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Ansa McAL Centre (Photo: Caribbean Business RoundUp)

Ansa McAL doubles profit in first 6 months

Ansa McAL Centre (Photo: Caribbean Business RoundUp)

Following a disappointing 2020, Ansa McAL Limited is reporting an increase in net profit attributable to shareholders despite revenue declining for the period ending June 30, 2021.

SAGBA… “We have made significant investments which position the group to achieve high returns on invested capital. Notably, we targeted renewable energy in LATAM, cross border insurance and brewery expansion with the acquisition of Trident Barbados and brewery operations in Antigua. (File photo)

The Trinidad and Tobago-based conglomerate’s turnover hit TT$2.68 billion, which was supported by the recovery in its manufacturing, packaging and brewing business growing by two per cent to TT $1.04 billion. Simultaneously, its automotive, insurance and media segments saw slight reductions in sales.

Still, the group’s operating profit climbed by 109 per cent to TT$316.86 million, which was largely as a result of the improvement in its insurance and financial services, which includes Ansa Merchant Bank (AMB). AMB’s consolidated operating profit for the quarter was TT$160.80 million.

Although its core businesses fared relatively better in the first six months, its associates and joint ventures were less than stellar as the share of profit slipped by 34 per cent to TT$10.44 million. With profit before taxation jumping 107 per cent during the period to TT$304.52 million and a slightly higher tax bill, consolidated net profit grew by 133 per cent to TT$225 million. Net profit attributable to shareholders was up by 131 per cent to TT$190.2 million and earnings per share at TT$1.11.

The group asset’s improved by six per cent to TT$16.63 billion with total liabilities 10 per cent higher at TT$7.73 billion. With the company doubling down on investments, Ansa’s cash decreased from TT$2.82 billion at the start of the financial year as the company invested TT$512 million into the business and had cash outflow from operations of TT $64.25 million. Equity attributable to shareholders was marginally up by one per cent to TT$7.88 billion.

“We have made significant investments which position the group to achieve high returns on invested capital. Notably, we targeted renewable energy in LATAM, cross border insurance and brewery expansion with the acquisition of Trident Barbados and brewery operations in Antigua. We also emphasise our vision to become the first fully integrated digital bank through ANSA Bank. We are confident that our solid strategic platform driven by our mindset for growth, will deliver robust results and create long-term value for all our stakeholders,” noted Chairman A Norman Sabga.