March 1, 2024
GraceKennedy Group Ltd (GK) for the year ended December 31, 2023, reported a 9% increase in Revenues totaling $155.00 billion compared to $141.61 billion in the corresponding period last year. Revenues for the fourth quarter had a 9% increase to close at $37.19 billion compared to $34.17 billion for the comparable quarter of 2022.
GK highlighted, “with this result, GK surpassed the US$1 billion revenue mark, a significant milestone on our journey to becoming a US$2.1 billion company by 2030”.
Direct and operating expenses amounted to $146.92 billion (2022: $136.87 billion), this represents an increase of 7% year over year. Consequently, profit before other income increased by 18% to $7.54 billion compared to $6.39 billion for 2022. The company booked profit before other income of $1.43 billion for the fourth quarter versus $1.10 billion reported for the similar quarter of 2022.
Other Income increased by 6% to close at $4.10 billion (2022: $3.87 billion), while Interest Income – non-financial services increased by 22% from $558.77 million in 2022 to $681.68 million in the period under review. As a result, interest expense – non-financial services for the year amounted to $1.72 billion, a 38% increase relative to $1.25 billion reported in 2022.
Share of Results of Associates & Joint Ventures for the year amounted to $774.13 million, a 15% increase relative to $673.19 million reported in 2022. Share of Results of Associates & Joint Ventures for the fourth quarter amounted to $135.72 million (2022: $133.95 million). Profit Before Taxation totalled $11.37 billion, an 11% increase from the corresponding period last year. (2022: $10.24 billion).
Taxation for the year amounted to $2.99 billion, a 14% decrease relative to $2.63 billion reported in 2022. Taxation for the fourth quarter amounted to $622.74 million (2022: $537.54 million).
Net Profit for the year had a 10% increase to reach $8.38 billion (2022: $7.62 billion). Net profit attributable to shareholders for the year amounted to $7.78 billion, a 10% increase from the $7.05 billion reported in 2022. For the fourth quarter, Net profit attributable to shareholders was $1.82 billion (2022: $1.87 billion).
Consequently, Earnings Per Share for the year amounted to $7.82 (2022: EPS: $7.08), while Earnings Per Share for the quarter totaled $1.82 (2022: EPS: $1.88). The number of shares used in these calculations was 995,177,300.
Notably, GK’s stock price closed the trading period on February 29, 2024, at a price of $74.00 with a corresponding P/E ratio of 9.46x.
Balance Sheet Highlights
The company’s assets totalled $219.48 billion (2022: $196.14 billion). The growth is mainly attributed to a 14% increase in ‘Investment Securities’ closing at $54.11 billion.
Shareholder’s equity was $79.08 billion (2022: $72.63 billion), representing a book value per share of $79.50 (2022: $73.00).
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