February 09, 2022
At their Annual General Meeting, the Chief Executive Officer of Wisynco Group Limited, Mr. Andrew Mahfood, complimented the resilience of his company’s assets to shocks in the economy as well as outlined upcoming plans to grow revenue and increase operational efficiency. Mr. Mahfood also highlighted the financial performance of the Wisynco Group, which for the year ended June 30, 2021, reported total revenue of $31.82 billion – a 1% decrease when compared to the $32.17 billion reported in 2020. Despite the slight dip, net profit for the year was up 14.8% to $3.1 billion compared to the $2.7 billion recorded in FY2020. CEO Mahfood praised the company’s expense management methods for their good net profit performance.
Key Takeaways from the AGM:
- The company has healthy cash reserves to fund their strategic investments and to provide dividends to shareholders.
- The Northwest Distribution Centre is expected to be operational by April 2022 and will allow Wisynco to expand their presence, improve their customer service and will likely increase revenue.
- Sales to Food Service Channels, i.e hotels & restaurants are steadily returning to pre-covid levels. Mr. Mahfood mentioned with confidence that sales to Schools and customers in the Entertainment industry have not rebounded but when they do, they should increase Wisynco’s bottom line generously.
- The company has a few capital expansion projects planned for commencement this year with these projects being aimed at boosting both energy consumption efficiency & revenue.
- The Company has embarked on Digital Transformation Initiatives to provide greater efficiency in their warehouse/inventory management, delivery scheduling and customer service.
- New products and packaging innovations within the company’s own Wata brand as well as with the company’s strategic partners, namely TruMilk, TruShake, St. Mary’s, WP Select & Jamaica Gold are expected within the year.
- The company’s partnership with multinationals like Pepsi Co. and JF Mills continue to be fruitful and the company continues to see solid performance from their total Imported Product Portfolio.
- Wisynco experienced Export Revenue growth for FY2021 to the tune of 41%
- Sales to the US market were healthy and there was a significant increase in export revenue attributable to the BIGGA Soft Drink line during the second half of 2021 due to shipments to the United Kingdom (UK).
For the six months ended December 31, 2021, Wisynco has recorded total revenue of $18.70 billion, a 17% increase when compared with the $16.04 billion reported in FY2020 during the same time span. This has translated to a 38% increase in net profit for the period, which grew to $2.13 billion relative to $1.54 billion in FY2020.
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