Market activity resulted in more stocks rising than falling at the close of trading on Wednesday after an exchange of 81 percent fewer shares, with a 73 percent lower value than on Tuesday, at the close of the Trinidad and Tobago Stock Exchange.
A total of 18 securities traded compared to 19 on Tuesday, with four rising, five declining and nine remaining unchanged. The Composite Index lost 2.35 points to 1,529.81, the All T&T Index lost 13.09 points to close at 2,138.73 and the Cross-Listed Index gained 1.28 points to settle at 123.09.
A total of 148,186 shares traded for $2,718,598 compared to 796,016 shares at $9,919,652 on Tuesday. An average of 8,233 units traded at $151,033 compared to 41,896 shares at $522,087 on the previous day, with trading month to date averaging 42,372 units at $349,596 versus 44,341 units at $361,051. The average trade for December amounts to 21,703 units at $306,768.
Investor’s Choice bid-offer indicator shows four stocks ended with bids higher than their last selling prices and three stocks with lower offers.
At the close, Agostini’s lost 26 cents to close at $45.74 in trading 45 shares, Angostura Holdings ended at $19.99, with 742 stock units changing hands, Calypso Macro Investment Fund rallied $2.34 to close at a 52 weeks’ high of $19 while exchanging 6 units. Clico Investment Fund dropped $1 to end at $28.50, with 63,138 stocks crossing the market, First Citizens Group declined $1 in closing at $64.50 after 481 stocks changed hands, GraceKennedy finished at $6.20 trading 4,190 stock units. 
Guardian Holdings fell 20 cents in closing at $30 with an exchange of 562 units, Guardian Media remained at $3.10, with 2,000 shares crossing the exchange, JMMB Group popped 27 cents to $2.51 after exchanging 12,441 stock units. L.J. Williams B share finished at $1.80 in an exchange of 2,123 stocks, Massy Holdings ended unchanged at $106 in swapping 4,163 units, National Enterprises remained at $3.25 trading 3,000 shares. NCB Financial Group increased 2 cents to end at $8.03, with 3,607 shares clearing the market, One Caribbean Media ended unchanged at $4.20 in switching ownership of 50,000 stock units, Prestige Holdings held at $7.05 with the swapping of 688 stocks. Republic Financial Holdings shed $1.70 in ending at $141.30 after exchanging 130 units, Scotiabank climbed $1.99 to $74, with 820 stocks crossing the market and West Indian Tobacco finished at $27.99 with an exchange of 50 stock units.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
Trading falls on TTSE
Junior Market backs off attaching record
Trading activity eased on Tuesday and led to a fall in the market index of 35.13 points to settle at 3,618.80 after the volume and value of stocks trading declined from Monday’s levels on the Jamaica Stock Exchange Junior Market.
At the close of the market, all but one security traded, resulting from 42 active securities compared to 39 on Monday and ended with 14 rising, 17 declining and 11, closing unchanged.
The PE Ratio, a measure used to compute appropriate stock values, averages 15.9. The PE ratio of each stock shown in the chart below is based on ICInsider.com earnings forecast for companies with financial years up to August 2022.
A total of 12,971,456 shares traded for $39,367,165 up from 12,036,880 units at $36,747,444 on Monday. Spur Tree Spice led trading with 2.99 million shares for 23 percent of total volume followed by Future Energy Source with 1.87 million units for 14.4 percent of the day’s trade and Consolidated Bakeries with 1.74 million units for 13.4 percent market share.
Trading averaged 308,844 shares at $937,313 versus 308,638 shares at $942,242 on Monday and the month to date, averaging 329,869 units at $1,236,745, down from 331,300 units at $1,257,128 on the previous day. December closed with an average of 409,209 units at $1,318,877.
Investor’s Choice bid-offer indicator shows one stock ending with a bid higher than the last selling price and one with a lower offer.
