The Blue Power Group shares sank to one-year lows after losing 16 per cent on the release of its annual report that spoke to a positive outlook.
Cash-strapped minority investors are looking for periods of strong liquidity to sell out their positions across the market.
The stock closed at $2.08 on Monday, or the worst of the day for trading in 102 equities on the Jamaica Stock Exchange.
Blue Power is close to its one-year low of $2.00. The stock closed the April financial year-end at $2.25, or down from $3.59 last April and down half its value from $4.35 in April 2021.
Blue Power noted that it will focus on efficiency and cost containment going forward. This would grow its profits towards record levels from its widening revenue base, which has virtually doubled since 2020.
Its revenues climbed to $871.3 million from $526.4 million a year earlier and $485 million in 2020. Its profit closed the financial year at $81.4 million, a decrease from $193.5 million in 2022, $106.6 million in 2021, and $80.6 million in 2020.
Blue Power Group said it now has a healthy business supplying the Jamaican market with laundry soap and offers a wide range of bath soaps, including medicated soaps, anti-bacterial soaps, beauty soaps and natural soaps that include local ingredients and locally made formulations that support healthy skin.
An important part of its plan for sustained profit and growth is its focus on efficiency, innovation and customer development, said Blue Power Chairman Jeffrey Hall in the annual report.
“During the year, we continued to undertake capital projects and make improvements to our procurement arrangements, quality systems, labour efficiency, production facilities and product lines. We remain hopeful that these improvements to our cost structure and business model will allow Blue Power Group to grow its export volumes in the years ahead.”
He added: “We believe that our export prospects are directly in line with Jamaica’s goal of developing a logistics-centered economy with value-added manufacturing that serves regional and international markets.”
