Page 21 - Neal and Massy Holdings Annual Report 2012
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forward focused
IAL OFFICE
charges including investment property write downs in Barbados,
and consulting costs for the strategy engagement exercise. None
of these expenses were repeated in 2012 and this assisted in the
overall profitability improvement from Continuing Operations.
Particularly pleasing was the continuing excellent performance
in our operating companies in Guyana and in the Automotive &
Industrial Equipment Business Unit in Trinidad. The turnaround
of United Insurance has also contributed to the significant
growth. The Insurance operations struggled with soft market
conditions, changing regulations and closure of the International
business. However, there was an improvement in the underwriting
performance for the Caribbean operations, while the closure of
the international business impacted the results with losses of $61.2
million in 2012 versus $25 million in losses in 2011.
The Integrated Retail Business Unit closed the year with solid
trading results throughout the region, recording operating profits
of $271 million (exclusive of Guyana companies), compared to
$266 million in the previous year. The Information Technology and
Communications Business Unit also performed commendably, with
a 4 percent growth (excluding Guyana companies), in Operating
Profits in 2012.
The Other Investments Portfolio, with Operating Assets of
$1.5 billion, includes our investment properties in Trinidad and
Barbados and the Robert’s Manufacturing plant. The improvement
in the results in this portfolio, was mainly attributable to a good
performance by Roberts Manufacturing, as well as the non-
recurrence of one-off investment properties write-offs made in 2011.
Head office and other expenses decreased by $17 million, from
$165 million to $148 million in 2012.
The Chart below shows a comparison of the 2011 versus 2012
results and the Business Units’ impact on those results.
271
176
103
802
145
950
54
26
102
73
(148)
(165)
in 2011
Integrated Automotive Insurance Energy & ITC
Guyana
Other
Associates Sub-total Head Office
2012
Retail
& Industrial
Industrial
Group Investments
Costs &
PBT
Equipment
Gases
Adjustments
2%
18%
0.2%
4%
12%
52%
34% 18% 10%
25%
212%
Increase2011-2012BY%
Expressed in Millions of Trinidad and Tobago dollars
