The Jamaica Stock Exchange will pay $74 million in dividend on May 6, this year. The dividend translates to 53 cents per share. In December last year, the company made a payment of $65.8 million or 47 cents per share following a payment of 53 cents per share in July.
The stock will start trading ex-dividend on April 28, at which date new investors in the stock will not be entitled to the above dividend.
With the price of the stock in the $20 range in 2016, the yield is 2.5% and IC Insider projects that it is with profits for the year set to exceed that of 2015 dividends will be increased thus raising the yield for the year higher.
The company reported earnings for 2015 of $1.25 per share or $175 million, up from only $3 million in 2014. The company’s stock last traded on Wednesday on the Jamaica Stock Exchange at $20.55.
In December 2014, the stock traded at $1.50. The three dividends provide investors who purchased the stock in December 2014 if they held them, with a full pay back of the amount invested, not factoring in taxes.
$74m pay out by JSE
Witco records $515.5m profit
Witco profit rose 5.4% in 2015
The company is recommending the approval of a final dividend of $2.18 per share at the Annual Meeting in April and said that when added to the interim dividends of $3.70, will result in a total dividend of $5.88 per share for 2015. If approved, the final dividend will be paid on 6 May 2016. Dividends paid based on the 2014 profit were $5.51.
The lack of meaningful growth in revenues and profit will mean a price increase is not far away but the recession in Trinidad and Tobago could see a delay in any price increase.
The stock traded at $126.30 on Friday giving it a PE of 20.6, with earnings per share for 2015 being $6.12.
Carreras dividend yielded 20% in 2015
Carreras will be paying an interim dividend of $1.80 per share to shareholders on March 17 and brings the total dividend in the last twelve months to $8.94 for a yield of 20.2 percent based on the stock price of $44.10 at the beginning of March 2015.
In 2015, the company paid an ordinary dividend of $1.40 per share in December, a special capital cash distribution of $1.94 per on December 17, one dollar and twenty cents ($1.20) per share in September 3, two dollars ($2.00) per share unit in June a special capital cash distribution of sixty cents ($0.60) per share in September. March 12, last year an interim dividend of one dollar and sixty ($1.60) per share was paid.
The stock is now trading at $66.50 on the Jamaica Stock Exchange. Dividends to come are not likely to be as high as in 2015. The special dividends that were paid, should be at an end, leaving only ordinary dividends to be paid, as such the yield is likely to fall to just over 10 percent based on the current price.
Huge profit turn at Honey Bun – BUY RATED
Honey Bun turned around a loss of $17 million in the September 2014 quarter into a profit of $4 million in 2015 and a profit of only $23 million into a one of $68 million for the 2015 fiscal year or earnings per share of 72 cents.
The performance and IC Insider’s forecast for the next two years, (See EPS forecast below) have elevated the status of the stock to BUY RATED.
The change came from a 22 percent rise in revenue in the quarter to $215 million from $169 million in 2014 and from a 19 percent growth in revenues for the full year, to $887 million from $747 million in 2014. The profit in the September quarter is a major achievement for the company it being the first time since 2012 when a small profit of $550,000 was realized that the company is reporting a profit.
“The company services lots of schools and so the summer months are normally reduced due to the holiday season for July and August. We will always have this challenge but we have somewhat overcome a significant portion of it by way of the development of new products that are not directly geared for schools and by targeting other markets also.
One Honey Bun’s Products
Helping the growth in profits was an improvement in gross profit and gross profit margin with the latter being 42.8 percent up from 41 percent in 2014 and from a 9.5 percent increase in administrative and other expenses, selling & distribution costs of $307 million from $280 million.
Investments, cash and equivalents rose to $92 million, net current assets stood at $102 million, borrowed funds fell from $73 million in 2014 to $51 million while equity rose to $368 million.
The company’s shares are listed on the junior market of the Jamaica Stock Exchange and last traded at $5.50, with the price being up 164 percent since 2015, and now sports a PE of 7.6 times 2015 earnings. IC Insider is forecasting earnings per share (EPS) of $1.15 for the 2016 fiscal year which gives it a PE of 4.8 and EPS of $1.70 for 2017.
The company advised that the Board of Directors will meet on Monday, December 7 to consider the declaration of a dividend. An interim dividend of 12 cents per stock, amounting to $11.3 million was paid in May this year.
