Q2 profit doubles at Barita

Barita closed trading on Wednesday with the bid at $12.07.

Profit at Barita Investments more than doubled after tax in the March quarter, to $88 million from $43 million in 2017 with lower taxes booked in the 2018 quarter. 

Profit declined for the six months to March, profit dipped 8.5 percent to $49 million from $58 million in 2017, as the company recovered from a loss in the first quarter due mainly to foreign exchange losses.
Earnings per share came out at 20 cents for the quarter and 11 cents for the six months period.
Most major revenue streams rose nicely for the quarter, with net interest income climbing to $109 million from $69 million in 2017, fees and commission income was up more modestly from $117 in 20917 to $123 million and foreign exchange gains were nearly $29 million from $16 million in the 2017 quarter. Gains realized on trading investments fell to $69 million in the quarter from $103 million in 2017. Overall net income generated was just up to $329 million in the quarter versus $316 million in 2017. For the six months, net income generated was $490 million falling below $528 million in 2017.
Improvement in profit flowed from increased margin on money market instruments, reduced staff cost and the none recurrence of impairment losses which was $20 million in 2017 quarter and $40 in the 2017. Total cost fell from $226 million in the 2017 quarter to $204 million in the March quarter and to $370 for the half year to march this year versus $394 million last year.
In spite booking strong investments gains Barita still had $773 million of unrealized gains in reserves and is up from$605 million at the end of September last year.
At the end of March, shareholders’ equity stood at $2.9 billion with total assets of just over $16 billion and a net asset value of $6.40.
The stock last traded at $10.50 on the Jamaica Stock Exchange and closed on Wednesday with the bid at $12.07.

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