|
Furness
Trinidad Ltd
Results for the year ended December 31, 2004
The year 2004 saw improved results for Furness Trinidad Ltd.
Turnover increased by 18.28 per cent to $32.25 million compared
with 2003. Operating profit grew significantly, from $2.49
million to $5.71 million, up 128.92 per cent giving an operating
profit margin of 17.70 per cent in 2004, up from 9.14 per
cent in 2003. Even after adjusting for profit on sale of property,
plant and equipment of $1.4 million, the increase in Operating
profit was considerable.
Profit before tax rose 116.34 per cent to $5.76 million and
after accounting for tax of $1.78 million, Net profit was
$3.98 million, up 134.75 per cent. Net profit margin increased
from 6.22 per cent to 12.34 per cent. Earnings per share reached
33 cent, up 19 cents from 2003 as Profit attributable to shareholders
rose to $3.97 million
Furness Trinidad Ltd continues its properties upgrade and
core operations expansion drive, which necessitates the commitment
of considerable financial resources. As a result the Board
did not recommend the payment of a dividend for 2004. As of
December 31 2004 Cash in hand was $13.8 million, however,
Bankers’ acceptance stood at $3.0 million and Bank overdraft
increased from 4.6 million in 2003 to $15.3 million.
During the year the customer base of the Marketing and Distribution
division grew, while the Furness Electric Ice Company Ltd
maintained its position as the leading producer of party ice
through aggressive marketing and high company standards.
Furness Chemicals Ltd, on the other hand has had to endure
increased competition from local manufacturers and imports
from South America.
The companies within the Services division all performed credibly.
There were high levels of occupancy for the three cold storage
operations due to economic improvements locally and returning
customer who had left for cheaper rates but had to endure
poorer service.
The clientele for the car leasing company grew appreciably
through referrals as did for property insurance for the general
insurance company.
Furness shares are currently trading at $6.15 per share which
gives an earnings multiple of 18.64 times.
For the year thus far, Furness share price has risen 7.89
per cent from its opening of $5.70 on January 1.
|
