Archives for April 2017

2 for 1 stock Kingston Properties stock split

April 4, 2017 by

Gary Sinclair chairman of Kingston Properties

Shareholders of (KPREIT) will see the number of shares owned doubling when they voted to split the existing shares into two units at the Annual General Meeting scheduled for May 16, 2017.
The company’s Board of Directors took the decision on March 31, to recommend to the shareholders of that each of the 500,000,000 ordinary shares in the capital of the Company be subdivided into two ordinary shares each thereby making a total share capital 1,000,000,000 ordinary shares.
On March 6, the directors reported to the Jamaica Stock Exchange that they would be recommending a stock split to shareholders. The stock traded before the announcement at $11 moved up after to a record $16.35 on March 16 and remain sat that price on April 3.
The directors at the same meeting approved a dividend to shareholders on record as at April 18 in the amount of US$0.00124 per unit. The payment date is May 9 and the X-dividend date is April 12.

Filed Under: Company News, Dividends, Street News & Views Tagged With: , ,

Dolphin Cove late dividend

April 4, 2017 by

Dolphin Cove.

The Board of Directors of Dolphin Cove is just announcing that they declared an interim dividend of 20 cents per share that is payable on April 4, 2017.
The only problem is that the public was not made aware of it until late on Monday when it was posted on the stock exchange website. Investors in the stock would not have benefited from the announcement as the record date has long gone from March 16, 2017. The ex-dividend date was March 14, 2017.
The company paid dividends of 20 cents per stock unit in May, August and November last year. The stock last traded at $18 on the junior market of the Jamaica Stock Exchange and is up from $15.50 at the start of 2017.

Filed Under: Company News, Dividends, Street News & Views

KLE profit but no profit in 2016

April 4, 2017 by

KLE reported profit of $164 million but $164 million came from a one off inflow from gain on sale of shares in a subsidiary. The breakeven performance for continuing operations is a huge improvement over the $64 million loss incurred in 2015.
Going forward, KLE needs to keep growing income faster than cost. At the end of nine months last year Administrative and other expenses came out at $32 million and $97 million year to date. The last quarter showed an unusual jump of $47 million, even as revenues in the December quarter was in line with that of the September quarter at $52 million. In contrast admin expenses were at $127 million in 2015 to September and ended at $143 million for the full year.
There are no indications from the revenue data that investors can expect good levels of growth in 2017, if the flat numbers for the last two quarters of 2016, is anything to go by. Big losses of recent years may be behind them, while franchising could add to profit, from royalty income.
The group’s balance sheet that was shattered up to 2014, has seen major repairs, not before some investors lost out big on the stock. Equity capital that was negative at $34 million at the end of 2015 is now $130 million with the overall profit reported for 2016 and long term liabilities stands at $11 million. Current liabilities are down to $80 million from $160 million the prior year while current assets sit at $71 million including cash of $9 million.
The stock last traded at $3.30 on the junior market of the Jamaica Stock Exchange.

Filed Under: Company News, Company Results

Big gains in Jamaica’s trade balance

April 4, 2017 by
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Imports of fuel fell in 2016

Jamaica’s imported US$405 million less goods last year than it did in 2015 and exported US$60 million less for the same period leading to the trade deficit for 2016 falling by US$345 million to end at US$3.56 billion, data from Statistical Institute of Jamaica reported.
The trade deficit has declined each since it hit US$4.8 billion in 2011 and is now lower than the US$3.99 billion in 2010. Exports that reached US$1.73 billion in 2012 is now at its lowest since 2010 when it ended at US$1.34 billion.
Imports were valued at US$4.75 billion, down from US$5.16 billion for 2015. Total exports for 2016 reached US$1.2 billion, a fall from US$1.25 billion for the 2015.

