Unilever’s huge drop
The Trinidad based Unilever Caribbean ended 2017 with a profit, but it was not the greatest year for the company. Profit fell 72 percent in the December quarter, to TT$3.5 million from TT$12.4 million in 2016.
For the year to December, profit dropped 85 percent from TT$71.7 million in 2016 to TT$10.7 million.
Sale revenues fell 27.5 percent for the quarter, to TT$113.7 million from TT$157 million and declined 18 percent for the year, to TT$464 million from TT$566 million in 2016. 
The fall in fortunes resulted from pressures in the home country the results of a continuing recession and shortage of foreign exchange. In the second half of the year, the company faced added pressure from the damaged and dislocation caused by hurricanes that affect several countries in the Eastern Caribbean. Corporate taxation fell 54 percent to TT$8.7 million for the year compared to TT$18.8 million in 2016.
Revenues reached a high of $588 million in 2014, dipped to $549 million in 2015, recovered a bit in 2016 to $566 million before falling sharply in 2017. Profit peaked at $70 million in 2013 dropped sharply in 2014 to just over $47 million in 2015 and $42.5 in 2016
Gross profit margin in the final quarter, declined to 35 percent from 38 percent in the 2016 and 36 percent for both the year, compared to 40 percent for 2016. The effect, gross operating profit declined 33 percent in the quarter to TT$40 million from TT$60 million but fell 27 percent for the year to TT$166 million from TT$228 million in 2016.
Administrative expenses rose 7 percent to TT$7.6 million in the quarter and increased just 1 percent in the year, to TT$29.5 million. Selling and distribution expenses declined by 31 percent to TT$21.7 million in the last quarter and was down 16 percent to $115 million for the year. 
The company suffered a loss of TT$1.7 million on disposal of fixed assets in the December quarter and TT$1.9 million for the ear.
Gross cash flow brought in TT$30 million but a TT$43 million addition to fixed assets and paying TT$13 million in dividends more than wiped out to inflows reducing the cash funds from TT$57 million to TT$32 million at the end of the year.
At the end of December, shareholders’ equity stood at TT$234 million with no borrowings. Receivables stood at TT$111 million and Payables at TT$86 million.
The capital spend will has boosted plant capacity and improved efficiency and is expected to drive domestic and export sales. The company now earns 45 percent of its revenues from exports. A part of the plan is new detergent formulations that will be offered in 17 markets, in the region, the company stated.
Earnings per share came out at 13 cents for the quarter and 40 cents for the year. The stock traded at TT$32 on the Trinidad & Tobago Stock Exchange with a PE ratio of 80 times 2017 earnings and net asset value is TT$8.92 resulting the price to book value being 3.6 times.
