Desnoes & Geddes

Carreras climbs $2.29 pushes JSE

January 23, 2015 by IC Insider.com

Carreras closed trading at $39.50 to end the day at a new 52 weeks’ high and Scotia Group after hitting $21.99 with 739,792 shares by mid-day, closed at $20.50 and were the main contributors to a strong increase in the main market indices on Friday. The gains were not adequate to stop the overall market from registering the third consecutive day of declining stocks out numbering advancing ones.
Activity on the overall Jamaican stock market, resulted in the prices of 6 stocks rising and 9 declining as 29 securities changed hands, ending in 5,019,576 units trading, valued at $36,430,375, in all market segments.
Main Market| The JSE Market Index gained 1,175.44 points to 77,828.04, the JSE All Jamaican Composite index rose 1,314.20 points to close at 85,733.67 and the JSE combined index gained 1,070.76 points to close at 79,654.74.
IC bid-offer Indicator| At the end of trading, in the main and junior markets, the Investor’s Choice bid-offer indicator shows 10 stocks with bids higher than their last selling prices and 3 with offers that were lower.

Scotiabank shares helped to push the index in Fridays trading.

Gains| Stocks gaining with last traded prices, at the end of trading in the main market are, Caribbean Cement ending with 12,825 units changing hands, to close with a gain of 5 cents at $2.35. Carreras swapped 124,240 shares to close with a gain of $2.29 at $39.50, the highest price it closed at since, November 6, 2013 when it then closed at $40. Jamaica Money Market Brokers closed with 93,329 ordinary shares trading, with a gain of 2 cents to $6.57, Scotia Investments contributed 5,000 units in trading to close 4 cents higher at $22.55 and Supreme Ventures had 10,600 shares changing hands, the price gained 15 cents to $2.15.
Firm| The stocks in the main market to close without a change in the last traded prices are, Berger Paints in trading 1,569 units ended at $1.55, Cable & Wireless closed with 31,881 shares changing hands at 50 cents. Ciboney ended with 10,000 shares trading at 7 cents, Desnoes & Geddes closed with 909,979 units trading to end at $4.80, Jamaica Broilers closed with 89,998 units traded at $4, Jamaica Stock Exchange finished with 10,000 units changing hands at $2. Kingston Wharves exchanged only 827 units at $5.60, Mayberry Investments traded at $2, in swapping ownership of 200,406 shares, Proven Investments traded 17,000 shares at 21 US cents, Radio Jamaica closed with 800 shares changing hands at $1.30 and Scotia Group ended up with 750,762 shares changing hands at $20.50.

Declines| The last traded prices of stocks with losses at the end of trading in the main market are, Gleaner closing with 64,463 units trading as the price slipped 5 cents to 80 cents, for a new 52 weeks low, Grace Kennedy finished with 23,770 shares trading lower by 50 cents to $62.50, Kingston Properties closed with 29,925 shares changing hands to close lower by 50 cents at $7, National Commercial Bank closed with 50,453 units as the price slipped 19 cents to $19.31, Pan Jamaican Investment finished with 26,363 units trading, the price eased by 10 cents to $52, Radio Jamaica ended with 560 shares trading lower by 15 cents to $10.05 and Sagicor Group closed trading with 10,947 units as the price slipped 30 cents to $6.65.
Preference| Eppley 10% preference share traded 34,500 units at $6 and Jamaica Money Market Brokers 7.50% preference share ended with 1,773,100 units trading at $2.

