An eight per cent increase in revenue pushed Lasco Distributors Limited’s net profit to JM$171.9 million.
As a result, net profit for the quarter was nine per cent above JM$157.1 million posted in the corresponding period in 2018.
Commenting on the result, Lasco Distributors Chairman Lascelles Chin explained, “Net profit for the quarter improved over the the prior year driven by increased sales, distribution and consumption of our products. Our recently launched reduced sugar iCOOL beverage line and grape-flavoured iCOOL water have done very well over the period.
He added: “We expect these innovations, along with our existing products, will continue to deliver strong growth over the remaining quarter of our financial year.”
For the nine months ending December 31, 2019, Lasco Distributors’ recorded a 7.3 per cent increase in revenue, which moved from JM$13.3 billion in 2018 to $14.3 billion.
“Net profit for the quarter improved over the the prior year driven by increased sales, distribution and consumption of our products.”— Lascelles Chin, chairman, Lasco Distributors Limited
In addition, the company improved its gross profit by JM$2.8 billion, or seven per cent, to reach JM$2.82 billion, despite an increase in cost of sales.
Notwithstanding, net profit declined from JM$620.8 million in 2018 to JM$557.5 million on December 31, 2019, essentially contracting by 10 per cent.
“The nine months comparative decline in net profit was mainly attributable to the impact of foreign exchange losses, restructuring expenses and legal fees associated with ongoing matters including the Pfizer case where we anticipate a favourable outcome to our appeal,” Chin shared.
“We also continue to invest in our route-to-market build out to manage our expanding business,” he added.
In the meantime, Lasco Distributors increased the value of total assets to JM$9.5 billion, 10.2 per cent increase over JM$8.6 billion recorded in 2018. This was due to an appreciation in property plant and equipment, as well as an 17 per cent growth in the company’s receivables.
Lasco Distributors also increases its cash holding by JM$100 million.