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Businessuite 2016 Top Jamaican Company – Main Market US$ Revenue |
|
Rank |
|
US$000 |
2016 |
Company |
2015 |
1 |
GraceKennedy Limited |
$663,192 |
Stock Exchange: Jamaica Stock Exchange Main Market
Company: GraceKennedy Limited
2016 Rank: #1
2015 Businessuite Rank: #
2014 Businessuite Rank: #
Chairman: Gordon V. Shirley, OJ
Group Chief Executive Officer: Donald G. Wehby
Address: 73 Harbour Street, Kingston, Jamaica
Telephone: 922-3440
Facsimile: 922-3664
Websites: www.gracekennedy.com www.gracefoods.com
Annual Reports and Performance
Company Profile:
GraceKennedy Limited is a publicly listed company on the Jamaica and Trinidad & Tobago Stock Exchanges. The company was founded on February 14, 1922, and is the parent company of a Group of subsidiaries operating mainly in the food and financial services industries. The Group’s operations are structured as follows:
• GraceKennedy Foods (GK Foods): This comprises the business of food manufacturing through own factories as well as through external suppliers, the distribution of Grace and Grace owned brands in Jamaica and internationally, and the operation of retail outlets through the Hi Lo Supermarket chain in Jamaica.
The Group also manufactures and distributes third party brands in Jamaica and internationally. GK Foods operates primarily in Jamaica, the Caribbean, Central America, North America, Europe and Africa.
• GraceKennedy Financial Group (GKFG): This comprises commercial banking, general insurance, insurance brokerage, investment banking, remittance, cambio and payment services businesses. GKFG presently operates within the English-speaking Caribbean.
• Hardware & Lumber Limited (H&L): This is a publicly listed subsidiary on the Jamaica Stock Exchange engaged in the retailing and wholesaling of building materials, home improvement supplies, household items and agricultural products. H&L operates within Jamaica with 10 Rapid True Value locations and six Agro Grace Retail Centres located island wide.
Financial Review
Group revenue for 2015 was J$79.74 billion, representing an increase of 12.6% or J$8.90 billion over 2014 (J$70.84 billion). Net profit attributable to the shareholders of the Company was J$2.76 billion for 2015 compared with J$3.29 billion for 2014. Earnings per share was J$8.35 in 2015 compared with J$9.90 in 2014.
Performance was impacted by costs associated with the integration of the US foods operations through GraceKennedy Foods (USA) LLC, a non-recurring non-cash credit in 2014 related to post employment obligations under IAS19, lower foreign exchange gains, additional finance costs and an increase in the taxation charge.
Shareholders’ equity increased by 4.1% or J$1.51 billion moving from J$36.53 billion in 2014 to J$38.05 billion in 2015. Total assets grew by 6.7% or J$6.83 billion from J$101.86 billion in 2014 to J$108.69 billion in 2015.
Dividends totaling J$2.48 per share were paid in 2015 compared with J$2.33 in 2014, an increase of 6.4%. At the end of 2015, the GraceKennedy stock price closed at J$81.25, a 33.1% increase over the prior year.
GraceKennedy divested its 58.1% interest in Hardware & Lumber at a price of J$18.50 per share on December 30, 2015. This is in keeping with the goal of increasing shareholder value by focusing on the foods business locally and internationally and financial services in the Caribbean region.
The major areas of focus for the Group during 2015 were the continued integration and optimization of the US foods operations, strengthening the Jamaica businesses, growing international presence, specifically in Western Africa, Continental Europe and on both the East and West Coasts of North America, expanding regional financial presence and prioritizing employees and customers.
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