March 3, 2022

Caribbean Assurance Brokers (CABROKERS), for the year ended December 31, 2021, reported revenue of $423.44 million compared to the $370.64 million booked for the prior year, a 14% increase. For the quarter, revenue went down by 58% closing at $66.70 million (2020: $156.97 million).

Other operating income totalled $39.61 million (2020: $26.28 million) for the year ended December 31, 2021. As such, total operating income amounted to $463.05 million (2020: $396.92 million) for the twelve months ended December 31, 2021. Total operating income for the fourth quarter amounted to $70.61 million compared to $163.99 million recorded for the fourth quarter of 2020.

Total operating expenses was $400.19 million for the year ended December 31, 2021, representing an increase of 13% on the $354.05 million recorded in the prior year. Of this, Administrative expenses amounted to $255.31 million, 10% greater when compared to the $232.82 million in 2020. Selling expenses recorded an increase of 20% for the year, totalling $144.88 million (2020: $121.23 million). For the quarter, total operating expenses closed the period at $92.46 million (2020: $104.83 million) due to a 22% decrease in selling expenses to $30.17 million (2020: $38.87 million), and 6% decrease in administrative expense to $62.29 million (2020: $65.95 million).

Operating profit, therefore, amounted to $62.87 million (2020: $42.87 million) for the year ended December 31, 2021, reflecting an increase of 47% year over year. However, for the fourth quarter ended December 31, 2021, CABROKERS booked an operating loss of $21.85 million relative to a profit of $54.94 million for the same quarter in 2020.

Finance cost increased to total $5.76 million (2020: $5.28 million), while, for the quarter, finance cost closed at $1.39 million versus $1.31 million in the previous comparable quarter.

Consequently, profit before taxation increase to $57.10 million compared to $37.59 million in 2020. After incurring tax charges of $969,693 (2020: $6.04 million), net profit amounted to $56.13 million, a 78% increase when compared to $31.55 million in the prior corresponding period. For the quarter, the Company reported net loss of $22.81 million relative to a net profit of $54.94 million in the fourth quarter of 2020.

Total comprehensive income amounted to $56.13 million compared to $31.55 million recorded in 2020.

Earnings per share (EPS) closed the period at $0.21 (2020: $0.12), while for the quarter, the loss per share was $0.09 (2020: EPS $0.21). The total number of shares used in the computation amounted to 262,500,000 units. Notably, CABROKERS closed the trading period on March 3, 2022 at a price of $2.45 with a corresponding P/E of 12.06 times.

Balance Sheet Highlights:

As at December 31, 2021, the Company’s assets totalled $627.01 million (2020: $592.02 million), 24% more than its value as at December 31, 2020. This was due to largely to a 40% increase in ‘Cash and bank balance’ which amounted to $201.56 million (2020: $155.79 million). ‘Property, Plant and Equipment’ tempered the increase, by closing at $245.20 million (2020: $255.73 million), reflecting a 10% decrease year on year.

Total Shareholders’ Equity totalled $388.54 million (2020: $332.40 million), which translated to a book value of $1.48 per share (2020: $1.27).

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