August 16, 2021
PANJAM Investment Limited (PJAM) for six months ended June 30, 2021 reported a 553% increase in total income to $2.19 billion relative to $335.75 million booked for the prior year’s corresponding period. For the quarter, total income increased 161% to close at $1.41 billion (2020: $538.35 million). Of total income:
Investment income amounted to $1.09 billion compared to a loss of $1.15 billion in 2020.
Other income fell 82% from $382.85 million in 2020 to $68.66 million.
Property income decreased 6% to $1.03 billion (2020: $1.10 billion). PJAM highlighted, this was because of “reduced revaluation gains” which “more than offset higher rental income.”
Operating expenses amounted to $867.91 million for the first six months ended June 30, 2021 (2020: $824.49 million), 5% more than its total a year prior. Operating expenses for the quarter increased at 17% to close at $445.54 million (2020: $382.40 million).
Consequently, Operating profit to date amounted to a total of $1.34 billion relative to a loss of $517.32 million a year earlier, while for the quarter’s operating profit amounted to $969.45 million (2020: $137.44 million).
Finance costs for the period closed at $446.36 million compared to the $377.70 million for the comparable period in 2020.
Gain on Disposal of associated company amounted to $25.53 million for the six months ended June 30, 2021 relative to nil in 2020, while the Share of results of associated companies increased 37% to $1.54 billion (2020: $1.12 billion). The Company noted, “ The results of associated companies consist principally of our 30.2 per cent investment in Sagicor Group Jamaica. We also hold minority positions in a number of diverse private entities across the adventure tourism, business process outsourcing, hospitality, consumer products, microlending and office rental sectors. Our share of results of associated companies for the first six months of 2021 increased by $417.9 million, or 37.2 per cent, driven principally by Sagicor’s results, but also positively influenced by strong performance from New Castle Company.”
Profit before taxation totaled $2.46 billion (2020: $227.38 million). Following a tax expense of $122.57 million (2020 tax credit: $283.03 million), Net Profit amounted to $2.34 billion (2020: $510.41 million).
Net Profit Attributable to Shareholders for the period amounted to $2.33 billion, a 371% increase compared to the $493.64 million recorded the year prior. For the second quarter, profit attributable to shareholders amounted to $1.32 billion relative to $498.40 million.
Consequently, earnings per share for the period amounted to $2.18 (2020: $0.46), while the second quarter EPS amounted to $1.23 (2018: $0.46). The trailing twelve months earnings per share was $5.01. The number of shares used in the calculation is 1,066,159,890 units. PJAM’s stock last traded on August 13, 2021 at $62.99 with a corresponding P/E of 12.58 times.
Balance Sheet at a glance:
As at June 30, 2021, PJAM had assets totaling $64.35 billion, an 11% increase relative to $58.13 billion a year prior. The growth was attributed to an increase in Investment in associated companies which amounted to $35.50 billion (2020: $31.66 billion) as well as an 11% increase in ‘Property, plant and equipment’ which closed at $3.02 billion (2020: $1.30 billion).
Shareholders Equity amounted to $48.68 billion (2020: $42.71 billion) with a book value per share of $45.66 (2020: $40.06).
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