At the close, Access Financial shed $2 in closing at $23, with trading of 35,148 shares, Blue Power popped 10 cents to end at $3.25 while trading 100,829 stock units, Cargo Handlers climbed 31 cents to close at $7.51 after exchanging 255,892 stocks. Caribbean Cream fell 20 cents to $5.20 in trading 65,225 units, Caribbean Flavours gained 7 cents after ending at $1.97, with 1,128 stocks crossing the market, Dolphin Cove rallied 19 cents to $22.50 trading 119,669 shares. Fosrich fell 15 cents in closing at $14.80 after exchanging 85,510 units, Future Energy Source lost 9 cents in ending at $3.40 with the swapping of 1,866,716 stock units, Honey Bun rose 9 cents to close at $9.59, with 62,258 units changing hands. Iron Rock Insurance advanced 7 cents to end at $3.10 in trading 90 stock units, ISP Finance dropped $6.80 to end at $29.50 in an exchange of 1,217 shares, Jamaican Teas shed 16 cents to $4.03, with 259,746 stocks crossing the exchange. Knutsford Express dropped 9 cents to close at $7.90 in exchanging 10,000 shares, Lasco Manufacturing lost 40 cents to finish at $4.56, with 145,699 stocks clearing the market, Mailpac Group declined 9 cents in closing at $3.21 with an exchange of 765,392 stock units. 
Medical Disposables fell 77 cents to $6.72 trading 34,036 units, Paramount Trading increased 24 cents to close at a 52 weeks’ high of $1.87 in switching ownership of 325,700 stocks, Spur Tree Spices gained 9 cents to close at $2.30 trading 2,987,477 units. SSL Venture advanced 56 cents in closing at a 52 weeks’ high of $2.29 while exchanging 460,347 stock units and Stationery and Office Supplies fell 15 cents to end at $5.75 with the swapping of 21,345 shares.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
Trading jumps on JSE Main Market
Market activity surged on Tuesday leading to the volume of shares trading, 319 percent higher than on Monday as funds passing through the Jamaica Stock Exchange Main Market climbed 262 percent and led to rising stocks exceeding those declining.
The All Jamaican Composite Index rose 401.94 points to 439,684.36, the JSE Main Index advanced 1,224.58 points to 398,238.41 and the JSE Financial Index popped 0.14 points to settle at 98.59.
Trading ended with 55 securities compared to 54 on Monday, with 22 rising, 17 declining and 16 ending unchanged.
The PE Ratio, a formula used in computing appropriate stock values, averages 16.3. The PE ratio for the JSE Main and USD Markets closing quotes uses ICInsider.com earnings forecasts for companies with the financial year ending up to August 2022.
Overall, 30,430,391 shares were exchanged for $253,596,547 versus 7,262,470 units at $70,112,586 on Monday. Stanley Motta led trading with 33.2 percent of total volume after exchanging 10.10 million shares followed by Wigton Windfarm, 20.8 percent, with 6.32 million units, Community & Workers Credit Union, controlled 10.8 percent, with 3.29 million units, Transjamaican Highway contributed 9.5 percent in trading 2.9 million units, Sagicor Select Financial Fund held 6.4 percent, with 1.93 million units and QWI Investments accounted for 4.5 percent with a transfer of 1.37 million units.
Trading averages 553,280 units at $4,610,846, on Tuesday, compared to 134,490 shares at $1,298,381 on Monday and month to date, an average of 194,064 units at $1,751,240, versus 170,766 units at $1,565,770 on the previous day. December closed with an average of 479,143 units at $6,686,322.
Investor’s Choice bid-offer indicator shows nine stocks ending with bids higher than their last selling prices and three with lower offers.
At the close, Barita Investments shed $1.01 in closing at $93.40 in trading 12,221 shares, Berger Paints gained 47 cents to close at $12.99 with an exchange of 17,798 stock units, Caribbean Producers popped 45 cents to end at $16.95 with 258,740 units clearing the market. Eppley declined $1.50 to $35 after exchanging 2,768 stocks, Eppley Caribbean Property Fund declined $4.20 after ending at $37.80 with 364 stock units crossing the market, GraceKennedy advanced $4.20 to close at $102 in an exchange of 1,212,428 shares. Guardian Holdings climbed $18 to $548 with the swapping of 7,203 units, Jamaica Broilers fell 85 cents to $27 in switching ownership of 79,848 shares, Jamaica Producers rose $1 after ending at $23 with 6,401 stocks clearing the market. Jamaica Stock Exchange rallied 75 cents in closing at $17.50 with 2,515 stock units changing hands, JMMB Group gained 35 cents after ending at $39.10 in trading 117,087 shares, Kingston Wharves popped $2.29 to $41.60 with the swapping of 157,619 units. 
