Things seem to be looking up at financially challenged C2W Music. The company reports profit of US$42,573 for the 2016, a major improvement over the years of losses since it listed on the Junior Market of the Stock Exchange a few years ago. In 2015 the company lost US$18,510.
Profit arose from fees and royalties amounting to US$$40,569, up from US$7,048 in 2015 and other income of US$26,180 compared to US$14,476 in 2015. Operating and administrative expense declined to US$17,849 almost half of the US$33,693 incurred in 2015. Cost was cut in bad debts to zero from $3,517 in 2015, drop in depreciation and amortization from $8,759 to $423 and travel expenses was wiped out in 2016 compared to $6,577 in 2015 but development and song writing expenses added $13,275 versus a credit of $4,440 in 2015.
The company ended with cash at bank of US$42,728, up from $21,417 at the end of 2015. Shareholders’ equity moved up to US$67,114 from US$24,541, Current liabilities stood at US$190,062 versus US$173,012 in 2015, including loans of $89,312. Current assets are much less than liabilities with only US$44,140 in this category.
If the 2016 results is anything to go by, the stocks is worth watching but the company’s auditors, Baker Tilly Strachan Lafayette, in their report made a number of observation about the contents of the financial report, “We were unable to obtain sufficient appropriate audit evidence about the completeness of royalty income due to the inability of the external monitoring agencies to properly document the company’s repertoire of works with their current technological systems. Additionally, due to difficulties with the systems of performing rights societies in the region and the reporting by them to the company, we were unable to determine completeness of sub-publishing revenues. Accordingly, we were unable to determine whether any adjustments to the amounts recorded were necessary.”
“Further, the company derives a portion of its income from sponsorship which cannot be controlled until they are recorded in the accounting records and are, therefore, not susceptible to independent audit verification. Accordingly, we were unable to satisfy ourselves as to the completeness of the contributions recorded.”
“It has been established that the Performing Rights Societies of the Caribbean legally owes C2W Music publishing and sub-publishing, royalties for the years 2012, 2013, 2014, 2015 and 2016, and are working to rectify systems issues so such royalties could be identified and paid. In addition, the company has moved into a 360 all Rights revenue model which will increase revenues based on numerous other revenue streams other than music publishing revenue, which was previously the Company’s primary source of revenue. The expectations are that the company will generate adequate cash flows and profitability to allow the company to continue in operational existence in the foreseeable future. On this basis, the Directors have maintained the going concern assumption in the preparation of these financial statements.”
Profit for C2W Music
TTSE still consolidating
Trading volume picked up in trading on the Trinidad & Tobago Stock Exchange on Friday from Thursday’s low level but the value of stocks traded ended up just slightly lower as the number of securities rose.
Market activity resulted in 17 securities changing hands compared to 12 on Thursday with 5 stocks advancing, 2 declining and 10 holding firm. Trading closed with an exchange of 229,684 shares valued at $1,612,238 compared to Thursday’s 70,937 shares valued at $1,807,695.
The Composite Index gained 1.71 points to 1,233.30, the All T&T Index advanced 8.77 points to 1,802.33 and the Cross Listed Index lost 0.74 points to close at 89.13.
IC bid-offer Indicator|The Investor’s Choice bid-offer ended with 10 stocks with bids higher than last selling prices and 6 with lower offers.
Gains| Angostura Holdings gained 10 cents to close at $15 exchanging 5,000 units, Clico Investment closed at $22.51, with a 1 cent gain, trading 1,000 units, Guardian Holdings closed at $15.45, gaining 45 cents with an exchange of 20,186 shares valued at $311,597. National Enterprises traded 49 cents higher to close at $10.50, with 1,038 shares changing hands and Readymix closed at $12.62, gaining 12 cents in the process with 600 units trading.
Losses| First Caribbean International Bank closed at $8.60, with a loss of 15 cents exchanging 11,851 shares and Sagicor Financial lost 10 cents to close at $9, with 10,494 shares changing owners.
