Shareholders of Jamaican Teas will consider a 2 for 1 stock split at their Annual General Meeting scheduled for tomorrow April 12, to be held at the Courtyard Marriott hotel in Kingston.
The resolution which will be considered will see a recommendation being put forth, for the authorized shares to be increased to 1 billion units from 500 million units.
The issued shares will move from 337,416,730 units at the end of September last year, to 678,833,460 shares of no par value. Subsequent to the 2016 year end, directors exercised the option to acquire 2 million new shares under a share option plan, thus increasing the number of issued shares prior to the record date of April 19. The stock is slated to start trading ex-split on Thursday April 13. in 2016, the company also approved a 2 for 1 stock split as well.
The shares traded on the Jamaica Stock Exchange Junior Market at $7.75 on Tuesday.
Jamaican Teas ex split Thursday
Sagicor’s big 11M share trade on Monday
Sagicor Group Kingston head quarters.
Trading ended with 12 stocks advancing and 8 declining in the main market as 13,790,971 units valued at $428,274,635 traded in the main market compared to 9,512,849 units valued at $220,101,365 at the close on Friday. Trading in the US dollar market accounted for 3,670 units valued at US$1,100.
The All Jamaica Composite Index declined 1,432.85 points to close at 246,900.84, the JSE Market Index lost 1,305.49 points to finish at 224,954.64 and the JSE US dollar market index gained 1.72 points to close at 218.68.
IC bid-offer Indicator| At the end of trading in the main and US dollar markets, the Investor’s Choice
bid-offer indicator reading shows 12 stocks with bids higher than their last selling prices and 4 with lower offers.The main market ended trading with an average of 599,607 units valued at $18,620,636 for each security traded compared to an average of 413,602 units valued at $9,170,890 per security. The average volume for the month to date ended at 794,485 units valued at $18,495,857 per security, versus 833,460 units and $5,623,143 on the prior trading day. The average volume and value for March ended at 549,909 units and $1,379,459.
In market activity, Berger Paints closed at $12.30, gaining 25 cents with trades of 4,243 shares, Cable and Wireless closed at $1.30, with gains of 2 cents while exchanging 64,088 shares, Caribbean Cement added $1.10 to close at $31.60 trading 24,639 units. Carreras closed at $74 with 30,000 shares changing hands, Grace Kennedy tumbled $3.70 to close at $41, with 1,070,424 units traded, Jamaica Broilers added 4 cents to close at $16.54 with trades of 17,574 shares, Jamaica Producers closed 50 cents lower to $14.50, with an exchange of 5,900 shares, Jamaica Stock Exchange gained 75 cents to close at $7.95, with 37,105 shares changing hands. JMMB Group closed 10 cents higher to $18.65 trading 18,470 units, Kingston Properties gained 3 cents to close at $15.98 with 4,000 shares changing hands, Kingston Wharves closed at $32, after falling 36 cents with an exchange of 19,903 units,
Mayberry Investments closed at $4.80 with a 10 cents gain trading 41,016 shares, NCB Financial Group closed at $62.40, after exchanging 15,500 shares, 1834 Investments traded 2,874 units at $1.54, while 138 Student Living traded 30,700 units at $4.46, having lost 3 cents, Pan Jamaican closed 60 cents higher at $35.60 with 5,241 shares changing owners. Pulse Investments traded 2,000 units at $8, Sagicor Group closed with gains of 51 cents to $33.51, exchanging 11,135,988 shares, Sagicor Real Estate Fund lost 46 cents to close at $10.05, with 695 shares traded, Scotia Group dropped $1.40 and closed at $38.60, trading 10,154 units, Seprod fell $3.70 to close at $36, while trading 5,400 shares, Supreme Ventures closed at $6.38, gaining 3 cents with trades of 360,757 shares. Proven Investments lost 1 US cent to close at 29 US cents with trades of 3,670 ordinary shares and JMMB Group 7.5% preference share gained 5 cents to close at $1.10, with an exchange of 884,000 units.
NCB scores a first for Jamaican companies
For the time ever, a company listed on the Jamaica Stock Exchange has provided investors with a time table for release of important information.
NCB Financial Group recently advised the Jamaica Stock Exchange and the Trinidad Exchange, that of the dates on which NCBFG’s Board of Directors intends to consider the payment of interim dividends to stockholders in 2017. By extension the dates also signifies the dates of release of the quarterly results. Historically, the dates of dividend announcements have usually been the same dates on which their interim results are released.
