February 1 , 2022
Jamaican Teas Limited (JAMT) reported a 3% increase in revenues to total $2.27 billion (2020: $2.20 billion). For the quarter, revenues amounted to $520.36 million (2020: $782.88 million).
Cost of sales increased by 7% to $1.72 billion (2020: $1.61 billion). Hence, gross profit fell 5% to $553.30 million (2020: $584.89 million). For the quarter, gross profit closed at $102.18 million relative to $206.30 million reported in the previous year’s corresponding quarter.
Other income was reported at $163.48 million versus other income of $78.54 million in the prior year.
Administrative expenses increased by 5% to $245.41 million for the year ended September 30, 2021 relative to $228.16 million for 2020. Sales and Marketing costs contracted by 29% totaling $36.82 million (2020: $51.73 million). For the quarter administrative expenses and sales & marketing costs closed at $57.91 million (2020: $66.79 million) and $9.71 million (2020: $9.91 million) respectively.
Operating profit closed at $778.75 million compared to operating loss of $103.69 million documented twelve months earlier. For the quarter, operating profit totalled $91.13 million (2020: $185.11 million).
Finance cost for the year amounted to $37.71 million relative to $31.75 million reported in 2020. While finance costs for the quarter closed $11.79 million (2020: $7.78 million).
Pre-tax profit amounted to $741.05 million relative to the pre-tax loss of $135.44 million booked the previous year. For the quarter, pre-tax profit amounted to $79.34 million (2020: $177.34 million).
Tax charge for the year amounted to $154.86 million in contrast to a credit of $65.72 million in 2020. Net profit for the year totaled $586.18 million relative to net loss of $69.72 million recorded twelve months earlier. Profit for the fourth quarter closed at $85.12 million (2020: $193.46 million).
For the year end, net profit attributable to shareholders rose to $392.94 million (2020: $222.40 million). While for the quarter, net profit attributable to shareholders amounted to $78.45 million, a 40% decline relative to the $131.65 million reported in the prior comparable quarter.
For the year ended September 30, 2021, earnings per share totaled $0.18 compared to $0.10. While for the quarter, the EPS was $0.04 (2020: $0.06). The numbers of shares used in the calculations are 2,146,150,377 units. JAMT last traded on January 31, 2022 at $4.29 with a corresponding P/E ratio of 23.43 times.
JAMT noted, “In response to the continued uncertainties, management continues to adopt several measures specifically around financial risk management. Some of these measures include reorganising the investment segment to reduce investment in industries assessed as being sensitive to the pandemic and diversifying the investment portfolio to invest in listed equities outside of Jamaica, across thriving industries.”
Balance Sheet Highlights:
As at September 30, 2021, the Company’s total assets amounted to $4.08 billion, a 16% increase when compared to the $3.52 billion reported as at September 2020. This increase was attributable to a 34% growth in ‘Investment’ from $1.60 billion in 2020 to $2.14 billion for the period under review.
Shareholders’ Equity totalled $2.08 billion as at September 30, 2021 (2020: $1.72 billion), resulting in a book value per share of $0.96 (2020: $0.80).
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