Pan Jamaica Group profits down 56% despite revenue growth

Pan Jamaica Group (PJG) posted higher revenues, but consolidated net profits fell to $924 million, down 56 per cent from a year earlier.

The conglomerate said it will accelerate portfolio adjustments to restore profit growth, focusing on businesses with scale and market leadership potential, and plans to fund expansion partly through a divestment of non-core holdings. Net profit due to PJG shareholders fell to $487 million from $1.7 billion a year earlier, after stripping out the non-controlling interest from consolidated profits. 

"PJG views its underlying core businesses as strong. We nevertheless consider the results in the first quarter as a call to accelerate our initiatives to adjust our overall portfolio of businesses to restore profit growth," said Chairman Stephen B. Facey and Vice-Chairman and CEO Jeffrey Hall in a joint statement to stockholders.

Quarterly revenue totalled $11.1 billion, from $9.8 billion a year earlier.

PJG, which operates across property and infrastructure, financial services, specialty foods, and global services segments, cited lower earnings from associates — including its one-third stake in insurance giant Sagicor Group Jamaica — along with reduced net investment income as the primary drivers of the profit decline.

The Global Services Division, which includes port terminal operations at Kingston Wharves, freight forwarding and the Geest Line shipping service, posted revenues of $3.9 billion, up 17 per cent, while profit before finance costs and taxation edged up two per cent. Kingston Wharves benefited from increased domestic cargo movements, though Geest Line was disrupted by severe North Atlantic weather conditions.

The Property and Infrastructure Division held revenues steady at $1.2 billion, but profit before finance costs and taxation fell 19 per cent to $332 million, weighed down by reduced hotel occupancies following Hurricane Melissa, which struck Jamaica in October 2025.

The Financial Services Division, whose principal holding is its stake in Sagicor, reported profit before finance costs and taxation of $600 million, a 50 per cent decline. The fall reflected the absence of one-off securities gains recorded in 2025 and additional insurance provisions related to Hurricane Melissa.

The Specialty Foods Division posted revenues of $6 billion, up 15 per cent, but swung to a trading loss of $85 million, compared with a profit of $63 million a year earlier. Hurricane Melissa severely damaged JP Farms, the group's banana and pineapple operation in Jamaica. Rehabilitation of the farm is complete and the group expects a return to full production by the third quarter of 2026.

Partially offsetting the farm losses, the Juicy Group — which produces fresh juice for major supermarkets across Northern Europe — more than doubled its profit relative to the same period last year, driven by volume growth, including expanded Easter promotions. 

luke.douglas@gleanerjm.com