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Sagicor Group Jamaica Individual Life Insurance Segment Continues To Lead Group’s Profit Generation, Accounting For $8.74B In Reported Net Profit For FY2022.



Christopher Zacca, President & CEO of Sagicor Group Jamaica Limited (SGJ or the Group) has released the following report to shareholders on the Group performance report for the year ended December 2022.

Sagicor Group Jamaica achieved net profit attributable to stockholders of $16.38 billion for the year ended December 31, 2022, a 6% reduction over the prior year but a creditable performance in a difficult year.

The Individual Life insurance segment continues to lead the Group’s profit generation, accounting for $8.74 billion in reported net profit.

The Employee Benefits and the Commercial Banking segments were also major contributors, with $4.05 billion and $3.29 billion, respectively.

The Group ended the year with earnings per share of $4.19 (December 2021: $4.46). The 2022 year-end saw the stock price closing at $59.42, an increase over prior year (December 2021: $58.25). The Group’s market capitalization ended the year at $232.07 billion, the largest of any company on the Jamaica Stock Exchange.

2022 was an extremely challenging year characterised by volatility in local and international financial markets emanating from geopolitical tensions, rising inflation, tightening of monetary policies and supply chain disruptions. Notwithstanding these challenges, Sagicor Group Jamaica continues to strategically position itself for growth by optimising our operations and transforming our business processes. In the final quarter of 2022, the Group announced a series of management changes to implement these plans. During the year the Group also entered the Cambio and Remittance market through the acquisition of Alliance Financial Services Limited and disposed of its shareholdings in Sagicor Real Estate X Fund.

The Group declared dividends totalling $1.60 per share (December 2021: $1.11 per share) during the year as part of our commitment to providing a return on capital to our shareholders, in spite of the challenging environment.

Financial Performance
Total revenue for 2022 for the Group was $97.10 billion, a 5.3% decline year over year. The Group recognized fair value losses of $3.31 billion (December 2021: $8.97 billion in gains); a result of depressed market prices for fixed income and equity securities. Sagicor’s main revenue streams were net premium revenue, net investment income and fee income. Net premium revenue improved over prior year by 7.1% to contribute $56.55 billion, a result of strong new business and policy retention. Net investment income grew by 10.7% over prior year amounting to $21.30 billion, emanating from growth in the loan portfolio and commercial banking activities. Fees and other income recorded improved results over prior year by 6.4% to close the year at $18.51 billion. This was driven mainly by income from cambio and remittance services as well as an increase in commercial banking fee income.

Total benefits and expenses for the Group decreased year over year by 3.1%, ending at a total of $75.87 billion. An upward movement in prevailing market interest rates resulted in a favourable net movement in actuarial liabilities of $8.12 billion. This was partially offset by net insurance benefits incurred and administrative expenses increasing by $2.08 billion and $3.72 billion, respectively year over year.

The Group’s statement of financial position was impacted by the sale of Sagicor Real Estate X Fund and the softening of asset prices. Total Assets and Shareholders Equity ended at $519.18 billion and $113.87 billion, respectively. The Group’s Funds under Management of $456.89 billion grew nominally year on year, contributing to the Total assets under Management of $976.07 billion, an increase over prior year (December 2021: $956.30 billion). Sagicor Group’s annualized return on equity was 14% (down from 16% in the corresponding period in 2021).

Individual Insurance
The Individual Life segment ended the period with $8.74 billion in net profit, a 2.4% decline over prior year. Net premium income grew year over year by $2.16 billion across Jamaica and the Cayman Islands, as a result of new business sales growth and policy retention. In the current year, actuarial liabilities were primarily impacted by changes to discount rates, a result of the prevailing market conditions. The prior year period included adjustments to the morbidity and lapse experience.

Employee Benefits
The Employee Benefits segment produced profits of $4.05 billion, 10.5% above prior year. Net group health premium income of $12.32 billion increased by 13.2% over the prior year, due to new business written during the period, particularly the acquisition of a large client in the Group Health portfolio. Net insurance benefits incurred increased by $1.77 billion, as medical inflation continued to trend upward, however, this was partially offset by a reduction in actuarial liabilities for the period.

Commercial Banking
The Commercial Banking segment produced a net profit of $3.29 billion, 1% higher than the prior year. The segment was aided by a 10.5% increase in total revenues, primarily due to increases in banking activities through credit card and point of sale transactions.

