March 11, 2024
Jamaica Broilers Group Limited (JBG) for the nine months ended January 31, 2024, reported a 3% increase in Revenue totalling $70.35 billion compared to $68.51 billion in the corresponding period last year. Revenue for the third quarter had a 4% increase to close at $23.58 billion compared to $22.67 billion for the comparable quarter of 2022.
JBG Highlighted, “Jamaica Operations reported a segment result of $5.9 billion which was $448 million or 8% above last year’s segment result. Total revenue for our Jamaica Operations showed an increase of 2% over the prior year nine-month period. This increase was primarily driven by the growth in the sale and export of poultry and implementation of cost containment efforts.”
Additionally, “Our US Operations reported a segment result of $3 billion which was $226 million or 8% above last year’s segment result. This increase was driven by increased volumes of poultry meat and eggs, as well as the implementation of cost management initiatives.”
Cost of Sales amounted to $52.99 billion (2022: $51.92 billion), this represents an increase of 2% year over year. Consequently, gross profit increased by 5% to $17.36 billion compared to $16.59 billion for the nine months ended January 31, 2023. The company booked gross profit of $5.88 billion for the third quarter versus $5.49 billion reported for the similar quarter of 2022.
Other gains increased by 1% to close at $387.39 million (2022: $384.09 million), while Distribution Costs increased by 8% from $2.17 billion in 2022 to $2.34 billion in the period under review. Also, administration and other expenses for the nine months ended January 31, 2024, amounted to $8.69 billion, a 9% increase relative to $7.99 billion reported in 2022.
Operating Profit for the nine months ended January 31, 2024, amounted to $6.72 billion, a 1% decrease relative to $6.82 billion reported in 2022. Operating Profit for the third quarter amounted to $2.26 billion (2022: $2.37 billion).
Finance Costs totalled $2.02 billion, a 58% increase from the corresponding period last year. (2022: $1.28 billion).
Profit before taxation for the nine months ended January 31, 2024, amounted to $4.76 billion, a 14% decrease relative to $5.55 billion reported in 2022. Profit before taxation for the third quarter amounted to $1.61 billion (2022: $1.86 billion).
Taxation for the nine months ended January 31, 2024, had a 10% decrease to $937.70 million (2022: $1.04 billion).
Net Profit from continuing operations for the nine months amounted to $3.83 billion, a 15% decrease from the $4.51 billion reported in 2022. For the third quarter, Net Profit from continuing operations was $1.30 billion (2022: $1.48 billion).
Net profit attributable to shareholders for the nine months ended January 31, 2024, amounted to $3.83 billion (2022: $3.56 billion).
Consequently, Earnings Per Share for the nine months amounted to $3.19 (2022: EPS: $2.96), while Earnings Per Share for the quarter totalled $1.08 (2022: EPS: $1.24). The twelve month trailing EPS was $3.94 and the number of shares used in these calculations was 1,199,276,400.
Notably, JBG’s stock price closed the trading period on March 8, 2024, at a price of $33.23 with a corresponding P/E ratio of 8.44x.
Balance Sheet Highlights
The company’s assets totalled $79.80 billion (2022: $70.46 billion). The growth in total assets was primarily attributed to upticks in ‘Property, plant & equipment’ by $3.33 billion to close at $21.94 billion, and ‘Biological assets’ by $4.57 billion to close at $22.27 billion.
Shareholder’s equity was $29.08 billion (2022: $24.53 billion), representing a book value per share of $24.25 (2022: $20.46).
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