Rubis has reported strong growth in the Caribbean for the first half of 2024, driven by positive developments in Jamaica and Guyana, where the company achieved a 14 percent increase in gross margin. The growth contrasts with a decline in performance in Haiti, where economic and political instability has resulted in a significant downturn. Overall, while the EBIT rose by 22 percent, the firm’s total core earnings EBITDA faced a 12 percent decrease compared to the prior year.
Rubis, the international energy firm, has reported a significant increase in growth during the first half of 2024, primarily fueled by operations in Jamaica and Guyana. The Caribbean region, particularly Jamaica, has demonstrated strong performance across its Retail, Commercial & Industrial (C&I), and Aviation sectors. The firm noted, “Continued strong performance of Retail, C&I and Aviation businesses in the Caribbean was driven by the booming development of Guyana, the increase in airlines frequencies in Barbados and the dynamism of Jamaica.” Overall, Rubis earned a gross margin of €167 million (approximately US$185 million) within the Caribbean, marking a 14 percent rise from the previous year, facilitated by a five percent increase in sales volume to 1.15 million litres of gas. In stark contrast, the situation in Haiti has adversely affected Rubis’s overall results, where economic and political instability has led to a 24 percent decline in volumes due to ongoing social unrest. The company’s Earnings Before Interest and Taxes (EBIT) saw a 22 percent boost, largely credited to the contributions from Jamaica and Guyana, despite the region’s overall core earnings EBITDA suffering a 12 percent decrease year-on-year, landing at €358 million.
The report highlights the divergent economic conditions in the Anglophone Caribbean, where states like Jamaica and Guyana are experiencing substantial growth, contrasted by the instability in Haiti, which has hindered Rubis’s performance in that market. The report signifies the importance of regional development in driving profitability within the energy sector, as increased airline operations and economic expansion contribute positively to Rubis’s financial health in more stable territories. This regional disparity illustrates the complexities faced by companies operating across multiple markets, especially where socio-political factors are concerned.
In conclusion, Rubis has demonstrated resilience and growth in the Caribbean markets of Jamaica and Guyana during the first half of 2024, despite challenges posed by the unrest in Haiti. The significant gross margin increase and rise in sales volume underscore the potential for robust performance in stable economic environments, setting a stark juxtaposition against the downturn experienced in areas of instability. The outlook remains cautiously optimistic as the company navigates these complexities in various regional markets.
Original Source: caribbean.loopnews.com