Margaritaville advanced $3 to $25 with a transfer of 100 stocks, NCB Financial rallied $4 to close at $132 in switching ownership of 88,589 stock units, Palace Amusement lost 55 cents to end at $945 after crossing the exchange with 15 shares. PanJam Investment fell $1.70 to close at $63 in transferring 229,652 stock units, Sagicor Group shed $1.60 in ending at $52.40 after exchanging 16,237 shares, Scotia Group fell $1.10 to $34.50 with the swapping of 90,700 units. Seprod lost $1 to end at $61 with 17,617 stocks changing hands and Stanley Motta lost 34 cents in closing at $5.50 after trading 10,097,550 stock units.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
Falling prices dominate JSE USD market
Trading on Tuesday ended with the volume of shares changing hands declining 85 percent with a 96 percent fall in value than on Monday, at the close of the Jamaica Stock Exchange US dollar market, resulting in more stocks declining than rising.
Trading ended with six securities changing hands, similar to Monday, with the price of one rising, four falling and one ending unchanged.
The JSE US Denominated Equities Index lost 2.33 points to end at 198.06. The PE Ratio, a measure used in computing appropriate stock values, averages 12.5. The PE ratio uses ICInsider.com earnings forecasts for companies with the financial year up to August 2022.
Overall, 121,697 shares traded, for US$4,044 in contrast to 805,542 units at US$92,182 on Monday. Trading averaged 20,283 units at US$674, down from 134,257 shares at US$15,364 previously and month to date averages 84,663 shares at US$7,876 versus 88,816 units at US$8,341 on Monday. December ended with an average of 439,975 units for US$68,382.
Investor’s Choice bid-offer indicator shows one stock ended with a bid higher than their last selling prices and four stocks with lower offers.
At the close, First Rock Capital USD share fell 0.04 of a cent in closing at 6.89 US cents after exchanging 200 shares, Proven Investments shed 1.45 cents to end at 20.55 US cents, with 13,320 units changing hands, Sygnus Credit Investments USD share lost 0.69 of a cent to close at 12.3 US cents in trading just one stock unit and Transjamaican Highway declined 0.06 of a cent to end at 0.83 of one US cent trading 107,900 stocks.
In the preference segment, Eppley 6% remained at 98 US cents in an exchange of 26 units and JMMB Group 6% gained 10 cents after ending at US$1.15 trading 250 stocks.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
Trading climbs but T&T market falters
Market activity picked on Tuesday and resulted in 54 percent more shares trading, with 148 percent higher value than on Monday, on the Trinidad and Tobago Stock Exchange, but trading ended with the market indices slipping at the close.
The number of securities traded remained at 19 similar to trading on Monday and ended with four rising, five slipping and 10 unchanged.
The Composite Index fell 7.93 points to 1,532.16, the All T&T Index shed 4.14 points to close at 2,151.82 and the Cross-Listed Index shed 1.68 points to settle at 121.81.
Overall, 796,016 shares traded for $9,919,652 versus 516,896 units at $4,004,944 on Monday. An average of 41,896 units traded at $522,087 compared to 27,205 shares at $210,787 on the previous day, with trading month to date averaging 44,341 units at $361,051 versus 44,500 units at $350,629. The average trade for December amounts to 21,703 units at $306,768.
Investor’s Choice bid-offer indicator shows three stocks ended with bids higher than their last selling prices and two stocks with lower offers.
