May 21, 2024

Spur Tree Spices Jamaica Limited (SPURTREE)

Audited financials for the year ended December 31, 2023:

Spur Tree Spices Jamaica Limited (SPURTREE) for the year ended December 31, 2023, reported a 42% increase in Revenue totalling $1.46 billion compared to $ in the corresponding period last year.

Cost of Sales amounted to $1.05 billion (2022: $697.44 million), this represents an increase of 50% year over year. Consequently, gross profit increased by 25% to $412.46 million compared to $331.09 million for the year ended December 31, 2022.

Other operating income increased by 210% to close at $6.93 million (2022: $2.24 million), while Administrative and other expenses increased by 55% from $195.26 million in 2022 to $302.46 million in the period under review. As a result, operating profit for the year ended December 31, 2023, amounted to $118.79 million, a 6% decrease relative to $126.01 million reported in 2022.

Finance Cost for the year ended December 31, 2023, amounted to $44.62 million, a 255% increase relative to $12.56 million reported in 2022.

Profit before Tax totalled $74.17 million, a 35% decrease from the corresponding period last year. (2022: $113.44 million).

Taxation for the year ended December 31, 2023, amounted to $5.93 million, a 172% increase relative to $2.18 million reported in 2022.

Net Income for the year ended December 31, 2023, had a 31% decrease to reach $80.10 million (2022: $115.62 million).

Net profit attributable to owners of the company for the year amounted to $80.33 million, a 31% decrease from the $116.81 million reported in 2022.

Consequently, Earnings Per Share for the year amounted to $0.05 (2022: EPS: $0.07), The twelve month trailing EPS was $0.05, and the number of shares used in these calculations was 1,676,959,244.

Notably, SPURTREE’s stock price closed the trading period on May 20, 2024, at a price of $2.30 with a corresponding P/E ratio of 48.01x.

Balance Sheet Highlights

The company’s assets totalled $1.53 billion (2022: $1.49 billion). Notably, ‘Cash & bank balances’ declined 63% to $54.39 million (2022: $148.25 million), while ‘Property, plant & equipment’ increased 6% to $720.68 million (2022: $682.43 million), ‘Receivables’ grew 30% to $288.47 million (2022: $222.34 million) and ‘Inventories’ trended up by 18% to $229.09 million (2022: $194.72 million).

Shareholder’s equity was $763.73 million (2022: $713.18 million), representing a book value per share of $0.46 (2022: $0.43).

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