For the rest of 2017 the group states that the dates for release of announcements will be April 27, 2017July 27, 2017 and November 9, 2017. The announcement is an enhancement of good corporate governance and good investor relations.
I$P Finance earnings now officially 46c
I$P hits a new high on Friday.
The original audited report had the average number of shares issued at 126.5 million instead of 88.44 million which the amended report now shows.
The company reported profit of $40.24 million after tax from increased revenues of $30 million to reach $241 million in 2016. Other operating expenses jumped sharply from $36.6 million to $64.8 million. Individual items did not move much during the two years. In 2015 a refund of insurance premium amounting to $12.3 million was offset against expenses, reducing expenses from $49 million to $37 million, while 2016 figures had a few items of cost not reflected in the 2015 results. These include directors’ fees, bond issue cost and consultancy fees of $6 million. ISP also benefited from loan loss recovery, leading to lower loan loss provisioning at year end, from $19 million 2015 to just $10 million in 2016. Some debt was, however, fully written off, management informed IC Isider.com, reducing the overall provision to $53.7 million from $63 million at the end of 2015.
The company is gearing to grow. Last year apart from restructuring it finances that led to a public share issue, the company floated a bond issue that raised over $140 million net, which will be used to supplement cash flow from earnings. Discussion with the company’s management team led by Dennis Smith, reveal, that the $60 million growth in loans in the December quarter mostly remains on the books while the plan is for a 30 to 40 percent expansion in the current year. If that level of growth is achieved it would take net loans to more than $400 million by year end and raise revenues in a full year to more than $400 million and raise profit sharply from the current levels.
The company started off serving the security guard sectors but is targeting new areas within the business sector for expansion as well as areas outside of the corporate area.
Management appears to be gathering information as to the feasibility of a stock split and that seems to be a logical move, with just 105 million shares now issued and prospects for a rapid increase in profits going forward. Management would neither deny nor confirm if that is on the cards.
IC Insider.com is forecasting earnings in the current year to be in the order of $1.40-$1.75, with continued strong increase into 2018. The stock closed on the Junior Market of the Jamaica Stock Exchange at and 52 weeks high of $15.50 on Friday, resulting in gains of 675 percent, since it was listed at the end of March 2016.
With the potential to grow rapidly, the stock remains BUY RATED even with the price now at the level reached on Friday.
Jamaica stocks jump sharply on Friday
Scotia Group climbed $1.39 to be one of the main stocks to contribute to the big gain in the indices on Friday
Trading levels in main market ended at 9,512,849 units valued at $220,101,365 compared to 93,827,780 units valued at $320,466,964 at the close on Thursday. Trading in the US dollar market accounted for 23,350 units valued at US$6,808.
The All Jamaica Composite Index advanced 2,908.98 points to close at 248,333.69 the JSE Market Index rose 2,650.41 points to finish at 226,260.13 and the JSE US dollar market index gained 0.37 points to close at 216.96.
IC bid-offer Indicator| At the end of trading in the main and US dollar markets, the Investor’s Choice bid-offer indicator reading shows 11 stocks with bids higher than their last selling prices and none with lower offers.
The main market ended trading with an average of 413,602 units valued at $9,170,890 per security traded, compared to an average of 3,475,103 units valued at $11,869,147 on Thursday. The average volume for the month to date ended at 833,460 units valued $5,623,143 per company stock traded versus 938,424 units valued at $4,736,206 on the prior trading day. The average volume and value for March ended at 549,909 units and $1,379,459.