Firm Trades| Ansa McAL closed at $66.50 trading 650 units, First Citizens traded 590 shares at $32, Grace Kennedy closed at $2.70 with trades of 135,978 units valued at $367,141, JMMB Group exchanged 31,617 shares at $1.31, National Flour Mills closed at $2.56 with an exchange of 520 shares. Scotia Investments traded 1,955 units at $2.70, Scotiabank exchanged 7,027 shares at $58 valued at $407,816, Trinidad Cement held firm at $4.22 with just 10 shares changing hands. Trinidad & Tobago NGL was unchanged at $22 trading 430 shares and West Indian Tobacco closed at $127 with 738 units traded.
Republic dominates TTSE
Market activity resulted in 12 securities changing hands with 3 rising, 2 declining and 7 remaining unchanged compared to 14 securities trading on Wednesday.
The Composite Index rose 0.82 points to 1,231.59, the All T&T Index gained 0.18 points to 1,793.56 and the Cross Listed Index added 0.20 points to close at 89.87.
IC bid-offer Indicator|The Investor’s Choice bid-offer ended with 8 stocks with bids higher than last selling prices and 7 with lower offers.
Gains| Grace Kennedy gained 1 cent, closing at $2.70 with 25,667 units changing hands, Scotia Investments closed at a 52 weeks’ high of $2.70, with gains of 20 cents trading 13,045 shares and Trinidad & Tobago NGL advanced 60 cents to close at $22, with an exchange of a mere 70 units.
Losses| Guardian Holdings closed at $15, with a loss of 25 cents exchanging 4,754 shares, and Massy Holdings lost 3 cents to close at $51.45, with 38 shares changing owners.
Firm Trades| Agostini’s closed at $18.50 trading 5,995 units, Ansa Merchant Bank exchanged 1,000 shares at $40, First Citizens traded 200 shares at $32, National Enterprises closed at $10.01 with an exchange of 312 units. NCB Financial Group closed at $3.99 with trades of 5,000 shares, Republic Financial Holdings exchanged 13,356 shares at $101.90, valued at $1,360,982 and Scotiabank held firm at $58 with 1,500 shares changing hands.
Is C2W Music rebounding?
C2W Music is reporting profit of US$42,573 for the 2016, representing a major improvement over the years of losses since it listed on the Junior Market of the Stock Exchange a few years ago.
In 2015 the company lost US$18,510. Profit arose from fees and royalties amounting to US$$40,569, up from US$7,048 in 2015 and other income of US$26,180 compared to US$14,476 in 2015 an lower administrative cost.
Upper hand to rising stocks Wednesday
Trading in the main market of the Jamaica Stock Exchange closed on Wednesday with 25 securities changing hands with 2 trading in the US dollar market. A total of 13 stocks advanced and 9 declined while 2 closed at a new highs and one at a 52 weeks’ low.
Trading levels in main market ended at 3,999,238 units valued at $59,651,337 compared to 4,459,136 units valued at $97,369,402 at the close on Tuesday. Trading in the US dollar market accounted for 25,143 units valued at US$23,308.
The All Jamaica Composite Index jumped 1,629.68 points to close at 250,336.15 the JSE Market Index surged 1,484.82 points to finish at 228,084.60 and the JSE US dollar market index gained 3.38 points to close at 219.00.
IC bid-offer Indicator| At the end of trading in the main and US dollar markets, the Investor’s Choice bid-offer indicator reading shows 10 stocks with bids higher than their last selling prices and 1 with a lower offer.
The main market ended trading with an average of 159,970 units valued at $2,364,549 for each security traded, compared to an average of 165,153 units valued at $3,606,274 per security on Tuesday. The average for the month to date, ended at 484,175 units valued at $5,094,235 for each security versus 516,596 units valued at $5,367,204 on the prior trading day. The average volume and value for March ended at 549,909 units and $1,379,459.
