Barita's profit increases by 16%
Despite the challenging economic environment, stockbroking outfit Barita Investments Limited said it has increased its net profit for the financial year ended September 30, 2012 by 16 per cent to approximately $255 million.
The company attributed the performance to increased operating revenues across all income streams for the period.
For the reporting year, Barita's fees and commissions totalled $94.5 million, reflecting a significant increase of 62 per cent compared to the $58.5 million it recorded last year.
Foreign-exchange trading and translation gains also more than tripled to $46.6 million over the $12 million it reported in the previous year.
Net interest showed a marginal one per cent movement to $453 million from $448.6 million in the previous year.
For the year, the company's bottom line was also boosted from increased dividend income, which grew to $8 million, up from $6.8 million.
The company also said the improvement in net profit translated into earnings per share of $0.57 in comparison to $0.49 for the same period last year.
But while revenues increased, the company's expenses for the year also went up. Staff cost jumped to $250 million from $207.7 million, while expenses associated with administrative activities moved to $206 million compared to $154 million in the previous year.
Despite the growth in expenses, however, Barita remains optimistic, with all its key ratios showing improvement.
The company also said that as a listed entity, its stock performance remains within industry average.
Barita last traded on the Jamaica Stock Exchange at $2.75.
Barita, one of the smaller players in the securities market, at the end of September had an asset base of $13.5 billion, a slight dip from the $14.8 billion in 2011.
In operation since 1977, Barita has recently been expanding its product base, entering into new areas such as pension, among others.