Poultry producer Jamaica Broilers Group, JBG, has a positive outlook on its 2020 financial year as it continues to seek out acquisitions in the United States.Group profit increased by 17 per cent to $2.37 billion for the full year ending April 2019. On a per-share basis, earnings amounted to $2.30, compared with $1.64 in 2018.
“JBG continues to look for growth prospects. We expect that the Jamaica and Haiti operations will expand at single-digit rates. We continue to explore more growth opportunities in the USA, both from acquisition as well as organic,” Senior Vice-President of Finance Ian Parsard told the Financial Gleaner.
The focus on the US follows high double-digit growth in revenue in that market, outpacing single-digit growth in Jamaica and Haiti.
“We continue to trust that God will guide us and we have a positive outlook for fiscal year 2020. We expect growth to continue, and the final outturn will, to a large extent, be influenced by the success of acquisition targets being explored,” Parsard said.
In August 2018, JBG announced the acquisition of a feed mill in Georgia, called Crystal Farms, through a foreign subsidiary aimed at adding US$65 million to its annual turnover. In October 2017, JBG announced the acquisition of a hatchery in Pennsylvania, which it renamed International Poultry Breeders Hatcheries. Those recent acquisitions added to its US subsidiaries, including Wincorp International USA, Consolidated Freight and Shipping USA, and International Poultry Breeders.
Jamaica Broilers made $55 billion in annual revenue, up 14 per cent year-on-year. The Jamaica operations account for just under two-thirds of total revenue at $36.2 billion, followed by the US at one-third with $20.16 billion, Haiti at 4.2 per cent or $2.4 billion, and other Caribbean territories at $616 million. Eliminations due to inter-company transactions amounted to $4.2 billion.