Jamaica’s Non-Traditional exports grew in 2016

Imports of Mineral Fuels, fell 20.6 percent or US$242 million to US$935 million, due to lower imports of Petroleum Oils, Bunker C grade fuel oil, Automotive Diesel Oil, gasoline, Propane and Butane. Imports of Manufactured Goods fell by US$76 million to US$571 million in 2016.
Traditional Domestic Exports were valued at US$627 million, when compared to US$765.0 million recorded in 2015, an 8.1 per cent or US$138 million fall, due to declines in Mining and Quarrying and Manufacture. Non–Traditional Domestic Exports for 2016 grew US$28 million to US$464 million.

Filed Under: Economy, Feature Stories Tagged With: ,

1.4% GDP growth for Jamaica in 2016

April 4, 2017 by

The Jamaican economy grew 1.4 percent for 2016, preliminary estimates by the Statistical Institute of Jamaica, (STATIN) the government body charged with gathering and reporting on economic data shows.
The Jamaican economy grew by 1 percent in 2015, recent data from STATIN shows. Since 2004, the closest economic growth came close to the 2016 pace, is in 2007 with 1.45 percent and 2011 with 1.7 percent.
Growth was 1.1 percent for the fourth quarter of 2016 compared to the corresponding period in 2015, representing eighth consecutive quarters of economic growth. “Increased output levels of 0.5 percent in the Services and 3.1 percent in the Goods Producing Industries contributed to the overall growth,” STATIN stated.
Growth was achieved in seven of the eight Services Industries: Electricity & Water (2.0 percent); Wholesale & Retail Trade; Repairs; Installation of Machinery & Equipment (0.2 percent); Hotels & Restaurants (2.5 percent); Transport, Storage & Communication (0.5 percent); Finance & Insurance Services (1.0 percent); Real Estate, Renting & Business Activities (0.3 percent) and Other Services (0.7 percent).
Agriculture, Forestry & Fishing, increased by a strong 17.1 percent and Construction by just 0.6 percent. STATIN said “the Agriculture, Forestry & Fishing industry was positively impacted by favourable weather conditions which resulted in higher crop yields, while the Construction industry benefitted from hotel expansion and renovation as well as the construction of office spaces to facilitate the expansion of Business Process Outsourcing activities.
Decreased output was recorded in Manufacturing by 0.2 percent and Mining & Quarrying by 11.9 percent. Manufacturing decline was influenced by a 5.3 percent fall in Other Manufacturing, due largely to lower output levels in petroleum refining. The effect of the decline was tempered by a 4.9 percent rise in Food, Beverages & Tobacco sub – industry. Mining & Quarrying industry continued to be negatively affected by reduced demand for bauxite from the overseas refineries.”

Filed Under: Economy, Feature Stories Tagged With: , ,

8 stocks fall & 1 gain on TTSE

April 3, 2017 by

Declining stocks dominated trading on the Trinidad & Tobago Stock Exchange on Monday as 11 securities changed hands compared to 12 on Friday resulting 8 falling 1 rising and 1 remaining unchanged.
At the close, 238,247 shares were exchanged at a value of $1,151,376 compared to Friday’s 67,974 units valued at $1,375,038.
Price movements were modest, leading to small movements in the market indices. At the close the Composite Index fell 0.92 points to 1,232.87, the All T&T Index declined 1.33 points to 1,810.21 and the Cross Listed Index lost 0.07 points to 87.91.
IC bid-offer Indicator|The Investor’s Choice bid-offer ended with 10 stocks with bids higher than last selling prices and 8 with lower offers.
Gains| NCB Financial Group gained 1 cent to close at $3.79 with trades of 2,588 shares.
Losses| Angostura Holdings lost 5 cents, closing at $14.95 with 11,000 units changing hands, Clico Investment traded 12,545 shares at $22.50 after falling 1 cent, Guardian Holdings closed at $15.90 with a loss of 8 cents trading 600 shares, JMMB Group traded 3 cents lower to close at $1.17 with an exchange of 157,500 shares, Massy Holdings was down 1 cent to $52.99 with trades of 281 units. Scotiabank closed 1 cent down to $58.99 exchanging 696 shares, Trinidad Cement lost 1 cent to close at $4.20 trading 47,572 units, Trinidad & Tobago NGL traded at $21.12, after losing 38 cents with 4,173 shares exchanged and West Indian Tobacco closed at $127, with a 1 cent loss and 992 units changing owners.
Firm Trades| Republic Financial Holdings exchanged 300 shares at $101.99.

