As Trinidad and Tobago struggled with recession in 2015 profit for the year ended September 2015 resulted in a marginal increase from TT$627 million in 2014 to TT$630 million for First Citizens Bank, a Trinidadian based and Trinidad Stock Exchange listed bank.
The performance emanated from revenues of $1.76 billion net of $282 million in interest cost, compared to $1.68 billion net of interest cost of $315 million in 2014. For the September quarter profit fell to $148 million from $157 million reported for the June quarter.
While interest income was marginally down to $1.45 billion from $1.47 billion for the 12 months, fees and commissions rose sharply by 28 percent to $415 million from $360 million, gains on sale of financial assets, netted only $27 million versus $66 million in 2014 while foreign exchange gains, rose to $12 million from $76 million.
Driven mainly by a 19.5 percent increase in the wage bill that hit $425 million administrative expenses rose 13.8 percent to $594 million from $522 million and other operating expenses were flat at $390 million as technical and professional fell to $21 million from $38. Loan losses fell to $6 million from $13 million in 2014 but taxation climbed to $160 million from $146 million thus reducing a 4.7 percent increase in pretax profit to a virtually flat net results for the year, with earnings per share of $2.51.
Investment assets amounted to $12.3 billion up from $10.4 billion in 2014 while loans grew to by $1.6 billion in the final quarter to $17.3 billion and is up from $14.9 billion at September 2014.
With Trinidad now in recession and the price of oil under US$40 per barrel, institutions such as banks could see their income and profit under pressure in 2016 as demand for loans remain weak. The stock last traded at $35 on the Trinidad Stock Exchange with a PE of 14 and don’t seem to have much room for growth in the months ahead.
First Citizens flat 2015 numbers
Falling TTSE stocks still dominant – Wednesday
Massy Holdings ended at a new 52 weeks’ low on Wednesday
At the close, the Composite Index ended with a fall of 1.54 points to 1,160.59, the All T&T Index fell 2.99 points to 1,949.96 and the Cross Listed Index slipped just 0.01 points to 48.84.
IC bid-offer Indicator| At the end of trading the Investor’s Choice bid-offer indicator had 4 stocks with bids higher than the last selling price and 7 stocks with offers that were lower.
Gains| First Citizens Bank gained 1 cents while 150 shares changed hands, at $34.99, Guardian Holdings traded 10,493 shares with a gain of 3 cents to end at $13.10 and Unilever rose 5 cents with 1,146 units changing hands at a 52 weeks’ high of $68.25.
Declines| Agostini’s traded 18,360 shares with a value of $314,679 but lost 20 cents, to end at a 52 weeks’ low of $17, Massy Holdings traded 80,589 units with a value of $4,958,715 but lost 7 cents to end at a 52 weeks low of $61.53. National Enterprises closed with 2,510 shares changing hands, lost 2 cents, to close at a 52 weeks’ low of $16.37, Sagicor Financial lost 1 cent to close with 200 shares changing hands at $6.15.
Scotiabank with 3,615 shares closed at $61.99, Trinidad and Tobago NGL slipped 11 cents in trading 1,500 units to close at a 52 weeks low of $21 and West Indian Tobacco suffered a loss of 22 cents to close at $126 with 6,006 shares valued at $758,092 changing hands.Firm Trades| Clico Investments traded 18,172 units valued at $413,417 to close at $22.75, National Commercial Bank ended with 39,202 units changing hands at $2.10, National Flour had 8,995 shares changing hands, to close at $2.70, One Caribbean Media traded 50 shares at $22 and Trinidad Cement closed at $4.20 with 15,850 shares changing hands.
9 down on TTSE – Tuesday
Massy Holdings ended at a new 52 weeks’ low on Tuesday
At the close, the Composite Index ended with a fall of 1.82 points to 1,162.13, the All T&T Index fell 0.60 points to 1,952.95 and the Cross Listed Index slipped just 0.42 points to 48.85.
IC bid-offer Indicator| At the end of trading the Investor’s Choice bid-offer indicator had 3 stocks with bids higher than the last selling price and 9 stocks with offers that were lower.
