Blog Page — Page 1393

TTSE: Little forward movement so far

February 17, 2014 by IC Insider.com

Monday, 17th February 2014 | The market continues to show little forward movement similar to last week but that may change based on the IC bid offer indicator which shows some 5 stocks closing with bids above their last sale price.

In today’s trading on the Trinidad stock market, 10 securities changed hands of which 1 advanced, 2 declined and 7 traded firm. Trading resulted in just 136,077 shares changing hands valued at a mere $699,960.

The Composite Index inched by 0.54 points to 1,193.21, the All T&T Index advanced by 0.11 points to close at 2,002.09 and the Cross Listed Index edged up by 0.12 points to close at 50.47.

Gains | Jamaica Money Market Brokers, fresh from releasing the December quarterly report with profits from continuing operations rising 49 percent for the 9 month period, had 101,882 shares changing hands for a value of $50,422 with the price closing up 4 cents to close at 50 cents.

Firm Trades | Angostura Holdings contributed 3,100 shares with a value of $33,325, while First Citizens Bank traded 994 shares to close at $39.00; National Flour Mills with a volume of 5,000 shares being traded for $5,250; West Indian Tobacco traded 300 units to close at $118.00; Grace Kennedy Traded only 200 shares to close at $3.51; Republic Bank had just 178 shares and closed at $117.00 and National Enterprises put in a mere 100 units to close at $18.25.

Losers | Clico Investment Fund suffered a 30 cents fall to close at $21.70 while trading 23,294 shares valued at $505,480 and Sagicor Financial Corporation added 1,029 shares valued at $7,964 to close at $7.74 off by a cent.

IC bid-offer Indicator | At the end of trading the Investor’s Choice bid-offer indicator had 5 stocks with bids higher than the last selling price and 6 stocks with offers that were lower.

D&G, Carreras & C&WJ now Buy Rated

February 17, 2014 by IC Insider.com

IC Insider has added Desnoes & Geddes, Carreras and Cable & Wireless Jamaica to the Buy Rated list.

Desnoes & Geddes reported gains of 21 percent for the six months to December, earnings excluding one-off items and is poised to earn 80 cents for the full year ending in 2014. Forecasted earnings for the 2015 year is $1.10.

For Carreras the worse seems to be over with the last set of interim figures showing sales starting to recover from the impact caused by the price increase and the stock piling of cigarettes in the 2012 December and March 2013 quarters. IC Insider’s forecast is for earnings of around $5 per share for the year to March 2014.

Cable & Wireless’ sharp increase in cellular revenues and cost cutting will change the bottom-line markedly going forward.

Berger Paints Jamaica has been added to the market watch list flowing from a revival in earnings for the March 2014 year.

Image courtesy of suphakit73/FreeDigitalPhotos.net

Filed Under: Company News, Feature Stories, JSE Main Market, Stock Market, TTSE Market Tagged With: Berger Paints, C&WJ, Carreras, D&G, Jamaican Stock, TTSE

Caribbean Producers results pushes stock

February 14, 2014 by IC Insider.com

Investors were evidently impressed with the results of Caribbean Producers Jamaica (CPJ) for the half year to December 2013 and pushed the stock price up to $3 on Thursday, February 13th, the first trading day after the release.

The company released second quarter results to December showing profits up by 202 percent to US$1.624 million for the six months and 65 percent for the December quarter to US$1.18 million from US$711,712 in 2012. Earnings per share for the six months amounted to US$0.148 cents.

Sales revenues rose by 24 percent for the December quarter and 22 percent year to December hitting US$37.5 million for the 6 months and US$20.46 for the quarter. Gross profit margins came out at 41 percent for the quarter and 42.4 percent year to December. In the prior year, the margins were 42 percent for the quarter and 39.8 percent for the six months period.

Expenses up | Selling and administrative expenses are up 16.4 percent in the December quarter and 18.2 percent for the six months, while finance cost rose by 19 percent in the latest quarter and 14.4 percent for the year to December. Depreciation charge also rose sharply due mainly to their expansion into meat and juice processing.

CPJ’s performance for the next quarter should push profits up quite sharply as historically the March quarter generates the highest amount of sales and profit during the peak winter tourist season. IC Insider has forecast earnings for the full year at 70 cents Jamaican and J$1.35 for 2015 fiscal year.

Finances | The company is still not comfortably funded with borrowed funds of US$25 million at an elevated level and in excess of equity of just US$14.7 million. Short term loans are at $11 million, well in excess of the annual cash flow of approximately US$9 million.

Caribbean Producers is an IC Insider Buy Rated stock.

Filed Under: Company News, Company Results Tagged With: Caribbean Producers (CPJ), Jamaican Stock, JSE Company

D&G elevated to Buy Rated!