Filed Under: Stock Market, TTSE Market Tagged With: , , , , , , , , , , , , , , , , ,

Juniors make big gains – Monday

April 3, 2017 by

Lasco Distributors dominated trading on Monday.

The junior market index surged 45.33 points on Monday, to end at 3,042.36 as 19 securities changed hands, up from 15 on Friday with 7 advancing and 4 declining.
Trading picked up on Monday over Friday, with Lasco Distributor dominating with 78 percent of the volume of 4,276,697 units valued at $28,791,862 passing through the market, compared to 1,607.606 units valued at $11,124,439 that were traded on Friday.
The junior market ended trading with an average of 225,089 units for an average value of $1,515,361 traded, compared to 107,174 units for an average value of $741,629 on the previous trading day. The average volume and value for March was 137,459 units and $1,313,411.
Trading ended with 10 stocks having bids higher than their last sale prices and 2 ending with lower offers, than the last sale price.
At the close of the market on Monday, AMG Packaging closed at $6 with 12,960 units changing hands, Blue Power closed at $35 with 288 shares trading, Caribbean Cream traded 16,799 units to end at $7.25, Caribbean Producers climbed 8 cents in trading 25,870 units to end at $3.75, Consolidated Bakeries gained 20 cents to end at $3.20 with 5,100 shares changing hands, Honey Bun had 11,854 shares changing hands and lost 20 cents to close at $7.30. I$P Finance traded 6,950 shares to end at an all-time high of $12.75, Jamaican Teas traded 2,738 shares to close with a fall of 24 cents at $7.75, Jetcon Corporation rose $1 to end at $12 with 15,000 shares being exchanged, KLE Group traded 3,300 units and rose 25 cents to $3.30, Knutsford Express traded 530 shares to close at a 52 weeks’ high of $42, Lasco Distributors ended with 3,330,287 units trading at $7 after rising by 30 cents, Lasco Manufacturing closed with 692,870 units changing hands at $5, Main Event closed with a rise of 20 cents at $5.10 with 5,798 shares changing hands, Medical Disposables traded 103,417, shares to close at $6, Paramount Trading lost 20 cents with 21,000 shares changing hands, to close at $3.60. tTech traded just 2,660 units but fell 10 cents to close at $7.40, Eppley 9.5% preference share traded 17,881 units at $6.02 with a fall of 2 cents and Eppley 10% preference share traded a mere 1,395 units at $6.80.

Filed Under: JSE Junior Market, Stock Market Tagged With: , , , , , , , , , , , , , , , , , , ,

