Proven plans robust wealth management operation for Cayman as it awaits regulatory approval

In its nine-month report for the period ended December 31, 2024 Proven recorded   net profit attributable to owners of US$2.4 million.

This was driven by operating profit of US$2.9 million, and a share of profit from associates of US$2.8 million, a decline from US$22.2 million in the prior corresponding period, which included an extraordinary gain from JMMB Group’s share of profit of Sagicor Financials’ gain on the acquisition of ivari. The profits for the nine months translated to an earnings per share of US$0.0033.

The group meanwhile states that its planned exit from the Bermuda and British Virgin Islands (BVI) markets, will facilitate the integration of Proven Wealth Cayman into Proven Bank Cayman operations, pending regulatory approval.

Management stated in the new report, “This move reflects Proven’s commitment to optimizing its regional operations, consolidating resources, and enhancing focus on key markets where it can deliver the greatest value to clients and stakeholders.”

The Cayman Islands is one of the world’s leading offshore jurisdictions , housing more than 75 per cent of the world’s hedge funds and nearly half of the industry’s estimated US. $1.1 trillion in assets under management.

The country is particularly known for the establishment of investment fund

Management at Proven stated in the nine-month report, “By streamlining its presence, Proven aims to ensure sustained excellence, agility, and innovation across its operations in Jamaica, St. Lucia, The Cayman Islands, The Bahamas, and Barbados.

“The strategic realignment allows PROVEN to channel its resources more effectively into high-growth markets, ensuring long-term stability and stronger returns for shareholders.”

Proven Wealth (Cayman) will integrate into Proven Bank Cayman, creating a platform for wealth management solutions, subject to regulatory approval.



Proven, the nine months ended December 31, 2024 reported net revenue of US$43 million for the nine months ended December 31, 2024, on par with that earned in the same period last year.

A reduction in net interest income which was primarily due to the tightening of spreads from the repricing of the Group’s publicly issued notes at higher rates, was offset by improvements in fee income and gross profits from manufacturing operations

Net interest income for the nine months was US$12.4 million, down 6.8 per cent from US$13.3 million in the prior period. The decrease is primarily due to the higher refinancing rates on the Group’s debt, which offset the widening of spreads on the wealth management portfolio.

Management states, “The Group anticipates a gradual reduction in funding costs over the short to medium term due to expected macroeconomic stability and lower interest rates.

Fees and commissions for the nine months grew by 9.3 per cent to US$9.1 million, compared to the same period last year. This increase was driven by the recovery in trading volumes and commission-driven activities within the wealth segment, particularly in equity trading and investment banking fees.

Fund management income remained relatively stable at US$2.8 million for the nine months, slightly down from US$2.9 million in the prior period.

Management opined, “With continued recovery in asset prices and growth in the Group’s asset management platform, income is projected to exceed US$1 million per quarter by the end of the financial year.”

Property

Property sales were recorded at US$8.6 million during the nine months below expenses of US$8.9 million, resulting in a loss of US$253,279 from recurring property expenses.

Proven Properties is currently focused on completing two major development projects: Sol Harbour in Ocho Rios and Bahari in Runaway Bay, both in Jamaica, which are expected to be finished in the 2025/26 financial year. The Division is also expanding its industrial real estate portfolio with the Aashgo warehouses in Grand Cayman and the planned development of Kingston Gateway Warehouses in Jamaica.

Gross profit from manufacturing operations increased by 8.2 per cent to US$14.2 million, up from US$13.1 million in the prior year nine-month period.

Subsidiary Roberts Manufacturing operates where a decline in commodity prices facilitated a 5 per cent reduction in Pinnacle’s livestock feed prices, while still allowing for improved margins. Roberts Manufacturing is targeting revenue diversification via the pursuit of additional export sales in the region.

Pinnacle Feeds is manufacturer of poultry and livestock feed in Barbados and produces poultry, swine, cattle, sheep, goat, rabbit and horse feed.

The Group’s total assets increased by 7.1 per cent year-over-year to US$1.1 billion at December 31, 2024. This growth was driven by an 8.7 per cent increase in the investment portfolio, a 17.6 per cent increase in cash and cash equivalents and a 63.9 per cent increase in property development in progress, as the Group continues the development of two major projects on the north coast of Jamaica.

Earlier in 2025 Proven Group Limited has deepened its presence in Barbados following a Bds$13-million (US$6.5-million) joint venture investment in One Barbados Place.

This joint venture will see its subsidiary Proven Properties Limited (PPL) own 50 per cent of the shares in the investment vehicle while Caribbean Consultants Limited (CCL), a Barbados commercial real estate developer, will own the remaining stake.

The deal was partially funded by a Bds$9.10-million loan from Republic Bank (Barbados) Limited with the remaining balance likely coming from the joint venture partners. One Barbados Place is a five-storey 48,000-square foot Class A commercial office building located on a 1.15-acre lot.

At nine months asset increase was primarily funded by a US$75.4 million expansion in deposits and US$17.1 million expansion in notes payable over the past year.

The Board of Directors has approved an interim dividend payment of US$0.0013 per share to be paid to all ordinary shareholders on record as at February 27, 2025, on March 13, 2025.

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