If making money as a Jamaican business was like making songs as a Dancehall artiste then without a doubt, GraceKennedy would be the “world boss”. GK may not like the comparison but seriously, we are desperate to find reasonable ways to describe their unrelenting, chart topping success. Everyday they make a hit.
GK made a record J$58 billion in revenue at the end of last year. At J$3 billion or J$8.33 per share, net profits were 25 per cent higher than the J$2.4 billion made in 2010. Go ahead Gk. Just say it to Lasco and the rest. “Why Pree?”In case you wonder what GK’s success means for you as a GK shareholder – expect 60 cent per share in dividends.
How the Money Was Made.
GK is comprised of 5 major arms, and guess what? All 5 recorded profit increases for last year. They all increased GK’s total revenue haul by 5.2 per cent more than in 2010.
- Food Segment – pre-tax profits of $617.1 million, 26.5 per cent;
- Retail and Trading – J$126.8 million, up 22 per cent;
- Banking and Investments – J$913.6 million, up 67 per cent;
- Insurance Segment – J$394.6 million, up 67 per cent; and
- Money Services Segment – (the main winner) J$1.5 billion, up 26 per cent.
A Minor $1 Billion Concern, But Going Strong.
Never mind that the J$10.9 billion GK has in cash is J$1 billion shorter than last year – the company is doing well. At yearend GK was worth “J$30.6 billion by shareholder equity and J$100 billion by total assets.”
We cannot complain.Read More