JSE reported a 26% decline in nine months net profits

Jamaica Stock Exchange Limited – (JSE)

For the Nine months ended September 30, 2017:

JSE recorded total revenue of $695.47 million, a 0.18% increase when compared to the $694.2 million booked the prior year. While total revenue for the quarter amounted to $217.82 million (2016: $192.69 million). Of this:

Cess income declined by 37% to $178.13 million relative to $282.90 million the previous year.

Fee income grew by 27% to $443.06 million to close the period compared to $349.08 million in 2016.

E-campus showed an increase of 13% to $12.09 million, relative to $10.71 million in 2016.

Other operating income rose 21% during the period to total $62.20 million compared to $51.51 million in 2016.

Total expenses for the period increased by $53.32 million or 12% moving from $434.40 million in 2016 to $487.72 million in 2017.  Of this:

Staff cost increased 14% to total $228 million for the period (2016: $199.68 million). The increase was “due to salary to salary increase and related expenses.

Depreciation and amortization totaled $25.68 million for the period relative to $18.93 million in 2016. JSE           indicated that the increase was due to “additional assets & computer software which were required to support our new products lines.”

Professional fees amounted to $38.80 million a 15% increase year over year.

Property expenses climbed $16.94 million to $84.64 million during the period under review which was “largely associated with increases in maintenance cost and licenses expense that were required based on the upgrades to JSEG IT infrastructure.”

Other operating expenses grew by 11% to $33.29 million from $30.02 million the previous year.

Advertising and promotion was up by 14% from $41.46 million to $36.23 million. Securities commission fees posted a 32% decline year over year to close at $26.43 million (2016: $38.99 million).

Investment income fell to $17.74 million (2016: $43.71 million), while other loss for the period was nil relative to $235,000 the prior year.

Profit before tax totaled $225.49 million compared to $303.27 million the year prior. Tax charges for the period totaled $76.31 million (2016: $101.41 million).

JSE reported a net profit of $149.18 million compared to a profit of $201.86 million in the prior year, a 26% decline. While net profit for the quarter amounted to 47.43 million (2016: $44.14 million).

Total comprehensive income was for the period amounted to $155.78 million relative to $354.30 million in 2016.

Earnings per share for the quarter totaled $0.07 compared to $0.06 in 2016. EPS for the nine months ended September 30, 2017 was $0.21 compared to $0.29 in 2016, while the twelve months trailing EPS is $0.244. The numbers of shares used in the calculations are 701,250,000.00 units.


Balance Sheet at a glance:-


As at September 30, 2017, assets totaled $1.20 billion, a 9% increase when compared with its balance of $1.11 billion a year prior. The increase was due to a 15% increase in non-current asset from $634.91 million to $732.75 million.


Shareholders’ Equity amounted to $938.9 million (2016: $901.9 million), resulting in a book value per share of $1.34 (2016: $1.29).







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