March 11, 2020
HONBUN experienced double digit improvements in the Company’s top and bottom line as a direct result of expenditure in high capacity machinery and the renewed push into export sales which grew by 40%, according to Chairman, Herbert Chong.
The Company’s Chief Executive Officer (CEO), Mrs. Michelle Chong, highlighted that for the 2019 Financial Year, “Revenue grew 17% year over year to $1.54 billion while Pre-tax Profit increased by 86% to close at $182.6 million.” She stated that “All distribution channels recorded improved performance with export sales increasing by 40%. There was increased capacity which brought down manufacturing costs, resulting in a gross margin of 48.2% (2018: 45.6%).” Notably, HONBUN followed through on its strategic initiatives of:
- Addition of seasoned professionals to the Executive team
- Implementation of service level agreement through its supply chain
- Transformation from shift to line operation
- Building proficiency of its people
- The efficiency of its operations
- Technology centred operations
Notably, Mr. Herbert Chong mentioned that, “in the coming years, we plan to invest cash reserves in funding leaner manufacturing and increased automation.” Other 2019 Deliverables:
- Creation of the new Buccaneer Jamaica pocket size Rum Cakes in three flavours, Original, Coconut and Fruit which boosted sales in export market by 40%
- Registered the Honey Bun Foundation
- Expenditure in higher capacity machinery
Mrs. Michelle Chong assured that, “amidst the COVID 19 outbreak, Honey bun has started to improve its already high levels of sanitation and standards.” Furthermore, Honeybun is in the process of renewing its HACCP international food safety certificate.
Looking ahead for 2020, Honey Bun noted that it will launch new products, improve efficiencies, look at new and exciting business development opportunities as well as continue to develop its people as Honey Bun strives to be the best place of employment by year 2022.
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