PURITY reports a 76% decline in net profits for the first quarter of 2017

For the first quarter of the 2017 financial year, Consolidated Bakeries (Jamaica) Limited (PURITY) recorded a Total Revenue of $227.91 million (2016: $260.56 million), representing a 13% decline.

Cost of Sales for the quarter amounted to $145.52 million, down 11% relative to $164.20 million booked at the end of quarter one 2016. As such, Gross Profits totaled $82.39 million, down 14% year over year (2016: $96.35 million).

The company reported Total Expenses of $76.13 million, an increase of 4% when compared to the $73.06 million reported in 2016. Administrative Expenses amounted $42.75 million ,up 3% relative to the $41.57 million reported in 2016, while, Selling Expense was up 6% to close at $33.38 million (2016: $31.49 million).

This resulted in an Operating Profit of $7.5 million, a decline of 69% on the prior period’s $24.35 million.

Pre-tax Profits decreased by 76% to $5.78 million (2016: $22.82 million). This is attributed to a decline in Operating Profit.

The Company paid no taxes for the quarter. As a result, earnings-per-share closed at $0.03 (2016: $0.10). The 12-month trailing LPS is -$0.0.3 and the number of shares used in our calculations is 222,709,171 units.

Balance Sheet Highlights:

The Company, as at March 31, 2017, recorded Total Assets of $765.52 million, an increase of 9% year over year.

Total Stockholders’ Equity as at March 31, 2017 was $553.22 million, representing a decrease of 1%. This resulted in a book value of $2.48.

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2017-06-10T17:06:54-05:00