In market activity, Berger Paints closed at $12.05, losing 25 cents with 3,430 shares changing hands, Cable and Wireless closed at $1.28 with an exchange of 1,715,016 shares, Caribbean Cement added 50 cents to close at $30.50 with trades of 2,051 units. Carreras closed $3.98 higher to $74 with 3,589 shares being exchanged, Grace Kennedy added 85 cents to close at $44.70, with 54,517 units trading, Jamaica Broilers closed with trades of 24,595 shares at $16.50, Jamaica Producers closed at $15, with 24,515 shares changing hands, JMMB Group closed 45 cents lower at $18.55 trading 250,373 units, Kingston Properties gained 5 cents to close at $15.95 with 3,730 shares changing hands. Kingston Wharves closed at $32.36, with gains of $1.35 while exchanging 694 units, Mayberry Investments lost 5 cents to close at $4.70 with trades of 20,638 shares, NCB Financial Group gained 50 cents, closing at $62.40 after exchanging 2,216,545 shares, 138 Student Living traded 787,300 units at $4.49, Pan Jamaican closed 61 cents lower at $35 with 1,000,860 shares changing owners. Portland JSX slid 90 cents trading 700 units to close at $10 
, Radio Jamaica closed at $1.60 with an exchange of 1,422,991 units, Sagicor Group closed at $33, after falling by $1 with 544,295 shares changing hands, Sagicor Real Estate Fund gained 51 cents to close at $10.51, with 1,480 shares traded, Scotia Group climbed $1.39 to close at $40, with 258,220 units traded, Scotia Investments jumped $3.15 to $39.20 in exchanging 12,000 shares, Supreme Ventures closed at $6.35, with trades of 16,521 shares. Margaritaville Turks gained 3 US cents to close at 26.01 US cents trading 3,400 units, Proven Investments closed at 30 US cents trading 19,950 ordinary shares and JMMB Group 7.5% preference share closed at $1.05, with an exchange of 1,147,989 units.
Increased tax pushed JPS profit down
Jamaica Public Service Company (JPS)
reported lower profit for 2016 after profit tax after profit before tax increased from US$30.83 million to $33 million. Taxes more than doubled to US$8.94 million cutting profit to US$24 from US$26.5 million in 2015.
While the Jamaican economy grew nearly 1.5 percent in 2016 JPS’ gross revenues went in the opposite direction, falling to US$713 million from US$759 million. The decline in revenues could well be attributable to an increasing switch to solar energy by many corporate clients which may continue for a while as the cost of installing solar declines.
Gross profit contracted to $284.7 million from $286.2 million. Operating expenses rose by $20 million to $220 million leaving operating profit at $64.4 million well off from $86 million in 2015. Net finance cost hit $39.8 million down from $42.58 million while the company garnered $10.37 million from other income compared to $2.45 million in 2015.
Equity grew to $395.4 million at the end of 2016 up from $366.9 million. The company borrowed $369 million at the end of the year. JPS reports their results in US dollars.
JPS has a number of preference shares listed on the Jamaica Stock Exchange but so far the ordinary are not listed.
RJR in big trade on Thursday
Trading in the main market of the Jamaica Stock Exchange closed on Thursday with Radio Jamaica trading 90 million shares to be the market leader as the market close with 27 securities changing hands with 1 trading in the US dollar market. In both markets, 10 stocks advanced and 11 declined.
Trading levels in main market ended at 93,827,780 units valued at $320,466,964 compared to 2,784,846 units valued at $79,404,060 at the close on Wednesday. Trading in the US dollar market accounted for 117,700 units valued at US$35,310.
The All Jamaica Composite Index dropped 2,681.25 points to close at 245,424.71 the JSE Market Index dived 2,442.92 points to finish at 223,609.72 and the JSE US dollar market index lost 6 points to close at 216.59.
IC bid-offer Indicator| At the end of trading in the main and US dollar markets, the Investor’s Choice bid-offer indicator reading shows 12 stocks with bids higher than their last selling prices and 1 with a lower offer.
The main market ended trading with an average of 3,475,103 units valued at an average of $11,869,147 compared to an average of 107,109 units on Wednesday carrying a value of $3,054,002 per security traded. The average volume for the month to date ended at 938,424 units with an average value of $4,736,206 versus 92,865 units with a value of $4,736,206 per traded security on the prior trading day. The average volume and value for March ended at 549,909 units and $1,379,459.
