May 13 2022

FIRSTROCK Capital Holdings Group (FIRSTROCK), for the three months ended March 31, 2022, recorded total investment income of US$3.78 million compared to US$1.64 million booked for the corresponding period. Of this,

• • Rental income amounted to US$173,930 (2021: US$75,391).

• • Realised and unrealised gain on investment properties totalled US$3.65 million versus the gain of US$560,000 reported in 2021.
  • Loss on sale of financial instruments at amortised cost amounted to US$12,256 relative to gain on sale of financial instruments of US$129,099 a year prior.

• • Interest income closed at US$115,840 (2021: US$433,178) for the period under review.

• • Loss on foreign exchange amounted to US$13,006 versus a loss of US$176,611 booked in 2021.

• • Dividend income totalled US$3,747 (2021: US$16,405).

• • Other income for the three months amounted to US$4,184 (2021: US$77,460).

Total operating expenses amounted to US$1.62 million (2021: US$866,239). Of this,

• • Administrative and general expenses closed at US$812,627 (2021: US$839,355), representing a 3% contraction relative to the prior year.

• • Depreciation totaled US$30,090 (2021: US$32,684).

• • Preference dividend amounted to US$717,700 (2021: US$115,660).

• • Recovery of credit gain closed at US$64,522 versus an allowance of credit losses of US$121,460 booked for the three months ended March 31, 2021.

As such, profit before taxation closed at US$2.16 million (2021: US$771,370). Share of Profit from Investment in Associate amounted to US$1,364 (2021: nil).

A tax charge of US$2,734 was booked versus a tax credit of US$24,914 for the corresponding period.

Thus, resulting in net profit of US$2.15 million (2021: US$796,284) for three months ended March 31, 2022.

Profit attributable to shareholders amounted to US$2.15 million (2021: US$767,310).

Furthermore, total comprehensive income amounted to US$2.19 million (2021: US$1.01 million).

Consequently, earnings per share (EPS) amounted to US$0.0087 (2021: US$0.0031) for the three months ended March 31, 2022. The number of shares used in this calculation was 247,772,318 shares. The Company’s twelve-months trailing EPS amounted to US$0.0177. FIRSTROCKJMD closed the trading period on May 12, 2022 at J$12.39 with a corresponding P/E 5.26 times, while FIRSTROCKUSD closed at US$0.08 with a corresponding P/E of 5.13 times.

Balance Sheet at a Glance:

As at March 31, 2022, total assets closed at US$54.86 million (2021: US$34.57 million). The 59% increase is primarily due to growth in ‘Current development in progress’ which amounted to US$13.36 million (2021: US$1.01 million) and a 34% increase in  ‘Investment Property’ to US$29.27 million (2021: US$21.80 million).

Shareholder’s equity totalled US$34.58 million (2021: US$30.74 million) resulting in a book value of US$0.14 (2021: US$0.12).

Disclaimer: 

Analyst Certification -The views expressed in this research report accurately reflect the personal views of Mayberry Investments Limited Research Department about those issuer (s) or securities as at the date of this report. Each research analyst (s) also certify that no part of their compensation was, is, or will be, directly or indirectly, related to the specific recommendation (s) or view (s) expressed by that research analyst in this research report.

Company Disclosure -The information contained herein has been obtained from sources believed to be reliable, however its accuracy and completeness cannot be guaranteed. You are hereby notified that any disclosure, copying, distribution or taking any action in reliance on the contents of this information is strictly prohibited and may be unlawful. Mayberry may affect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.