TransJamaican Highway earns US$8m net profit

For the quarter ended September 30, 2024, TJH posted a net profit of US$8 million, marking a 24% increase compared to the US$6.5 million net profit recorded in the same period last year. The company's revenue for Q3 2024 reached US$20.8 million, a 9% increase over the US$19.2 million from Q3 2023, driven by solid traffic volumes across its toll network and scheduled toll rate adjustments.

For the nine-month period ending September 30, 2024, TJH's revenue totaled US$60.4 million, up from US$55.4 million in 2023. The company’s net profit for this period reached US$22 million, representing a 26% increase over the US$17.5 million reported for the same period in 2023. These results underscore the company’s consistent growth trajectory, bolstered by strong cost management, despite slight increases in administrative expenses related to staffing and inflation.

Operating expenses for Q3 2024 were US$5.3 million, slightly down from US$5.6 million in the previous year, and have remained stable for the first nine months of 2024 at US$16.7 million.

TJH’s other income rose significantly, with other gains for Q3 2024 reaching US$1.14 million, compared to US$0.64 million in Q3 2023, driven by higher interest on reserves and foreign exchange gains. Cumulatively, other gains totaled US$3.1 million for the nine-month period, up from US$1.4 million in 2023.

The company’s finance costs slightly decreased to US$10.5 million for the nine months, compared to US$10.9 million in 2023, as TJH continues to focus on reducing debt through principal repayments.

On the balance sheet side, TJH’s total assets grew to US$297 million as of September 30, 2024, up from US$290 million at the end of 2023. This growth was supported by increased cash reserves and trade receivables. The company also saw an improvement in its equity, with retained earnings rising to US$29 million, up from US$22 million as of December 2023.

In terms of shareholder returns, TJH declared an interim dividend of JMD$0.0952 per share in September, payable in October 2024.

Overall, TJH’s continued revenue growth, controlled costs, and prudent financial management position the company well for future growth while maintaining its role as a key player in Jamaica’s infrastructure development, particularly in road connectivity.