February 9, 2024
Massy Holdings Limited (MASSY) for the first quarter ended December 31, 2023, reported a 19% increase in revenue totalling TT$4.02 billion compared to TT$3.39 billion in the corresponding three months last year.
Operating profit after finance costs decreased by 3% to TT$286.34 million compared to TT$294.84 million for the first quarter ended December 31, 2022.
Share of profit of associates and joint ventures increased by 21% to close at TT$7.84 million (2022: TT$6.49 million).
Profit before income tax decreased by 2% from TT$301.32 million in 2022 to TT$294.19 million for the three months. Income tax expense for the first quarter amounted to TT$94.14 million, a 1% increase relative to TT$92.84 million reported in 2022.
Profit from continuing operations for the three months amounted to TT$200.05 million, a 4% decrease relative to TT$208.48 million reported in 2022. Loss from discontinued operations totalled TT$2.05 million, a 1552% increase from the corresponding period last year (2022: TT$124,000).
Profit for the first quarter ended December 31, 2023, amounted to TT$198.00 million, a 5% decrease relative to TT$208.35 million reported in 2022.
Profit attributable to shareholders for the three months had a 6% decrease to reach TT$182.69 million (2022: TT$194.82 million).
Earnings per share (EPS) for the three months amounted to TT$0.092/J$2.12 (2022: TT$0.098/J$2.22). The twelve-month trailing EPS was TT$0.380/J$8.73 and the number of shares used in these calculations was 1,979,384,540.
Notably, MASSY’s stock price closed the trading period on February 8, 2024, at a price of J$99.00 with a corresponding P/E ratio of 11.34x.
Management noted that, “In FY2023, the Group made three bold moves to acquire the Rowe’s IGA supermarket chain in Jacksonville Florida, IGL medical and industrial gas business in Jamaica, and Air Liquide’s 750 tonne per annum air separation and export business in Trinidad…All acquisitions are performing well and for Q1 FY2024, they contributed $43.4 million (US$6.4 million) to the Group’s PBT, yielding $28.1 million (US$4.2 million) to the Group’s PBT from Continuing Operations after deducting interest costs.”
It was further noted that, “The divestment of the Group’s non-core assets has reached its “long-tail” with a couple of subsidiaries, and properties in Barbados held for sale. The strength of the Group’s Revenue production across the breadth of our sectors and geographies offer reassurance for the outlook for the rest of the Financial Year”.
Balance Sheet Highlights:
The Company’s assets based increased to TT$15.80 billion (2022: TT$13.13 billion). This was largely due to increases in other current assets (by TT$927.10 million), goodwill (by TT$670.49 million) and property, plant and equipment (by TT$669.87 million).
Shareholder’s equity was TT$7.32 billion (2022: TT$7.02 billion), representing a book value per share of TT$3.70/J$84.99 (2022: TT$3.55/J$79.81).
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