February 14, 2014 by IC Insider.com

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Desnoes & Geddes brewers of the world renown Red Stripe beer reported profit before taxation of $2.45 billion, a 102 percent increase over the $1.2 billion generated in 2012 and net profit of $1.95 billion. The huge jump in the bottom line came from booking capital gains from the sale of its interest in two eastern Caribbean Breweries in the December quarter, which contributed $970 million to the profit. Excluding this one-off capital gain would result in the 2013 numbers coming in at $1.479 billion for pretax profit or an increase of 21 percent, and $976 million after tax versus $808 in 2012. This translates to 35 cents per share for the six months period.

Profit in the local market before administrative and selling expenses rose 22 percent to reach $1.56 billion but export profits fell slightly to $402 from $468 million in 2012. Based on the latest results, IC Insider is forecasting 80 cents per share earnings for the year to June 2014 and $1.10 for 2015. Based on the company’s expected performance, IC Insider has elevated Desnoes & Geddes to Buy Rated status.

Sales | Revenues grew 12 percent to $7.30 billion, compared with $6.5 billion in 2012 for the six months and grew by a more robust 18.5 percent in the latest quarter to $4 billion.

“The domestic portfolio continues to grow, increasing by 23 percent on growth in the brewed portfolio as well as improved pricing. Export sales declined 28 percent as the shift in production from Jamaica to the USA during the last financial year,” management stated in their release with the financials.

Gross Profit margin ended at 72 percent for the December quarter and 70.8 percent for the six months but the 2012 six months numbers were at a high of 75.8 percent.

Expenses | D&G was able to cut cost even as revenues rose. Marketing cost declined by 9 percent to $497 million, which the company attributes savings as a result of funds expended in 2012 on Jamaica’s 50th independence celebration. Cost containment and the outsourcing of the distribution of its products led to the reduction in general, selling and administrative cost with a fall of 9 percent to $542 million for the six months to December.

Finances | Cash resources climbed to $1.7 billion at the end of 2013 from $1.2 billion in 2012 but receivables jumped to $2.95 billion from just over a $1 billion in 2012 and $1.1 billion in June 2013. The company attributes the rise due mainly to full credit being given to its associated distribution company.

Filed Under: Company News, Company Results Tagged With: D&G, Jamaican Stock, JSE Company

CWJ loss down with much progress

February 14, 2014 by IC Insider.com

Cable & Wireless Jamaica released quarterly results showing a loss of $315 million compared to $438 million in 2012 from lower revenues and $120 million in restructuring cost.

The latest quarterly results showed improvement in several areas with changes in revenues and cost. The December quarter showed an overall revenue reduction of 19 percent but cost was down as well. The end result is growth in gross margin with gross profit up to $3.65 billion from $3.27 billion in 2012 and moderate improvement in the bottom-line. However, there is far more happening here than meets the eyes. The company is reporting increased revenue from cellular phone usage coming from both voice and data with a growth in the customer base year-over-year. The pace has been growing since 2012 and is up 11 percent for 2013 in US dollars and is expected to increase even more as data usage grows.

Image courtesy of nokhoog_buchachon/FreeDigitalPhotos.net

These quarterly numbers have lots of coded information about current and future performances of a company that has bled much blood in the past few years and is trying hard to recover. For the nine months, loss is $1.75 billion and is down from $2.2 billion in 2012. More importantly, the stage is set for a sharp reduction in losses going forward. Landline revenue was down in keeping with the reduction in local termination rates as well as CWJ’s cut in landline call rates during the period. A large part of the revenue reduction came from restructuring of the telephone directory cost which now leaves CWJ in a better position as the risk was reduced.

Cost savings were also achieved in restructuring commission payments to mobile credit distributors and the wage bill was down in the quarter. However, administrative and other cost rose due to the outsourcing of the maintenance work for the phone system. IC Insider believes the future is bright for CWJ and is forecasting an absolute profit in the March quarter and an overall profit in 2015 fiscal year.

CWJ grew its mobile subscriber base, increasing by 23% and quarterly mobile service revenue rose 43 percent over the 2012 prior year quarter in local currency. This increase is after the company changed its method of accounting for active users from counting customers having credit on their phones to those who actually used their phones during the last 60 days. Gary Sinclair, LIME’s Managing Director, stated that 55,000 customers were removed from the total as a result of the change. Nevertheless, the overall number of subscribers are up year-over-year and continues to grow in 2014.

In response to the question, “Is December’s income now representative of what can be expected baring growth or contraction on a quarterly basis,” Sinclair stated that EBITA is actually up in January and that is more indicative of what can be expected.

The strategy is clear, cut cost some more and grow the mobile base, the area of strong growth potential.

