PROVEN returns to profitability on US$9.4-million gain from Roberts Manufacturing partial sale

PROVEN Group Ltd swung to a net profit of US$8.2 million for the first quarter of fiscal year 2027, reversing a loss of US$2.6 million in the corresponding period a year earlier. The turnaround rested largely on a one-off gain of US$9.4 million from the partial disposal of the group’s stake in Roberts Manufacturing Company Limited.

The transaction reduced PROVEN’s ownership in the Barbados-registered manufacturer from 50.5 per cent to approximately 38 per cent, triggering deconsolidation from the group’s financial statements, effective May 2026. It means Roberts revenues, costs, and assets won’t flow through PROVEN financials, only its share of profit or loss.

Chief Executive Officer Johann Heaven said the results reflect “both the continued strengthening of our core operating businesses and the strategic value we unlocked through the partial disposal of Roberts Manufacturing”.

Roberts Manufacturing’s initial public offering came amid what market participants described as a prolonged drought on the Barbados Stock Exchange, with few major listings in a decade.

Stripping out the Roberts gain, the quarter still showed improvement in core operations. Net operating revenue edged up to US$16.8 million from US$16.4 million a year earlier. Net interest income rose 12.7 per cent to US$8.1 million from US$7.2 million, supported by easing funding costs as the group’s cost of debt, which peaked during 2025, began to decline. The share of results from associates swung to a gain of US$2.6 million from a loss of US$0.8 million, reflecting stronger contributions from JMMB Group Limited and Access Financial Services Limited.

For the 12 months ended March 2026, PROVEN posted loss of US$4.8 million, from a profit of US$2.5 million in 2025. Revenue for the full year rose 6.2 per cent to US$74.3 million, but elevated costs weighed on the bottom line.

Total assets stood at US$1.13 billion as at June 2026, down from US$1.16 billion a year earlier. Total shareholders’ equity rose 13.9 per cent year-over-year to US$121.9 million.

Management said it expects funding costs to continue easing, while the property portfolio — including the Sol Harbour development in Ocho Rios, Kingston Gateway and Bahari in Runaway Bay — should contribute more meaningfully as sales activity progresses.

PROVEN Group is a diversified financial services and investment holding company incorporated in Saint Lucia, with operations spanning banking, wealth management, real estate, manufacturing and private capital investment across the Caribbean. It is listed on the Jamaica Stock Exchange.

business@gleanerjm.com