Lasco Distributors grows its bottom line and balance sheet
The ongoing plant expansion at Lasco Distributors resulted in the value of its plant and office space increasing some 50 per cent beyond the $1 billion mark.
It meant that the company invested over $346 million on developing its office space over the past year alone.
"Much of this growth was due to expenditure relating to the expansion of the company's warehouse and logistics infrastructure," said Managing Director Peter Chin in statements accompanying Lasco Distributor's June quarter results.
Lasco Distributors earned a profit after tax of $175.4 million on revenues of $3.9 billion, or 33 per cent more profit than the same period last year. An 18 per cent rise in revenue fuelled its bottom line growth.
Operating expenses at $502.3 million during the quarter increased 14 per cent compared to last year. The increase was mainly due to expenditure needed to support the route to market of key brands, the company explained. Also, Lasco Distributors incurred an income tax expense of $29.9 million for the quarter, compared to nil in the prior year, due to the partial expiration of its junior market tax incentive.
Management stated that it remains committed to containing operating costs, in spite of the challenging economic environment. Cash and bank balances at the end of the period climbed 91 per cent year on year to $671.7 million.
Shareholders' equity stood at $3.6 billion, reflecting 18 per cent growth over prior year, while the annualised return on equity for the quarter was 20 per cent compared to 18 per cent in the same period last year.
The company also reported on its environmental stewardship to shareholders, noting that it collected twice more bottles than a year ago.
"Under the 2016 theme of 'Pick Up The Pace To Zero Waste', Lasco REAP successfully collected a record 706,000 bottles from the over 80 participating schools, more than doubling last year?s collection figure," it said.
Overall winner Howard Cooke Primary in Montego Bay received 10 computers and two tablets.