Additionally, a 17% growth in the segment’s loans portfolio translated to 14% or $1.52 billion increase in interest income.

Total assets of $191.8 billion grew 9.1% over December 2021. This growth was driven by a $15.47 billion increase in loan assets which ended the period at $108.49 billion. Customer deposits increased by $12.5 billion against the prior year end to total $148.9 billion as at December 2022.

Investment Banking
The Investment Banking segment’s net profit outturn was $1.20 billion, a decline of 64.2% against prior year. The prevailing macroeconomic conditions have caused a significant reduction in business transactions, adversely affecting performance.

Notwithstanding, the segment benefitted from our recently formed Cayman subsidiary, which grew its interest earnings asset base by 95% and positioned itself to benefit from higher yielding securities within the market.

Liquidity And Solvency
Cash and Cash Equivalents at the end of December 2022 were $42.94 billion, down from $51.88 billion as at December 2021. Regulatory capital requirements continue to be exceeded across all operating entities.

As we come to the close of an undoubtedly challenging year, our outlook for 2023 remains conservative as many of the constraining factors to economic growth remain in place, namely inflation, the war in Ukraine and the lagging effect of high interest rates, causing the World Bank to issue a downward revision in global economic growth from 3% to 1.7%. We expect a continued slowing of growth amongst our key trading partners, including the United States and Britain, as consumer spending and market activity responds to the extended period of high interest rates. Domestically, we anticipate the Bank of Jamaica will remain focused on taming inflation, but indications are
that its recent market actions have been effective given the downward trajectory of this key measure.

The Group is cognizant of and well prepared for the potential impact of International Financial Reporting Standard (“IFRS”) 17. The standard which becomes effective January 1, 2023, replacing IFRS 4, is anticipated to materially change the recognition and measurement requirements for our insurance business segments, as well as the presentation and disclosures in the Group’s Consolidated Financial Statements.

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Stationery & Office Supplies Records Best 6 Months In Company’s 58- Year History



Allan McDaniel Managing Director of Stationery & Office Supplies Limited has released the following unaudited results for the company for the 2nd Quarter & 6 Months ended June 30th, 2023.

The second quarter of 2023 proved to be one of the busiest times in the history of SOS and during the second quarter the following is a list of major events that occurred:

1. In June, SOS shipped its initial container of office furniture to its newest distributor, The Apex Group in Cayman.

2. In June another container of office furniture was shipped to The Office Authority,
our distributor in Trinidad.

3. In June, production started on our newest 5,000sq foot warehouse located at 25
Beechwood Avenue. The new warehouse which is a starting point for SOS’s next expansion phase should be ready for use by the end of August.

4. On June 1, 2023, SOS declared a dividend of $.20 per ordinary share payable on July 10 to shareholders on record as of June 23, 2023.

5. On June 19th, SOS announced that the board of directors would meet on the 21st of June to discuss and consider whether or not it should recommend a stock split to its shareholders.

Along with the above, SOS is proud to announce that after having its best quarter in its 58- year history to start this year, the second quarter results have now surpassed them and are now the best in its history.

During the second quarter SOS had one of its largest individual projects in its history, installed a 200-seat call centre, delivered and installed its first significant project with the AIS furniture line. With the additional sales being generated during this record setting quarter SOS had to increase its delivery fleet and added an additional 5 tonne truck to the fleet with plans to further expand the fleet in the near future.

It was also in June that we signed an agreement to double warehousing capacity in our Montego Bay office. This additional space was severely needed as the revenues being generated from the Montego Bay location rose 25% for the first half of the year from $113.2M to $141M.

During the 2nd quarter SOS realized all-time highs in the following categories:
1. Highest revenues in a quarter – $525.2M
2. Highest revenues in a month (June) – $209.5M
3. Highest Pre-tax profit in a quarter – $121.2M
4. Highest Pre-tax profit in a month (June) – $51.5M
5. Highest Share price in the company’s history – $34.31

Please see below the comparative results for the 2nd quarter of 2022 compared to 2023 and the corresponding notes.

1 – Revenues rose 25% to an all-time high of $525.2M. This can be credited to continued increases in all areas of the business including EVOLVE which continues to grow with the addition of several new items to the product line. Evolve in the first 6 months of 2023 has already doubled its revenues compared to the 5 months it was available in 2022.

