Subscribe Login
Jamaica Observer
ePaper
The Edge 105 FM Radio Fyah 105 FM
Jamaica Observer
ePaper
The Edge 105 FM Radio Fyah 105 FM
    • Home
    • News
      • Latest News
      • Cartoon
      • International News
      • Central
      • North & East
      • Western
      • Environment
      • Health
      • #
    • Business
      • Business Bites
      • Social Love
    • Sports
      • Football
      • Basketball
      • Cricket
      • Horse Racing
      • World Champs
      • Commonwealth Games
      • FIFA World Cup
      • Olympics
      • #
    • Videos
    • Entertainment
      • Music
      • Movies
      • Art & Culture
      • Bookends
      • #
    • Lifestyle
      • Page2
      • Food
      • Tuesday Style
      • Food Awards
      • JOL Takes Style Out
      • Design Week JA
      • Black Friday
      • #
    • All Woman
      • Home
      • Relationships
      • Features
      • Fashion
      • Fitness
      • Rights
      • Parenting
      • Advice
      • #
    • Obits
    • Classifieds
      • Employment
      • Property
      • Motor Vehicles
      • Place an Ad
      • Obituaries
    • More
      • Games
      • Elections
      • Jobs & Careers
      • Study Centre
      • Jnr Study Centre
      • Letters
      • Columns
      • Advertorial
      • Editorial
      • Supplements
      • Webinars
    • Home
    • News
      • Latest News
      • Cartoon
      • International News
      • Central
      • North & East
      • Western
      • Environment
      • Health
      • #
    • Business
      • Business Bites
      • Social Love
    • Sports
      • Football
      • Basketball
      • Cricket
      • Horse Racing
      • World Champs
      • Commonwealth Games
      • FIFA World Cup
      • Olympics
      • #
    • Videos
    • Entertainment
      • Music
      • Movies
      • Art & Culture
      • Bookends
      • #
    • Lifestyle
      • Page2
      • Food
      • Tuesday Style
      • Food Awards
      • JOL Takes Style Out
      • Design Week JA
      • Black Friday
      • #
    • All Woman
      • Home
      • Relationships
      • Features
      • Fashion
      • Fitness
      • Rights
      • Parenting
      • Advice
      • #
    • Obits
    • Classifieds
      • Employment
      • Property
      • Motor Vehicles
      • Place an Ad
      • Obituaries
    • More
      • Games
      • Elections
      • Jobs & Careers
      • Study Centre
      • Jnr Study Centre
      • Letters
      • Columns
      • Advertorial
      • Editorial
      • Supplements
      • Webinars
  • Home
  • News
    • International News
  • Latest
  • Business
    • Business Bites
  • Cartoon
  • Games
  • Food Awards
  • Health
  • Entertainment
    • Bookends
  • Regional
  • Sports
    • Sports
    • World Cup
    • World Champs
    • Olympics
  • Videos
  • Career & Education
  • Classifieds
  • All Woman
  • Environment
  • Webinars
  • More
    • Football
    • Elections
    • Letters
    • Advertorial
    • Columns
    • Editorial
    • Supplements
  • Epaper
  • Design Week
Ready for take-off
Business
BY DAVID ROSE Observer business writer davidr@jamaicaobserver.com  
February 8, 2022

Ready for take-off

Wisynco outlines plans to resume billion-dollar investments halted by COVID

THE Wisynco Group has indicated that it’s starting to see a return to normalcy as it gears up to catapult its growth through several multi-billion-dollar deals planned for 2022.

This comes as the company’s revenue climbed by 19 per cent to a historic $9.49 billion for its second quarter ending December 31, 2021.

The manufacturing and distribution giant explained that its business activity has picked up quite considerably since the company’s 2022 financial year (FY) started on July 1. These include the hotels returning to pre-COVID levels and food service (restaurants) businesses seeing a steady increase in commercial activity. This is in spite of the lockdowns which were implemented in the company’s first quarter.

“I think Wisynco saw in the fourth quarter of 2021 normalcy resuming. We see a huge runway ahead of us for different projects that we have planned. We have healthy cash reserves for strategic investments and for dividends to provide greater returns to our shareholders,” stated Chief Executive Officer Andrew Mahfood at the company’s virtual annual general meeting held on Tuesday.