At the close, Angostura Holdings remained at $19.99 with 270 shares changing hands, Clico Investment Fund increased 99 cents to close at $29.50 with an exchange of 29,992 stock units, First Citizens Group lost 50 cents in ending at $65.50 after trading 652 units. FirstCaribbean International Bank finished at $6.14 in an exchange of 1,971 stocks, GraceKennedy ended unchanged at $6.20 after 11,125 shares changed hands, Guardian Holdings rose 18 cents to $30.20 with 1,711 stocks passing through the market.
JMMB Group declined 31 cents to end at $2.24 in trading 202,436 stock units, L.J Williams B share fell 4 cents to close at $1.80 while exchanging 823 units, Massy Holdings ended at $106, with 43,163 units crossing the exchange. National Enterprises remained at $3.25 with the swapping of 120,000 shares, National Flour Mills finished at $1.92 in exchanging 1,372 stock units, NCB Financial Group remained at $8.01 after trading 321,694 stocks. One Caribbean Media advanced 10 cents to end at $4.20 in an exchange of 50,000 units, Republic Financial Holdings ended at $143, with 3,081 shares crossing the market, Scotiabank shed $2.97 to close at $72.01 trading 563 stock units. Trinidad & Tobago NGL finished at $20 as investors exchanged 1,083 stocks, Trinidad Cement rallied 4 cents to $3.80, with 316 stock units clearing the market, Unilever Caribbean dropped 25 cents to $15.75 while exchanging 1,306 stocks and West Indian Tobacco ended unchanged at $27.99, with 4,458 shares changing hands.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
Winners beat losers 2 to 1 on JSE USD Market
Trading on Monday ended with the volume of shares changing hands declining 57 percent with 72 percent lower value than on Friday, but the Jamaica Stock Exchange US dollar market closed with twice the number of stocks rising than falling.
Similar to trading on Friday six securities changed hands, with four rising and two declining. The JSE US Denominated Equities Index lost 0.67 points to end at 200.39.
The PE Ratio, a measure used in computing appropriate stock values, averages 12.6. The PE ratio uses ICInsider.com earnings forecasts for companies with the financial year up to August 2022.
A total of 805,542 shares traded for US$92,182, down from 1,856,215 units at US$329,297 on Friday.
Trading averaged 134,257 units at US$15,364, compared to 309,369 shares at US$54,883 on Friday and month to date an average of 88,816 shares at US$8,341 versus 85,682 units at US$7,857 on the previous day. December ended with an average of 439,975 units for US$68,382.
Investor’s Choice bid-offer indicator shows no stock ending with a bid higher than the last selling price and one with a lower offer.
At the close, First Rock Capital USD share advanced 0.38 of a cent to end at 6.93 US cents after exchanging 56 shares, Margaritaville dropped 2.94 cents at 12.01 US cents and closed with 68 stock units changing hands, Proven Investments declined 1 cent in closing at 22 US cents after trading 417,536 stocks. Sygnus Credit Investments USD share popped 1.49 cents to 12.99 US cents, with 7,696 units clearing the market with, Sygnus Real Estate Finance USD share gained 1.8 cents to close at 13.8 US cents in exchanging 272 stock units and Transjamaican Highway rose 0.03 of a cent in ending at 0.89 of one US cents trading 379,914 shares.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
Trading drops on the JSE Main Market
Market activity ended on Monday with the volume of shares trading on the Jamaica Stock Exchange Main Market ending 53 percent less and the value 82 percent lower than on Friday, leading to mild gains in the market indices.
The All Jamaican Composite Index popped 24.71 points to close at 439,282.42, the JSE Main Index advanced 872.48 points to 397,013.83 and the JSE Financial Index rallied 0.83 points to close at 98.45.
Trading ended with 54 securities compared to 53 on Friday, with 16 rising, 21 declining and 17 ending unchanged.
The PE Ratio, a formula for computing appropriate stock values, averages 16.4. The PE ratio for the JSE Main and USD Market closing quotes are based on ICInsider.com earnings forecasts for companies with financial years ending up to August 2022.
