July 17, 2025
Caribbean Cream Limited(Kremi)
Unaudited financials for the first quarter ended May 31, 2025:
Caribbean Cream Limited (Kremi) for the first quarter ended May 31, 2025, reported a 6% increase in revenue, totaling $802.51 million, compared to $759.28 million in the corresponding quarter last year.
Cost of Sales amounted to $571.45 million (2024: $496.88 million), representing a 15% increase year over year. Consequently, gross profit decreased by 12% to $231.06 million compared to $262.40 million for the first quarter ending May 31, 2024.
Caribbean Cream Limited (Kremi) demonstrated strategic cost management in the first quarter. Administrative expenses increased by only 1% to close at $200.84 million (2024: $198.73 million), while selling and distribution costs decreased by 13% from $21.83 million in 2024 to $19.07 million for the quarter. This resulted in Total Expenses for the first quarter amounting to $219.90 million, relative to $220.56 million reported in 2024.
Operating Profit for the year amounted to $11.61 million, a 73% decrease from the $43.15 million reported in 2024. Finance costs totalled $29.81 million, a 31% increase from the corresponding period last year. (2024: $22.70 million).
Loss before taxation for the first quarter ended May 31, 2025, amounted to $18.20 million, a 189% decrease relative to a profit of $20.44 million reported in 2024.
The tax credit for the quarter amounted to $4.55 million (2024: Tax charge $5.11 million). As such, Net Loss for the quarter amounted to $13.65 million, a 189% decrease from a profit of $15.33 million reported in 2024.
Consequently, Loss Per Share for the three months amounted to $0.04 (2024: EPS: $0.04). The twelve-month trailing LPS was $0.03, and the number of shares used in these calculations was 378,568,115.
Notably, Kremi’s stock price closed the trading period on July 16, 2025, at $2.40.
Balance Sheet Highlights
Caribbean Cream Limited (Kremi) continues to maintain its long-term stability. The company’s assets totaled $2.61 billion (as of 2024: $2.37 billion). The total increase in the company’s balance sheet is attributed to a 56% YoY increase in Inventories, ending the quarter at $298.39 million (2024: $191.60 million), and a 185% YoY increase in ‘right of use assets’, ending the quarter at $246.54 million (2024: $86.48 million).
Shareholders’ equity was $866.49 million (2024: $877.69 million), representing a book value per share of $2.29 (2024: $2.32).
Disclaimer:
Analyst Certification -The views expressed in this research report accurately reflect the personal views of Mayberry Investments Limited Research Department about those issuer (s) or securities as at the date of this report. Each research analyst (s) also certify that no part of their compensation was, is, or will be, directly or indirectly, related to the specific recommendation(s) or view (s) expressed by that research analyst in this research report.
Company Disclosure -The information contained herein has been obtained from sources believed to be reliable, however its accuracy and completeness cannot be guaranteed. You are hereby notified that any disclosure, copying, distribution or taking any action in reliance on the contents of this information is strictly prohibited and may be unlawful. Mayberry may effect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.