Jamaican Teas’ profits up 28%
January 22, 2015 by
Sales were helped by 91 percent jump in exports, moving from $55 million to $103 million, Sales in the prior year included Real Estate sales of $21.75 million, excluding these sales, revenues would be up by 26 percent for the quarter. The increase in exports, relate mainly to supplies to the US market and is partially due to the appointment of a new Distributor for the North East USA and expect that this will result in further improvement in sales. Sales also benefited from the launch of four new products during the period. Sales for Supermarkets are up 9 percent compared to the comparative quarter, in 2013, however, profits are flat. The jointly owned Supermarket in Montego Bay showed a reduction in losses which was helped by certain actions taken to reduce cost in 2014.
Gross profit margin increased to 24.3 percent from 24 percent in 2013, while gross profit increased 16 percent to $62 million but cost rose in other areas, with marketing climbing 24 percent to $7.3 million, administration by only 4 percent to $25.5 million and finance used to generate revenues in the period is up 14 to $6.2 Million.
Property Development| The group has completed construction of more than 50 percent of units in phase 1 of the residential development in Yallahs, St Thomas. Approximately a half of the units have been sold and delivery to the purchasers should start in April. The group should enjoy increased profits from this development which should start reflecting in the June quarter.
Barring any unforeseen developments, 2015 could produce the best financial performance far. The stock which is now at $2.55 seems to have much room for growth.