ‘the next winter season is going to probably be our strongest we’ve ever seen in our history,’ citing expanded room capacity and new hotel developments.
Financially, the company reported US$9.76 million in revenue for the six months to November, representing a 15% decrease year-over-year. Net profit declined approximately one-third to US$974,870 from US$1.45 million previously. Total assets remained stable at US$59.69 million with cash reserves of US$129,760.
Strategic expansion plans involving a US$5.46-million investment in licenses and franchise rights have been temporarily deferred as management prioritizes operational stabilization. The company has invested US$92,798 in refurbishing its airport food court while maintaining strong banking relationships and lender support throughout the recovery period.