Jamaica Broilers Group Limited (JBGL) saw net profit of US$383 million, an increase of six per cent, for the first quarter ended August 1.
Group revenues for the quarter amounted to US$12.6 billion and a gross profit for the quarter of US$2.9 billion.
Management says the increase in net profit was primarily as a result of the Best Dressed Chicken (US) acquisition and careful management of operating expenditures.
The Best Dressed Chicken, USA products are available in select supermarkets within the United States.
Management stated in remarks attached to the quarter’s results, “We are seeing improved corporate results due to early decision-making, aggressive cost reductions and improved FX positions.
“There has been a refocusing on the absolute basics to keep the company running profitably due to the challenges brought on by COVID-19. This has translated to a better and deeper foundation for the company.”
Jamaica Operations reported a segment result of US$730 million. Revenue for the Jamaica segment recorded a decline of 16 per cent as a result of the pandemic but management said the impact on the segment result was mitigated by the diversification of income streams and enhanced product portfolio management.
US Operations reported a segment result of US$316 million. External revenue increased by 31 per cent over the period but was offset by the performance of lower sales of fertile hatching eggs.
However, management said the “sales of The Best Dressed Chicken line of products has been very well received and is driving us to increase production at a very aggressive pace. The depth of our investments in the US poultry industry will certainly be of benefit in these times.”
Haiti Operations reported a segment result for the first quarter of US$11 million, which is US$8 million or 40 per cent below last year’s segment result of US$19 million.
Here, total revenue reduced by 13 per cent with decline in performance linked to the current political and economic instability being experienced in Haiti, management outlined.
The Group’s operations produced an operating profit of US$851 million, an increase of 25 per cent over the prior year.
Management said a combination of many factors have led to this performance, not least of it being the contribution of the staff, employees and contractors of the Group.
Chairman Robert Levy and Group President & CEO Christopher Levy said in remarks , “We all realise that times have changed, and the way we do business has to continue to change, but the team is strong and we are excited and encouraged about the future.”
They said that the company’s operating divisions are very well positioned for growth as the various economies learn how to manage the pandemic and begin the steps to reopening.
The company heads added, “the pandemic has been a sort of reset of the business, making comparisons with previous quarters challenging but the Group has responded with resilience and efficiency to keep us on a solid growth path.”