Mauritian businessman Hector Espitalier-Noel’s ENL suffers $23.98 million in losses in 2021

ENL Limited, a Mauritius-based group led by renowned businessman Hector Espitalier-Noel, reported a loss of MUR1.065 billion ($23.98 million) at the end of its fiscal year 2021, driven by the performance of its hospitality segment.

ENL operates as a broad-based conglomerate with a diverse portfolio of over 120 international and domestic brands in agro-allied, real estate, hospitality, logistics, fintech, commerce, and industrial sectors.

The Mauritius-based group is led by Espitalier-Noel, who owns a 9.92-percent beneficial stake in the company, totaling 105,884,604 ordinary shares.

According to its financial statement, ENL’s loss at the end of 2021 increased marginally from MUR1.05 billion ($11.3 million) in 2020 to MUR1,065 billion ($23.98 million), owing to the ongoing impact of the COVID-19 pandemic, which resulted in a five-percent decline in revenue.

The multimillion-dollar losses posted by the Mauritian conglomerate at the end of its 2021 financial represents the second year in a row that the group has posted losses from its operations.

This brings its total operating losses since June 2019 to MUR2.11 billion ($47.6 million).

The group’s earnings power was severely impacted by the financial performance of its hospitality segment, which saw a 70-percent decline in revenue and a loss of MUR2.52 billion ($56.95 million), compared to a loss of MUR690 million ($15.6 million) the previous year.

Despite the lackluster financial results, the group’s balance sheet increased to MUR78.04 billion ($1.76 billion), and equity attributable to shareholders increased to MUR41.06 billion ($927.7 million).

Experts believe that the strength of the group’s balance sheet puts it in a position to further leverage its assets in order to continue its business development goals.

The management expects the hospitality industry to significantly reduce its losses in 2022, with the reopening of the Mauritian border, improved air access to Mauritius, and relaxation of sanitary measures.

The management added that the increase in sugar prices and bagasse remuneration beginning with the 2021 crop year has given the sugar sector a new lease on life, allowing it to look forward to a profitable future.