In market activity, Barita Investments gained 14 cents to close at $7 trading 1,000 shares, Berger Paints closed at $12.30, gaining 25 cents with an exchange of 1,899 shares, Cable and Wireless closed at $1.28 with 28,579 shares changing hands, Caribbean Cement closed $1.80 lower to $30 with trades of 45,707 units. Carreras declined $1.98 to $70.02 with 11,300 shares exchanged, Grace Kennedy advanced $2.35 to $43.85, with 450,200 units traded, Jamaica Broilers closed with trades of 6,000 shares at $16.50, Jamaica Producers closed at $15, with 252,433 shares changing hands, Jamaica Stock Exchange gained 20 cents to close at $7.20, with an exchange of 3,000 units. JMMB Group added 50 cents to close at $19 trading 72,773 units, Kingston Properties closed 10 cents lower to $15.90 with an exchange of 2,079 shares, Kingston Wharves closed at $31.01, with a loss of $2.48 exchanging 6,300 units, Mayberry Investments gained 15 cents to close at $4.75 with trades of 21,984 shares, NCB Financial Group lost 10 cents, closing at $61.90 after exchanging 1,862,138 shares, 1834 Investments gained 9 cents to close at $1.54 trading 1,000 units, 138 Student Living traded 2,300 units at $4.49, Pan Jamaican closed $1.46 higher at $35.61 with 35,233 shares changing ownership. 
Portland JSX gained 90 cents trading 100 units to close at $10.90, Pulse Investments traded 1,000 shares at $8, Radio Jamaica closed at $1.60, losing 29 cents with an exchange of 90,043,125 units, Sagicor Group closed at $34, with 716,534 shares changing hands, Sagicor Real Estate Fund lost 30 cents to close at $10, with 4,500 shares traded, Scotia Group declined $1.39 to $38.61 trading 126,722 units, Scotia Investments tumbled $3.45 to close at $36.05 exchanging 101,100 shares, Seprod lost 30 cents, closing at $39.70 with 3,000 shares changing hands, Supreme Ventures closed at $6.35, with gains of 34 cents exchanging 23,758 shares. Proven lost US 1 cent trading 117,700 ordinary shares to close at 30 US cents and JMMB Group 7.5% preference share closed at $1.05, with an exchange of 4,016 units.
Sagicor Group ups dividend
Sagicor Group Kingston head quarters.
The group in declaring the first dividend of 2016 has set a later date for payment than in 2016 with the a payment of Seventy Cents per share, payable on May 5, to shareholders on record as at April 24. The ex-dividend date will be April 20.
Last year Sagicor paid an interim dividend of sixty-six cents per share on April 19 and on November 25, 2016 an interim dividend of Forty-five Cents was paid, for a total for the year of one dollar and one cent or just under 35 percent of the profits.
Last year the company reported profit attributable to stockholders of $11.26 billion up 15 percent from the $9.79 billion earned in 2015, with earnings per share ending at $2.90 for 2016. Total revenue for 2016 amounted to $59.7 billion up from $55 billion in 2015.
The company’s shares closed trading on the Jamaica Stock Exchange on Thursday at $34, and is up from $23.10 at the same time last year, for a gain of 47 percent, just below the movement in the all Jamaica index of 47.5 percent, over the similar period.
JSE majors in big drop on Wednesday
Trading in the main market of the Jamaica Stock Exchange closed on Wednesday with sharp fall in the indices as prices continue to swing in either direction. At the close 27 securities changed hands including 1 trading in the US dollar market. At the close of trading, 10 stocks advanced and 12 declined in the main market.
Trading levels in main market ended at 2,784,846 units valued at $79,404,060 compared to 2,777,139 units valued at $49,314,132 at the close on Tuesday. Trading in the US dollar market accounted for 58,000 units valued at US$17,945.
The All Jamaica Composite Index dropped 1,831.35 points to close at 248,105.96 the JSE Market Index fell sharply by 1,668.57 points to finish at 226,052.64 but the JSE US dollar market index gained 6 points to close at 222.59.
IC bid-offer Indicator| At the end of trading in the main and US dollar markets, the Investor’s Choice bid-offer indicator reading shows 13 stocks with bids higher than their last selling prices and 3 with lower offers.
The main market ended trading with an average of 107,109 units valued at 3,054,002 compared to an average of 106,813 units carrying an average value of $1,896,697 on Tuesday.
The average volume for the month to date ended at 92,865 units with an average value of $2,358,559 versus 85,743 units with an average value of $2,010,837 on the prior trading day. The average volume and value for March ended at 549,909 units and $8,925,067.
