LASD reports 11% increase in three months net profit

August 5, 2022

Lasco Distributors Limited (LASD), for the three months ended June 30, 2022, posted a 9% increase in revenue to $6.26 billion, up from $5.76 billion booked in the corresponding period in 2021. According to LASD, “ This was a result of growth in all Divisions: Consumer, Pharmaceutical and Exports, driven by rebalanced marketing investment to diversify the business and a focus on improving on-shelf availability.”

Cost of sales amounted to $5.18 billion, up 8% on the $4.79 billion reported in the prior comparable period. Nonetheless, gross profit recorded an 11% increase year over year, closing at $1.07 billion compared to the $964.19 million generated for the same period in the prior year.

Other operating income contracted by 66% to end the three months closing at $28.35 million relative to $82.53 million in the corresponding period last year.

Operating expenses of $718.03 million were booked for the period, 3% increase from $699.69 million recorded for the comparable period of 2021.

Operating profit increased by 10% to close at $382.57 million for the period under review (2021: $347.03 million) while Finance cost totalled $201,000 (2021: $257,000)

Pre-tax profit amounted to $382.36 million, a 10% increase from the $346.78 million reported in the previous year.

Net profit for the period closed at $324.89 million (2021: $292.07 million), an 11% increase year over year following taxation of $57.48 million (2021: $54.71 million). Additionally, total comprehensive income for the period amounted to $383.12 million relative to $329.35 million booked last year same time.

Earnings per share for the three months ended June 30 2022, totalled $0.09 versus $0.08 for the corresponding period in 2021. The trailing twelve months EPS is $0.30. The total amount of shares outstanding used for this calculation was 3,510,702,702 units. Notably, LASD’s closed the trading period on August 5, 2022, at $3.10 with a corresponding P/E ratio of 10.37 times.

Balance Sheet Highlights:

As at June 30, 2022, ‘Total Assets’ amounted to $13.43 billion, 13% more than last year’s $11.92 billion. This increase was due to an increase in ‘Inventories’ which closed at $3.75 billion (2021: $2.83 billion). ‘Receivables’ also contributed to the growth closing at $3.72 billion (2021: $3.20 billion).

Shareholders’ equity amounted to $7.36 billion as at June 30, 2022 (2021: $6.80 billion), reflecting an 8% increase. This translated in a book value per share of $2.10 (2021: $1.94).

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

2022-08-05T16:34:31-05:00