In trading on Thursday, investors reacted negatively to the news and sold CWJ’s stock down to 31 cents but some buying came in and drove the price up.

With growth to come in revenues and lower cost on the horizon, Cable & Wireless Jamaica is now a Buy Rated stock.

Filed Under: Company News, Company Results Tagged With: C&WJ, Jamaican Stock, JSE Company

Remittance inflows continues up

February 12, 2014 by IC Insider.com

Remittance inflows for November last year were US$168 million, an increase of US$10 million or 6.3 per cent compared to the corresponding month in 2012. The rise in total remittance inflows reflected an increase of US$8.0 million in inflows through Remittance Companies and an increase of US$2 million in inflows by other sources.

Net remittances flows were US$149.4 million for November 2013, an increase of US$13.5 million or 9.9 per cent versus the corresponding month in of 2012. The growth in net remittance inflows reflected an increase in gross remittance inflows and a contraction in outflows.

Total remittance inflows from January to November 2013 were US$1.87 billion, an increase of US$24 million over the flows for the similar period in 2012.

The increase in total remittance inflows reflect an increase of US$15 million in inflows through Other Remittances and an increase of US$9 million in inflows through Remittances Companies.

Net remittances for January to November 2013 were US$1.65 billion representing an increase of US$47 million or 2.9 per cent relative to 2012. The outturn for the review period reflected an increase in gross remittance inflows and a contraction in outflows.

Related posts | October remittances up

Filed Under: Economy Tagged With: BOJ, Economy, FX Market, Remittances

Business conditions mending?

February 12, 2014 by IC Insider.com

The perceptions about present and future business conditions improved significantly in the most recent survey relative to the previous survey done in November last year. The survey was commission by Bank of Jamaica and undertaken by Statin.

In the most recent survey, the index hit 97.5 for current business conditions, up strongly from 66.6 in October and 87.4 in September and is at the highest level since June 2012 that was recorded at 115.1. However, the perception of future business conditions remained below the levels recorded in FY2011/12.

The business sector is very bullish on the future, as the future expectations reading is now up to 125 compared to 98.6 in October and is at the highest since November 2012 at 130.6.

About the survey | The Statistical Institute of Jamaica (STATIN) undertakes surveys of businesses on behalf of the Bank of Jamaica to ascertain the expectations of economic agents about variables which are likely to have an impact on inflation in the near-term. In this regard, the survey captures the perception of Chief Executive Officers, Managing Directors and Financial Controllers about the future movement of prices, current and future business conditions and the expected rate of increase in wages/salaries.

Related posts | Business confidence drops 24%

Filed Under: Economy Tagged With: BOJ, Economy, Statin

JSE: Cable & Wireless dominates trade

February 11, 2014 by IC Insider.com

Tuesday, 11th February 2014 | Cable & Wireless dominated trading on the Jamaica stock market with 25 million units as the stock closed at a new 52 weeks high of 34 cents in reaction to news out of the UK parent company that mobile revenues had climbed 43 percent in the December 2013 quarter over that of 2012.

Prices of 9 stocks rose and 10 declined with a total of 28 securities trading, resulting in 28,122,916 shares changing hands for a value of $40,180,273

The JSE All Jamaican Composite declined by 109.45 points to close at 83,682.30. The JSE Market Index gained 8.97 points to 79,193.51.

Main Market gains | Stocks with increased prices at the end of trading include Caribbean Cement with 536,064 shares as it gained 48 cents to close at $4.60; Carreras closed up by 65 cents to $35 while trading 66,036 units; Gleaner traded 5,000 units to close at $1.15 for a 5 cents improvement; Kingston Wharves had 10,805 to close up 6 cents at $6.06; Scotia Investments traded just 3,136 units as the price closed at $26.50 for a $2 increase.

Firm trades | Berger Paints having 1,000 units at $1.75; Ciboney with 557,600 units at 10 cents; Jamaica Broilers had 1,000 shares trading to close at $4.86; Grace Kennedy, 990 shares, as the price closed at $55 and Seprod closing at $11 with 500 shares trading.

Losers | Amongst the losing stocks are Desnoes & Geddes with 429,937 shares to close at $4.86, a fall of 14 cents; First Caribbean International Bank with 800 units to shed $1 to close at $80; Jamaica Money Market Brokers had 122,797 units trading with the price easing 5 cents to close at $7.40; Mayberry traded 8,000 shares to close at $1.91, down by 9 cents; National Commercial Bank traded 16,417 units to close at $18 for a 10 cents decline; Sagicor Group 18,774 shares to close at $9.10, a decline of 20 cents; Sagicor Investments with just 1,000 units to close at $18.00 for 50 cents decline. Sagicor Real Estate X Fund declined by 1 cent to close at $7, with 14,605 units changing hands; Scotia Group exchanged 1,084,114 units as the price fell by 10 cents to close at $21; Supreme Ventures exchanged 48,700 shares at $2.39, one cent less than the opening price.