Berger returns Access out of Top 10

April 3, 2017 by

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Investors pushed down the price of Berger Paints to $12.01 by the end of the past week, pulling it back from $15 and pushing it back in the main market top list as Scotia Group slipped out.
The top main market stocks now sells at a 50 percent discount to the average main market stocks and is lower than the 40 percent discount of stocks in the junior market. During the past week ISP Finance hit a new high of $12.50 up from $12.25 at the close of the previous week, the stock still sits high on the list at number 4.
Top 10 junior stocks are trading at a 40 percent discount to the average of the junior market, at the close of the week. After dropping out of the TOP 10 for the last week Lasco Distributors returned during the end of past week while Lasco Financial Services that entered the list for the start of the past week has been squeezed out with prices declining elsewhere and Access Finance ending the week with the bid of 1,500 shares at $39, to be out of the top listing and Blue Power closing the week at $35 is back in the list. Overall bid volumes for junior and main market stocks remain low with the only ones of the Top 10 with decent volumes on the bid for junior stocks being Caribbean Producers with 60,712 units on the bid at $3.75, General Accident with 53,426 units at $3 and Medical Disposables with 103,417 units with the bid price ending at $6. Offers that are well about the bid volumes include AMG Packaging with an offer to sell 99,723 units at $5.95, Jetcon Corporation with 435,207 units at $12.99 and Lasco Distributors with 973,036 units at $6.70.
In the Main market, Barita Investments has limited buying interest at the current price with just 447 units on the bid at $6.85 and 28,224 units on the offer at $7. Berger Paints ended with 237 units on the bid at $12 with 49,894 on offer at $12.01. Carreras currently, has 38,619 shares on offer at $74 and buying of 3,000 shares at $73.95. Caribbean Cement’s weak demand continues in the mid-thirty dollar range, with the stock closing with only 2,340 units on the bid to buy at $31.50 while offers are at $32 to sell 53,579 units. JMMB Group’s buying is at $16.30 for 50,000 units on the bid and only 100 units offered at $18.24, Pulse Investments has offers for 150,000 units at $8 and buying at $7 for 1,005 shares.
Price movements continued be a bit volatile as buy and sell orders remain thin for several stocks. With little new news to come until a flood of first quarter results start to flow volatility in May, is likely to continue for a few weeks and this could provide patient investors with some good entry points.

Filed Under: Buy Rated Tagged With: , , , , , , , , , , , , , , , , , ,

Audit wrongly states ISP earnings as 32c

April 1, 2017 by

I$P Finance hits a new high recently.


ISP Finance earned $40 million for 2016 or earnings per share of 46 cents based on an average of 87 million shares in issue for the year, but the audited statement reported only 32 cents based on a non-existence average of 126.5 million.
The company only issued 105 million shares hence it is not possible for the average to be greater.
The above error along with glaring errors elsewhere in the financial system at large raise the question about the investing public being adequately protected, in spite of regulators in place to do police the system?
Auditors are required to use care and due diligence in undertaking their duties to ensure that the companies they audit maintain proper records that will give a fair view of a company’s profit and financial position. Users of audited statement is not expected to see glaring errors in them. It raises questions about the quality of the audit and the management of the company as well.
Knutsford Express’ audited reports for 2014 and 2015, were filled with errors or questionable treatment of transactions, raising questions about the accuracy of the entire reports.
The earnings per share for 2014 was overstated due to inaccurate computation of the average number of shares issued in 2013, while showing earnings per share of $1.07 for 2014. The income statement erroneously stated by way of note, that “using the weighted average number of shares at end of 2015 would result in earnings being 50 cents for 2014.” Since no new share were issued in 2015 there can be no there is no need for a computation of an average and there can be no change to the earnings for 2014 if the correct average was computed for 2014 in the first place.
The report had further stated “During January 2014, the company raised additional capital of $99,862,700 from its initial public offering of 99,999,003 shares for its enlistment on the Jamaica Stock Exchange Junior Market”. The company in fact issued 26 million bonus shares in 2013 while the public offering was for 20,000,000 ordinary shares, only 4,867,338 new shares were offered by the company while 15,132,662 shares existing shares were sold to the public in the IPO by shareholders. At the time the IPO, 95,132,662 ordinary shares were already issued, the average number of shares should be approximately 60 million rather than 46.8 million used to compute the 2014 EPS, which would have worked out around 83 cents.
According to ISP Finance prospectus, 1n January 2007 the company was incorporated with an authorised share capital of 10,000 ordinary shares at J$1 per share. In June 2007 the company’s authorised share capital was increased to 5,000,000 ordinary shares with all being subscribed for at $1 each.
On February 11, 2016 the company’s authorised share capital was increased to 105,000,000 ordinary shares. Of the 100,000,000 ordinary share increase, 51,017,500 shares were allotted to Gencorp Limited at J$2 per each being the same price at which shares were offered in the IPO. Of the balance just over 48.98 million units were offered to the general public in the IPO.

Filed Under: Company News, Company Results Tagged With: , , , , ,