CFF reports year-end net profit of $61.70 million

March 3, 2023


Revenue increased by 21% to $772.23 million (2021: $637.71 million). For the quarter, revenue increased 21% to $210.29 million (2021: $173.53 million). Management noted that this improvement was driven by the continuous refinement of their sales approach strategies.

Cost of sales increased 23% to $543.22 million (2021: $441.81 million). Consequently, gross profit increased 17% to $229.01 million (2021: $195.90 million). For the quarter, gross profit increased 20% to $55.64 million (2021: $46.52 million).

Total expenses increased 25% to $162.78 million (2021: $130.39 million). Of this, selling & distribution expenses increased 29% to $9.13 million (2021: $7.07 million), while administrative expenses increased 25% to $153.64 million (2021: $123.32 million).

Profit from operations declined 12% to $64.55 million (2021: $73.15 million). For the quarter, profit from operations declined 89% to $2.26 million (2021: $21.03 million).

Net finance income declined 60% to $6.19 million (2021: $15.35 million).

Following taxation of $9.03 million (2021: $8.90 million), net profit declined 22% to $61.70 million (2021: $79.60 million). For the quarter, net profit declined 90% to $2.14 million (2021: $21.23 million).

The earnings per share (EPS) amounted to $0.069 (2021: $0.089). For the quarter, EPS amounted at $0.002 (2021: $0.024). The number of shares used in this calculation was 899,200,330 units. As at March 2, 2023, CFF closed the trading period at $1.70 with a corresponding P/E ratio of 24.78 times.

Management noted that their strategy to combat stock shortages impacted the company’s finances negatively as diversification of suppliers and high carrying amounts of inventory resulted in some levels of stock losses due to expirations and reduction in demands from customers.

Balance Sheet at a glance:

Total assets increased 4% to $757.45 million (2021: $725.31 million). This increase was due largely to increases in ‘Due from related party’, ‘Investments’, and ‘Receivables’ which closed at $54.54 million (2021: $20 million), $45 million (2021: $15 million) and $129.39 million (2021: $104.16 million), respectively.

Total shareholders’ equity increased 7% to $563.85 million (2021: $524.63 million). This resulted in a book value per share of $0.63 (2021: $0.58).



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