Jul 2016 Financial News

JMMB ITT's total income up 69%

Jul 28, 2016

In only its second full year of operations in this country, JMMB Investments (T&T) Limited (JMMB ITT) has achieved profit after tax of $865,000 for the 2015/2016 financial year.

This was a marginal increase of two per cent over the previous year but the company also recorded a significant growth in core profits, with an increase of 69 per cent in total income from $5.8 million in 2014/2015 to $9.9 million at the close of the financial year ended March 31. Net interest income grew by 62 per cent closing at TT$4.8 million and driven by the 88 per cent growth in the investment portfolio.

Other income, with fees and commissions earned through JMMB Securities Limited accounting for 66 per cent, was consistent with the prior year closing at $3.3 million. However, revenues on securities trading, the other main contributor to other income, declined by 20 per cent year-on-year, consistent with fewer opportunities available to take advantage of price movements in the bond and equity markets.

JMMB ITT’s operating expenses closed the financial year at $9 million—an increase of 48 per cent. This resulted in an operating efficiency ratio of 91 per cent, an improvement over the previous financial year.

“The main drivers of operating costs were staff expenses (55 per cent of total expenses) with several critical roles being filled during the year and premises rental (11 per cent of total expenses) as the company moved to a new location to accommodate its growing sales team and allow for greater visibility of the company and the JMMB brand,” the company stated in its annual report.

Total assets grew by 83 per cent with the investment portfolio as the main contributor to the increase.

The company reported: “There was a gradual but constant growth in the portfolio over the year which closed at $226 million, 88 per cent higher than the prior year. A corresponding increase was seen in its Securities Sold under Agreements to Repurchase (Repo) portfolio which grew by 83 per cent to close at $185 million at the end of fiscal 2015/2016.”

JMMB said the primary focus of its T&T operations will continue to be around creating increased awareness of the JMMB brand in the local market.

“The rebranding of IBL Bank to JMMB Bank represents a significant milestone in JMMB’s history in the Trinidad and Tobago market as it will solidify the JMMB Group Brand in this market,” the company said.

“This brand equity coupled with our client experience model will translate to increased market penetration and greater share of wallet, resulting in significant growth in revenues from the entire Trinidad portfolio as we seek to enhance group revenues.”

JMMB ITT is a subsidiary of JMMB Group Limited which provides various investment solutions, banking, remittances, and insurance brokering services for individual, corporate, and institutional customers in Jamaica, T&T, and the Dominican Republic. Founded in 1992, the group is headquartered in Kingston, Jamaica.

Source:
Trinidad Guardian
Thursday July 28, 2016

http://www.guardian.co.tt/business/2016-07-28/jmmb-itt%E2%80%99s-total-income-69