Administrative and other expenses increased by 25%

Energy solutions company, FosRich had another profit year in 2021 ending the year on a high with profits jumping by 59 per cent to J$199.31 million.

This is up from the J$125.70 million reported 12 months earlier. As there were no tax charges for the year under review, net profit for the year amounted to J$199.31.

Net profit for the December 2021 quarter amounted to J$20.09 million, up from J$50.45 million for the comparable period in 2021, representing a 60 per cent decrease year-on-year. During 2021 revenue rose by 24 per cent to J$2.35 billion relative to J$1.90 billion booked in 2020.

Revenue for the December quarter amounted to J$665.21 million, 32 per cent above the J$504.20 million booked for the similar quarter of 2020. Cost of sales for the year increased by 22 per cent to $1.31 billion (2020: J$1.07 million).

However, gross profit increased by 26 per cent to J$1.04 billion compared to J$824.75 million in 2020. Gross profit for the quarter amounted to J$372.07 million (2020: J$270.43 million).

Other income totalled J$56.13 million for the year relative to the previous year’s gain of $32.46 million.

Sharp rise in expenses

Administrative and other expenses increased by 25 per cent to J$631.63 million (2020: J$505.75 million) and depreciation went up by 26 per cent to J$83.14 million (2020: J$65.75 million). Fosrich’s finance costs recorded an increase of 16 per cent, closing at J$185.20 million (2020: J$160.02 million).

Total comprehensive income for the year amounted to J$199.48 million compared to J$125.23 million for 2020. The company, as at December 31, 2021, recorded total assets of J$3.77 billion, an increase of 23 per cent when compared to J$3.06 billion recorded last year.

The increase was mainly attributed to ‘Inventories’ and ‘Rights of Use Assets’ which closed at J$1.78 billion (2020: J$1.46 billion) and J$564.85 million (2020: J$393.34 million). Total Stockholders’ Equity as at December 31, 2021, closed at J$1.02 billion (2020: J$868.56 million) resulting in a book value per share of J$2.02 per share  (2020: J$1.73 per share).