Supreme bumps up dividend again
Supreme Ventures approved the payment of an interim dividend of 14 cents to be made on 27th May 2015 to shareholders on record as at 14th May 2015 representing an increase of 55.6 percent over the amount paid in 2014.
The approved payment translates to 16 percent rate of return per annum. In addition the company will also be paying the final portion of the special dividend they declared on 2nd March 2015.
The company announced in March, a final ordinary dividend for the year ended December 2014 of 8 cents per share, payable on March 21 and a special dividend of 23 cents per share to be paid on March 21 and 4 cents per share payable on May 27.
SVL paid dividends of 3 cents per share on January 8, last 
year as well as 3 cents in March, 9 cents in May, another 3 in September and 5 cents per stock on December 9, last year. The final regular dividend for 2014 brings the total relating to the 2014 profit to 19 cents per share or 54 percent of profits for the year. The total dividend payment just approved by the company totals 31 cents per share and is just short of the total profit for 2014, of 35.2 cents per share.
The company just reported a 20 percent increase in after tax to $405 million for the three-month period to March. The latest announcement of the results and dividends are likely to push the stocks much higher in the coming week.
Carib Cement impressive profit
Caribbean Cement posted impressive first quarter results for 2015, with profit after tax rising sharply to $248 million versus just $35 million the year before, from revenues of $3.58 billion. Revenues were just slightly less than the $3.6 billion generated in 2014.
Domestic sales volumes fell 3 percent, while exports declined sharply from 61,000 tonnes to 40,000, however, an increase in clinker sales from 44,261 tonnes to 55,371 mitigated the decline in cement sales somewhat. Lower energy costs, improvements in operational efficiencies, effective control of fixed costs and lower financing costs, were the major factors helping in the improved profit out turn. These results suggest that full year earnings could rise to $1 per share for 2015 and may well exceed it, if energy cost remained contained at current levels.
During the quarter interest cost remained fairly static with $65.5 million incurred, compared with $66 million in 2014 but depreciation charge climbed from $84 million to $93 million.
At the end of the period, cash increased from $178 million to $543 million. As impressive as the results are, the company has an operating deficit of $7 billion that will take years to wipe out, even at the level of profits now being generated. There are capital gains on the books of $1.4 billion, that can be used to offset the operating deficit, thus reducing the overall amount, nevertheless, the resumption of paying dividends is years away.
The stock which was elevated to BUY RATED in 2013 continues to hold that status and traded at $3 on the Jamaica Stock exchanged on Tuesday in response to the results.
Witco 2014 profit up 19%
West Indian Tobacco reported profit before taxation of TT$655 million, after earning TT$219 million in the final quarter ending December, last year, and an increase of 18 percent over the 2013.
Profit after taxation for the year amounted to TT$489 million, 19 percent increase over 2013. Revenues increased from $1.185 billion to $1.25 billion.
Cost of sales improved in the 2014 quarter raising gross profit to $784 million versus $701 million. Other costs of operation declined for the year with distribution cost declining from $18 million to $13 million and administrative expenses reaching $89 million in 2014 compared with $95 million in 2013. Other operating expenses fell to $27 million from $33 million.
The company earned $5.81 per share for the year to December and paid out $5.51 in dividend. A price adjustment, made in the latter part of 2014 is set to help push dollar sales and move profits up for 2015. IC Insider is projecting earnings of $6.50 per share for 2015. The stock trades at $125.03 on the Trinidad and Tobago Stock Exchange.
JSE quiet bullishness continues
Interest in the Jamaica stock market, improved on Tuesday resulting in 24 stocks securities changing hands and the main market indices gaining more than 1,000 points. There were 11 stocks advancing, 8 declining, ending in 8,794,289 units trading, valued at $42,590,814, in all market segments. A almost doubling of profits of Supreme Ventures and a the decision by the company to pay out over $800 million in dividends, helped to push the market.
strong> Main Market| The JSE Market Index gained 1,092.76 points to 81,900.29, the JSE All Jamaican Composite index rose 1,221.75 points to close at 90,286.63, the highest it has been since early July 2013 and the JSE combined index gained 1,016.39 points to close at 83,557.44.
IC bid-offer Indicator| At the end of trading, in the main and junior markets, the Investor’s Choice bid-offer indicator shows 8 stocks with bids higher than their last selling prices and 5 stocks with offers that were lower.