This increased demand has also been translated to the international markets where the company saw exports grow by 103 per cent during its second quarter. Although 74 per cent of the company’s revenue is derived from products it manufactures and distributes through strategic partnerships, it is aiming to grow that share to 85 per cent in the future. Wisynco recorded $31.82 billion in revenue for its 2021 FY and saw its six months revenue increase by 16 per cent to $18.70 billion.

“What we’re seeing in six months without those other areas, we believe that we have great things to come. We do have one or two more good things to announce coming up with import relationships which will probably come within another couple weeks,” Andrew commented on the company’s expectations for the remainder of the year without the significant contribution from entertainment and schools.

With a cash balance of $8.91 billion and bank’s coming directly to Wisynco, Andrew explained that the company will be looking to execute one project which is expected to cost between US$20 – $30 million ($3.15 – $4.73 billion) in beverage machinery plans. The company paused a number of investments when COVID-19 occurred in March 2020.

“We have a mass of capital expansion and projects that are under review right now. Some will get triggered within the next three months, some might be slightly longer term, but we have identified some excellent projects that will bring additional revenue growth down the road as well as cost efficiencies,” Andrew added.

One of these projects being executed is the leasing of a 26,000 square feet warehouse facility from the Factories Corporation of Jamaica in Hague, Trelawny. It expects to open the facility by March or April, which will expand the reach of the company on the western end of the island and further build on improved customer relationships. It will also cut down the six-hour driving that its drivers need to execute to deliver goods.

“This warehouse is going to be focused on giving us increased availability and execution at service levels for our customers. There won’t be any significant savings, but the increased volumes or revenue from that location will hopefully drive reductions in our overall costs,” said Chairman William Mahfood.

While Wisynco’s cash reserves give it leverage to execute on a variety of projects, many people have questioned the company’s decision to keep such a large holding of cash. Cash and short-term deposits made up 37 per cent of Wisynco’s $23.95 billion asset base as of December. The company had a two per cent dividend yield in FY 2021.

“We went through a number of concerning quarters with uncertainty around the pandemic. Your board felt that it would be prudent to ensure that we were prepared for any outcome. I think we’ve seen the worst and will pay $751 million in March to shareholders as dividends. We’ll continue to look at opportunities to deploy this cash in terms of inorganic growth through some acquisitions and we have a number of opportunities which we hope to come to fruition,” William explained in response to a shareholder.

While William couldn’t give an update on the paused Anheuser-Busch distribution plans, he did explain that Wisynco wants to improve its presence in the beer industry. He explained that local brewery Royal Jamaica has selected the company to distribute their beer and that a sorrel flavour will be added shortly.

The CEO also outlined that its clients such as TruMilk, St Mary’s, WP Select and Worthy Park will be launching additional flavours and products to the market in short order. He explained that this would be coupled with the company’s own innovation under its ‘Wata’ brand and investments for digital transformation would be on the agenda for 2022.

Though William noted that the ‘Sweet’ brand is still in use through its co-packed products in the Dominican Republic, he lamented the fact that the company’s Styrofoam plant closure and increased importation of alternatives under the Government’s measures hurt 120 employees who lost their jobs and is costing the country in additional foreign exchange.

Wisynco’s net profit for the second quarter grew by 74 per cent to $1.16 billion with the six months figure at a record $2.13 billion. Shareholders equity is 18 per cent higher at $17.20 billion with $2.57 billion generating in operating cashflow for the six month period. Wisynco’s stock price closed 12 per cent higher at $19.83 after the publication of its earnings.

“I want to thank all of our shareholders because it is the confidence that you have in myself, the board, CEO and management team to continue to support your business. We have had a difficult time through the pandemic in 2020. As we came into 2021, we’ve seen a tremendous rebound in the economy and we really have to give thanks for tourism. All of the persons who were directly supplemental to the tourism industry are all consuming more of our products and we give thanks for that fact,” William closed.

