Radio Jamaica’s (RJR) profit for the first quarter to June jumped by 829 percent to $15.2 million up from only $1.6 million in 2013. The bottom-line improvement came from an increase of 7 percent in revenues for the June quarter, to $507 million.
Revenues from operation actually rose by 10 percent but a fall in other income from $35 million to $21 million, pulled the overall revenue gains down. Gross profit grew 27.6 percent to $272 million and gross margin hit 127 percent in the quarter, up from 94 percent in 2013. The improvement came primarily from new revenue streams outside of Jamaica in the Caribbean region, Management stated in their commentary on the results as well as shared sporting activities and some cost reduction in the cost of covering sports.
Operating expenses climbed 11 percent in the 2014 quarter over the 2013 quarter, to hit $268 million. The audited accounts showed gross profit margin of 35 percent for the last fiscal year to March. For the twelve months to March this year, RJR made profit after tax of just $59 million, having just breaking even on its main operation. In 2013, the group made a loss of $77 million before taxation and $30 million, after recording a tax credit of $47 million. The group would have benefited from increase sponsorship and advertising income emanating from the broadcast of the world cup football on radio as well as the staying of commentary on Television. As such some of the improvements in both revenue and profits may not repeat any time soon. What seems of import is that the worse seems behind them now and with prospects of an improving economy ahead, added revenues should flow mostly to the bottom-line as most cost are substantially fixed. The stock is now accorded a BUY RATED rating.
IC Insider is forecasting $131 million or 35 cents per share earnings in 2015. They should generate gross cash of $250 million for the full fiscal period which should a far way in reducing their indebtedness.
On the negative side cash is down from $155 million in March this year to $113 million and receivables is up to $456 million from $370 million and borrowings are stable at $246 million.
Big jump in RJR Q1 profit (BUY RATED)
Trackbacks
-
[…] cents loss but traded previously at $3.National Commercial Bank had 100,819 shares trading at $30, Radio Jamaica traded 100,000 shares is at $2.60, Sagicor Group traded 466,995 shares with the price climbing 15 […]
-
[…] index slipped 262.35 points to 84,902.62. The junior market index rose 0.33 points to 731.31. IC Insider Buy Rated RJR closed at a new 52 weeks high of $2 with just over 190,000 shares as the price puts on 50 cents and […]
-
[…] Buy Rated Radio Jamaica enjoyed one of its better years in recent times, with a big 137 percent jump in profit after tax to […]
-
[…] 7 cents to 10 US cents. Mayberry Investments had 75,000 shares trading lower by 4 cents to $1.96, Radio Jamaica closed with 5,642 shares changing hands to close lower by 1 cent to $1.10, Sagicor Group ending with […]
-
[…] shares changing hands to close at $4.90, Jamaica Broilers ended with 1,000 shares trading at $4.10, Radio Jamaica in trading 795 units ended at $1.30, Sagicor Real Estate Fund closed with 3,400 units at $7.02. […]
-
[…] trading 4,317 units to end at 81 cents, Grace Kennedy closing with 37,184 units traded at $60, Radio Jamaica with 19,221 shares changing hands, closed at $1.10 and Sagicor Group closed with 39,447 shares […]
-
[…] 6,942 shares changing hands, at $1.50, Mayberry Investments contributed 8,159 shares at $1.50 and Radio Jamaica traded 8,882 shares at $1.18. Declines| The last traded prices of stocks with losses at the end of […]
-
[…] in the last traded prices are, Proven Investments with 30,000 units, closed at 17.99 US cents and Radio Jamaica with 2,132 shares at $1.04. Declines| The last traded prices of stocks with losses at the end of […]
-
[…] Wharves 1,252 units traded at $5, Proven Investments with 65,100 share closed at 17.99 US cents, Radio Jamaica with 10,102 shares, closed at $1.04, Sagicor Group with 57,130 shares closed at $9.75 and Scotia […]
-
[…] Investments ordinary share, traded 322,428 units to gain 0.15 US cents to end at 17 US cents and Radio Jamaica had just 483 units changing ownership and gained a cent to $1.05. Firm| The stocks in the main […]
-
[…] Radio Jamaica (RJR) will be paying an interim dividend of 5 cents per share on October 15, 2014, to shareholders on record as at September 9. The stock will traded ex-dividend on September 5, 2014. RJR last paid a dividend of 10 cents, in November 2011 and 12 cents in October 2010. The latest dividend comes against to back ground of a jump in the company’s first quarter results to June. Shareholders of Caribbean Producers (CPJ) will be enjoying a dividend of 4 cents per share payable on October 1, 2014 to shareholders on record as at September 10, 2014. The stock trades ex-dividend on September 8. CPJ paid a dividend of 3 cents per share on January 31, this year and 4.5 cents March 2013. Caribean Producers enjoyed increased profits for the Year to June 2014, but the last half was lower than for the similar period in 2013. […]
-
[…] Jamaica Producers had 61,440 shares changing hands at $15.60 after losing 5 cents and Buy Rated Radio Jamaica lost 22 cents while trading 319,350 shares to end at $1, for a 52 weeks low. Preference| Jamaica […]
-
[…] main market are, National Commercial Bank with 82,727 units, gained 50 cents to close at $18.50, Radio Jamaica gained 7 cents to close at $1.22 while 10,500 units traded, Sagicor Group had 751,235 shares while […]
-
[…] in the main market, are Carreras with 462,740 shares, to close with a loss of 70 cents at $34.30, Radio Jamaica a new Buy Rated stock, traded 2,058,222 shares while losing 10 cents to $1.10, a new 52 weeks low […]
[…] to be pursued through a court approved scheme of amalgamation and will be a stock for stock deal. Radio Jamaica will issue 1.2 billion shares on a one for one basis to shareholders of The Gleaner Company in […]