7 juniors stocks rose 2 fell
The junior market ended with 11 securities traded as the junior market index fell 3.83 points to 1,281.95 with 1,300,792 units, valued at $14,184,687, changing hands as 7 stocks advanced and 2 declined.
The market ended with 5 securities ended with no bids to buy, while 2 had no stocks being offered for sale. A total of 7 stocks closed with bids higher than the last traded prices and 1 closed with a lower offer.
In trading, Caribbean Cream price slipped 33 cents and closed at $2.90 with 120,000 shares changing hands. Caribbean Flavours traded at $3.50 with 19,392 shares changing hands, Caribbean Producers traded 414,000 units to end at $2.99, Consolidated Bakeries rose 10 cents in traded 59,878 shares, to end at $1.30. General Accident Insurance ended with 127,562 shares changing hands to gain 5 cents and end at $1.90, KLE Group had 116,279 units changing hands at 43 cents, Knutsford Express traded 132,617 shares at $6.20 after adding 5 cents to end at a new 52 weeks’ high, Lasco Distributors with 10,763 shares changing hands, closing 3 cents higher at $2.86. Lasco Financial closed at a new all-time closing high of $2.60 while 147,651 shares changed hands with the price rising 10 cents, the stock traded at $2.65 during the day, Lasco Manufacturing traded 147,651 shares to end at $3.49 after trading 14 cents higher and Medical Disposables closed at $2.55 with a rise of 20 cents with 10,000 shares traded.
Knutsford doubles profit
Knutsford Express more than doubled its profit for the first quarter to August, with a jump of 109 percent to $35.7 million, from $17 million in 2014 and revenues that climbed 38.5 percent to $143 million. The increased revenue “was due to growth in passenger travel” the company stated in its report to shareholders.
Administrative and general operating expenses grew by a much slower 23 percent to $104 million than revenue. Depreciation climbed from $5.4 million to $7.55 million and finance amounts to $3.9 million and is up from $2.3 million in 2014.
Unfortunately the company has not provided information on the composition of administrative and general operating expenses. Based on the last audited financials, the largest cost items are fuel, accounting for around 19 percent of cost, labour for 34 percent and repairs around 10 percent for a total of 43 percent or thereabout.
Earnings per share is 36 cents for the 2015 quarter, putting full year earnings in the $1.60 region.
The company provides a popular coach bus service that plies between Kingston and the North and South coasts of Jamaica. Service was extended to Port Antonio from Ocho Rios earlier in 2015 but will take time to build as more persons become familiar with it. Going forward it is unsure what the opening of the highway to Ocho Rios from Kingston will mean for growth. What is sure it will take less time to cover the route with less operating cost per trip and will allow them to better compete with air travel as the time factor to and from Montego Bay and Kingston will be reduced.
The stock is listed on the junior market of the Jamaica Stock Exchange and has been trading around $6.10, for some time. These results should give the price a lift as the value is very low compared to others on the market, but management needs to improve on the inadequate manner of reporting the results, if not investors will be skeptical about the financial performance and shy away from the stock.
At the end of the quarter, shareholders equity stands at $250 million and liabilities of just $91 million and current assets of $157 million which includes cash and investments of $79 million and other assets of $61 million that rose from $21 million in May this year.
The company paid a dividend of 15 cents per share on September 15.
4 junior stocks gain on Tuesday
The junior market ended on Tuesday with the index falling marginally by 0.60 points to close at 950.33. A total of 4 stocks advanced, none declined with a total of 9 securities trading. The market ended with 772,681 units, valued at $1,436,470 changing hands.
The market ended with 4 securities with no bids to buy, while 7 had no stocks being offered for sale. A total of 7 stocks closed with bids higher than the last traded prices and 2 closed with lower offers.
Stocks trading are, Caribbean Cream ended with 185,000 shares changing hands at $1.71, as the price rose 6 cents, Caribbean Producers traded 23,000 units to close at $2.35, General Accident trading 26,621 sharesCargo Handlers with 550 shares changing hands ended at $31, to end at $1.46 with a 1 cent rise. Honey Bun had 10,000 shares trading with an increase of 28 cents to close at a 52 weeks’ high of $4.28, Knutsford Express had 8,000 shares changing hands at $6.10, Lasco Distributors with 115,800 shares trading, closed at $1.84 after rising by 2 cents. Lasco Financial ended with 174,000 shares changing hands for a decline of at $1.55, Lasco Manufacturing with 229,630 shares trading closed at $1.90.
