Salada Foods Jamaica Limited (SALF)-  Unaudited Q1 Financial Statements

• For its first quarter ending December 31, 2021, SALF reported net profit attributable to shareholders of $41.92Mn, a 219.9% ($28.82Mn) increase relative to the corresponding period last year. 
• Bottom-line growth was supported by a higher revenue outturn. Revenues increased by 27.8% or $62.99Mn for Q1 driven by strong domestic and export sales across its range of products. Though direct expenses increased by 16.9%, gross margin improved by 6.3 percentage points as revenue growth outpaced the growth in direct expenses. 
• Sales and promotional expenses increased by 32.4% as the company ramped up targeted marketing activities for key consumer groups. Additionally, the company saw a 12.7% increase in admin expenses.  Against this background, operating profit for the quarter increased by 162.1% to $43.16Mn from $16.47Mn. 
• Net finance income saw a 916.1% increase which was mainly supported by an increase in foreign exchange gains which, also contributed to the company’s bottom line. 
• SALF stock price has risen 3.81% since the start of the calendar year. The stock closed Monday’s trading session at $6.86 and currently trades at a P/E of 38.1x earnings, which is above the  Main Market Distribution & Manufacturing sector average of 19.1x.

(Sources: JSE and Company Financials)