Business

SOS hits billion-dollar mark

Wednesday, March 06, 2019

Print this page Email A Friend!


Stationery and Office Supplies Limited (SOS), hit the billion-dollar mark in annual revenues for the year ended 2018.

Sales at the company for the year ended December 2018 climbed 17 per cent to reach $1.064 billion, compared to the previous year at $90.65 million. Net profit at the end of the year stood at $91.6 million.

“At the beginning of 2018 the management of SOS set some very ambitious goals and expectations for where we wanted the company to be by the end of the year, and we are proud to say that most of these goals were accomplished,” SOS Deputy Managing Director Allan McDaniel said.

Aside from improving bottom line, part of SOS's goals included the company's entry into the manufacturing sector through acquisition of the SEEK brand of notebooks from local manufacturer Book Empire in April.

The company noted that with its entry into the manufacturing sector, there were some one-off expenses that increased operational costs for the company, but reasoned that the future for the SEEK product line looks promising.

Despite hitting the billion-dollar mark at the end of the financial year, SOS' fourth quarter was the weakest the company experienced during 2018. While revenue improved, higher expenses resulted in the company posting a loss in the fourth quarter for the first time in years, according to a statement published on the Jamaica Stock Exchange.

Aside from these one-off expenses to enter the manufacturing industry, sales of the recently acquired SEEK flatlined, following upward trends in sales during the third quarter led by the back-to-school rush.

“The lack of sales for SEEK put a dent in the final pre-tax figures and accounted for some of the losses incurred during the quarter,” McDaniel said.

At the end of the year, SOS increased total assets by 25 per cent, moving from $554 million to $697 million at the end of 2018. The growth was reflected in all areas, with the highest increases being in inventories — which rose by 19 per cent, and cash and cash equivalents which climbed to $48.5 million from $8 million a year earlier.


Now you can read the Jamaica Observer ePaper anytime, anywhere. The Jamaica Observer ePaper is available to you at home or at work, and is the same edition as the printed copy available at http://bit.ly/epaperlive


ADVERTISEMENT




POST A COMMENT

HOUSE RULES

1. We welcome reader comments on the top stories of the day. Some comments may be republished on the website or in the newspaper � email addresses will not be published.

2. Please understand that comments are moderated and it is not always possible to publish all that have been submitted. We will, however, try to publish comments that are representative of all received.

3. We ask that comments are civil and free of libellous or hateful material. Also please stick to the topic under discussion.

4. Please do not write in block capitals since this makes your comment hard to read.

5. Please don't use the comments to advertise. However, our advertising department can be more than accommodating if emailed: advertising@jamaicaobserver.com.

6. If readers wish to report offensive comments, suggest a correction or share a story then please email: community@jamaicaobserver.com.

7. Lastly, read our Terms and Conditions and Privacy Policy



comments powered by Disqus
ADVERTISEMENT

Poll

ADVERTISEMENT
ADVERTISEMENT

Today's Cartoon

Click image to view full size editorial cartoon
ADVERTISEMENT