LascoMan profit jumps 78% in Q4

Lasco's new I Cool drink where demand is resulting in an increase in the plant size.

Lasco’s new I Cool drink where demand is resulting in an increase in the plant size.

Lasco Manufacturing generated total revenues of $1.45 billion, 27 percent more than the $1.14 billion garnered in the March 2014 quarter, resulting in a 78 percent jump in profit for the quarter to $243 million from $138 million.
For the financial year, revenues climbed 19.4 percent to $4.8 billion from $4.03 billion and profit of $669 million is up from $584 million. Gross profit climbed 34.7 percent well above the growth in revenues, a very positive development. Gross profit for the quarter jumped a huge 86 percent helping to deliver the stunning increase in profit for the quarter and augurs well for results for the coming fiscal year, and is a result of new products now being produced by the new plant.
Administrative expenses climbed 44 percent to $555 while finance cost moved from $73 million to $125 million. The average number of persons employed by the company during the year was fifty-one up from forty-two in 2014 helping to push labour cost from $147 million to $209 million. With the new factory facilities operational, depreciation ended at $67 million up from $27 million in 2014 but is set to jump in 2016 with only a Borrowingfraction of the annual charge booked in 2015, additionally, there are more assets to be transferred to fixed assets that will give rise to even higher depreciation charges.
Borrowing climbed to $1.64 Million from $1.49 billion at the end of March 2014, the increase helped to fund capital expenditure of $523 million during the year. A total of $329 million was paid back on loans during the year.
The last quarter numbers suggest that profit could end around $1.2 billion for the year or around 30 cents per share. While the company becomes taxable this year capital allowances coupled with tax payable at 12.5 percent, will result in little or no taxes being paid on profit for the year.
The net book value of property, plant and equipment includes assets under construction amounting to $1.34 billion. The cost will be depreciated once the property is complete and available for use. The estimated additional cost of completion of the facility is $373 million.
The company is listed on the junior market of the Jamaica Stock Exchange and last traded at $1.31 for an historical PE of just over 8 and around 4 based on IC Insider’s projected earnings. The stock should deliver a healthy increase in price during the fiscal year.

About IC Insider.com

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Trackbacks

  1. […] Financial closed at $2.10 while trading 248,094 shares changing hands with a gain of 10 cents. Lasco Manufacturing traded 405,000 shares to end at $3.01 after falling by 50 cents. The vast majority of trading in […]

  2. […] units at $1.86. There are 4 offers, ranging between $2.03 and $2.05 for a total of 503,000 shares. Lasco Manufacturing has a bid at $2 for a small amount and 321,191 at $1.90, there are 5 offers ranging from $2.05 with […]

  3. […] Lasco Manufacturing generated total revenues of $1.44 billion, 34 percent more than the $1.08 billion in the June quarter of 2014, resulting in a 75 percent jump in profit to $247 million or 6 cents per share from $141 million in 2014 and slightly ahead of the $243 million for the March quarter. Gross profit margin for the quarter climbed to 33 percent from 29 percent in 2014 but gross profit jumped 50.50 percent well above the growth in revenues, a positive development for continued strong growth in profit going forward. Operating Expenses climbed 29 percent to $185 while finance cost rose from $32 million to $42 million as a result of construction phase of the factory completed, resulting in the interest on the funds used in construction being expensed as opposed to being capitalised during the construction phase. With new factory facilities completed and in use, depreciation ended at $67 million for the fiscal year up from $27 million in 2014 but is set to jump in 2016 with only a fraction of the annual charge being booked to March 2015. With more monies to be transferred to fixed assets for the year to March 2016 depreciation cost should climb. At the end of March, net book value of property, plant and equipment amounts to $3.4 billion and includes assets under construction of $1.34 billion. The cost of assets under construction will be depreciated once the property is complete and in use. The estimated additional cost of completion of the facility was $373 million at March, since then more than $150 million was added to fixed assets. […]

  4. […] with 216,000 shares changing hands at $1.87, for a rise of 21 cents after trading earlier at $1.70, Lasco Manufacturing ended with 1,595,585 shares changing hands at $1.80, but traded as high as $1.95 and Eppley […]

  5. […] at $1.95. Lasco Financial closed with 50,000 units trading to end at $1.66, after rising 1 cent, Lasco Manufacturing closed at $1.90 with 61,231 units changing hands. Medical Disposables traded 78,000 shares to close […]

  6. […] at $1.80, Lasco Financial ended with 447,738 shares changing hands at $1.65 for a fall of 1 cent, Lasco Manufacturing with 37,642 units changing hands, closed at $1.85, up 1 cent and Jamaican Teas variable rate bond […]

  7. […] hands at $1.66 for a fall of 14 cents, at the close the bid was at $1.70 to buy 30,000 shares. Lasco Manufacturing with 175,657 units changing hands, closed at $1.84 and Medical Disposables traded 45,653 shares to […]

  8. […] 70,000 units. Lasco Financial Services traded 1,400 units and gained 3 cents to end at $1.55, Lasco Manufacturing with 29,390 shares trading, closed 4 cents higher at $1.64, for anew 52 weeks high and Epply 9.5 […]

  9. […] day. Lasco Financial Services traded only 10,905 shares and shed just 1 cent to end at $1.75 and Lasco Manufacturing had 60,195 shares changing hands 1 cent higher at $1.21 and Paramount Trading ended with 4,100 […]

  10. […] 1 cents at $1.70. Lasco Financial Services traded 69,700 shares and lost 13 cents to end at $1.80, Lasco Manufacturing had 140,000 shares changing hands at $1.36 and lost 9 cents at the end. Caribbean Cream did not […]