2 – Gross profit percentage rose with the continued reduction in the input costs of the various products, as well as better sourcing of material and parts used in manufacturing of the SEEK products.

3 – SEEK continues to excel with the manufacturing of additional products. The increased availability and accessibility of its books within the Jamaican market has seen the demand for the SEEK products increase leading to a 29% sales increase year on year.

4 – With the increase in revenues, gross profit percentage and a marginal increase in expenses (12%), this has all led to the growth in SOS’s pre-tax profit, rising substantially by 77% from $68.8M to $121.3M, the highest in the company’s history.

5 – With the tourism industry now back at near pre covid levels, the Montego Bay branch of SOS has now returned to a profitable stage. For the first 6 months of 2023, revenues from this branch have increased by 25%.

2nd Quarter          2022 & 2023

                                                                2022            2023            % INCREASE

REVENUES                                        $420.M        $525.2M       25%

GROSS PROFIT %                                51%             53%             4%

GROSS-PROFIT                                   $213M         $287.5M       35%

SEEK REVENUES                               $14.4M        $17.8M        24%

EXPENSES                                         $148.2M       $166.3M       12%

PRE-TAX-PROFIT                                $68.8M        $121.2M       77%

For the first 6 months of 2022, SOS has experienced continued growth over the same
period in 2023, crossing for the first-time revenues exceeding $1B in the first half of the year. All comparative numbers are up in 2023 including the most important, pre-tax profit.

The pre-tax profit has risen by 32% year on year from $173.6M to $229.3M.
SEEK sales are up 29% year over year and this number expects to continue to rise with a number of new dealers and the availability of inventory to meet market.

Revenues and the gross profit % rose by 23% and 4% respectively, with expenses rising marginally by 16% which has led to the previously mentioned pre-tax profit figure of $229.3M.

6 MONTHS ENDED JUNE 30TH, 2022 & 2023

                                             2022                      2023                      %INCREASE

REVENUES                      $847,704,240         $1,044,419,146      23%

EXPENSES                      $285,043,746         $329,395,729         16%

GROSS PROFIT %            50.9%                    53%                       4%

SEEK REVENUE              $32,938,157           $42,404,257           29%

PRE-TAX-PROFIT             $173,668,574         $229,343,093         32%

SOS has continued to adjust with the ever-changing market place and this is a significant reason why we have been able to continue to be profitable in an unpredictable and unstable economy.

Financial Position
At the end of the 2nd Quarter, SOS increased its total assets year on year by 42% ($980M – $1.38B). The bulk of this increase was due to SOS’s revaluation of the 4 properties that it currently owns in the Kingston 5 area.

Total current assets also rose led by inventory increasing significantly by 23% to $350M and Bank and Cash rising by 151%, to $304M

Earnings per share at the end of the 2nd Quarter for 2023 was $.79, an increase of $.09 compared to $.70 the end of the 2nd Quarter of 2022. For the quarter, earnings per share was at $.36 up from $.09 for the same period in 2022. It should be noted that during the first half of 2022, Stationery & Office Supplies Ltd was still benefiting from the tax-free incentive received from joining the JSE in 2017. All profit figures so far in 2023 have attracted a 12.5% tax rate that has been used in these comparative figures.

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ICreate To Now Synchronise Release Of Q2 Financial Statements With Release Of Audited Financial Statements For Year Ended December 31, 2022 On Or Before September 30, 2023.



Synchronisation of Publication of the Unaudited Financial Statements for the Second Quarter ended June 30, 2023 with the Audited Financial Statements for the
financial year ended December 31, 2022

The Board of Directors of iCreate Limited (“iCreate”), having given great thought to present circumstances, wishes to advise that the Company will not publish the Unaudited Financial Statements for the Second Quarter (Q2) ended June 30, 2023 on August 31, 2023, but instead, will synchronise the release of the said Financial Statements with the release of the Audited Financial Statements for the financial year ended December 31, 2022 on or before September 30, 2023.

As previously advised the Company closed two (2) acquisitions during the period, being Mobile Edge Solutions Limited (GetPaid) effective January 31, 2022, and Visual Vibe.Com Limited effective May 31, 2023. It is critical that these complex transactions be correctly and completely represented.

