Lumber Depot had a challenging financial year, due to the COVID-19 pandemic, but the group has managed to quickly adjust and reconfigure
operations where necessary to turn revenues of more than $1 billion in the third quarter.

Noel Dawes, managing director at Lumber Depot, said the third quarter revenues are up from $699 million in the second quarter.

Dawes was making a presentation at the Mayberry Virtual Investor Forum on Wednesday (May 13).

The improvement in revenues was a result of the increase in sales as the group worked assiduously to strategise new methods for productivity while conforming to the safety protocols.

The company’s total growth rate from quarter one to quarter three was 191 per cent in revenues.

“We believe we are on a very positive growth path and we are at the end of our financial year. However, I can speak to the fourth quarter of our financial year as audit currently in progress, and in conformity to the rules of the Jamaica Stock Exchange, I am unable to speak about the direct figures,” Dawes said.

“Nevertheless, in our overview, I can say the trend will definitely continue into the fourth quarter.”

He noted that, at the end of quarter three, the return on equity increased to 36.16 per cent, moving from 13.46 per cent in quarter one for Lumber Depot.

Additionally, there was a shift in earnings per share from 0.04 cents closing at 0.14 cents in January 2021, with an increase of 200 per cent.

Dawes said he was confident that Lumber Depot was taking charge of a greater share of the market.

“Our net profit increased by 71 per cent, from $69 million to almost $100 million, and the total company assets went from $350 million to $500 million, an increase of 43 per cent. Our total liabilities increased, however, this is in line with the revenue growth of the company by 54 per cent. Retained earnings and shareholders equity made solid jumps. Our retained earnings increased by 191 per cent from $37 million to over $190 million, and shareholders equity increased by over 34 per cent from $207 million to over $278 million,” said Dawes.

Lumber Depot is extremely grateful for the support of stakeholders across the board as the company continues to make positive progression amid the pandemic and expects bigger and better results going forward.