January 2, 2024
Jamaica Teas Limited (JAMT) for the year end ended September 30, 2023, reported a 9% increase in operating revenue totalling $2.70 billion compared to $2.47 billion in the corresponding period last year. Operating revenue for the fourth quarter increased slightly to close at $650.91 million compared to $649.76 million for the comparable quarter of 2022.
Cost of sales amounted to $2.12 billion (2022: $1.93 billion), this represents an increase of 10% year over year. Consequently, gross profit increased by 6% to $576.04 million compared to $543.00 million for the year end ended September 30, 2022. The company booked gross profit of $117.08 million for the fourth quarter versus $97.99 million reported for the similar quarter of 2022.
Other income increased by 5% to close at $75.66 million (2022: $71.94 million). Administrative expenses amounted to $379.16 million, a 9% increase relative to $346.86 million reported in 2022, while selling and distribution expenses increased by 35% from $37.96 million in 2022 to $51.26 million in the period under review.
As a result, operating profit increased by 13% to $277.89 million (2022: $246.90 million). For the fourth quarter, operating profit amounted to $3.25 million (2022: loss of $1.92 million).
Finance cost for the year end ended September 30, 2023, amounted to $64.76 million, a 29% increase relative to $50.26 million reported in 2022. Finance costs for the fourth quarter amounted to $18.48 million (2022: $17.11 million).
Profit before taxation totalled $213.13 million, an 8% increase from the corresponding period last year (2022: $196.64 million).
Taxation for the year end ended September 30, 2023, amounted to $26.90 million, a 21% decrease relative to $34.06 million reported in 2022. Taxation for the fourth quarter amounted to $26.18 million (2022: tax credit of $10.18 million).
Net profit for the year end ended September 30, 2023, had a 15% increase to reach $186.24 million (2022: $162.58 million). Profit attributable to shareholders for the year end amounted to $227.55 million, a 17% increase from the $193.95 million reported in 2022. For the fourth quarter, profit attributable to shareholders was $35.74 million (2022: $7.63 million).
Earnings per share (EPS) for the year end amounted to $0.11 (2022: $0.09), while EPS for the quarter totalled $0.017 (2022: EPS: $0.004). The number of shares used in these calculations was 2,164,680,377.
Notably, JAMT’s stock price closed the trading period on January 2, 2024, at a price of $2.59 with a corresponding P/E ratio of 24.58x.
Balance Sheet Highlights:
The company’s assets totalled $5.22 billion; a 21% increase relative to $4.94 billion in 2022. This upward movement was largely due to a 79% increase in inventories, which amounted to $1.40 billion (2022: $1.19 billion), followed by a 45% increase in investment properties, which amounted to $426.72 million (2022: $294.40 million).
Shareholder’s equity was $2.97 billion (2022: $2.66 billion), representing a book value per share of $1.38 (2022: $1.23).
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