Singer Bangladesh’s profit soared 615 per cent to Tk 522 million last year, compared to the previous year, as it increased product prices to offset rising cost.
The earnings per share (EPS) went up to Tk 5.24 for the year from a mere Tk 0.73 for 2022.
The electronic and home appliance manufacturer’s revenue, however, remained almost static in 2023, compared to the year before.
It maintained its business performance, while navigating macroeconomic challenges and an overall de-growth of the industry, by adjusting sales prices for all products.
“Singer strategically took strong pricing policy, optimized the expenses, and shifted from trading goods to manufactured products in order to secure the profit margin,” said the company in its earnings note published on Monday.
Encouraged by the profit growth, the board of directors of the company declared a 35 per cent cash dividend for 2023, increased from 10 per cent for the year before.
The company’s gross profit margin increased to 28.8 per cent in 2023 from 23 per cent in the previous year.
The earnings data is a manifestation of Singer successfully overcoming challenges posed by the devaluation of the taka against the dollar, restrictions on opening letters of credit, rising finance costs, ongoing supply-side crises caused by the Ukraine war, and undue turbulence during the national election.
The financial cost was higher in 2023 than the previous year.
Due to a 2 per cent increase in the average interest rate in 2023, finance expenses shot up by 10 per cent from 2022, said the company.
Singer is strongly present in the appliances market and looks to expand its operation in the medium to long term. By leveraging its global expertise, scale, knowledge, and brand image, Singer said, it hopes to further strengthen its market position.
The net operating cash flow per share stood at Tk 22.76 in 2023, up from Tk 18.19, reflecting a considerable improvement.
Singer recently acquired a 35-acre land at the Bangladesh Special Economic Zone, popularly known as the Japanese Economic Zone at Araihazar, Narayangonj, to establish a state-of-the-art manufacturing facility that would help manufacture a range of electronic products complying with international standards.
Meanwhile, the stock went up 0.46 per cent to close at Tk 153.30 per share on Monday on the Dhaka Stock Exchange.
singer price hike products