Massy Group record­ed a prof­it af­ter tax (PAT) of $473.2 mil­lion for the nine months end­ing June 30, a de­cline of 9.21 per cent com­pared with the in­te­grat­ed port­fo­lio com­pa­ny’s $521.38 mil­lion prof­it for the same pe­ri­od in 2023. 

In its unau­dit­ed con­sol­i­dat­ed fi­nan­cial state­ments, Massy group said its rev­enue grew by 13 per cent to $11.7 bil­lion (US$1.7 bil­lion) in for the nine-month pe­ri­od, as a re­sult, the com­pa­ny said, of the strong per­for­mance across all port­fo­lios with on-plan con­tri­bu­tions from all 2023 ac­qui­si­tions as well as strength in the or­gan­ic-based busi­ness­es. 

The group’s prof­it be­fore tax (PBT) for the nine-month pe­ri­od, de­clined by 3.74 per cent from its record 2023 lev­els.

In ad­di­tion, the group said it showed a 239 per cent im­prove­ment year-over-year in its cash flow from op­er­at­ing ac­tiv­i­ties, which rose to $640 mil­lion for the pe­ri­od Oc­to­ber 1, 2023 to June 30, 2024.

Al­so, the cash gen­er­at­ed from op­er­a­tions refers to the cash flow the group brings in from its reg­u­lar busi­ness ac­tiv­i­ties, like sales of gro­ceries, cars, and gas prod­ucts, af­ter  pay­ing for all its op­er­at­ing ex­pens­es.  

For in­vestors in this re­gion, Massy Group said this is cru­cial as it in­di­cates the com­pa­ny’s abil­i­ty to pro­vide steady and re­li­able div­i­dend pay­ments. 

Massy said the per­for­mance of the group con­tin­ues to be dri­ven by the core busi­ness­es in­clud­ing Massy’s three port­fo­lios, in­te­grat­ed re­tail (IRP), gas prod­ucts (GPP), and mo­tors and ma­chines (MMP). 

The com­pa­ny not­ed that Massy’s in­te­grat­ed re­tail port­fo­lio which rep­re­sents 64 per cent of the Group’s rev­enue, re­port­ed a prof­it be­fore tax of $463 mil­lion, sev­en per cent bet­ter than the same pe­ri­od last year.  

Sales rose ten per cent to $7.4 bil­lion, large­ly due to con­tin­ued growth in its core mar­kets, and the ac­qui­si­tion of Rowe Su­per­mar­kets in Flori­da. 

As it re­lates to the gas prod­ucts port­fo­lio, prof­it be­fore tax in­creased by ten per cent, with sales up 33 per cent year-over-year to $1.6 bil­lion, and this growth was dri­ven by the strate­gic ac­qui­si­tions of IGL in Ja­maica, Air Liq­uide in Trinidad and im­proved op­er­a­tions in Guyana and Trinidad, and par­tial­ly off­set by a con­ser­v­a­tive pro­vi­sion for an out­stand­ing bal­ance tak­en in FY2023 and Q2 2024. 

Fi­nal­ly, the mo­tors and ma­chines port­fo­lio sales in­creased by 11 per cent to $2.5 bil­lion.

How­ev­er, prof­it be­fore tax slight­ly de­creased by $0.9 mil­lion due to macro-eco­nom­ic chal­lenges in Colom­bia and fi­nanc­ing con­straints in Guyana.  

Fur­ther, Massy Guyana is work­ing on agree­ments to bring third-par­ty fund­ing to cus­tomers in Guyana, which should sup­port fu­ture growth. 

Strate­gic roadmap to 2030 

In com­ments for the group’s nine-month re­port, Massy chair­man Robert Ri­ley said the group’s 2030 strat­e­gy is fo­cused on sus­tain­able growth to de­liv­er in­creased re­turns to share­hold­ers, and an em­pha­sis on “cur­ren­cy re­silience” to pro­tect share­hold­ers from cur­ren­cy fluc­tu­a­tions over the medi­um and long term. 

The strat­e­gy aims to achieve at least 50 per cent in­crease in rev­enue to be­tween $23 bil­lion (US$3.4 bil­lion) and $25 bil­lion (US$3.7 bil­lion).  

“The plan en­vis­ages that this growth will flow through to sim­i­lar growth in PBT and Cash Flow from Op­er­a­tions. This in­crease in busi­ness per­for­mance is ex­pect­ed to lead to high­er prof­its and more cash avail­able to in­vest in growth and pay div­i­dends. Specif­i­cal­ly, the strat­e­gy fo­cus is built to en­sure con­tin­ued con­sis­ten­cy of healthy div­i­dend growth,” Ri­ley added.