April 13, 2018
Paramount Trading (Jamaica) Limited (PTL), for the nine months ended February 28, 2018 recorded a 24% increase in total revenues to $1.04 billion from $835.75 million reported in 2017. For the third quart PTL increased it revenue by 17% to $348.08 million(2018) from $296.62 million (2017).
Direct expenses closed the period at $734.82 million, an increase of approximately 27% relative to the $579.40 million booked a year ago. Despite the growth in direct expenses, gross profit rose by approximately 17% to $300.44 million (2017: $256.35 million). Gross profit for the third quarter totalled $99.98million, $12.25 million more than the $87.74 million reported in 2017.
Other operating income amounted $4.20 million for the nine months, a decline of 60% compared to $10.56 million booked for the previous year’s corresponding period.
Administrative expenses advanced 42% to $215.53 million, up from the $151.47 million recorded for the nine months period 2017. Selling and distribution expenses also increased to close the nine month period at $19.58 million (2017: $27.04 million). As such, operating profit for the period amounted to $69.53 million compared to $88.40 million in 2017.
PTL finance cost for the period was $9.32 million relative to a cost of $6.40 million booked for the prior year’s corresponding period.
Consequently, pre-tax profit for the nine months totalled $66.48 million, 18% less than the $81.11 million reported in 2017. No taxes were charged for the year due to income tax holiday as a result of listing on the Junior Market of the Jamaica Stock Exchange. As such, Net Profit Attributable to Shareholders totalled $66.48 million (2017: $81.11 million). Net profit for the quarter totalled $8.87 million relative to $29.47 million booked in 2017.
Earnings per share for the quarter totalled $0.006 (2017:$0.019), while earnings per share for the nine month period amounted to $0.04 versus $0.05 booked for the comparable period of 2017. The trailing twelve months earnings per share is $0.06. The number of shares used in our calculations is 1,542,467,080 units.
Balance Sheet Highlights:
As at February 28, 2018, the company’s assets totalled $1.10 billion, 28% more than the $865.61 million quoted a year ago. The main contributor to this growth was the increase in inventories which closed at $444.85 million relative to $304.60 million a year ago. Receivables as at February 28, 2017 amounted to $339.46 million, a 37% growth relative to the $248.41 million recorded in 2016.
Shareholder’s equity as at February 28, 2018 stood at $748.26 million (2017: $661.89 million) resulting in a book value per share of $0.49 (2017: $0.43).
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