February 15, 2024
Figures are quoted in United States dollars (except where it is indicated otherwise):
Caribbean Producers Jamaica Limited (CPJ) for the six months ended December 31, 2023, reported a 4% increase in Gross Operating Revenue totalling US$74.29 million compared to US$71.38 million in the corresponding period last year. Gross Operating Revenue for the second quarter had a 5% increase to close at US$40.07 million compared to US$38.32 million for the comparable quarter of 2022.
Cost of Operating Revenue amounted to US$51.97 million (2022: US$49.97 million), this represents an increase of 4% year over year. Consequently, gross profit increased by 4% to US$22.32 million compared to US$21.41 million for the six months ended December 31, 2022. The company booked gross profit of US$12.13 million for the second quarter versus US$11.18 million reported for the similar quarter of 2022.
Selling and Administrative Expenses increased by 8% to close at US$14.15 million (2022: US$13.15 million), while Depreciation increased by 9% from US$2.04 million in 2022 to US$2.24 million in the period under review. Other operating income for the six months ended December 31, 2023, amounted to US$77,433, a 178% increase relative to US$27,896 reported in 2022.
Operating Profit for the six months ended December 31, 2023, amounted to US$5.93 million, a 4% decrease relative to US$6.18 million reported in 2022. Operating Profit for the second quarter amounted to US$3.46 million (2022: US$3.19 million).
Finance Income totalled US$301, a 36% decrease from the corresponding period last year. (2022: US$468), while Finance Cost totalled US$1.69 million a 4% increase from the corresponding period last year. (2022: US$1.62 million).
Profit Before Taxation for the six months ended December 31, 2023, amounted to US$4.24 million, a 7% decrease relative to US$4.56 million reported in 2022. Profit Before Taxation for the second quarter amounted to US$2.61 million (2022: US$2.32 million).
Taxation for the six months ended December 31, 2023, had a 17% decrease to reach US$910,492 (2022: US$1.10 million). As such, Net Profit for the six months amounted to US$3.33 million, a 4% decrease from the US$3.47 million reported in 2022. For the second quarter, Net Profit was US$2.10 million (2022: US$1.75 million).
Net profit attributable to shareholders amounted to US$3.28 million for the six month period. (2022: US$3.35 million).
Consequently, Earnings Per Share for the six months amounted to US$0.003 (2022: EPS: US$0.003), while Earnings Per Share for the quarter totalled US$0.0018 (2022: EPS: US$0.0016). The twelve month trailing EPS was US$0.005, and the number of shares used in these calculations was 1,100,000,000.
Notably, CPJ’s stock price closed the trading period on February 13, 2024, at a price of $9.11 with a corresponding P/E ratio of 11.36x.
Balance Sheet Highlights
The company’s assets totalled US$95.50 million (2022: US$89.08 million). The growth in total assets was mainly driven by a 21% increase in ‘Property, plant & Equipment’ to US$12.67 million (2022: US$10.45 million), as well as a 18% uptick in ‘Right-of-use assets’ to close at US$14.01 million (2022: US$11.90 million).
Shareholder’s equity was US$32.20 million (2022: US$26.50 million), representing a book value per share of US$0.028 (2022: US$0.024).
Disclaimer:
Analyst Certification -The views expressed in this research report accurately reflect the personal views of Mayberry Investments Limited Research Department about those issuer (s) or securities as at the date of this report. Each research analyst (s) also certify that no part of their compensation was, is, or will be, directly or indirectly, related to the specific recommendation(s) or view (s) expressed by that research analyst in this research report.
Company Disclosure -The information contained herein has been obtained from sources believed to be reliable, however its accuracy and completeness cannot be guaranteed. You are hereby notified that any disclosure, copying, distribution or taking any action in reliance on the contents of this information is strictly prohibited and may be unlawful. Mayberry may effect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.
