Consolidated Bakeries (Purity) closed down form record high of $4.50 in 2017 to $2.40 on Friday.
Consolidated Bakeries suffered a reversal in fortunes in their first quarter results to March this year, with Easter falling in mid-April compared to the end of March last year, resulting in revenues falling to $228 million from $261 million last year and profit falling from $22.8 million down to $5.8 million in the latest quarter.
Earnings per share end at 3 cents in 2017 and 10 cents in 2016, for the fiscal year ending December last year the company reported just 5 cents per share in earnings. In the December quarter the company doubled Selling and Distribution cost resulting in a rise of $22 million while revenues rose by just $3 million pulling a profit of $30 million at the third quarter down to just $10 million. For the March quarter, cost in this area came in at $33 million closer to the quarterly spend for 2016 but for December quarter with spend of $43 million.
Administrative, Selling and Distribution cost were effectively flat during the quarter, at $76 versus $73 million in the 2016 period. Gross profit margin declined to just over 36 percent compared to 37 percent in 2016, but gross profit fell $14 million to $82.4 million.
In the 2016 June quarter, revenues were just $210 million and generated $4.3 million in profit. With Easter bun sales taking place mostly in April, the company should see revenues popping around $60 million and profits by around $20 million for the current quarter.
Consolidated ended with cash funds of $148 million and borrowings of just $128 million with shareholders’ equity standing at $553 million. The company has current assets of $271 million and current liabilities of $159 million.
The stock is listed on the Junior Market of the Jamaica Stock Exchange and last traded on Friday at $2.40 and is down from a high of $4.50 earlier this year.
