JM | Mar 2, 2023

Jamaica Producers Group reports solid year results for 2022

/ Our Today

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The corporate offices of Jamaica Producers Group in Jamaica. (Photo: Jamaica Producers Group)

The Jamaica Producers Group (“JP” or “The Group”) is reporting a solid performance for the year which ended December 31, 2022 (FYE 2022).

Relative to 2021, JP increased net profits attributable to shareholders by 25% to J$2.3 billion and benefitted from a 16% increase in revenues to J$29.0 billion.

The Group also reported increased dividends to shareholders by 20% in 2022 and a consolidated profit of J$4.0 billion.

Jeffery Hall, the CEO of Jamaica Producers Group said that: According to Group CEO, Jeffrey Hall, “2022 was another solid year for JP. We grew revenues by 16% and increased shareholder profits by 25%. The performance in 2022 underscored the value of diversification, both by geography and by business line. Our European businesses overcame some of the challenges with consumer confidence arising from the war in Ukraine.

Jeffery Hall, the CEO of Jamaica Producers Group (LinkedIn Photo: Jeffery Hall).

Our shipping and logistics businesses performed particularly well, even as our food businesses had to grapple with the global commodity price inflation that the world experienced. A part of our success in 2022 was our ability to profit from acquisitions.  We saw the benefit of our acquisitions in logistics through the acquisition of Geest Line and Miami Freight & Shipping but also, we brought onto our books gains associated with our transactions in the Dominican Republic, in food manufacturing.”

JP Logistics & Infrastructure

The JP Logistics & Infrastructure Division (the “L&I Division”) accounts for the major share of the Group’s net assets and, in turn, its profits.  In addition to Kingston Wharves Limited, the Division’s largest subsidiary (which operates a multipurpose port and logistics hub), the L&I Division also includes JP Shipping Services Limited (which operates logistics and freight forwarding services between Caribbean ports and the United Kingdom).  

The results for the L&I Division also reflect the Group’s interest in Geest Line Limited, their joint venture shipping line operating between Europe and the Caribbean.  Geest Line specializes in the transportation of refrigerated cargo to Europe and the movement of general cargo and vehicles to the Caribbean. The L&I Division generated 2022 profit before finance cost and taxation of $4.3 billion from revenues of $11.9 billion.

JP Food & Drink

P’s Food & Drink Division (the “F&D Division”) is the largest contributor to the revenues of the Group.  The Division earned revenues in 2022 of $17.0 billion, an increase of 17% relative to the prior year.   

The F&D Division comprises JP’s portfolio of subsidiaries that are engaged in farming, food processing, distribution and retail of food and drink, has production facilities in Europe and the Caribbean, and operates a distribution centre in the United States.  

The range of speciality food and drink products includes fresh juices, tropical snacks, fresh fruit, water products and Caribbean rum and spirit-based baked goods. A.L. Hoogesteger Fresh Specialist B.V. (“Hoogesteger”) is the largest contributor to the revenues and profits of the Division.

This business is a market leader in fresh juice in Northern Europe and serves as a co-packer of juice for major supermarket and food service entities in the Netherlands, Belgium, Scandinavia, Switzerland and Italy and operates a joint venture fresh juice manufacturer in Spain.  

The Group shared that businesses within their F&D Division have significant opportunities to grow their trading relationships in general retail and grocery, food service, hospitality and travel retail.

In highlighting the positive outlook for Jamaica Producers Group, the report spoke to JP entering into an agreement in November 2022 with PanJam Investment Limited (“PanJam”) that will see JP transferring its core operating businesses to PanJam in exchange for a 34.5% interest in PanJam.

Hall said that: “In November of 2022, we announced our decision to enter into an amalgamation agreement with Pan Jam Investment. That deal sees us forming a new business jointly with Pan Jam in which we transfer our operating businesses to Pan Jam In exchange for a 34.5% interest in the combined entity that will be called the Pan Jamaica Group Limited. This is a very exciting development for JP and for JP Shareholders.” 

The transaction is expected to be completed at the beginning of the second quarter of 2023 and the Group is confident that the combined strength of the two enterprises operating as one will enhance shareholder returns through further diversification and a stronger platform for organic and acquisition-led growth.  

In addition to JP’s core businesses in Food & Drink and Logistics & Infrastructure, the Pan Jamaica Group will hold a substantial Jamaican property portfolio, as well as investments in market-leading firms in financial services, hotels and attractions, and business process outsourcing.  JP has collaborated successfully with PanJam in the past and is very optimistic about the prospects for working together in the future.


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