Barita bullish for 2025

 Caribbean Money Daily

Ramon Small-Ferguson, CEO of Barita Investments Limited, stated during a briefing for investors on November 21 that the company achieved a double-digit increase in net profit for the year ended September 30, 2024, and is aiming for a similarly positive performance for fiscal 2025. However, he emphasized the importance of remaining vigilant regarding the persistent risks in the global macroeconomic environment.

Barita tripled its net profit in the final quarter ending September 2024 (FY24), with net profit after tax for Q4 FY24 increasing by 200 percent to $999 million. This brought NPAT for FY 2024 to $3.9 billion, 14 percent ahead of 2023.

The company’s revenue for Q4 FY24 totaled $3.0 billion, $1.2 billion or 72% higher than Q4 FY23. This growth was driven by a strong performance within the Treasury, Trading, and Brokerage business lines. Net Interest Income (NII): NII reflected increases of $62 million (11%) and $5 million (3%) for the YTD and quarterly periods, respectively. Additionally, Non-Interest Income reflected an increase year-over-year (YoY), rising 10% or $839 million, primarily fueled by growth in gains from investment activities, fees, and commission income.

Revenue growth in Q4 FY24 was primarily attributed to the performance in the group’s Treasury, Trading, and Brokerage business lines, which accounted for 56 percent of the company’s total revenue. This improvement was further supported by a three percent rise in net interest income, reaching $164 million compared to the same quarter in fiscal year 2023.

Commenting on Barita’s exceptional performance, Small-Ferguson commended his team: "Our results for Q4 FY24 reflect the dedication, resilience, and talent of the entire Barita team. Through a collaborative approach, we have successfully navigated the challenges presented by an evolving financial landscape while delivering exceptional value to our stakeholders. Each milestone achieved underscores the strength of our people and the culture of excellence we continually strive to cultivate.”

For the financial year 2024, total assets surged by an impressive $14.6 billion, reaching a substantial $142.8 billion, compared to $128.2 billion in September 2023. During this period, total shareholders' equity demonstrated a net increase of $716 million, culminating at $35.5 billion. This growth was primarily attributed to a recovery in the fair value reserve, which improved from a deficit of $4.5 billion in FY23 to $3.8 billion this fiscal year.

At the close of FY24, liabilities rose by $14.5 billion, reflecting a 16% increase to $107.3 billion. Shareholders' equity concluded the year at $35.5 billion, marking an increase of $71 million, slightly surpassing the $35.4 billion recorded at the end of FY23. This rise in equity was driven mainly by a $734 million improvement in the fair value reserve, which helped mitigate the decline in retained earnings attributed to dividends declared and paid throughout the year.

As Small-Ferguson notes, "In a year characterized by considerable market volatility and economic uncertainties, Barita’s performance stands as a testament to our prudence and resilience. Despite facing global headwinds, our strategic emphasis on diversification, proactive balance sheet management, and disciplined execution enabled us to not only sustain but thrive. These results reinforce the robustness of our business model and our capacity to adapt and excel in the face of challenges."

Barita Investments Limited, one of Jamaica's oldest stock brokering companies, has raised $120 billion in capital for its clientele, which spans local, regional, and international markets. Business lines include Equity trading, Fixed-Income Securities, foreign currency trading, Asset Management, and Investment Research.

-Caribbean Money Daily

Contact: austanny@yahoo.com/1-876-727-3818

Comments

Post a Comment

Popular posts from this blog

Kintyre makes US$300,000 investment in Sevens Ice

Image
  Tyrone Wilson Chairman, President and CEO Kintyre Holdings (JA) Limited (KHL) and Seven Kingston Limited, owners of the Seven Ultra Lounge and Restaurant, on January 14 announced a joint venture to launch Sevens Ice. Kintyre Holdings has made an investment in excess of US$300,000 in acquiring an associate stake in Seven and also establishing the start-up for the ice venture. "This initiative addresses Jamaica’s growing demand for high-quality ice, with operations set to begin in Q1 2025," Wilson stated. Additionally, the venture has acquired a cold storage facility to manage its start-up capacity and is exploring the importation of ice to bridge the gap between demand and supply, ensuring a consistent and reliable market presence. Distribution Expansion Wilson said that Sevens Ice has secured a distribution point in Kingston and is in the process of setting up another in St. Catherine to serve the western and central parts of the island. This expansion will ensure broade...
Read more

BCMG increases risk management oversight: Launches surveys-as-a -service

Image
Insurance brokers in Jamaica often send underwriters themselves to survey risks; however, they frequently do not have the technical knowledge required to produce the best results. BCMG Insurance Brokers Limited (BCMG) in response, introduced - in support of the wider brokerage industry - an updated surveys-as-a service product which has been embraced by the wider community as groundbreaking. Senior Risk Manager on the New Business Team of BCMG David Lazarus explains, “We saw where the technical details and in-depth knowledge of the intricacies of business operations were not always being taken into consideration. This was seen as an opportunity to expand into this space.” In 2020, Billy Craig Insurance Brokers and Maritime General Insurance Brokers, MGI, signed an agreement to merge their operations to form BCMG Insurance Brokers Limited. Following the union, the new company has been exploring options to expand the service capability of the brokerage and increase value for clients...
Read more

Headhunting: The art of finding talent in a shrinking labour market

Image
KPMG, PricewaterhouseCoopers (PwC) and BDO -chartered accounting firms and business consultancies - are the main companies to which Jamaican corporates turn for headhunting services. However, there are also sole practitioners who are finding their feet in a climate in which human resource management and talent hunting is in big demand. Also known as an executive search, headhunting differs from traditional recruitment. It is used to hire high level employees such as CEOs. The work of headhunters is getting harder in Jamaica. Wilfred Baghaloo - Partner, Advisory Services - PwC Jamaica comments, “We simply do not have enough qualified persons to provide necessary services to our clients locally and internationally in the financial advisory space. I believe we have reached the point (maybe four years ago) where we need to rethink our working permit immigration plan /approach. “Allowing more immigration and work permits will help us in the financial advisory space and also the country...
Read more