REGIONAL financial entity the JMMB Group has recorded a profit of J$5.45 billion, which represents a 127 per cent increase, year-over-year, for the period ending September 30, 2021.
Additionally, the company posted net operating revenue of J$13.47 billion, a 25 per cent uptick over the comparative period. This performance by the group, a press release said on Tuesday, exceeds pre-pandemic financial profitability, and is attributable to the growth in core business operations and diversification strategy.
JMMB Group CEO Keith Duncan said, “We are heartened by this achievement and upward trajectory in profits, as it reflects our win-win partnership approach and commitment to supporting our clients in achieving their goals by deepening our client intimacy and building our regional diversification strategy.”
Duncan lauded the team and operations in the Dominican Republic, which contributed 38 per cent, or J$1.68 billion, of the group’s net earnings for the period, representing an increase of 365 per cent over the prior year profit. JMMB operates in Jamaica, the Dominican Republic and Trinidad and Tobago.
The performance in the Dominican Republic was largely driven by the group’s strong positioning in that market, as a dominant player in the investments business line, while also nurturing start-ups to sustained profitability.
The group’s stake of 23.22 per cent, in its associate, Sagicor Financial Company (SFC) continues to deliver value, as evidenced by the J$2 billion share of profit, which reflects a 38 per cent contribution to the group’s profitability for the reporting period.
The company’s recently released financial results also showed the group’s core business operations remain solid, as demonstrated by the growth in all its revenue lines, namely: net interest income, trading gains, fees and commission and foreign exchange trading.
This growth was spurred by increased economic activity relative to the prior period as well as continued accommodative monetary policies in the countries in which the group operates.
Net interest income grew by 17 per cent, moving from J$4.99 billion to J$5.82 billion. Trading gains saw a 21 per cent uptick to J$3.88 billion, thanks to increased market activity and improved global investor sentiment, especially as the global vaccination programme is under way.
Fees and commission income also surged by 66 per cent from J$ 1.5 billion to J$2.52 billion, which reflects increased economic activity as well as significant growth in managed funds and collective investment schemes across the group.
Additionally, foreign exchange gains also increased from J$1.07 billion to J$1.22 billion, which reflects a 14 per cent growth in earnings over the comparative period.
The group’s Visa debit card project concluded in TT during which all ATMs are now reconfigured for chip and PIN use by all of the bank’s Visa debit cardholders.
On the strategic outlook of the group, Duncan said, “We remain confident in the sustainability of the group, as we seek to execute our strategic imperatives to ensure that we continue to maximise shareholder value through business line diversification and regional diversification, underpinned by client partnership.”