In market activity, Berger Paints closed at $13.93, with a loss of 7 cents trading 37,105 shares, Cable and Wireless closed at $1.35, gaining 5 cents with an exchange of 953,276 shares, and Caribbean Cement closed $2 higher to $32 with 175,355 units changing hands. Carreras closed at $74, exchanging 21,369 shares, Grace Kennedy closed at $42, losing 80 cents with trades of 254,769 units, Jamaica Broilers closed 20 cents lower to $16.80 with 170,159 shares changing hands, Jamaica Producers closed at $15.41, with gains of 41 cents while exchanging 7,182 shares,Jamaica Stock Exchange gained $1 to close at $8, with an exchange of 87,363 shares. JMMB Group closed 33 cents higher at $18.98, with trades of 403,706 units, Kingston Properties traded at $15.50, losing 45 cents with 2,800 shares changing hands, Kingston Wharves closed $1 higher at $31, in trading 22,662 units, Mayberry Investments gained 20 cents to close at $4.70 exchanging 6,761 shares, NCB Financial Group traded $5 higher to end at a 52 weeks’ closing high of $70, with 36,393 shares changing hands, 1834 Investments closed at $1.50, with an exchange of 12,748 shares, 138 Student Living closed at $4.49 with 6,012 units traded, infrequent traderPalace Amusement advanced $30, to end at a 52 weeks’ high of $230 while exchanging just 100 units, Pan Jamaican closed at $35, while gaining 34 cents with 21,503 shares changing hands. Radio Jamaica gained 5 cents to close at $1.65 with trades of 25,081 shares, Sagicor Group gained 20 cents to close at $33.25, while trading 511,828 shares, Sagicor Real Estate Fund closed at $10.05, with 1,472 shares traded, Salada Foods closed 95 cents lower, to end at a 52 weeks’ low of $7.05, with 1,000 shares changing owners, Scotia Group lost $1.50 and closed at $40, exchanging 149,444 units, Supreme Ventures closed at $6.15, while losing 23 cents and trading 2,373 shares. Proven Investments closed at 30 US cents, exchanging 5,437 ordinary shares, Jamaica Money Market Brokers 7.5% preference share lost 1 cent to close at $1.80 with an exchange of 130,597 units, JMMB Group 7.5% preference share traded 5 cents lower, closing at $1.05 with 958,180 units changing hands, and JMMB Group US 6% preference share rose 2 cents and closed at US$1.10 with trades of 19,706 units.
60% of trading for Trinidad Cement
At the close 14 securities changed hands with 3 trading higher 4 declining and 7 trading unchanged compared to 13 trading on Tuesday. A total of 583,316 shares traded at a value of $3,038,295 compared to Tuesday’s 262,613 shares valued at $6,532,372.
The Composite Index declined 1.13 points to 1,230.77, the All T&T Index dropped by 6.54 points to 1,793.38 and the Cross Listed Index gained 0.59 points to close at 89.67.
IC bid-offer Indicator|The Investor’s Choice bid-offer ended with 7 stocks with bids higher than last selling prices and 7 with lower offers.
Gains| JMMB Group gained 1 cent to close at $1.31 exchanging 115,911 units, NCB Financial Group advanced 10 cents to $3.99 trading 2,480 shares and Trinidad Cement closed at $4.22, gaining 2 cents with an exchange of 440,340 units valued at $1,857,749.
Losses| Clico Investment lost 1 cent to close at $22.50 trading 7,444 shares, Massy Holdings was down 2 cents, closing at $51.48 with 3,000 shares changing owners, Grace Kennedy closed at $2.69, losing 1 cent exchanging 333 units and National Enterprises fell 59 cents to close at $10.01 with trades of 500 shares.
Firm Trades| Ansa McAL closed at $66.50 trading 1,571 units, Ansa Merchant Bank exchanged 1,000 shares at $40, National Flour Mills closed at $2.56 with an exchange of 431 units. Republic Financial Holdings exchanged 3,524 shares at $101.90 valued at $359,096, Sagicor Financial held firm at $9.10 trading 2,161 shares, Scotiabank was unchanged at $58 trading 1,851 shares and Trinidad & Tobago NGL remained at $21.40 exchanging 2,770 shares.