Durrant Pate/Contributor

Jamaican contract furnishing manufacturing company, JFP Limited, continues to struggle through 2025, posting another quarter loss for the period ended September 30, 2025.

However, the operating loss for the September quarter of $43.2 million was an improvement over the $66.5 million for the corresponding period last year. The reduced loss was attributable to a decline in cost of sales and a reduction in overall operating expenses. JFP Limited reported a net loss of $44.1 million for the combined three quarters ended September 2025, down from $75.4 million in the same period in 2024. 

Revenue for the quarter amounted to $36.9 million, representing a 13% increase compared to $32.7 million in 2024. Cost of sales declined by 42% year-over-year. This reduction reflects tighter cost control and more effective project management. Gross profit totalled $13.4 million, compared to a gross loss of $7.9 million, which represented a turnaround based on improved operational efficiency, resulting in a gross profit margin of 36%, compared to a gross loss margin of 24% in the third quarter of 2024. 

Selling and administrative expenses went down by 4%, moving from $59.3 million to $56.7 million. This decline was due to decrease in commission paid to external sales representatives due to a decline in sales generated by them.

Combined three-quarter performance

For the nine-month period, revenue declined by 23% from $333 million in 2024 to $257.8 million in 2025. The decrease was primarily due to lower project volumes and slower contract execution during the period. Despite the decline in revenue, gross profit margin increased from 34% in 2024 to 48% for the period under review. This improvement is a result of tighter control measures over direct costs and improved pricing strategy across projects. 

Total expenses for the combined three-quarters increased by 6% from $161.7 million in 2024 to $171.24 million in 2025. The increase was driven mainly by strategic advisory and restructuring costs, including services provided by an external consultant. 

For the nine-month period, the company experienced a net loss of $56.7 million for the nine-month period in 2025 compared to $65.8 million for the same period in 2024. Property, Plant, and Equipment (PPE) declined by 44%, moving from $85.9 million in 2024 to $48.2 million for the combined three quarters under review. The decrease was primarily due to the sale of the land adjacent to the company’s main property, which formed a portion of the prior year’s fixed assets.

Investments increased from $7.6 million in 2024 to $255.4 million in 2025, driven by the strategic reinvestment of proceeds from the land sale. Inventory increased by 10% from $79 million in 2024 to $86.6 million in 2025. The growth was largely due to higher procurement of raw materials to support projects currently in progress and anticipated upcoming job requirements. 

Receivables went down by 53%, mainly reflecting the collection of outstanding balances and a reduction in amounts due from related parties and other accounts. Payables went south by 62% moving from $298 million in 2024 to $113.6 million in 2025. This decrease was primarily due to the settlement of liabilities previously recorded as deposits, which were recognised, as revenue upon the completion of the land sale, thereby reducing the related obligation. 

On a positive note, shareholders’ equity rose by 388%, increasing from $67.6 million in 2024 to $329.9 million in 2025. This substantial growth was primarily driven by gains from the land sale, which enhanced retained earnings and strengthened overall equity.