KREMI reports 49% decline in year end net profit

April 30, 2018 

Caribbean Cream Ltd. (KREMI) for year ended February 28, 2018, reported a 13% increase in revenue totalling $1.37 billion compared to $1.21 billion in the corresponding period last year.  Revenue for the fourth quarter rose 16% to close at $381.04 million compared to $327.92 million for the comparable quarter of 2017.

Costs of Sales for the period amounted to $952.95 million (2017: $751.71 million), an increase of 27%. As such, Gross Profit fell 9% or $41.51 million to close at $420.32 million compared to $461.84 million for the period ended February 28, 2017. The company booked gross profit of $114.88 million for the fourth quarter versus $117.78 million reported for the similar quarter of 2017.

Administrative Expenses climbed 19% to close at $275.03 million (2017: $231.79 million), while Selling and Distribution Costs declined 2% from $47.78 million to close the period at $46.64 million. Consequently, operating profit for the year ended amounted to $100.90 million, down 45% relative to $184.57 million book in 2017.

 Finance Cost rose 14% year over year to amount to $15.26 million relative to $13.41 million recorded for the comparable period in 2017. Interest income for the period reflected an 18% decline from $5.03 million to $4.12 million for year end.

No taxes were charged for the period, as such Net Profit Attributable to Shareholders decreased by 49% from $176.18 million in 2017 to $89.75 million. Profit for the quarter amounted to $18.61 million (2017: $39.42 million), down 53% year over year. Consequently, Earnings per Share (EPS) for the period amounted to $0.24 (2017: $0.47), while the EPS for the quarter totalled $0.049 (2017: $0.104). The numbers of shares used in these calculations were 378,568,115 units. KREMI’s stock price close the trading period on April 27, 2018 at a price of $5.09.

Balance Sheet Highlights:

The company’s assets totalled $848.03 million (2017: $791.33 million), $56.70 million more than its value as at February 28, 2017. The increase in assets was largely due to an increase of $113.38 million in ‘property, plant and equipment to a total of $514.63 million (2017: $401.24 million). ‘Inventory’ and ‘Cash and Cash Equivalents’ declined as at February 28, 2018 to close as $92.71 million (2017: $161.22 million) and $174.73 million (2017: $176.18 million) respectively.

Shareholders’ equity amounted to $637.49 million (2017: $570.45 million), representing a book value per share of $1.68 (2017: $1.51).

 

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2018-04-30T14:14:42-05:00