The Board and Management of iCreate had requested a filing extension of the Q2 Financial Statements, which were due by August 15, 2023, to August 31, 2023. However, on further assessment, the leadership found it necessary to pursue various transactions for verification of correctness and completeness in the draft financial statements. These efforts are extensive and involve discussions with several parties including our Attorneys-at-Law and Auditors. As such, the Board of Directors has decided that it is prudent and in the best interest of all parties, including the market, to ensure that the 2022 year-end audit is completed and the 2023 yearto-date transactions audit-reviewed, before publication.

The Board of Directors and Management are committed to navigating the current hurdles and meeting all regulatory and market requirements going forward. We seek further indulgence and patience while the Company seeks to complete become fully compliant by the end of next month.

The Board of Directors and Management of iCreate Limited apologise for the delay

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One Caribbean Media Reporting A Good Half Year Performance With Growth In Net Profit Before Tax (NPBT) Of 4%



Faarees Hosein Chairman For One Caribbean Media Limited Has Released The Following Unaudited Consolidated Financial Results For The Quarter Ended June 30th, 2023

The Group had a good half year performance with growth in Net Profit Before Tax (NPBT) of 4% and Earnings per Share (EPS) of 9%. NPBT increased from TT$12.5M (US$1.8M) to TT$13M (US$1.9M).

Revenues of TT$153.2M (US$22.5M) were 4% less than the comparative period for 2022. This was due, in the main, to our renewable energy company completing and billing a number of projects in the prior year.

There was growth in both Revenues and Profitability in the broadcast media assets.

Our non-media assets, in particular the investments in solar farms, internet services, manufacturing and real estate, continue to make a valuable contribution to the
Group’s performance.

Management continues to focus on implementing strategies aimed at enhancing revenue streams and realizing improved cost efficiencies.

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Stanley Motta Limited Reporting Improved EPS J$0.19 For Six-Months Ended June 30, 2023 Up From J$0.15 In Previous Year



Melanie Subratie Chairman Of Stanley Motta Limited Has Released The Following Unaudited Financial Statements For The Quarter Ended 30 June 2023.

During the six months period ended June 30, 2023 the Company had an increase in the rental income of 4.7% in comparison to the corresponding period in 2022. The improvement in income was attributable to increase in rental rates upon the renewal of lease agreements with our tenants and also the depreciation noted in the Jamaican dollar to its United States dollar counterpart.

The Company’s administrative expenses for Q2 2023 showed a reduction of $14.2M when compared to the same period in 2022, moving from $108.7M as at June 30, 2022 to $94.5M as at June 30, 2023. This reduction was due to lower repairs and maintenance expenditure incurred, lower electricity expenses and lower foreign exchange losses incurred within the period.

Improvements were recognised in the net operating income (NOI), funds from operation (FFO), net profit and net profit margin of the Company for the 6-month period, ended June 30, 2023 in comparison to the similar period in the previous year.

The Year-To-Date (YTD) NOI increased from $151M in 2022 to $188M June 2023, an improvement of 24%. In the meantime, the YTD FFO improved by 32%, moving from $124M for YTD June 2022 to $165M YTD June 2023.

These results were achieved through our commitment to maintaining strong management and operational efficiencies.

Earnings Per Share which is calculated as profit after tax divided by the weighted average number of shares was J$0.19 for the six-months period ended June 30, 2023 compared to J$0.15 over the corresponding period of the previous year.

The balance sheet remained strong with total assets as at June 30, 2023 of $7.7B in comparison to $6.5B as at June 30, 2022 and $7.0B as at the end of the financial year, December 31, 2022.

Stanley Motta New-Building Going Up At 58-Half-Way-Tree-Road

Unit 1
Our construction of Unit 1 building commenced in January 2023. The Company has invested over $600M to date on the construction. Tenant negiotiations have been well advanced and the project is currently progressing on-time and within budget.

We are looking forward to the progressive development of the project which is expected to significantly boost revenue and profits while improving shareholder value.

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Derrimon Trading Company Reporting Pre-Tax Loss For Six (6) Months Ended June 30, 2023 At $53.80M Compared To $77.83M Pre-Tax Profit In Corresponding Period.



