ACI continues to log profits
ACI, among the country's leading organization properties, has been continuing to log income for the last three quarters since it registered growing sales of consumer goods, product packaging materials and foodstuff from its retail chain Shwapno.
ACI said it returned from losses and made Tk 22.31 crore in profit in the July-March amount of fiscal 2020-21. The business incurred Tk 100 crore in losses in the same period the prior year.
However, shares of ACI dropped 2.69 % to Tk 249 at the Dhaka STOCK MARKET (DSE) yesterday.
The company, whose functions range from a retail chain, food, pharmaceuticals, consumer goods to agricultural machinery, went in debt in fiscal 2018-19 for the very first time in seven years.
It could not recover from losses in the subsequent year.
From the primary quarter of fiscal 2020-21, it's been booking profits.
"Because of the growth in consolidated earnings along with decline using operating expenses and decrease in finance expense, consolidated revenue has demonstrated a great move when compared to same period of the prior year," ACI said in a DSE disclosure.
"Our animal, engine and consumer manufacturer business segments performed better this year," said Pradip Kar Chowdhury, chief financial officer of ACI.
Although pharmaceuticals unit was the largest contributor to profit, their expectations were also higher, he said, adding that food business segment likewise came back to the black.
"Our earnings were positively influenced by lower finance price which was due mainly to low-curiosity regime in the banking sector," Chowdhury added.
The company's operating expenses dropped 4.7 per cent to Tk 120 crore in the time. ACI's net financing costs fell 24.7 % year-on-year to Tk 265 crore in the July-March amount of the existing fiscal year.
Md Belal, a inventory investor, said many traders including him were disappointed to start to see the damage because ACI had an extended history of generating gains and paying dividends.
It provided handsome dividends this past year from money saved from its prior profits despite incurring losses, he said.
"So, we had been waiting to see the rebound of the business. It is good to find that the company is booking revenue," he said.
The ACI's earnings stood at Tk 5,696 crore in the nine-month period that was Tk 5,189 crore in the same period of the previous year.
