Date: November 28, 2018
Wisynco Group Limited (WISYNCO) held its 1th annual general meeting as a listed Company yesterday, at their Headquarters in Lakes Pen, St. Catherine. Here, it was acknowledged that Wisynco’s distribution infrastructure is unmatched locally (representing 110 brands with over 4,000 SKUs) and one of the strongest in the Caribbean.
Wisynco has grown tremendously over the last 5 years with revenues increasing from $14.23 billion in 2014 to $24.54 billion in 2018, a 15% compounded annual growth rate. Here growth was attributed to the following:
- Investments in production capacity
- Product innovation and organic brand growth
- Growth of direct customers
- Key Strategies alliances
Notably, for the fiscal year 2018 Wisynco has already invested in approximately US12 million, which is intended to boost their production capacity by approximately 40%. Here, CEO Mr. Andrew Mahfood highlighted this investment will benefit the Company in the following ways:
The major benefits from the expansion will be:
- Reduction in plastic used
- Reduction in cardboard packaging
- Decreased transportation
- Increased throughout
In addition, Subsequent to the end of the 2018 financial year, Wisynco acquired 30% stake in Worthy Parks Estates Limited. From this partnership Wisynco will report 8 months of revenue from their spirits portfolio and 6 months from their sugar revenues for FY2019, in projected excess of $1.0 billion.
Outlook for FY2019
Wisynco’s strategy for improving profitability includes:
- Continued investment to expand manufacturing and distribution capacities resulting in organic growth of existing brands that will in turn allow for significant improved efficiencies.
- Increasing manufacturing capacity leading to deeper export market penetration- export currently accounts for 1% of revenue and aims to increase to more than 10% in the next five years.
- Focusing on innovation through the creation and growth of new brands and acquiring new distribution and manufacturing agreements with local and international brands.
As Jamaica aims to focus on heathy and more nutritious alternatives, especially for school children, Wisynco plans on launching serval reduced sugar alternatives for FY2019 that can enter into schools when the regulation takes effect on January 1, 2019
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