Jamaica Producers (JP) Group has announced its financial results for the first quarter of 2023, highlighting a strong performance across its divisions.
Under the leadership of Group CEO Jeffrey Hall, JP achieved an eight per cent increase in shareholder profits, reaching $439 million, and recorded a two per cent increase in revenues to $7.1 billion compared to the same period in 2022.
Consolidated profit for the group amounted to $841 million during the quarter.
According to Hall, “We are delighted with our solid performance in the first quarter of 2023. Our focus on driving profitability and delivering value to our shareholders has resulted in notable growth across our business divisions.”
The JP logistics and infrastructure division (L&I Division) delivered an outstanding performance in the first quarter of 2023.
As Hall explains, “Our L&I Division, including Kingston Wharves Limited, JP Logistics Solutions and Geest Line has experienced robust growth and remains a key contributor to our success. With our strong portfolio of services, we are capitalising on the growing demand for logistics and infrastructure solutions.”
The L&I Division accounts for the major share of the group’s net assets and, in turn, its profits. Its success in Q1 2023 generated a profit before finance cost and taxation of $1.1 billion from revenues of $2.9 billion, representing an 11 pr cent increase compared to the same period last year.
JP’s food and drink division (F&D Division) continues to be the largest revenue generator for the group.
The F&D Division recorded a two per cent increase in revenues to $4.2 billion in the first quarter of 2023 and profit before finance cost and taxation for the F&D Division amounted to $31 million during the period. The overall F&D Division comprises the JP Juice Group and the Caribbean Food Group.
Notably, at the end of the first quarter, the JP Juice Group, the largest contributor to revenues and profits of the F&D Division, acquired an additional production facility in Belgium. The JP Juice Group performed satisfactorily in the quarter and has identified significant opportunities to profitably grow its trading relationships with major European retailers and food service enterprises.
In November 2022, JP entered into an agreement with PanJam Investment Limited, a move that is set to shape a promising future for the company. The transaction was completed at the beginning of the second quarter of 2023 and the combined enterprise was renamed Pan Jamaica Group Limited.
Hall affirms, “The completion of our agreement with PanJam has laid the foundation for the formation of the Pan Jamaica Group Limited. We are excited about the enhanced opportunities for diversification, business development, and acquisition-led growth that lie ahead.”
Pan Jamaica Group will hold JP’s existing businesses in food and drink and logistics and infrastructure, alongside its substantial Jamaican property portfolio and interests in financial services, hotels and other investments.