Gains| Stocks gaining with last traded prices, at the end of trading in the main market are, Cable & Wireless concluding trading with 111,000 shares changing hands to close higher by 7 cents at 55 cents, Carreras exchanging 25,000 shares while trading of 8 cents higher to $44.18. For Desnoes & Geddes there was dealing in 98,827 shares at 10 cents higher to $5.50, Jamaica Money Market Brokers contributing 17,448 shares in trading for 2 cents more at $6.92. Jamaica Producers closed trading with 1,013,600 shares changing hands while gaining $1.30 to $17, National Commercial Bank closed with 58,458 shares changing hands and rising 91 cents to a new 52 weeks’ high of $23, Proven Investments finished trading with 421 units and put on 0.49 cents to 18 US cent. Radio Jamaica saw trading in 7,422 shares, to end with an increase of 2 cents to $1.37, Scotia Investments ended with 5,000 units with a gain of $2.45 at $27.50 and Supreme Ventures closed with 3,295,614 shares to close 40 cents up at $2.40, after the company release large gain in profits for 2014 and announced increased dividend payments.
Firm| The stock in the main market to close without a change in the last traded prices is, Grace Kennedy that contributed 16,959 shares at $61.50.
Declines| The last traded prices of stocks with losses at the end of trading in the main market are, Gleaner closing with 20,000 units as the price slipped 4 cents to 91 cents. Jamaica Broilers finishing with 8,008 shares trading lower by 4 cents, to $4.06, Sagicor Group in trading 532,911 shares lost 15 cents to $10.30 and Scotia Group finishing trading with 48,092 shares with a loss of 50 cents to $21.
Preference| Jamaica Money Market Brokers 8.75% preference share traded 17,000 shares trading at $3.04, Jamaica Money Market Brokers 7.50% preference share traded 2,635,000 shares at $2, Proven Investments 8% preference share traded with 260,593 shares changing hands at $5.
Profit up 92% spawns $817m SVL dividends
Supreme Ventures (SVL) will be making a surprise dividend payment to its shareholders in March and May. The company just announced a final ordinary dividend for the year ended December 2014 of 8 cents per share payable on March 21, 2015 to shareholders on record as at March 6. SVL also declared a special dividend of 23 cents per share to shareholders on record as at March 6, with 19 cents per share to be paid on March 21 and 4 cents per share payable on May 27, 2015. The stock will traded ex-dividend on March 4. The ex-dividend date for both dividends is March 4.
SVL paid dividends of 3 cents per share on January 8, last year as well as 3 cents in March, 9 cents in May, another 3 in September and 5 cents per stock on December 9, last year. The final regular dividend for 2014 brings the total relating to the 2014 profit to 19 cents per share or 54 percent of profits for the year. The total dividend payment just approved by the company totals 31 cents per share and is just short of the total profit for 2014 of 35.2 cents per share.
The company just reported full year results showing profit after tax rising by 93 percent to $930 million from revenues that climbed by 21 percent to $41.3 billion. The profit provided a decent return on equity of 24.2 percent. Earnings per share ended at 35 cents. The December quarter was a very good one for the company with revenues of $11.3 billion and profit after tax of $313 million more than half of the $617 million generated to September.
The company enjoyed cost reduction in several line items with professional fees being slashed the most falling $81 million to $239 million. Overall operating cost fell from $2.77 billion to $2.65 billion in 2014.
Credible as the gains in profit is for 2014, Management has lots more work ahead in cutting losses in sports betting amounting $194 million up from $130 million in 2013 and Gaming lounges losses of $461 million versus $556 million in 2013. For the December quarter gaming losses amounted to $85 million compared to an average of $126 million in the previous three quarters and sports betting contributed $46 million in losses for the final 2014 quarter. Without the losses in these two areas profit would have been much larger. IC Insider is forecasting profits for 2015 to be in the order of 45 cents per share.
At the end of the year the company had cash funds of $2.22 billion and the dividends amounts to $817 million will consume some of the cash on hand by time the payments are made later this month and in May.
$46 PS for Eppley’s dividend
Eppley Limited will be making a dividend of $37.19 per share payable on March 17, 2015 to ordinary shareholders on record as of March 10, 2015.
The stock will trade X-dividend on March 6. The payment will bring the total dividend out of profit of 2014 of $46.19 providing a dividend yield of 12.15 percent per share based on the stock price of $380. The total dividend paid out of profit for the year, amounts to $36.77 million.
The company paid a dividend of $9 per share on September 2, 2014. Eppley reported profit of $51 million or $64.19 per share for 2014, an increase over the $39 million for 2013.