July 16, 2025
Caribbean Cream Limited (KREMI)
Audited financials for the year end ended February 28, 2025:
Caribbean Cream Limited (Kremi) reported a 13% increase in Revenue, totaling $2.99 billion, for the year ended February 28, 2025, compared to $2.64 billion in the corresponding period last year. Revenue for the fourth quarter increased by 7% to $818.21 million, compared to $762.68 million for the comparable quarter in 2024.
Cost of Sales amounted to $1.94 billion (2023: $1.72 billion), representing an increase of 13% year over year. Consequently, gross profit increased by 15% to $1.06 billion compared to $923.61 million for the year end ended February 28, 2024. The company booked a gross profit of $330.86 million for the fourth quarter, versus $296.76 million reported for the same quarter in 2024.
Administrative expenses increased by 21% to close at $867.98 million (2024: $716.46 million), while Selling and distribution costs increased by 8% from $74.59 million in 2024 to $80.34 million in the period under review. As a result, total expenses for the year ended February 28, 2025, amounted to $948.32 million, representing a 20% increase from the $791.05 million reported in 2024.
Operating Profit for the year end ended February 28, 2025, amounted to $118.78 million, an 11% decrease relative to $133.22 million reported in 2024. Operating Profit for the fourth quarter amounted to $46.62 million (2024: $19.53 million). Finance costs totaled $99.80 million, representing a 20% increase from the corresponding period in the previous year. (2024: $83.15 million).
Profits before taxation for the year-end ended February 28, 2025, amounted to $18.58 million, a 61% decrease relative to the $48.21 million reported in 2024. Profits before taxation for the fourth quarter amounted to $15.70 million (2024: $1.58 million).
The tax charge for the year ended February 28, 2025, decreased by 93% to $792,967 (2024: $11.47 million). Net Profit for the year end amounted to $17.79 million, a 52% decrease from the $36.74 million reported in 2024. For the fourth quarter, Net Profit was $15.63 million (2024: $812,791).
Consequently, Earnings Per Share for the year end amounted to $0.05 (2024: EPS: $0.10), while Earnings Per Share for the quarter totaled $0.04 (2024: EPS: $0.002). The number of shares used in these calculations was 378,568,115.
Notably, Kremi’s stock price closed the trading period on July 15, 2025, at $3.45, with a corresponding P/E ratio of 73.41x.
Balance Sheet Highlights
The company’s assets totaled $2.70 billion (as of 2024: $2.52 billion). The total increase in the company’s asset base is driven by a 68% YoY increase in Inventories ending the year at $368 million (2024: $219.03 million), and a 218% YoY increase in Right-of-use assets ending the year at $254.10 million (2024: $79.83 million).
Shareholders’ equity was $880.15 million (2024: $862.36 million), representing a book value per share of $2.32 (2024: $2.28).
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