January 15, 2025
Caribbean Cream Limited (KREMI)
Unaudited financials for the nine months ended November 30, 2024:
Caribbean Cream Limited (KREMI), for the nine months ending November 30, 2024, reported a 16% increase in revenue totaling $2.18 billion compared to $1.88 billion in the corresponding period last year. Revenue for the third quarter had a 9% increase to close at $686.28 million compared to $630.04 million for the comparable quarter of 2023.
Cost of Sales amounted to $1.45 billion (2023: $1.25 billion), an increase of 15%. Consequently, gross Profit increased by 16% to $728.99 million compared to $626.85 million for the nine months ended November 30, 2023. The company booked a gross profit of $187.80 million for the third quarter versus $236.43 million reported for the similar quarter of 2023.
Administrative expenses increased by 29% to close at $601.34 million (2023: $467.82 million), while Selling and distribution costs increased by 20% from $49.09 million in 2023 to $59.03 million in the period under review. As a result, total expenses for the nine months ended November 30, 2024, amounted to $660.37 million, a 28% increase relative to $516.91 million reported in 2023.
Operating Profit for the nine months ended November 30, 2024, amounted to $72.16 million, a 37% decrease relative to $113.69 million reported in 2023. Operating loss for the third quarter amounted to $18.68 million (2023: operating profit of $59.20 million).
Profit before taxation for the nine months ended November 30, 2024, amounted to $2.89 million, a 94% decrease relative to $46.63 million reported in 2023. Loss before taxation for the third quarter amounted to $42.30 million (2023: profit before taxation of $34.16 million).
Taxation charges for the nine months ending November 30, 2024, decreased 93% to $721,490 (2023: $10.70 million). Net Profit for the nine months amounted to $2.16 million, a 94% decrease from the $35.93 million reported in 2023. For the third quarter, Net loss amounted to $31.73 million (2023: net profit of $25.62 million).
Consequently, Earnings Per Share for the nine months amounted to $0.01 (2023: EPS: $0.09), while Loss Per Share for the quarter totaled $0.08 (2023: EPS: $0.07). The twelve-month trailing EPS was $0.01, and the number of shares used in these calculations was 378,568,115.
Notably, Kremi’s stock closed the trading period on January 15, 2025, at $3.45, with a corresponding P/E ratio of 438.68x.
Balance Sheet Highlights
The company’s assets totalled $2.47 billion (2023: $2.29 billion). The growth in the company’s total asset base is driven by a 69% year-over-year increase in “Accounts Receivables,” which reached $231.91 million (2023: $137.47 million), a 45% YoY rise in “Right of Use Asset,” totalling $72.39 million (2023: $49.79 million), and a 1% YoY increase in “Property, Plant and Equipment,” amounting to $1.75 billion (2023: $1.73 billion) at the end of the period.
Shareholder’s equity was $864.52 million (2023: $861.54 million), representing a book value per share of $2.28 (2023: $2.28).
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