In market activity, Barita Investments gained 1 cent to close at $6.86 with trades of 108,947 shares, Berger Paints closed at $12.05, losing 10 cents with an exchange of 21,661 shares, Cable and Wireless closed 7 cents lower at $1.28 with 92,912 shares changing hands, Caribbean Cement closed at $31.80, with gains of 80 cents trading 12,184 units. Carreras closed at $72 with 10,962 shares being exchanged, Grace Kennedy tumbled $1.75 to $41.50, with 30,568 units traded, Jamaica Broilers gained 49 cents to close at $16.50 exchanging 82,604 shares, Jamaica Producers closed $1 lower to $15, with trades of 122,336 shares, Jamaica Stock Exchange closed at $7, losing 95 cents with an exchange of 384,712 units. JMMB Group added 24 cents to close at $18.50, with 8,392 units changing hands, Kingston Properties closed at $16 trading 1,035 shares, Kingston Wharves closed at $33.49, with gains of $2.49 and an exchange of 21,155 units, Mayberry Investments lost 5 cents to close at $4.60 with trades of 12,244 shares, NCB Financial Group added $1, closing at $62 after exchanging 318,152 shares, 
1834 Investments lost 3 cents to close at $1.45 trading 15,888 units, 138 Student Living lost 1 cent to close at $4.49, with an exchange of 1,246 units, Pan Jamaican closed 85 cents lower to $34.15 with 91,726 shares traded. Pulse Investments traded 10,105 shares at $8, Radio Jamaica gained 4 cents to close at $1.89 while trading 73,739 units, Sagicor Group closed at $34, with a loss of 52 cents trading 1,043,448 shares, Sagicor Real Estate Fund added 30 cents, closing at $10.30 with 5,044 shares changing hands, Scotia Group advanced $1.29 cents to $40 trading 196,692 units, Seprod lost 50 cents to close at $40, with 44,200 shares changing hands, Supreme Ventures closed at $6.01, with a loss of 34 cents while swapping 68,195 shares. Proven traded 58,500 ordinary shares at 30.95 US cents, for a gain of almost 1 cent, JMMB 7.5% preference share closed at $2 with trades of 204 units and JMMB Group 7.5% preference share closed at $1.05, with an exchange of 6,495 units.
Will SOS be the 35th Junior listing?
The Jamaica Stock Exchange Junior Market should be see its 35th listing and 31st ordinary share listing well before the summer months are over, as small and medium sized companies seek the exposure and other benefits of listing, that the market offers.
The family owned, stationery, office furniture and equipment company, Stationery and Office Supplies (SOS) is preparing to float an IPO with the intention to list its ordinary shares on the Junior Market.
The company run by Managing Director, David McDaniel, and Director and wife, Marjorie McDaniel, with second generation McDaniels also leading the management team, retained JN Fund Managers has been as the brokers handling the offer.
The company operates a warehouse showroom space occupying 35,000 sq ft on 23 Beechwood Avenue in Kingston and a second location in Montego Bay, servicing Jamaica and the Caribbean region. SOS employs more than than 100 employees, a release from the company stated. Our source suggests that the high numbers is reflective of demands on the stationery side that requires large number of staffing to handle, sell and distribute to customers.
“Stationery & Office Supplies is a company that my family has built over the years, and we’re proud of being a successful Jamaican business. Fifty years is no mean feat and we have managed to grow, expand, and adapt with changing times. Listing on the Junior Market of the JSE is a step that we’re looking forward to, not just from a financial perspective, but also for what it means to other companies” said David.
Our source within the sector indicates that it is very competitive, with a number of dominant players which includes SOS, Neveast, Keith Ryan, Campbells and T Geddes Grant on the office furniture side and Sangsters being the most dominant for stationery. Other players are said to include PriceSmart and Mega Mart both covering stationery and office furniture. T Geddes Grant was formerly in stationery but the Massy Group to which it belongs exited citing losses being incurred as the reason.
The market is estimated around $2 billion with gross profit margins of 15-20 percent for stationery and 20 percent for office furniture. Filing cabinets and chairs are said to be two of the largest selling item for offices. The listing of SOS will like other listing gain added exposure from the listing both from the publicity leading up to the listing and after as reporting of trading in the company’s shares is beamed to consumers.
The company will be the first with the line of products listed on the Jamaica Stock Exchange if the issue is successful. The listing would bring to 8 the number of Junior Market companies involved mainly in distribution of goods. IC Insider.com understands that the issue should hit the market before the end of May. That time frame may be subject to the Financial Services Commission having no objection to the offering document.