The Jamaica Stock Exchange main market closed with trading in 2,979,208 shares with Grace Kennedy dominating with more than 2 million units. the all Jamaica Composite index fell nearly 336 points and the JSE market index dropped just above 300 points.
The closing trading data shows the volumes for the highest bids and lowest offers for each stock that investors can use as guides as to where demand and supply may be like. Other than the shares traded in Grace volumes were moderate and only 12 securities were active.
Archives for March 2015
JSE closes down
March 2, 2015 by
Access joins tax line
March 2, 2015 by
Access Financial will pay only $4.7 million in taxes for 2014, having enjoyed tax free profit for most of the year. The tax charge left $306.7 million in net profits or $1.12 per shares up from $270 million in 2013. But Access suffered a big increase in bad loans amounting to $229 million, more than doubling the $95.7 million in 2013. Not reflected in the bad debt figure is $14.4 million listed in the financial as recoverable, in 2013 the amount was $12.78 million. Gross interest revenues were up by 29.5 percent to $938 million and net income of lending moved to 990 million an increase of 29.7 percent. Other expenses rose by 18.3 percent.
For 2015 and the following 4 years, less a quarter, the company will be subject to tax on profit at 12.5 percent or 50 percent of the regular tax rate.
The stock sells at a high premium to net asset value of $2.96 per share compared to the stock price of $9.60 but that is partially explained by the rich 43 percent return on equity. At the end of the year loans advanced fell to $1.085 billion from $1.12 billion in at the end of 2013 while loans received fell from $543 million to $317.7 million and cash funds increased to $127.9 million from $49 million.
IC insider forecast earnings of $1.60 for the current year after tax at 12.5 percent. The stock remains Buy Rated for long term growth.
Tax credit saves JSE
March 2, 2015 by
A tax credit of $7 million saved the Jamaica Stock Exchange (JSE) from reporting a loss in 2014 as the exchange reported lower interest income of $42.4 million versus $56.5 million and an 11.6 percent higher operating income.
The JSE encountered higher operating cost that rose 11.7 percent for the year to $384 million which is higher than the operating income of $337 million. Property expenses grew 33 percent to $83 million, wages was up by 13.5 percent to $171.7 million and professional fees by 48 percent to $35.6 million.
JSE ended up with a profit after tax of only $3 million versus $5.7 million in 2013. Earnings per share was only 2 cents but net asset value per share ended at $4. The stock last traded at $2 on the Jamaica Stock Exchange.
For the year to September the JSE reported only $8 million in profit or a mere 6 cents per share, but bad debt recovered amounted to $10 million before tax. For the year to September revenues jumped $41 million to hit $242 million. Expenses climbed for the nine months, from $247 million to $273 million or just over 10 percent, a slower pace than the income growth of 20 percent for the same period.
The JSE needs a pick-up in market activity to deliver strong top line growth while keeping cost under control to satisfy investors, that could well come in 2015.
JSE trade data at 10.55 Monday
March 2, 2015 by
GOJ intake ahead for January
March 2, 2015 by
The government of Jamaica enjoyed increased inflows into their coffers in January, bringing the total to $34.4 billion, $1.4 billion more than the $33.2 billion projected. The major area contributing to the improvement is tax on interest delivering $1.2 billion more than forecast.
The intake took the 10 months revenues to $322 billion down by $8.6 billion, just 2.6 percent short of estimates. The major contributors to the year to date shortage is corporate taxes, down $7 billion and production and consumption taxes on local goods and services down by $7.3 billion. Out-performing the target set are, PAYE, non-tax revenues and taxes on interest.
Payments are down, with capital spend coming in at $10.3 billion below projection, interest cost is $5.6 billion lower than originally projected due no doubt to lower interest rates, wages spend is $2.6 billion less than forecast and other expenditure is up by $3.3 billion. The fiscal deficit came in at $6.5 billion ahead of target and the primary surplus at $76 billion is just slightly ahead of target.
The data suggests that the fiscal deficit originally projected at $11.4 billion is likely to end at less than $4.5 billion for the fiscal year.