Filed Under: JSE Main Market Tagged With: Berger Paints, Broilers, Cable & Wireless, Caribbean Cement, Carreras, Ciboney, Desnoes & Geddes, Gleaner, Grace Kennedy, jamaica, Jamaica Money Market Brokers, Jamaica Stock Exchange, Kingston Properties, Kingston Wharve, Mayberry Investments, National Commercial Bank, Pan Jamaican Investment, Proven Investments, Radio Jamaica, Sagicor Group, Salada Foods, Scotia Investments

Tax cut help boost D&G profit 30%

November 5, 2014 by IC Insider.com

Desnoes & Geddes, brewers of the world famous Red Stripe beer, racked up a 30 percent increase in after tax profit, for the quarter to September this year, thanks partly to a reduction in tax, a 3 percent revenue increase and static to reducing cost. Profit before tax increased 14.5 percent to $640 million from $559 million in 2013. Revenues grew just 3 percent to $3.4 billion in the quarter but taxes fell from $192 million in the 2013 to $164 million as the tax rate for companies dropped to 25 percent form 30 percent for 2013.
Gross profit margin improved to 71.76 percent, in the latest quarter, from 69.25 percent last year. The improvement in the margin flowed in part from what management says are “efficiency gains from the investment in the brewery modernization such as the new combined heat and power plant.”
Gross profit improved by 14.7 percent to reach $1.156, as local sales grew 4.8 percent year over year, to reach $2.95 billion. Exports sales fell to $414 million from $465 million in 2013 leading to a fall in gross profit in the export segment to $226 from $291 million. Management stated that the reduction in exports is due to shift in the timing of a Shipment from the September quarter to the December quarter.
The company benefited from lower general, selling and administrative cost which fell to $261 million in the quarter, compared to $288 million in the 2013 quarter.
Cash funds at the end of the quarter, stood at $1.79 billion. The company declared a dividend of 27 cents per share, payable in December to cost $760 million and will be adequately funded by the earnings, for the December quarter. With the planned dividend, the company will pay 52 cents per share, in dividend for the 2014, providing a yield of just over 10 percent, based on the price of $5.10 at the end of 2013.
IC Insider is projecting earnings of 85 cents per share, for the year ending June 2015 and $1.05, for the following year. The stock which last sold at $4.95 remains an IC insider BUY RATED stock.

Filed Under: Company News, Company Results Tagged With: Desnoes & Geddes, Dividend, Red Stripe, Red Stripe Beer

More insider buying of D&G shares

September 27, 2014 by IC Insider.com

Within less than a month of the release of Desnoes and Geddes full year results, to June, the company is reporting another purchase of shares by a director. The latest, is 3rd such inside purchase to have taken place, since the June results were released.
The latest acquisition is 507,650 shares on September 23. This comes on the heels of Desnoes and Geddes reporting strong full year results, with the promise of higher earnings, in the new fiscal year. The company previously reported the purchase 250,000 shares by a Director, on August 29, 2014 and 100,000 units, on September 1.

Filed Under: Company News, Dividends, Insider Trades, Stock Market Tagged With: Desnoes & Geddes, Dividends, Inside Trades, Red Stripe

Profit up strongly at D&G, more expected

September 1, 2014 by IC Insider.com

Add your HTML code here...

