January 13, 2022
AMG Packaging Paper Company Limited (AMG), for the three months ended November 30, 2021, recorded Turnover in the amount of $270 million, a 55% increase when compared to $173.86 million booked the previous year’s corresponding quarter.
Cost of Inventories totalled $156 million, an increase of 66% relative to $94.18 million booked in the prior year’s corresponding quarter. Direct Expenses rose year over year by 49% to $40.15 million (2020: $27.03 million). Thus, Total Manufacturing Costs for the first quarter amounted to $196.14 million, 62% more than the $121.21 million reported for the first quarter of 2020. As such, Gross Profit amounted to $73.86 million (2020: $52.65 million).
Administrative Expenses rose by 7% to close at $22.59 million (2020: $21.04 million), while Depreciation fell 3% to $6.10 million (2020: $6.26 million). Finance Expense for the period fell to $1.86 million,14% lower than the $2.16 million booked for the first quarter of 2020. Directors Fees for the period remained constant at $2.72 million.
Other income closed the period under review at $235,932 (2020: $2.05 million).
As such, pre-tax profit closed at $45.51 million, 178% higher than the $16.35 million reported for the first three months ended November 30, 2020. Following tax charges of $10.32 million, (2020: $2.07 million), Net profit amounted to $35.19 million, a 146% increase relative to net profit of $14.29 million reported in the first quarter of 2020.
Earnings per share for the period amounted to $0.069 (2020: $0.028). The twelve-month trailing EPS amounted to $0.16. The number of shares used in our calculations amounted to 511,894,285 units. Notably, AMG’s stock price closed the trading period on January 13, 2021 at a price of $3.34 with a corresponding P/E of 20.04 times.
Balance Sheet Highlights:
As at November 30, 2021, Total Assets amounted to $971.42 million, 20% more than the $812.17 million a year ago. This was due to a 29% climb in the company’s ‘Property, Plant & Equipment’ which closed the period at $468.40 million (2020: $362.52 million). Also, ‘Inventories’ contributed to the growth closing at $206.77 million (2020: $128.63 million).
Shareholder’s Equity as at November 30, 2021 totalled $643.13 million (2020: $563.01 million) resulting in a book value per share of approximately $1.26 (2020: $1.10).
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