Gains| Guardian Holdings traded 6,872 shares with a gain of 4 cents to end at $13.07 to be the sole stock rising, at the close of the market.
Declines| Agostini’s traded 13,500 shares with a loss of 4 cents, to end at a 52 weeks’ low of $17.20. Angostura Holdings ended with 200 shares changing hands with a loss of 1 cent at $13.97, First Citizens Bank ended with 520 shares changing hands, with a loss of 2 cents at $34.98, Massy Holdings traded 21,828 units but lost 6 cents to end at a 52 weeks low of $61.60.
National Commercial Bank ended with 100,000 units changing hands with a loss of 6 cents at $2.10, National Flour lost 1 cent with 250 shares changing hands, to close at $2.70, Republic Bank suffered a loss of 5 cents to close at $111.95 with 57 shares changing hands. Scotiabank with 5,535 shares closed at $61.99 having a loss of 1 cent and Trinidad and Tobago NGL slipped 11 cents in trading 1,830 units to close at a 52 weeks low of $$21.39.Firm Trades| Clico Investments traded 14,838 shares to close at $22.75, Guardian Media traded 288 shares at $19.76 and Unilever had 3,597 units changing hands at $68.20.
2 up 3 down again on TTSE – Monday
Scotiabank drops 48 cents on TTSE on Monday
At the close, the Composite Index ended with a rise 0.05 points to 1,162.37 the All T&T Index inched up by 0.01 points to 1,957.99 and the Cross Listed Index gained 0.01 points to 48.22.
IC bid-offer Indicator| At the end of trading the Investor’s Choice bid-offer indicator had 3 stocks with the bids higher than the last selling price and 7 stocks with offers that were lower.
Gains| Clico Investment Fund posted 13,420 shares, gained 3 cents and closed at $22.75 and Guardian Holdings gained 8 cents to end at $13 as 1,817 units changed hands.
Declines| Massy Holdings traded 100 shares and lost 1 cent in closing at $61.92 to a new 52 weeks’ low, Scotiabank ended with 2,825 shares changing hands at $62 after dropping 48 cents and Scotia Investments closed with a loss of 9 cents with 11,700 shares changing hands at $1.50.
Firm Trades| Firstcaribbean International Bank led with 74,837 shares changing hands for a value of $376,392 to close at $5. First Citizens Bank traded 1,388 shares to close at $35, Grace Kennedy traded 50 units at $3.75, Prestige Holdings ended with 150 shares at $10.10, Sagicor Financial ended with 2,526 units changing hands at $6.15, Trinidad and Tobago NGL traded 36,777 shares valued at $790,892, to close at $21.50 and West Indian tobacco traded 805 units and closed at $126.25.
2 up 3 fall on TTSE – Friday
Sagicor Financial rose on TTSE
At the close, the Composite Index ended with a rise 0.01 points to 1,162.32 the All T&T Index inched up by 0.38 points to 1,957.98 and the Cross Listed Index fell 0.05 points to 48.21.
IC bid-offer Indicator| At the end of trading the Investor’s Choice bid-offer indicator had 5 stocks with the bids higher than the last selling price and 6 stocks with offers that were lower.
Gains| Clico Investment Fund posted just 5,790 shares and closed at $22.72 after rising by 3 cents and Sagicor Financial ended 5 cents higher with 26,613 units changing hands at $6.15.
Declines| JMMB Group traded 5,514 shares and lost 2 cents in closing at 47 cents,
Trinidad Cement ended at $4.68 after declining by 2 cents, with 13,637 units changing hands and Trinidad and Tobago NGL lost 1 cent, in trading 24,847 shares valued at $534,278, to close at $21.50.Firm Trades| Berger Paints traded 60 units at $3.67, First Citizens Bank traded 1,086 shares to close at $35, National Flour with 40,139 shares closed at $2.75, One Caribbean Media traded 1,353 shares at $22, and Republic Bank ended with 466 shares changing hands at $112.99 and Scotia Investments closed with 679 shares changing hands unchanged at $1.59.