Desnoes & Geddes brewers of the world renowned Red Stripe Beer, reported impressive results for the year to June 2014, with pretax profit jumping 96 percent, including a gain on sale of shares, in two overseas breweries in the Caribbean. Excluding this one off gain, profit before tax would have been up by a still respectable 45 percent to $2.7 billion, instead of the $3.68 billion reported.
Profit after tax ended at $3.15 billion, but excluding the gain from the shares, it would have been $2.2 billion or 80 percent up, instead of the 160 percent increase the net result shows. Net profit benefited from a reduction in the tax rate from 30 percent in 2013 to 25 percent in 2014, in addition, other income that was negative in 2013 at $130 million, was a positive $232 million in 2014, a swing of $360 million. Profit before tax amounted $928 million for the June quarter versus just $371 million in June 2013 quarter and after tax credit, $1 billion, compared with only $161 million in 2013.
Gross profit margin improved slightly from 50.13 percent in 2013 to end at 50.38 in 2014. In 2012 gross profit margin was at 44.86 percent. The 2014 performance is still well off the 60 percent achieved in 2006. During the 2014 financial year staff cost was cut due to redundancies, from $2.25 billion in 2013 to $1.74 billion for 2014, a reduction of $500 million, in addition the company spent $311 million in making staff redundant in 2013. These two items resulted in more than $800 million cost reduction in 2014 versus 2013.
Revenue for the year climbed 10.6 percent to $14 billion and in the final quarter it grew by a stronger 17 percent, to $3.84 billion, from $3.3 billion in 2013. Foreign sales declined by 7 percent for the year to June, to end at $1.8 billion while local sales climbed 13.75 percent to $12.3 billion. The US market declined the most, falling from $566 million to $300 million. Royalties earned declined during the year to $525 million, from $556 million.
While earnings per share in the audited accounts is $1.12, earnings from ongoing operations is 77.6 cents for 2014. IC Insider forecast earnings of 90 cents per share for the current year ending June 2015, with the stock price under $5, the potential exists for investors to make a nice capital gain down the road and collect tidy dividend payments while they wait.
D&G has embarked on a brewery consolidation “project which will configure the brewery and process layout to ensure more cost effective production. By closing down the cellars and moving from horizontal to vertical processing vessels, we will reduce operating cost” management said in a report to shareholders. The company in April commissioned a combined heat and power plant which is expected to reduce energy cost.
At year end cash funds stood at $1.79 billion, current assets amounted to $4.6 billion and current liabilities at $2.6 billion, there were no loans on the books as of June.
The stock which was placed on the Buy Rated list months ago, remains there.

Filed Under: Company News Tagged With: Desnoes & Geddes, Dividend, Profit, Red Stripe

Prices of 9 stocks rose & 4 declined

July 8, 2014 by IC Insider.com

In Tuesday’s trading on the Jamaica Stock Exchange the prices of 9 stocks rose and 4 declined, 25 securities changed hands resulting in 3,183,862 shares trading, valued at $36,706,402.
Main Market| The JSE Market Index rose by 449.66 points to 70,196.56 and the JSE All Jamaican Composite index moved up by 02.81 points to close at 77200.71.
Gains| Stocks recording gains at the end of trading in the main market are, Desnoes & Geddes with 30,000 units to close 15 cents higher at $4.45 followed by Mayberry Investments with 1,980 units as the price gained 2 cents to end at $1.48, National Commercial Bank 830,055 shares at a 85 cents hike to $18.35, Proven Investments with 10,450 ordinary shares as the price inched up by 0.0001 US cents to 18 US cents, Sagicor Group with 1,148,990 shares gained 10 cents and closed at $8.90, Sagicor Real Estate Fund 84,313 shares with the price rising 10 cents to $5.95, Scotia Group with 250,930 units changing hands, gained 11 cents to close at $18.61 and Seprod with 55,472 shares changing hands and closed 10 cents higher at $10.80.
Firm| Stocks trading in the main market to close without a change in price are Cable & Wireless with 11,981 shares to close at 29 cents, Caribbean Cement 6,244 shares at $2.25, Carreras 2,192 shares at $35, Grace Kennedy 420 shares and closed at $56, Radio Jamaica with 1,790 shares closing at $1.28.
Preference| in the fixed income market, Eppley 9.5% preference share traded 16,800 units to close at $6.10, Jamaica Money Market Brokers 7.50% preference share, 10,000 units at $2, Jamaica Money Market Brokers 8.75% preference share with 176,600 units at $3.03 and Jamaica Teas debenture dote with 3,000 units to trade at $100 each.
Declines| The number of stocks that declined in the main market are Gleaner with 120,000 shares, to close 8 cents lower at $1.10 and Pan Jamaican Investment with 84,470 shares at 40 cents lower to end at $48.10.
Junior Market| The JSE Junior Market Index declined by 8.11 points to close at 706.69 as 7 stocks traded with 1 advancing and 3 declining.
Gains| The only stock that gained at the end of trading in the junior market is Caribbean Producers with 8,845 shares, to close with a gain of 18 cents at $2.83.
Firm Trades| Stocks in the junior market that traded to close at the same price as the day before are, AMG Packaging with 2,500 shares to close at $3.10, Lasco Distributors with 74,000 shares to close at $1.19 and Lasco Financial with 65,500 units to close at $1.
Declines| Stocks declining in the junior market at the end of trading are Honey Bun traded 500 shares but fell 12 cents to $2.90 for a 52 weeks low and Lasco Manufacturing 189,830 shares, as it closed lower by 12 cents at $1.
IC bid-offer Indicator| At the end of trading the Investor’s Choice bid-offer indicator had 2 stocks with higher bids than their last selling prices and 2 stocks with offers that were lower.

