February 17, 2025

Spur Tree Spices Jamaica Limited(SPURTREE)

Unaudited financials for the twelve months ended December 31, 2024:

Spur Tree Spices Jamaica Limited (SPURTREE), for the twelve months ended December 31, 2024, reported a 10% increase in Revenue totaling $1.61 billion compared to $1.46 billion in the corresponding period last year. Revenue for the fourth quarter had a 17% increase to close at $460.60 million compared to $393.36 million for the comparable quarter of 2023.

Cost of Sales amounted to $1.18 billion (2023: $1.05 billion), an increase of 13%. Consequently, gross Profit increased by 3% to $425.74 million compared to $412.46 million for the twelve months ending December 31, 2023. The company booked a gross profit of $153.05 million for the fourth quarter versus $120.53 million reported for the similar quarter of 2023.

Other operating income increased by 43% to close at $9.87 million (2023: $6.93 million), while Administrative and other expenses decreased by 1% from $302.46 million in 2023 to $299.48 million in the period under review. As a result, operating Profit for the twelve months ended December 31, 2024, amounted to $134.42 million, a 13% increase relative to $118.79 million reported in 2023.

Finance Cost for the twelve months ended December 31, 2024, amounted to $41.36 million, a 7% decrease relative to $44.62 million reported in 2023. Finance Cost for the fourth quarter amounted to $14.66 million (2023: $13.51 million). Profits before Tax totaled $93.05 million, a 25% increase from last year’s corresponding period. (2023: $74.17 million).

There was no Taxation for the fourth quarter; however, Taxation for the twelve months ended December 31, 2024, amounted to $970,000, an 84% decrease compared to the $5.93 million reported in 2023.

Net Profit for the twelve months ending December 31, 2024, increased 17% to $94.02 million (2023: $80.10 million). The total comprehensive income attributable to the company’s owners for the twelve months amounted to $110.85 million, a 38% increase from the $80.33 million reported in 2023. For the fourth quarter, the Total comprehensive income attributable to the company’s owners was $33.18 million (2023: $11.56 million).

Consequently, Earnings Per Share for the twelve months amounted to $0.06 (2023: EPS: $0.05), while Earnings Per Share for the quarter totaled $0.02 (2023: EPS: $0.01). The number of shares used in these calculations was 1,676,959,244.

Notably, SPURTREE’s stock price closed the trading period on February 14, 2025, for $1.86 with a corresponding P/E ratio of 33.17x.

Balance Sheet Highlights

The company’s assets totaled $1.64 billion (2023: $1.53 billion).  The overall growth in the company’s balance sheet is due to a 111% year-over-year increase in Cash and Bank balances, which totaled $114.95 million (up from $54.39 million in 2023), a 27% year-over-year rise in receivables, reaching $366.35 million (compared to $288.47 million in 2023), and a 15% year-over-year increase in Right-of-Use assets, which ended the year at $30.62 million (up from $26.71 million in 2023).

Shareholder’s equity was $874.58 million (2023: $763.73 million), representing a book value per share of $0.52 (2023: $0.46).

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