Andrew Mahfood
ANDREW MAHFOOD…we see a huge runway ahead of us fordifferent projects that we have planned
WILLIAM MAHFOOD…I think we’ve seen the worst and will pay $751 million in March to shareholders as dividends
A list of the various brands produced or distributed by Wisynco
Some of the products distributed by Wisynco

{"website":"website"}{"jamaica-observer":"Jamaica Observer"}
img img
0 Comments · Make a comment

ALSO ON JAMAICA OBSERVER

Bellingham powers 10-man England past Mexico, into World Cup quarters
Latest News, Sports, World Cup
Bellingham powers 10-man England past Mexico, into World Cup quarters
July 5, 2026
MEXICO CITY, Mexico (AFP) -- Jude Bellingham's double inflicted a rare defeat on Mexico at the Estadio Azteca as 10-man England won a nerve-racking Wo...
{"jamaica-observer":"Jamaica Observer"}
Neymar calls time on Brazil career after World Cup elimination
Latest News, Sports, World Cup
Neymar calls time on Brazil career after World Cup elimination
July 5, 2026
EAST RUTHERFORD, United States (AFP) -- Brazil superstar Neymar indicated Sunday that his international career was over after the five-time World Cup ...
{"jamaica-observer":"Jamaica Observer"}
West Indies trail Sri Lanka by 231 runs
International News, Latest News, Sports
West Indies trail Sri Lanka by 231 runs
July 5, 2026
ANTIGUA AND BARBUDA (AFP) — Shai Hope and Justin Greaves steadied the West Indies first innings reply with an unbroken fifth-wicket partnership of 174...
{"jamaica-observer":"Jamaica Observer"}
Hotelier encourages Hanover student entrepreneurs to rise above ‘trying a thing’ mentality
Latest News, News
Hotelier encourages Hanover student entrepreneurs to rise above ‘trying a thing’ mentality
July 5, 2026
ST JAMES, Jamaica — Networking, starting small, managing risk, embracing a growth mindset, and relentlessly pursuing excellence were among the core pi...
{"jamaica-observer":"Jamaica Observer"}
New Jersey reports 19 heat-wave-related deaths
International News, Latest News
New Jersey reports 19 heat-wave-related deaths
July 5, 2026
WASHINGTON, United States (AFP) — A brutal heat wave over the United States (US) Midwest and Atlantic coast has been linked to at least 19 deaths in t...
{"jamaica-observer":"Jamaica Observer"}
Haaland knocks Brazil out of World Cup as Norway reach quarters
International News, Latest News, Sports
Haaland knocks Brazil out of World Cup as Norway reach quarters
July 5, 2026
EAST RUTHERFORD, United States (AFP) — Erling Haaland scored two late goals to send Norway through to a first World Cup quarter-final with a stunning ...
{"jamaica-observer":"Jamaica Observer"}
Thompson-Herah, Fraser-Pryce lead tributes to coach ‘Franno’
Latest News, Sports
Thompson-Herah, Fraser-Pryce lead tributes to coach ‘Franno’
July 5, 2026
KINGSTON, Jamaica — Tributes poured in from across the athletics community on Sunday following the death of legendary Jamaican track coach Stephen Fra...
{"jamaica-observer":"Jamaica Observer"}
Venezuela quake death toll rises to 3,342
International News, Latest News
Venezuela quake death toll rises to 3,342
July 5, 2026
CARACAS, Venezuela (AFP)—The death toll from Venezuela's twin earthquakes has risen to 3,342 with more than 16,700 injured in the disaster, according ...
{"jamaica-observer":"Jamaica Observer"}
❮ ❯

Polls

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

Recent Posts

Archives

Facebook
Twitter
Instagram
Tweets

Polls

Recent Posts

Archives

Logo Jamaica Observer
Breaking news from the premier Jamaican newspaper, the Jamaica Observer. Follow Jamaican news online for free and stay informed on what's happening in the Caribbean
Featured Tags
  • Editorial
  • Columns
  • Health
  • Auto
  • Business
  • Letters
  • Page2
  • Football
Categories
  • Business
  • Politics
  • Entertainment
  • Page2
  • Business
  • Politics
  • Entertainment
  • Page2
Ads
img
Jamaica Observer, © All Rights Reserved
  • Home
  • Contact Us
  • RSS Feeds
  • Feedback
  • Privacy Policy
  • Editorial Code of Conduct