October 2, 2023
Figures are quoted in United States dollars (except where it is indicated otherwise):
Caribbean Producers Jamaica Limited (CPJ) for the year ended June 30, 2023 reported a 19% increase in Gross Operating Revenue totaling US$142.58 million compared to US$119.96 million in the corresponding period last year. Gross Operating Revenue for the fourth quarter had a 6% increase to close at US$35.54 million compared to US$33.52 million for the comparable quarter of 2022.
Cost of Operating Revenue amounted to US$103.60 million (2022: US$85.12 million), this represents an increase of 22% year over year. Consequently, gross profit increased by 12% to US$38.98 million compared to US$34.84 million for the year ended June 30, 2022. The company booked gross profit of US$7.20 million for the fourth quarter versus US$7.23 million reported for the similar quarter of 2022.
Selling and Administrative Expenses increased by 35% to close at US$24.68 million (2022: US$18.24 million), while Depreciation increased by 3% from US$4.21 million in 2022 to US$4.35 million in the period under review. Other operating expense for the year ended June 30, 2023 amounted to US$222,081, relative to other operating income of US$403,695 reported in 2022. The company attributed these changes to higher costs relating to staff, selling, and marketing, repairs, maintenance, electricity and security.
Operating profit for the year ended June 30, 2023, amounted to US$10.26 million, a 17% decrease relative to US$12.41 million reported in 2022. Operating profit for the fourth quarter amounted to US$2.73 million (2022: US$2.20 million).
Finance income totalled US$1,022 an 80% decrease from the corresponding period last year (2022: US$5,154), while Finance Cost totalled US$3.39 million, a 15% increase from the corresponding period last year (2022: US$2.95 million).
Profit Before Taxation for the year ended June 30, 2023, amounted to US$6.87 million, a 27% decrease relative to US$9.47 million reported in 2022. Profit Before Taxation for the fourth quarter amounted to US$1.67 million (2022: US$1.54 million).
Taxation for the year ended June 30, 2023 decreased 64% to US$623,658 (2022: US$1.74 million).
Consequently, Net Profit for the year end amounted to US$6.25 million, a 19% decrease from the US$7.72 million reported in 2022. For the fourth quarter, Net Profit was US$2.43 million (2022: US$703,873).
Consequently, Earnings Per Share for the year end amounted to US0.52 cents (2022: EPS: US0.68 cents), while Earnings Per Share for the quarter totaled US0.22 cents (2022: EPS: US0.06 cents). The number of shares used in these calculations was 1,100,000,000.
Notably, CPJ’s stock price closed the trading period on September 29, 2023 at a price of $10.01 with a corresponding P/E ratio of 12.27x.
Balance Sheet Highlights
The company’s assets totalled US$90.11 million (2022: US$88.46 million). The marginal increase in total assets reflected a US$1.5 million increase in ‘Cash and Cash Equivalents’ to close at US$5.46 million as well as a US$931.95 million increase in ‘Accounts Receivable’ to close at US$19.42 million. However, the movement was partly offset by ‘Inventories’ declining US$1.25 million to close at US$38.91 million.
Shareholder’s equity was US$28.91 million (2022: US$23.15 million), representing a book value per share of US2.62 cents (2022: US2.11 cents).
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