Overall, 7,262,470 shares were exchanged for $70,112,586 versus 15,537,794 units at $392,213,675 on Friday. Transjamaican Highway led trading with 22.8 percent of total volume in transferring 1.66 million shares followed by QWI Investments, 14.3 percent with 1.04 million units and Sagicor Select Manufacturing & Distribution Fund with 9.7 percent after trading 704,301 units.
Trading averages 134,490 units at $1,298,381, compared to 293,166 shares at $7,400,258 on Friday and month to date, an average of 170,766 units at $1,565,770, compared to 173,233 units at $1,583,955 on the prior trading day. December closed with an average of 479,143 units at $6,686,322.
Investor’s Choice bid-offer indicator shows 12 stocks ending with bids higher than their last selling prices and two with lower offers.
At the close, Barita Investments gained 56 cents to end at $94.41 with 7,429 shares clearing the market, Berger Paints lost 48 cents in closing at $12.52 in exchanging 500 units, Caribbean Cement shed 80 cents to end at $69.50 with a transfer of 13,739 stock units. Eppley rose 75 cents to $36.50 trading 433 stocks, Eppley Caribbean Property Fund rallied 42 cents to $42 after 1,306 shares crossed the market, First Rock Capital advanced 66 cents to $10.91 with the swapping of 5,750 stocks. Guardian Holdings popped $9 to $530 after an exchange of 1,207 units, Jamaica Producers shed $1 to end at $22 in switching ownership of 2,917 stock units, Jamaica Stock Exchange fell $1.05 to finish at $16.75 after trading 13,768 units. JMMB Group shed 75 cents in closing at $38.75 with 21,460 stocks changing hands, Kingston Wharves declined $2.69 to $39.31 with the swapping of 5,000 shares, Margaritaville advanced $1.80 to $22 in trading 99 units. Mayberry Investments gained 30 cents to close at $7.90 with a transfer of 3,396 stocks, MPC Caribbean Clean Energy declined $3 to end at $97 in an exchange of 335 stock units, Palace Amusement dropped $4.45 in closing at $945.55 with 62 shares clearing the market. 
PanJam Investment fell $1.30 to close at $64.70 after 501,222 units crossed the market, Salada Foods lost 33 cents to settle at $6.60 in switching ownership of 20,250 stock units, Scotia Group rose 60 cents to end at $35.60 in an exchange of 18,244 units and Supreme Ventures shed 60 cents to end at $17.20 in trading 59,053 stocks.
In the preference segment, JMMB Group 7.25% gained 30 cents in closing at $3.08 with an exchange of 7,070 shares.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
Junior Market closes in on new record
In a bullish trading session on Monday, the Jamaica Stock Exchange Junior Market index surged 114 points to 3,700.02 within a few minutes of opening and closed with a big 68.18 points rally at 3,653.93, just 9 points below the all-time closing high in 2019, as the volume of stocks traded declined 27 percent and the value slipping 36 percent lower than on Friday.
A total of 39 securities traded versus 40 on Friday and ended with 20 rising, 10 declining and nine ending unchanged.
Three stocks closed at 52 weeks’ highs, leading the market to gain 6.6 percent year to date, up from 4 percent at the same time in 2021.
The PE Ratio, a measure used to compute appropriate stock values, averages16, The PE ratio of each stock in the chart below is based on ICInsider.com earnings forecast for companies with financial years up to August 2022.
A total of 12,036,880 shares traded for $36,747,444 compared to 16,579,452 units at $57,855,045 on Friday. Spur Tree Spices traded 4.73 million shares to lead with 39.3 percent of total volume followed by Mailpac Group, 1.55 million units, with 12.9 percent of the day’s trade and Future Energy Source with 1.01 million units for 8.4 percent market share.
Trading averaged 308,638 shares at $942,242 down from 414,486 shares at $1,446,376 on Friday and month to date, an average of 331,300 units at $1,257,128, compared to 332,829 units at $1,278,375 on the previous day. December closed with an average of 409,209 units at $1,318,877.
Investor’s Choice bid-offer indicator shows three stocks ended with bids higher than their last selling prices and three stocks with lower offers.
