JAMAICA MONEY Market Brokers (JMMB), has posted after tax profits of $1 billion for the nine month period ended 30 November, 2003 according to its latest unaudited accounts.
This represents a significant increase ($359.5 million or 55.2 per cent) on the $651.8 million figure posted for the corresponding period last year. This result was largely driven by JMMB's operations in the region more particularly Caribbean Money Market Brokers (CMMB) headed by Ram Ramesh.
"What is clear is that our strategic objective of regional diversification is paying off and showing dividends," JMMB's Deputy Managing Director Keith Duncan said to Wednesday Business last night. "We posted more profits for the nine month period under review than for the entire year gone before."
Profits derived from revenues of $1.3 billion with gains on securities trading of $585 million accounting for most of that.
SIGNIFICANT INCREASE
This represents a significant increase on last year's figure of $361.6 million. Last year saw JMMB operations negatively impacted by the hike both in interest rates and the exchange rate in Jamaica, but the Group seems to have weathered that storm.
Operating expenses grew 30 per cent as the Group made a concerted effort to expand its infrastructure to accommodate the growth of its business.
Notably, staff costs increased to $293.2 million with provision made for the cost of vacation leave in respect of services rendered by employees up to the balance sheet date.
Notwithstanding the growth in expenses, operating expenses as a percentage of gross operating revenues fell from 10.7 per cent to 9.1 per cent. As a result of the foregoing, the operating profit for the nine-month period was $666.1 million compared to $620.8 million for the prior year.
