Lasco Distributors profit jumps a strong 69 percent, in the December 2014 quarter, on rising sales of 25 percent, an increase over the 10 percent for the six months to September 2014. The company recorded profit of $192 million in the quarter versus $114 million in 2013 and recorded lower nine profits of $395 million from $417 million. Lasco recorded improvement in gross profit margin that climbed to 24 percent, in the December quarter from 23 percent in the same period in 2013, the margin, year to December, is down to 23 percent from 25 percent in the nine months of 2013. Administrative and marketing expenses rose 17 percent in the quarter and year to date, compared with the prior year. Earnings per share for the quarter amounted to 6 cents and for the nine months 12 cents. Earnings for the full year to March should end up around 20 cents per share. With new products being added to be added to its portfolio from within the group and new clients, will swell revenues going forward. The stock now priced at $1.40 remains a buy even if the bigger gains are likely based on 2015/16 results which should be in the order of 30 cents per share.
The company is listed on the Jamaica Stock Exchange junior market, has virtually no debt, is yet to book its successful legal claim against Pfizer and boast equity of $2.7 billion and cash funds of $608 million. The company is to build out a new warehouse for housing the increased need of space for new product lines they represent, the building has already been bought and booked in the accounts.