At the close, Access Financial fell $1.28 to $25, with 3,328 shares changing hands, AMG Packaging gained 15 cents in closing at $3.20, with 183,960 stock units clearing the market, Blue Power declined 36 cents to $3.15 after 3,435 units changed hands. Caribbean Flavours dropped 7 cents to end at $1.90 with the swapping of 475,469 stocks, Consolidated Bakeries climbed 10 cents to close at $1.09 in switching ownership of 365,585 shares, Dolphin Cove rallied 6 cents to close at $22.31, after 85,458 units crossed the exchange. Everything Fresh increased 5 cents to 99 cents, with 324 stocks crossing the market, Fosrich rose 46 cents to a 52 weeks’ high of $14.95 with an exchange of 119,385 stock units, Honey Bun shed 10 cents in closing at $9.50 after exchanging 28,435 shares. Indies Pharma advanced 5 cents to $3.15 after swapping 123,906 stock units, Jamaican Teas popped 20 cents to $4.19 in an exchange of 773,560 stocks, Jetcon Corporation fell 5 cents in closing at 88 cents trading 140,581 units. KLE Group increased 16 cents in ending at $2.96 after trading 200 stock units, Lasco Financial advanced 19 cents to close at $3.22 after 153,623 shares changed hands, Lasco Manufacturing popped 40 cents to end at $4.96, with 55,467 units crossing the market. 
Lumber Depot rallied 7 cents to close at $2.97 while exchanging 322,756 stocks, Paramount Trading gained 26 cents in closing at a 52 weeks’ high of $1.63 after exchanging 159,238 units, Spur Tree Spices rose 6 cents to $2.21 after exchanging 4,733,067 shares. SSL Venture climbed 43 cents to a 52 weeks’ high of $1.73 while exchanging 417,575 stock units and Stationery and Office Supplies rose 16 cents to $5.90, with 54,635 stocks crossing the market.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
Another record close for Trinidad stocks
More records tumbled at the end of market activity on Monday and resulted in more stocks rising than falling at the close of trading of the Trinidad and Tobago Stock Exchange, after trading 65 percent more shares, valued 76 percent less than on Friday.
As was the case on Friday, 19 securities traded, with three rising, four declining and 12 remaining unchanged.
The Composite Index advanced 9.72 points to a record high of 1,540.09, the All T&T Index rose 10.87 points to close at another record of 2,155.96 and the Cross-Listed Index increased 1.19 points to settle at 123.49.
Overall, 516,896 shares traded for $4,004,944 compared to 312,597 units at $16,361,645 on Friday. An average of 27,205 units traded at $210,787 compared to 16,452 shares at $861,139 on the prior trading day, with the month to date averaging 44,500 units at $350,609 versus 45,699 units at $360,304. The average trade for December amounts to 21,703 units at $306,768.
Investor’s Choice bid-offer indicator shows five stocks ending with bids higher than their last selling prices and two stocks with lower offers.
At the close, Agostini’s finished at $46 after trading 518 shares, Angostura Holdings ended unchanged at $19.99, with 246 units clearing the market, Clico Investment Fund fell $1.49 to close at $28.51 in exchanging 24,630 stock units. Endeavour Holdings advanced 1 cent to $8 after exchanging 1,000 stocks, First Citizens Group remained at $66 in switching ownership of 355 shares, GraceKennedy lost 2 cents to close at $6.20 with the swapping of 51,513 stock units. 
Guardian Holdings dropped 23 cents in closing at $30.02 after exchanging 12,289 stocks, JMMB Group climbed 20 cents to $2.55 while 13,700 units changed hands, L.J. Williams B share ended unchanged at $1.84 with an exchange of 2,542 stocks. Massy Holdings finished at $106, with 5,897 units crossing the exchange, National Enterprises closed at $3.25 after 336,000 shares changed hands, National Flour Mills remained at $1.92 trading 2,428 stock units. NCB Financial Group ended unchanged at $8.01 in an exchange of 47,826 stock units, One Caribbean Media shed 10 cents to close at $4.10, with 100 stocks crossing the market, Prestige Holdings had an exchange of 12 shares at $7.05. Republic Financial Holdings ended unchanged at $143 in trading 312 units, Trinidad & Tobago NGL finished at $20, with 11,413 stocks changing hands, Unilever Caribbean rose 20 cents to end at $16, with 4,000 stock units crossing the exchange and West Indian Tobacco remained at $27.99, with 2,115 units changing hands.
