JMMB opens first digital branch as annual profit halves
Core operating result nearly triples, but lower Sagicor earnings and loss of prior-year tax credit weigh on bottom line
JMMB Group has opened its first digital smart branch at 102 Hope Road in Liguanea, St Andrew, as the regional financial services company expands its online and self-service operations.
The branch opened following a financial year in which JMMB recorded stronger revenue and a sharp improvement in its core operating result, although net profit fell by 50 per cent to $1.87 billion.
The decline reflected a lower contribution from Sagicor Financial Company Limited, the absence of gains recorded in the previous year and the loss of a $1.95-billion tax credit that had boosted the prior-year result.
The Hope Road branch combines self-service technology with access to employees who can assist clients with banking and investment products, JMMB said in a release on Tuesday.
Its automated services include 24-hour cash withdrawals and deposits in Jamaican and United States dollars, along with cash and cheque deposit facilities and drop-box services for deposits in British pounds and Canadian dollars.
Clients can also open accounts, apply for loans, access JMMB Moneyline to manage accounts, transfer funds and trade stocks, hold financial-planning sessions by video conference, and obtain or replace debit cards.
JMMB did not disclose the cost of the branch, the number of employees assigned to the location or whether it offers conventional teller services.
The facility forms part of JMMB’s effort to shift more transactions to digital channels while reducing waiting times at conventional branches.
Digital-only clients accounted for 49 per cent of JMMB’s customer base at the end of March 2026, according to the group. JMMB has also identified shorter branch waiting times, more consistent service and wider digital access among its customer-service priorities.
For the financial year ended March 31, 2026, JMMB Group Limited’s consolidated net operating revenue increased 15 per cent to $29.07 billion, supported by higher net interest income, foreign-exchange margins and fees from managing clients’ funds.
Those gains were partly offset by lower securities-trading income, while operating expenses rose five per cent.
Despite the higher costs, the group’s operating result before impairment charges, earnings from associated companies and finance costs nearly tripled to $4.11 billion from $1.40 billion.
Consolidated net profit, however, fell by half to $1.87 billion from $3.74 billion.
The group attributed much of the decline to a lower contribution from Sagicor Financial Company Limited, in which it held a 24.59 per cent stake at the end of March.
JMMB’s share of Sagicor’s profit fell to $1.01 billion from $2.84 billion.
The valuation of JMMB’s investment in Sagicor was identified as a key audit matter by external auditor KPMG.
KPMG said the quoted market value of the shareholding was below the value at which it was carried in JMMB’s accounts. The investment was recorded at $47.31 billion at the end of March.
The difference was treated as an indicator of possible impairment, requiring management to estimate the investment’s recoverable value.
Management concluded that the recoverable value remained above the carrying amount and recorded no impairment charge.
KPMG identified the assessment as a key audit matter because of the judgement involved but issued an unmodified opinion on the financial statements.
A change in the group’s tax position also weighed on the bottom line.
Profit before tax increased nine per cent to $1.95 billion, but JMMB recorded a tax expense of $73.8 million after receiving a tax credit of $1.95 billion in the previous financial year.
The tax swing more than offset the increase in pre-tax profit, contributing to the decline in net earnings.
JMMB’s balance sheet continued to expand, with total assets rising eight per cent to $761.55 billion.
Customer deposits increased 18 per cent as the group expanded its use of deposits to fund its operations.
The digital smart branch forms part of a broader technology programme across JMMB’s regional operations.
The group said its plans include introducing credit cards in additional markets, allowing more loan applications to be completed digitally, expanding digital onboarding and rolling out the Moneyline mobile application in the Dominican Republic.
JMMB also plans to upgrade its banking, investment and finance systems to support real-time processing, reduce manual intervention and introduce additional products.