2 new highs on TTSE – Thursday
Witco closed at a 52 weeks’high on Thursday
At the close, the Composite Index ended with a fall of 29 points to 1,162.31 the All T&T Index fell by 0.24 points to 1,957.60 and the Cross Listed Index gained 0.05 points to 48.26.
IC bid-offer Indicator| At the end of trading the Investor’s Choice bid-offer indicator had 2 stocks with the bids higher than the last selling price and 5 stocks with offers that were lower.
Gains| Unilever Caribbean ended with 3,000 shares trading with a gain of 1 cent, for a new 52 weeks’ high of $68.18 and West Indian Tobacco ended with a gain of 8 cents to a 52 weeks’ high of $126.25 having traded just 45 units.
Declines| Agostini’s closed with 5,035 shares changing hands with a loss of 1 cent at $13.99, JMMB Group traded 400 shares and lost 1 cent in closing at 49 cents, Scotiabank closed with 713 shares changing hands, but fell 2 cents to $62.48. Trinidad Cement ended at $4.70 after declining by 4 cents, with 3,000 units changing hands and Trinidad and Tobago NGL lost 4 cents, in trading 24,407 shares valued at $546,270, to close at $21.51.
Firm Trades| Clico Investment Fund posted just 347 shares and closed at $22.69, First Citizens Bank traded 1,962 shares to close at $35, Grace Kennedy had 99,400 units changing hands valued at $372,750 at $3.75. National Enterprises with 20 shares changing hands at $16.39, One Caribbean Media traded 5,100 shares at $22, Prestige Holdings with 685 units changing hands ended at $10.10, and Republic Bank ended with 466 shares changing hands at $112.99 and Scotia Investments closed with 679 shares changing hands unchanged at $1.59.
3 stocks trade at new highs – Wednesday
NCB closed at a new 52 weeks’ high on the TTSE on Wednesday
At the close, the Composite Index ended with a rise of 2.26 points at 1,162.60 the All T&T Index rose 0.21 points to 1,957.84 and the Cross Listed Index gained 0.59 points to 48.31.
IC bid-offer Indicator| At the end of trading the Investor’s Choice bid-offer indicator had 2 stocks with bids higher than the last selling prices and 5 stocks with offers that were lower.
Gains| Clico Investment Fund posted 46,930 shares valued at $1,064,841 and closed with a gain of 1 cent at $22.69, National Commercial Bank gained 10 cents with 1,961 shares changing hands to close at a 52 weeks’ high of $2, Sagicor Financial Corporation closed with 7,445 shares changing hands at $6.11 for a gain of 5 cents.
Trinidad and Tobago NGL gained 5 cents in trading 98,948 shares valued at $2,130,116, to close at $21.55 and West Indian Tobacco ended with a gain of 2 cents at a 52 weeks’ high of $126.17 having traded 16,668 units worth $2,102,990.Declines| Trinidad Cement ended at $4.74 after declining by 1 cent with 286,000 units having a value of $1,358,290 changing hands.
Firm Trades| First Citizens Bank traded 39 shares to close at $35, Guardian Holdings closed with 2,200 units trading at $12.92 and Republic Bank ended with just 5 shares changing hands at $112.99.
It’s official, NCB to buy into Guardian
It is now official National Commercial Bank (NCB) will be acquiring nearly 30 percent of Guardian Holdings subject to regulatory approvals, making them the largest shareholder in the Trinidad based company that was previously controlled by Jamaica Mutual Life.
The announcement now confirms the ICInsider.com report earlier in the year of NCB’s strong interest in the insurance group of companies. The move is in keeping with IC Insiders’ earlier understanding that both NCB and Proven Investments were targeting approximately 36 percent of Guardian, with the targets being – Tenetic Limited block of 35.84 million which, amounts to 15.46 percent of the company and Arthur Lok Jack’s direct holding of 6.29 percent or 14.59 million units. Arthur Lok Jack’s is listed as having a beneficial interest in Tenetic. Royal Insurance Trinidad holds 22.33 million units or 9.63 percent and RBC Trust T&T controls 4.99 percent or 11.57 million shares. The release from the Guardian shareholders indicates that IFC, who recently bought into Group, is one of the sellers, with no mention of RBC.