Prices of securities trading are those for the last transaction of each stock unless otherwise stated.
Profit melts in the third quarter at Kremi
The 2022 fiscal year started with a blast for the first quarter to May with profit at $54 million after tax, doubling the $27 million in 2020, but a lot of that melted away in the third quarter to November at Caribbean Cream, which trades as Kremi, with the company reporting a loss in that quarter of $25 million down from a profit of $11 million in 2020. The loss brought profit for the nine months to $36 million compared to $85 million in the similar 2020 period.
Caribbean Cream closed at 52 weeks’ low of $3.80
Caribbean Cream did not have a good second quarter with sales rising 5.4 percent and profit falling 85 percent from $47 million to just $7 million due to what the company stated was the introduction of no movement days during the quarter that curtailed sales.
Sales revenues rose 14 percent for the third quarter to $500 million from $441 million but climbed 15 percent for the year to date, to $1.54 billion from $1.33 billion in 2020. The poor performance in the third quarter management attributes to “equipment and infrastructure challenges which we have addressed as we begin the final quarter.” In spelling out the issues Management, stated “at the beginning of the quarter the company faced unforeseen challenges in production resulting in the plant’s efficiency and capacity being impacted negatively. Since then, changes have been made in procedures, equipment and personnel to rectify the problem.”
While the company has been making headways with increased revenues, profit performance has not been consistent for some time, with the exception of the years 2014 to 2017 that enjoyed an annual increase in profits. The turbulence in profits since 2017 and the major problems in the 2021 third quarter reveal a major weakness in management that needs addressing. Such inconsistencies destroy investors’ interest in the company as well as the stock price.
Gross profit fell 13 percent in the quarter to $125 million from $143 million but rose 7 percent for the year to date, to $486 million from $453 billion in 2020.
Gross profit margin in the first nine months of the year, declined in the November quarter to 32 percent from 34 percent in the 2020 and for the quarter it dropped sharply to just 24 percent compared to 32 percent for the 2020 and that was a major contributor to the loss in the period.
Administrative expenses rose 15.5 percent to $129 million in the quarter and increased 26 percent in the nine months period to $378 million. Sales and distribution expenses increased by 8 percent in the quarter and the nine months to $16 million from $15 million in 2020 and from $43 million to $47 million, respectively. Depreciation rose from $88 million in 2020 to $95 million and is likely to rise further with the completion of the power generating plant being installed and is expected to make a major impact on the cost of utilities in the new fiscal year. Finance cost more than doubled in the quarter to $8 million from $4 million in 2020 and jumped 52 percent from $13 million to $20 million for the nine months.
Gross cash flow brought in $130 million down from $185 million in 2020. There was a release of $30 million from working capital but additions to fixed assets consumed $263 million funded by net loan inflows of $328 million. Payment of dividends consumed $26 million, more than twice the $11 million in 2020.
At the end of the period, shareholders’ equity stood at $844 million. Long term loans amounted to $654 million and short term at $11 million. Current assets ended the period at $553 million, including trade and other receivables of $82 million, inventories of $244 million and cash and bank balances of $227 million. Current liabilities ended at $140 million and net current assets at $413 million.
Earnings per share for the quarter was negative 7 cents and a profit of 10 cents for the year to date. IC Insider.com forecasts 27 cents per share for the fiscal year and $1 for 2023.
The stock traded at $5.40 on the Junior Market of the Jamaica Stock Exchange with a PE ratio of 20 times 2022 earnings and a PE of 5.4 times fiscal 2023 earnings. Net asset value is $2.33 with the stock selling at 2.4 times book value.