The JSE Junior Market Index closed with a gain of 10.91 points to 759.95 as only six stocks traded in this market on Tuesday.

Junior Market winners | Three stocks to close higher are Caribbean Producers trading 20,000 shares to close at $2.70, up 15 cents; Lasco Distributors with 73,000 at $1.45 up 10 cents and Medical Disposables 44,000 units trading up 4 cents to $2.10.

Firm trades | AMG Packaging trading only 100 shares to close at $3.60; Consolidated Bakeries with 14,300 shares to close at $1.15 and Lasco Financial with 21,253 shares at $1.35.

Declines | There were no declining stocks in the junior market.

IC bid-offer Indicator | At the end of trading the Investor’s Choice bid-offer indicator had 6 stocks with bids higher than the last selling prices and 4 stocks with offers that were lower.

Filed Under: JSE Main Market, Stock Market Tagged With: Daily Trading, Jamaican Stock, JSE Company, Trading Activity

TTSE: Advancing stocks hard to find

February 11, 2014 by IC Insider.com

Tuesday, 11th February 2014 | Trading on the Trinidad & Tobago Stock Exchange has gone quiet with advancing stocks difficult to come by, resulting in 12 securities changing hands of which only 1 advanced, 4 declined and 7 traded firm. Trading activity produced only 139,787 shares valued at $2,694,604.

The Composite Index declined by 0.52 points and closed at 1,194.46, the All T&T Index edged down 0.82 points to 2,002.46 and the Cross Listed Index was off 0.03 to end at 50.76.

Gains | National Flour Mills was the only stock to record a gain as it traded 26,000 shares for $27,300 as the price climbed by 5 cents to end the day at $1.05, a new 52 weeks high.

Declines | The number of declining stocks increased as First Citizens lost 3 cents to close at $38.97, while trading 2,927 shares for a value of $4,858,713; Grace Kennedy with 5,000 units is down 2 cents to end at $3.68; Republic Bank traded 8,860 shares valued at $1,036,620 with the price ending the day at $117, for a 25 cents fall; Sagicor Financial Corporation traded 70,000 units for a value of $558,800 as the price closed at $7.98 down 2 cents.

Firm trades | Stocks trading firm include Angostura Holdings with contribution of 15,000 shares with a value of $161,250, the price ended at $10.75; Clico Investment Fund traded 3,133 shares valued at $69,083, with the price remaining at $22.05; Guardian Holdings with 1,000 shares at $14.15; Guardian Media traded 837 shares to close at $19.75; National Enterprises 1,000 shares at $18.25; Neal & Massy traded 11,256 shares valued at $745,710 to close at $66.25; Scotiabank traded 1,260 shares to close at $72.50 and West Indian Tobacco 4,845 shares at $118.

IC bid-offer Indicator| At the end of trading the Investor’s Choice bid-offer indicator remained negative with 3 stocks with bids that were higher than the last selling prices and 7 stocks with offers that were lower.

Filed Under: Stock Market, TTSE Market Tagged With: Daily Trading, Trading Activity, TTSE

Huge mobile growth for C&WJ

February 11, 2014 by IC Insider.com

Buy Rated Alert! Cable & Wireless Jamaica now elevated to Buy Buy rated from Market Watch based on the strong increase to subscriber base and mobile revenue growth.

Cable & Wireless Communications Plc is reporting that Cable & Wireless Jamaica continued its momentum in growing its mobile subscriber base, increasing by 23% in the December quarter last year over the last quarter of 2012. In a release to investors the UK listed aren’t company said, “Subscriber growth momentum in our Jamaica business was sustained and quarterly mobile service revenue rose 42% on the prior year in local currency”.

Cable & Wireless Jamaica stock traded on Wednesday, February 5th as high as 32 cents to record a gain of 100 percent for the year to date. However, the price, closed at 31 cents, a gain of 94 percent for the year-to-date and a new 3 year high.

IC Insider understands that between May and November, 250,000 new cellular customers were added to the network and new customers continue to be added at the same pace. In addition, the Christmas promotion went well with some phones sold out ahead of December and most of the phones sold involved data plans. Going forward, it will translate to billions of dollars in increased revenue per annum for the company.

At the close of trading on Monday, there were 5,147,967 shares on offer by Mayberry Investments at 32 cents to sell. The broker switched from selling and instead bought 5,000,000 units at 32 cents at the start of trading on Tuesday.

Related posts | Cable & Wireless up 56% in January

Filed Under: Company News, General Business News Tagged With: C&WJ, Jamaican Stock, JSE Company, Lime