Feb 2006 Financial News

CCMB releases year end results

Feb 16, 2006

All figures quoted in Jamaica Dollars

Capital & Credit Merchant Bank Limited (CCMB) reported year end Earnings per Share (EPS) of $1.97. This was 34.01 per cent more than 2004's end of year EPS of $1.47. Quarter on quarter, CCMB's EPS increased 68.18 per cent to 37 cents.

This credible performance stems from the diversification of its operations. This year, the Group pursued a strategy of building non proprietary income combined with resturcturing its balance sheet and liquidating low yielding currency denominated assets to mitigate the impact of rising interest rates in the United States. The Group reported Operating Revenue of $5.893 billion which was 11.29 per cent more than that of 2004.

While net interest income was flat, the Company experienced an improved bottom line due to increases of 45.49 per cent and 194.25 per cent in Commission & Fee Income and Net Gains on Securities Trading respectively. Ultimately, Profit Attributable to Shareholders increased 34.34 per cent to $1.162 billion.

CCMB paid a final dividend of 15 cents on January 26, 2006. This brings total dividends paid for the fiscal year 2005 to 25 cents.

Look out for a detailed analysis of these results in the WISE Weekly Report.

Sreshtha Tewari
WISE Research Team