Derrick Cotterell Chairman And Chief Executive Officer For Derrimon Trading Company Limited Has Released The Following Consolidated Statements Of Report To Stockholders Six (6) Months Ended June 30, 2023

The period reflects the inclusion of Spicy Hill Farms Limited and Arosa Limited along with the new Select Grocers location in Curatoe Hill, Clarendon.
The three (3) months consolidated results for Derrimon Trading Company Limited (DTL) reported revenue of $4.58 billion which is a $46.17 million reduction relative to the $4.62 billion reported for the corresponding three (3) months period in 2022.

Although there was a slight reduction in revenues for the period, a decline in commodity prices, foreign exchange rate stability and inventory management resulted in a 2.80% reduction in our cost of sales therefore, offsetting the negative impact of the decrease in revenue. These costs improvements pushed our gross profit to $1.15 billion, or a 4.85% increase compared to the $1.09 billion in the prior quarter.

Consolidated operating expenses for the three (3) months period was $728.81 million, representing a decrease of $267.04 million or 26.82% from the $995.85 million reported for the same period in 2022.

Significant cost savings were realized during the period as the prior period reflected costs incurred during the integration of Spicy Hill Farms Limited and Arosa Limited.

Finance cost for the three months was $326.69 million which was $235.76 million or 259.27% above the $90.93 million reported at the end of June 2022. The higher debt balance associated with the acquisitions as well as leases are the main reasons for the movements in finance cost that is being reported.

The consolidated profit before tax earned for this reporting period was $159.09 million, an increase of $27.68 million or 21.07% over the $131.41 million reported for the corresponding period in 2022. The Group’s consolidated net profit was $146.81 million, an increase of $33.74 million or 29.83% above the $113.08 million reported in the 2022 comparative period.

For the overall six (6) months period, revenue increased by 7.17% to a record of $9.50 billion as we reflected contributions from both Spicy Hill Limited and Arosa Limited. The reduction in cost of sales pushed gross profit up by 14.31% to $2.17 billion with group gross profit margins to 22.82%.

Total expenses remained flat at $1.63 billion which resulted in operating profit being reported at $675.63 million, an increase of 34.02%. Profit before tax decreased by 30.39% to $229.10 million with consolidated net profit at $199.32 million with earnings per share at $0.039.

The consolidated total assets was $16.70 billion compared to the $12.99 billion reported for the corresponding period in 2022. This growth was achieved by the significant rise in current assets to $8.82 billion mainly as a result of the entities acquired. Group cash and bank balances ended the period at $860.54 million with net cash at $594.56 million. Equity attributable to shareholders was $6.31 billion
relative to the $5.82 billion as the Group continued to grow its retained earnings.

Core Activity
For this second quarter ended June 2023, revenue generated from core activity (the distribution and retail arms of the business) was $3.04 billion representing an increase of $43.60 million or 1.46% when compared to the $2.99 billion reported for the similar reporting period in 2022.

The six (6) months result of the core activity recorded revenue of $6.33 billion which is an 8.79% increase when compared to the $5.82 billion earned in the corresponding period last year.

Gross profit from core activity for the second quarter was $752.91 million or $55.12 million (7.90%) more than the $697.79 million reported in the similar period in 2022. Gross profit from these divisions for the six (6) months period was $1.31 billion which represents a $152.00 million (13.12%) increase above the $1.16 billion reported for the similar period in 2022.

Operating Expenses For the second quarter ending June 30, 2023 was $420.95 million which was $335.28 million (44.34%) above the expenses incurred for the similar period in 2022. Operating Expenses for the six (6) months period was $1.06 billion which was $115.19 million (9.83%) below the $1.17 billion reported for the comparative period last year.

Finance cost for the three (3) months ending June 30, 2023, was $317.24 million which was $238.53 million (303.05%) above that reported for the similar quarter in 2022. Finance charges from core activities for the six (6) months period was $432.80 million which is up by $271.49 million (168.30%) from the $161.31 million reported in June 30, 2022.

For the three (3) months ended June 2023, pre-tax profit was $90.16 million representing a positive result when compared to the pre-tax loss of $16.12 million reported for the same period in 2022.

A pre-tax loss was recorded for the six (6) months period at $53.80 million compared to the $77.83 million pre-tax profit in the corresponding period.

Total Assets for the Company was at $13.09 billion or $3.98 billion (44%) more than the $9.11 billion reported for the similar period last year. The majority of this growth came from the growth in current assets, with cash closing at $240.91 million. Total liabilities stood at $7.60 billion as the company reduced payables and saw an increase in long-term debt. Equity closed the period at $5.49 billion.

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