The acquisition of Guardian would be a complete reversal, returning the company to its Jamaican roots. Guardian was once majority owned by Jamaica Mutual Life, who sold out their holdings sometime before they ran into problems in Jamaica and folded. The Jamaican entities consider the company to be clean, well run and considerably undervalued. Guardian last traded in Trinidad at TT$13.90.
Guardian is primarily a Life Insurance company but also owns a general insurance arm. NCB operates the well known OMNI Life Insurance Company. Part of the likely synergy in future would be a merger of general insurance companies that both entities own, with Omni to be sold to the Life Insurance arm, resulting in economies of scale. The possibility exists that an expanded general Insurance company could be listed on the stock exchanges within the Caribbean, thus spreading the risk associated therewith. Guardian’s profit attributable to equity shareholders for the nine months to September was $235 million, down from $286 million for 2014.
Net Income from Insurance Activities grew by $80 million to $533 million from $453 million in 2014, however. Investment activities generated net income of $527 million as against $629 million in 2014, a result significantly affected by the fair value losses of $66 million (2014 gains $27 million) that were occasioned by extreme market uncertainty during the month of September. IC Insider estimates that NCB could see profits rising around 40 cents per share for the 2016 financial year if the deal is finalized soon and on the assumption that the price is around the last traded price of the stock.
Big jump in TCL bid price – Monday
Trinidad Cement closed with a bid at $4.61 to buy 69,626 units on Monday
At the close, the Composite Index ending with a fall of 1.35 points at 1,157.31 the
IC bid-offer Indicator| At the end of trading the Investor’s Choice bid-offer indicator had 5 stocks with the bid higher than the last selling price and 5 stocks with offers that were lower.
Gains| Clico Investment Fund posted 42,154 shares valued at $956,066 and closed with a gain of 1 cents at $22.69, National Flour ended with 37,040 shares changing hands at $2.50, after rising 22 cents to a 52 weeks’ high and Sagicor Financial Corporation closed with 25,100 shares changing hands at $6.06 with a gain of 1 cent.
Declines| Agostini’s traded 1,010 shares as the price slid 20 cents to end at $18, a 52 weeks’ low,
National Commercial Bank lost 10 cents in trading 35,000 shares at $1.85 and Trinidad and Tobago NGL slipped 30 cents in trading, to close at $21.70 with 38,821 units valued at $ $844,535 changing hands.Firm Trades|, Berger Paints had 50 shares changing hands and ended at $3.67, First Citizens Bank traded 3,617 shares to close at $35, Grace Kennedy closed with 25,000 shares changing hands at $3.75, JMMB Group had just 400 shares changing hands at 50 cents and One Caribbean Media ended with 5,623 shares changing hands to close at $22.
No stocks rise on TTSE’s – Thursday
Trading on the Trinidad and Tobago Stock Exchange declined to more moderate levels Thursday, ending with 11 active securities, none closed higher, 1 declined and 10 remained unchanged as 248,589 shares changed hands for a value of $2,284,764.
At the close, the Composite Index ending with a fall of 0.05 points at 1,160.48 the
IC bid-offer Indicator| At the end of trading the Investor’s Choice bid-offer indicator had 6 stocks with the bid higher than the last selling price and 5 stocks with offers that were lower.
Gains| No stocks recorded gains on Thursday, this is the first time in November that this has happened.
Declines| Massy Holdings suffered a loss of 2 cents to close at $61.95 with 80 shares changing hands to end at a 52 weeks’ low.
Firm Trades| Clico Investment Fund closed with 8,361 shares at $22.65
First Citizens Bank traded 1,072 shares to close at $35.01, Grace Kennedy closed unchanged at $3.75 with 185,500 shares changing hands for a value of $695,625, JMMB Group contributed 3,956 shares and ended at 50 cents, Republic Bank closed at $112, with just 20 shares changing hands. One Caribbean Media closed with 220 shares changing hands at $22.05, Scotia Investments traded 124 units to end at $1.59, Trinidad and Tobago NGL closed at $22 as 46,717 shares changed hands for a value of $ $1,027,772 and West Indian Tobacco added 2,538 shares valued at $320,169 and ended at $126.15.
