GRACEKENNEDY Limited says its renewable energy push is delivering stronger-than-expected savings, even after Hurricane Melissa destroyed part of its solar infrastructure and disrupted operations across the group.

The conglomerate generated more than US$700,000 in solar energy savings in 2025, surpassing its initial target of over US$600,000 as it moves towards a longer-term goal of US$1 million in annual savings by 2026.

“It would have been more except that our solar plant at [the meat factory] was destroyed by Hurricane Melissa,” Group CEO Frank James said during a recent investor briefing.

The solar initiative forms part of a broader energy transition programme launched in 2022 under the now late CEO Don Wehby, when the company invested roughly US$3 million to convert several of its operations to solar power.

GraceKennedy had previously realised about US$400,000 in savings in 2024, as the programme began to scale.

“We continue to see the savings from solar, so we’re not daunted and we’ll be rebuilding bigger and better,” James said.

The Category 5 hurricane — the strongest storm recorded in Jamaica’s history — caused significant damage to several of the group’s operations, including its Savanna-la-Mar meat processing facility, Grace Food Processors Meats.

“That is a profitable factory for us, and it had to be closed as a result of fairly extensive damage,” James said.

The facility was reopened by the end of December following repairs, restoring production of several key products.

“The good news is that your Vienna sausages are back on the shelf and your frankfurters are back in the freezers at your favourite supermarket,” he added.

Beyond operational disruption, the hurricane also weighed on the company’s financial performance, resulting in about $1.4 billion in one-off impacts on profits, largely due to business interruptions and increased insurance claims.

The shock to local operations meant that, for the first time, a greater share of GraceKennedy’s profit was generated outside Jamaica as the domestic market absorbed the effects of the storm.

The hurricane also disrupted access to one of the company’s three spring water sources. The Newcastle source in the Blue Mountains remains inaccessible due to road damage.

“We currently do not have access to the Newcastle source as the road is still impassable. We have been in contact with the relevant agencies but have not yet received a specific timeline for when that breakaway will be fixed,” James said.

He noted, however, that supply has not been affected, with the company relying on its two remaining sources to meet demand.

“Those two sources are ensuring that we can continue to meet demand and keep our spring water products available,” he said.