US stock market rebound fuels QWI third-quarter returns

Key points:

QWI’s third-quarter net profit surged 264 per cent to $143.83 million, driven largely by gains on its US holdings.

Overseas investments now account for 47 per cent of QWI’s portfolio, with Micron Technology rising 242 per cent during the quarter.

QWI’s shares closed at $0.72, approximately 46 per cent below the company’s net asset value of $1.33 per share.

QWI INVESTMENTS Limited’s net profit surged 264 per cent to $143.83 million during the third quarter ended June 30 as a rally in US technology stocks lifted its overseas portfolio, which now accounts for almost half of its investments.

Profit increased from $39.55 million a year earlier as QWI recorded $173.01 million in unrealised gains and $17.19 million in realised gains on its overseas holdings. The Jamaican portfolio contributed another $29.42 million in unrealised gains. Micron Technology, one of QWI’s US holdings, rose 242 per cent during the quarter, climbing from US$337.84 at March 31 to US$1,154.29 at June 30.

“QWI’s portfolios have participated in these trends, positioning the company to continue benefiting from market momentum,” QWI’s report stated on the outlook for the USA.

There was a rise across the US stock market during the April to June period as the S&P 500 index increased 15 per cent while the Nasdaq Composite Index grew 21 per cent as technology related stocks continued upward trends. That contrasts with the five per cent decline in the S&P 500 and seven per cent decline in the Nasdaq Composite Index during the second quarter ending March 31.

QWI’s top 10 USA holdings were valued at US$3.41 million at the end of March and represented 64 per cent of the USA portfolio which was worth US$5.3 million. The top ten USA holdings were valued at US$4.36 million at the end of June and represented 68 per cent of the USA portfolio which was worth US$6.7 million.

Although QWI’s investment portfolio is largely composed of Jamaican dollar listed stocks, its overseas portfolio of USA and Trinidadian stocks has grown at a faster pace than the domestic portfolio.

QWI’s overseas investments were worth $417.45 million or 26 per cent of the overall $1.63-billion investment portfolio in September 2020. The overseas investments grew to $889.43 million in September 2025 and was worth 42 per cent of the overall $2.10-billion investment portfolio. Trinidadian stocks represented two per cent of the overall portfolio in September 2025.

As of June 30, QWI’s overseas investments were worth $1.05 billion or 47 per cent of the overall $2.25-billion investment portfolio. Thus, whilst the Jamaican dollar portfolio remains below the $1.36 billion valuation at listing in September 2019, QWI’s overseas investments have pushed the company’s portfolio to new highs.

QWI’s Jamaican investment portfolio had $29.42 million in unrealised gains during the third quarter, but the company recognised $1.13 million in realised losses as it disposed of some equity positions. The company attributed the gains largely to two companies which had double-digit increases in share prices due to various market developments, which included the announcement by Scotia Group Jamaica Limited’s direct parent company privatisation offer.

“Despite some uncertainty in the first half of the prior year, several listed companies posted positive results. With infrastructure recovery advancing and utilities nearly restored, confidence is building. QWI’s diversified local portfolio continues to benefit from strong positions in Caribbean Cement Company, TransJamaican Highway and General Accident Insurance,” QWI’s report stated.

The investment company’s gains from its overseas investments resulted in a $52.09 million net profit for the nine-month period compared to a $98.09 million net loss in 2025. The unrealised gains of $112.29 million and $27.14 million in realised gains on the overseas portfolio was responsible for the company’s swing to a positive position.

Despite the positive gains on its investment portfolio, QWI’s dividend income dipped 26 per cent to $7.70 million in Q3 while declining 12 per cent for the nine-month period.

QWI’s asset base stood at $2.26 billion as of June 30 with investments making up 99.6 per cent of the total assets. QWI’s total liabilities were $443.11 million as it incurred increased accruals and debt. Equity closed the quarter at $1.82 billion with the net asset value at $1.33 per share.

QWI’s stock price ended Tuesday at $0.72 which leaves it unchanged in 2026 with a market capitalisation of $982.8 million. Since the start of the September 2026 financial year, Jamaican Teas Limited (JAMT) has acquired an additional 31,969,165 ordinary shares to bring its total stake to 426.03 million shares, representing 31.21 per cent of the issued shares. JAMT also controls KIW International Limited which owns 245 million ordinary shares or 17.95 per cent of QWI.

“QWI remains committed to navigating evolving conditions, guided by long-term opportunities across both domestic and international markets,” QWI closed.