Salada Foods Jamaica Ltd.(SALF)
Unaudited financials for the six months ended March 31, 2024:
Salada Foods Jamaica Ltd. (SALF) reported a 6% increase in turnover to $726.78 million for the six months ended March 31, 2024, compared to $688.26 million for the corresponding period last year. Turnover for the second quarter ending March 31, 2024, was 8% higher at $426.89 million compared to $394.22 million for the comparable quarter of 2023.
The cost of sales for the six months ended March 31, 2024, amounted to $497.47 million (2023: $472.69 million), an increase of 5% year over year. Consequently, gross profit increased by 6% to $229.31 million, compared to $215.57 million for the six months ended March 31, 2023. The company booked a gross profit of $137.60 million for the second quarter versus $122.09 million reported for the similar quarter of 2023.
Other operating income decreased by 29% to close at $786,000 (2023: $1.10 million), while Selling and promotional expenses decreased by 28% from $44.38 million in 2023 to $31.88 million in the period under review. As a result, administrative expenses for the six months that ended March 31, 2024, amounted to $74.15 million, a 2% decrease relative to $75.91 million reported in the corresponding period of 2023.
Operating Profit for the six months ended March 31, 2024, amounted to $124.07 million, a 29% increase relative to $96.38 million reported in 2023. Operating Profit for the second quarter amounted to $86.20 million (2023: $60.48 million). Net finance income totalled $7.65 million, a 121% increase from last year’s corresponding period (2023: $3.46 million).
Profit before taxation for the six months ended March 31, 2024, amounted to $131.72 million, a 32% increase relative to $99.84 million reported in 2023. Profit before taxation for the second quarter amounted to $90.54 million (2023: $63.35 million).
Salada Foods Jamaica Ltd. (SALF) demonstrated strong profitability with a 32% increase in net profit for the six months ended March 31, 2024, amounting to $98.76 million, compared to $74.88 million reported in 2023. Taxation for the six months ended March 31, 2024, increased by 32% to reach $32.95 million (2023: $24.96 million). For the second quarter, Net Profit was $67.88 million (2023: $47.51 million).
Consequently, Earnings Per Share for the six months amounted to $0.10 (2023: EPS: $0.07), while Earnings Per Share for the quarter totalled $0.07 (2023: EPS: $0.05). The twelve-month trailing EPS was $0.20, and the number of shares used in these calculations was 1,038,832,900.
SALF’s stock price closed the trading period on May 08, 2024, for $3.93, with a corresponding P/E ratio of 20.05x.
Balance Sheet Highlights
The company’s assets totalled $1.42 billion (2023: $1.32 billion). The increase in total assets was attributed to an increase in Cash and Cash Equivalents by 23% YoY, Investments, which increased 13% YoY, and Receivables, which also increased 14% YoY.
Salada Foods Jamaica Ltd. (SALF) has continued to strengthen its financial position, with shareholder’s equity reaching $1.13 billion (2023: $1.06 billion), representing a book value per share of $1.09 (2023: $1.02). This equity increase is a result of a 7% YoY increase in Retained Earnings, underscoring the company’s unwavering commitment to delivering value to its shareholders.
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