March 02, 2021

Caribbean Flavours and Fragrances (CFF), revenues amounted to $593.75 million for the twelve months ended December 31, 2020, 28% up from $462.46 million booked 2019. For the quarter revenue rose by 36% to $141.85 million (2019: $104.02 million).

Cost of sales amounted to $403.17 million (2019: $323.30 million), resulting in a gross profit of $190.58 million (2019: $139.16 million). As for the quarter, gross profit totalled $46.71 million (2019: $14.42 million).

Unrealised gains on investment valued at fair value for the twelve months period amounted to $2.86 million (2019: nil).

The Company recorded a year over year increase in total expenses to $121.13 million, 9% up from $111.06 million booked in 2019. Total expenses comprised of selling and distribution cost which totalled $6.20 million (2019: $3.40 million), whereas administrative expenses for the period closed at $114.94 million (2019: $107.66 million).

Total expenses during the quarter amounted to $32.13 million, 4% down from $33.54 million booked for 2019 fourth quarter.

Consequently, profit from operations for the period closed at $72.31 million (2019: $28.10 million). As for the quarter, operating profit closed the period at $17.44 million, versus a loss of $19.12 million.

Finance income for the year amounted to $24.21 million (2019: $8.71 million). As such, pre-tax profit amounted to $96.51 million (2019: $36.81 million) for the year ended December 31, 2020.

Consequently, after incurring taxes of $14.21 million (2019: $5.31 million), net profit for the period amounted to $82.30 million (2019: $31.50 million). For the quarter, net profit amounted $24.22 million, versus a loss of $16.16 million.

The earnings per share (EPS) for the year amounted to $0.09 (2019: 0.035), while for the quarter, EPS amounted to $0.03 (2019: LPS $0.02). The number of shares used in this calculation was 899,200,330 units. As at March 01, 2021 the stock traded at $1.96 with a corresponding P/E of 21.41 times.

Balance Sheet Highlights:

CFF, as at December 31, 2020, recorded total assets of $635.02 million, an increase of 13% when compared to $563.22 million for the prior year. ‘Cash and Cash Equivalent’ largely contributed to this growth, closing the period at $295.43 million (2019: $225.65 million).

Total Shareholders’ Equity as at December 2020 closed at $490 million, an improvement of 14% from $430.18 million last year. This resulted in a book value per share of $0.54 (2019: $0.48).

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