Filed Under: JSE Main Market, Stock Market Tagged With: AMG Packaging, C&WJ, Caribbean Cement, Caribbean Producers (CPJ), Carreras, Desnoes & Geddes, Eppley, Gleaner, Grace Kennedy, Honey Bun, Jamaican Stock, Jamaican Teas, JMMB, Lasco, Mayberry, NCB, Pan Jam, Proven, Radio Jamaica, Sagicor, Scotia, Seprod

Pick up in market activity

June 24, 2014 by IC Insider.com

Trading picked up over Mondays levels in Tuesday’s trading on the Jamaica Stock Exchange with the prices of 7 stocks rising and 8 declined as 30 securities changed hands resulting in 6,769,006 shares trading valued at $93,106,961.
Main Market| The JSE Market Index inching up by 68.50 points to 69,499.13 and the JSE All Jamaican Composite index moved up 76.59 points to close at 76,420.86
Gains| Stocks recording gains at the end of trading in the main market are Caribbean Cement trading of 10,000 shares to close with a gain of 20 cents at $2.95, Carreras gained 50 cents to close at $34 with 1,100 units changing hands, Kingston Wharves with 216,216 shares as the price gained 10 cents to close at $5, National Commercial Bank with 173,550 shares to close with a gain of $1.20 at $18.50 and
Scotia Group with 428,791 units to close with a gain of 50 cents to end at $19.
Firm| The stocks in the main market to close without a change in price at the end of trading are Berger Paints with 6,161 units to close at $1.66, Cable & Wireless 856,277 shares to close at 30 cents, Desnoes & Geddes with 2,500 units to close at $4.50, Gleaner 11,000 shares in closing at $1.10, Jamaica Producers with only 2,462 units to close at $15.60, Mayberry Investments 22,846 units to close at $1.45, prior to the close the stock hit a new 52 weeks intraday low of $1.35, Radio Jamaica 9,549 units to close at $1.29, Scotia Investments with 15,950 units to close at $21.50 and Supreme Ventures 2,500 units traded to close at $1.90.
Preference| Jamaica Money Market Brokers 7.50% preference share traded 48,750 units to close at$2 and the Jamaica Money Market Brokers 8.75% preference share 558,109 units to close at $3.03.
Declines| The number of stocks that declined in the main market are Grace Kennedy with 480,829 shares valued at $25,940,725 traded to close down 5 cents at $53.95, Jamaica Money Market Brokers 62,200 units lost a cent to end at $6.65, Proven Investments traded 2,470,874 shares lost 2 US cents to close at 16 us cents, Sagicor Group with 776,336 shares lost 8 cents to end at $8.80 and Salada Foods with 1,000 shares lost 20 cents to end at $7.80.
Junior Market| The JSE Junior Market Index declined by 7.03 points to close at 707.51 as 9 stocks traded with 2 advancing and 3 declining.
Gains| Stocks recording gains at the end of trading in the junior market are Dolphin Cove with 700 units to close a gain of a cent to end at $8.51 and Jamaican Teas with just 1,383 units as the price inched up by 5 cents to end at $3.30.
Firm Trades| The stocks in the junior market stocks that traded to close at the same price as the day before are Access Financial with 6,500 units to close at $13.50, Blue Power 1,900 units to close at $9.01
Caribbean Producers with 231,000 units to close at $2.65 and Consolidated Bakeries 9,910 units to close at 80 cents.
Declines| Stocks declining in the junior market at the end of trading are with Lasco Distributors trading 7,800 shares to close 2 cents down to $1.18, Lasco Financial 153,913 shares with the price falling 7 cents to close at $1 and Lasco Manufacturing with 198,900 shares close with a 3 cents fall to $1.07.
IC bid-offer Indicator| At the end of trading the Investor’s Choice bid-offer indicator had 3 stocks with the bid higher than the last selling price and 4 stocks with offers that were lower.

