Paramount Trading Jamaica Reporting Profit Before Tax Declining By 34% To JA$67M For 2017-2018 Financial Year
Hugh Graham Managing Director of Paramount Trading Jamaica Limited has released their Annual Report for the 2017-2018 financial year reporting revenue growth of 21% to JA$1.4 billion up from $1.15 billion in the previous year.
The results for the financial year also reflected profit before tax declining by 34% to $67 million.
The Directors are also reporting core chemical business growing by 9%, while construction grew by 38% and petroleum products grew by 144%.
The bolstering of the sales team, as well as an increased focus on driving the lubricant business contributed to the increase in revenue the report.
The overall staff complement grew by 43% with a corresponding increase of 55% in staff costs.
Operating expenses increased by 38%, as the company continued to build capacity to facilitate business growth in line with their strategic direction.
Depreciation charges increased by 102% consequent on the commissioning of the chlorine and bleach plants as well as the acquisition of other fixed assets.
During the year, the company acquired a bleach plant and completed the infrastructure for a chlorine plant to complement the existing product offerings.
There was also a 49% increase in insurance costs as a result of the growth in fixed assets.
The company’s financial position at the end of the financial year reflected a sound base for pursuing further growth.
Total Liabilities increased to $488.7 million moving from $339.5 million in the previous year as loans of $25.4 million were obtained to partly fund capital investment.
Cash and cash equivalents was $28.2 million compared to $49.6 million in the previous year, this as some of the cash resources was used to fund capital investments.
No dividends were paid during this year, which marks the 5th year that the company has been listed on the Junior Market of the Jamaica Stock Exchange.