Jamaica: Money Market brokers triples half year profit

Jamaica Money Market Brokers (JMMB) has reported net profit of J$1.3 billion (US$ 15 million) for the first six months of its financial year up to September 2011, triple the J$454.7 million (US$ 5.2 million) recorded for the comparative period last year.

Diversification of the products has allowed the JMMB to post these profits. Efforts will continue to diversify revenue streams and build fee income. During the reporting period the company rolled out the newest product in its investment line, the JMMB car solution.

The JMMB in its’ half-year financial report revealed that the continued growth in profitability as the six month results had exceeded prior period results by J$910.5 million (US$ 10 million) or 200 percent.

Net interest income reflected year-on-year improvement to J$1.63 billion (US$ 18.9 million) from J$1.06 billion (US$12.3 million), an increase of 53.8 percent.

The company’s profit performance traces back to improved interest margins and a doubling of securities trading income which more than doubled from J$536 million (US$ 6.2 million) to J$1.18 billion (US$13.6 million).

Commissions and fee income for the reporting period totalled J$108.7 million (US$1.25 million). Gains on securities trading more than doubled, to J$1.1 billion (US$12.7 million), while foreign exchange margins from cambio trading dropped slightly to J$63 million (US$ 727,000) from J$78.7 million (US$908,000).

JMMB has assets of J$122.5 billion (US$ 1.4 billion) and a client base of approximately 160,000. The company is in the process of acquiring the Capital and Credit Financial Group Limited (CCFG), which will be its conduit to a banking licence in Jamaica, if the regulator approves the deal.