Filed Under: JSE Main Market, Stock Market Tagged With: Berger Paints, C&WJ, Caribbean Cement, Caribbean Producers (CPJ), Carreras, Consolidated Bakeries, D&G, Desnoes & Geddes, Grace Kennedy, investors choice, Jamaica Broilers, Jamaica Producers, Jamaican Stock, Jamaican Teas, JMMB, Lasco, Mayberry, NCB, Proven, Sagicor, Salada, Scotia

D&G dominates trade as JSE gains

June 13, 2014 by IC Insider.com

There was trading in 25 securities on the Jamaica Stock Exchange with 7 rising and 4 declining as 3,530,162 units changed hands valued at $40,444,650 on Friday with Desnoes & Geddes being the dominant trade with 1.99 million units valued at $9.1 million.Main Market| The JSE Market Index advanced by 164.38 points to close at 70,496.64, the JSE All Jamaican Composite gained 183.80 points to 77,536.24 and only 3 companies in the main market advanced in price and 3 declined.
Gains| Stocks recording gains at the end of trading in the main market are Desnoes & Geddes with 1,986,182 shares changing hands to close with a gain of 35 cents at $4.60, Cable & Wireless with 8,199 units to close with the gain of a cent at 28 cents and Sagicor Real Estate Fund 14,690 shares, in closing 2 cents higher at $6.10.

Firm| The stocks in the main market to close without a change in price are, Berger Paints with 4,890 units in closing at $1.70, Ciboney with 60,000 units and closed at 7 cents, Grace Kennedy had 449,339 units changing hands to close at $54, Jamaica Broilers 25,474 shares and closed at $4.57, Jamaica Money Market Brokers with 41,722 ordinary shares closed at $6.50, Kingston Wharves with 10,000 units, closed at $5.05, Sagicor Group 17,540 shares to close at $9.10, Salada Foods, 5,885 units and closed at $8, Scotia Group saw 156,453 units trading to end at $19.30 and Supreme Ventures 58,900 units landed the closing price at $1.95.
Declines| The number of stocks that declined in the main market are Jamaica Producers with 923 shares changing hands, in closing 20 cents lower at $17, National Commercial Bank having 90,950 shares in closing at $1.48 down to $17 and Scotia Investments with 6,520 shares closing at $24 for a fall of $1.50.

Preference| Jamaica Money Market Brokers (JMMB) 7.50% preference shares traded 78,844 units to close unchanged at $2, JMMB 7.25% preference shares had 141,150 units changing hands to close 5 cents up at $2.50 and JMMB 8.50% preference shares traded 17,000 units to close with a gain of 1 cent at $3.51.
Junior Market| The JSE Junior Market Index inched up by 1.58 points to close at 715.42 as 6 stocks traded with 2 advancing and 1 declining.
Gains| Stocks recording gains at the end of trading in the junior market are Lasco Distributors with 46,700 shares to close at $1.21 with a gain of 3 cents and Lasco Manufacturing with 21,823 shares to close 1 cent higher at $1.05.

Firm Trades| The stocks in the junior market stocks that traded and closed at the same price as the previous trading day are Caribbean Producers with 76,978 units, closing at $2.65, Consolidated Bakeries 10,000 at 90 cents and Lasco Financial with 50,000 units in closing at $1.15.
Declines| Only one stocks declined in the junior market at the end of trading with Jamaican Teas having 150,000 shares changing hands to close 25 cents down at $3.25.
IC bid-offer Indicator| At the end of trading the Investor’s Choice bid-offer indicator had 7 stocks with the bid higher than the last selling price and 4 stocks with offers that were lower.