Spur Tree Spices Up Earnings While SALF Brews Up Stronger Profits

Spur Tree Spices Jamaica Limited (SPURTREE) and Salada Foods Jamaica Limited (SALF) both served up stronger quarterly earnings for the periods ended June 30, 2026. SPURTREE’s Q2 2026 net profit increased 38.6% year-over-year to $21.476Mn, while SALF’s Q3 2026 net profit rose 120.2% to $68.27Mn. While both companies' earnings were driven primarily by revenue growth, lower operating expenses provided an additional boost to SALF’s bottom line.
SPURTREE’s revenue increased by 22.6% to $425.20Mn, driven primarily by higher production and sales volumes across several key product categories. Cost of sales increased at a slower pace of 19.3%, allowing gross margin to increase from 31.4% to 33.3%. Administrative and other expenses increased by a modest 2.6% to $95.18Mn, as management maintained a disciplined approach to expenditure despite inflationary pressures.
Meanwhile, SALF’s Q3 revenue increased 16.1% to $443.44Mn, reflecting continued healthy demand for its products across domestic and export markets. In line with topline growth, cost of sales also increased, albeit at a slower pace (4%). As a result, gross profit margin expanded from 29.5% to 33.0%.
SALF also benefited from a 1% decline in operating expenses to $58.80Mn. Contributing to this was a 29.1% decline in administrative expenses to $41.74Mn, reflecting the absence of the one-off redundancy costs incurred in the corresponding quarter last year. Selling and promotional expenses were also down by 8.6% to $17.53Mn, reflecting broader efficiency gains across overheads.
The strong quarterly performance boosted their year-to-date (YTD) results. SPURTREE’s YTD net profit is now up 6.2% year-over-year to $35.81Mn. However, the increase was more modest than the Q2 outturn as weaker Q1 performance tempered the overall performance. In Q1, profit attributable to owners fell 21.3% to $14.33Mn even as revenue rose 10.6% to $371.89Mn. A 35.9% increase in administrative and other expenses to $78.59Mn and a swing to a $1.70Mn other operating loss also weighed on earnings. That shortfall absorbed much of the Q2 gain.
SALF, also saw its most recent quarter boost its YTD (9M) results, with net profit up 40.6% year-over-year to $168.51Mn. The gain came despite a weak opening to the financial year due to Hurricane Melissa, which disrupted manufacturing and domestic distribution, depressing operating performance. Performance recovered thereafter, with net profit rising 77.2% to $68.08Mn in the March quarter, complementing the 120.2% in the June quarter.
Looking ahead, SPURTREE’s strategy remains focused on expanding market opportunities, pursuing new avenues for growth, and enhancing overall business efficiency. Meanwhile, SALF aims to continue building on this operational momentum to deliver long-term value for shareholders, customers and community partners. However, while growth opportunities remain for both companies, unfavourable weather conditions could disrupt agricultural production and the availability of key raw materials, potentially increasing input costs and placing pressure on margins.
SPURTREE’s share price has traded between $0.91 and $1.14 since the start of the calendar year and closed at $1.13 on August 10, 2026, unchanged from its December 31, 2025, closing price. At this price, the stock trades at a P/E of 18.2x, which is above the Junior Market Manufacturing sector average of 17.2x. Meanwhile, SALF declined by 17.6% to $2.63. At this price, the stock trades at a P/E of 12.5x, which is below the Main Market Distribution & Manufacturing sector average of 15.6x.

(Sources: JSE & NCBCM Research)