Berger Paints Jamaica Ltd (BPJL) which has recently put out its audited results for 2019 said that roadsworks throughout the country resulted in depressed earnings for the company.
For the year ended December 31, 2019, the company recorded revenues of $2.52 billion, down on the comparative period revenues of $2.72 billion with profit before tax of $41.4 million.
Net profit slid to $29.3 million in December 2019, down from $173.55 million at December 2018.
Earnings per share turned out at $0.14 per unit for 2019 compared to $0.81 in 2018.
“Berger Paints Jamaica Limited remains profitable with strong liquidity, generating cash in surplus of normal trading obligations.”– Chairman Adam N. Sabga
Directors said “massive disruptions due to extensive road works across the island adversely impacting our direct customers and consumers within key trading territories,” also citing inclement weather in the fourth quarter which disrupted project schedules and coating products.
Results were also affected by devaluation of the Jamaican dollar which slid to $142 to US$1 in November 2019.
Directors cite achievements during the year as including the introduction of a new integrated manufacturing and financial platform.
Chairman Adam N. Sabga said the system is providing the required details and analytics to drive the business into the future.
The company has also added a new automotive line –Roberlo- which is expected to deepen BPJL’s reach into the automotive market.
The chairman said, “Berger Paints Jamaica Limited remains profitable with strong liquidity, generating cash in surplus of normal trading obligations.”
He said that with “strategic foundations now in place, and revenue initiatives and cost efficiencies being aggressively pursued, the company is poised for transformational performance in 2020 and future years.”