Junior index drops 3.5% on Friday
The large decline in the index would be due a lot, to the fall of Lasco Manufacturing with a large number of issued shares.
At the close, 5 securities ended with no bids to buy, while 7 had no stocks being offered for sale and 6 stocks closed with bids higher than the last traded prices and 1 closed with a lower offer.
Stocks trading are, Access Financial traded 2,500 shares to close with a 2 cents fall to $12, Caribbean Cream lost 30 cents with 14,300 shares changing hands at $1.60, Dolphin Cove traded just 1,210 shares with a loss of 65 cents to end at $12.25, Knutsford Express had 1,500 shares changing hands at $6.10 for a 10 cents gain. Lasco Distributors closed with 490,000 units trading at $1.90 to gain 5 cents, Lasco Financial ended with 629,255 shares changing hands at $1.80. Lasco Manufacturing closed with 191,077 units trading, ending with a loss of 15 cents at $1.80, Medical Disposables ended with 141,958 shares changing hands to close at $2.36 after gaining 1 cent and Eppley preference share 2019 traded 103,836 units at $6.05.
4 junior stocks fell 0 up on Wednesday
Trading on Wednesday ended with just 1,672,256 units, valued at $3,304,951 changing hands from a total of 8 securities that traded. The price of none stock declined and 4 advanced with the junior market index shedding 7.29 points to close at 983.49.
At the close, 5 securities ended with no bids to buy, while 5 had no stocks being offered for sale and 4 stocks closed with bids higher than the last traded prices and 2 closed with lower offers.
Stocks trading are, Caribbean Producers traded 131,644 shares unchanged at $2.50, Derrimon Trading ended with 29,000 shares changing hands at $2.30 after losing 35 cents, Knutsford Express traded just 15,000 shares at $6, Lasco Distributors closed with 263,298 units trading at $1.87. Lasco Financial ended with 677,150 shares changing hands at $1.85, Lasco Manufacturing closed with 549,634 units trading, ended with a gain of 19 cents to end at $2, Paramount Trading ended with 4,273 shares changing hands at $5.75 and Eppley cumulative preference share 2019, ended with 2,257 units changing hands at $6.05.
4 junior stocks up 0 down Tuesday
Trading on Tuesday ended with just 250,010 units, valued at $593,128 changing hands from a total of 9 securities that traded. The price of none stock declined and 4 advanced with the junior market index adding 20.34 points to close at 990.78.
At the close, 5 securities ended with no bids to buy, while 4 had no stocks being offered for sale and 5 stocks closed with bids higher than the last traded prices and 4 closed with lower offers.
Stocks trading are, AMG Packaging closed at $3.65 with 1,000 units changing hands, Blue Power closed with 550 units changing hands to close at $13.70 with a gain of 10 cents, Caribbean Cream ended with 600 shares changing hands at $1.90 to gain 15 cents, Caribbean Producers traded 108,777 with a gain of 10 cents to $2.50. Knutsford Express traded just 200 shares at $6, Lasco Distributors closed with 27,000 units trading at $1.87, Lasco Financial ended with 27,000 shares changing hands at $1.85 and Lasco Manufacturing closed with 83,406 units trading, ended with a gain of 19 cents to end at $2.
Knutsford’s sales up 38% cost 44%
Knutsford Express’ audited report for 2015 shows a big 38 percent surge in profit to $69 million over the $50 million in 2014, from revenues of $454 million, 38 percent more than the $329 million generated in 2014. With that level of revenue increase profit should have grown much faster than it did, and should have been closer to doubling.
New routes added could have been a factor as passenger traffic takes time to build up, more importantly, increased cost in a number of areas seems more the culprit. Expenses for 2015 are up 41 percent but excluding $4.58 million of IPO cost included in 2014, the increase would have been 43.5 percent. The overall increase comes against the fact that fuel rose only 12 percent to $70 million and accounted for 19 percent of cost, down from 24 percent in 2014. Excluding fuel, all other costs are up 50 percent over 2014 and 54 percent, excluding the IPO cost, well over the revenue increase of 38 percent.
Staff and labour cost jumped 72 percent to $126 million and now accounts for 34 percent of cost up from 28 percent.
Telephone cost rose 68 percent to $7.9 million. Rent grew 61 percent to $7.8 million, travelling was up 160 percent to $6 million, advertising and promotion grew only 30 percent to $12.4 million and is one of the items that grew more slowly than revenues.
Some items of cost such as repairs and maintenance actually fell while others such as electricity and office supplies rose more moderately than those above.