Success of 11 multinational and domestic corporate companies

Desk Report: The whole world has been plagued by coronavirus infections for more than a year. Many countries have resorted to lockdowns or strict restrictions on movement to prevent infection. Strict restrictions have been imposed in Bangladesh for the second time after last year.

Corona is affecting the health sector as well as the economy and trade. However, some of the companies in the country have not lost business confidence. Companies have been able to achieve enviable growth in business by tackling the Corona challenge.

Many of the country’s listed manufacturing companies have already released unaudited financial statements for the first three quarters of the current fiscal year 2020-21 (July-March). Some of the listed multinational companies have released unaudited financial statements for the first quarter of the current fiscal year 2021 (January-March).

Analysis of these reports shows that 11 local large corporates and six multinationals have achieved significant growth during the published period. Some of them lagged behind in the previous quarters but turned around in the third quarter.

Heidelberg Cement Bangladesh Limited and Lafarge Holcim Bangladesh Limited, two multinationals listed in the cement sector, did well in the first quarter of this year. Of this, Heidelberg’s income has increased by about 44 percent compared to the same period last year and stood at Tk 550.59 crore.

At this time, the company’s net profit after tax has increased more than 10 times. On the other hand, Lafarge Holcim’s revenue in the first quarter of the year increased by 2 percent compared to the same period last year. In January-March 2021, the company’s revenue was 631 crore 8 lakh. Net profit has increased by 98 percent.

Meghna Cement The revenue of the local company in the cement sector has increased by 28 percent in the first three quarters of the current financial year as compared to the same period last year. In these nine months, the company has earned 839 crore 8 lakh rupees. Net profit increased by 25 percent.

Runner Automobiles In the first three quarters of the current financial year, the revenue has declined by about 6 per cent to Tk 602 crore as compared to the same period of the previous year. However, the company’s revenue rose about 13 percent in the third quarter. Besides, the company’s net profit has increased by 52 percent during this period.

Singer is from Bangladesh In January-March, the revenue of multinational electronics and home appliances rose by about 24 per cent to Rs 365 crore over the same period last year. The company’s net profit rose 51 percent during the period.

Olympic Industries At the end of the first three quarters of the current financial year, the income stood at Tk 1,383 crore. At the same time last year, the company’s revenue was 1,196 crore. As a result, the company’s revenue has increased by about 15 percent over the same period last year. At this time, the company’s net profit has increased by about 3 percent.

Owned by SetFirst Limited in the UK in March last year GlaxoSmithKline (GSK) Unilever Overseas Holdings BV, a subsidiary of Unilever, bought all the shares in Bangladesh. The name of the company was changed to Unilever Consumer Care Limited. GSK Bangladesh’s consumer health drinks business also went to Unilever.

In the first three months of this year, Unilever Consumer Care’s revenue grew by about 14 percent compared to the same period last year. At that time the company’s income was 114 crore 44 lakh rupees. However, the company’s after-tax net profit fell by about 32 percent.

If you want to know the reason for the decrease in profit even if the income increases Unilever Bangladesh Shamima Akhter, Head of Corporate Affairs, Partnership and Communications, said the rise in prices of key raw materials like dry mix ingredients (DMI), skimmed milk powder and dextrose has pushed up the company’s production costs in the first quarter of the current financial year. With this, the duty imposed on DMI has been increased from 15 percent to 25 percent. However, it has been possible to reduce the additional cost through various initiatives.

Beximco Limited, Beximco Pharmaceuticals and Shinepukur Ceramics Limited, three companies of Beximco Group, have done good business during the Coronation. In the first three quarters of the year, the income of Beximco Limited has increased by 82.50 percent as compared to the same period of the previous year. At that time, the total income of the company was 2,636 crore 42 lakh. In these nine months, the company’s net profit has increased more than six times.

In three quarters Beximco Pharmaceuticals Income has been 2 thousand 17 crore. The company’s revenue has increased by about 14 percent compared to the same period of the previous fiscal year. Net profit has increased by about 41 percent. Beximco Pharmaceuticals is responsible for importing, stocking and distributing the Oxford-AstraZeneca Kavid-19 vaccine in the country under a government agreement with the Serum Institute of India. The company is getting commission fee for this. In the third quarter of the financial year (January-March), the company earned Rs 373.70 crore from 50 lakh vaccines.

Although the income was declining in the previous quarters, it turned around in the last quarter Shinepukur Ceramics. During this time, the company’s revenue increased by about 5 percent compared to the same period of the previous fiscal year.

Asked about this, Beximco Group Executive Director and Company Secretary Mohammad Asad Ullah said, “We are producing a number of drugs used in the treatment of corona.” There is a good demand for these drugs in the country as well as abroad. In addition, Beximco Pharmaceuticals has received some commission from the Oxford-AstraZeneca coronary vaccine. Beximco Ltd’s revenue has also increased due to increased global demand for PPE and garments products.

Two companies of Pran Group listed in the capital market Rangpur Foundry And the income of Agriculture Marketing Company Limited (AMCL) has also increased during the Corona period. In the first three quarters of the current financial year, the income of Rangpur Foundry has increased by 5 percent as compared to the same period of the previous year and stood at Tk 106 crore.

Net profit has increased by about 9 percent. On the other hand, AMCL-Pran’s income has increased by 7.54 percent to Tk 220 crore in the same period. During this time, the company’s net profit after tax increased by about 2 percent.

If you want to know the managing director of AMCL-Pran. Elias Mridha said there are multiple factors behind the success of the business in Kavid, there is no single reason. First of all, business has been disrupted for several months due to Kavid last year. At this time many small businesses have closed. Those who survived, they focused on spending control. The overall efficiency has increased a lot. We have also had some advantage in export growth as many export-oriented producers have become inactive.

Again, those who have the facility of automatic production, have been able to keep the price of the product right in the competitive market. The Kavid situation was good in the last three months of last year. At this time all activities except school-college were almost normal. In this context, the sales growth of large professional organizations has been good, which has also had a positive impact on the business. All in all, the institutions that have more capacity; Larger companies, in particular, find it easier to deal with challenges.

Although it decreased in the previous quarters, the current account is in the third quarter of the year Bashundhara Paper Mills Income has increased by 7 percent. At this time, the company’s net profit has more than tripled.

Listed companies in the pharmaceutical sector Of Acme Laboratories In the first three quarters of the current financial year, the revenue has increased by about 10 percent compared to the same period of the previous year and stood at Tk 1,523 crore. At this time, the company’s net profit has increased by about 5 percent.

Multinational companies Reckitt Benckiser In the first three months of this year, Bangladesh’s income has increased by 7.41 percent and stood at Tk 127.06 crore. During this time, the company’s net profit has increased by 22 percent. The company’s business has grown due to increased demand for disinfectants during the Coronation period. In particular, there is a great demand for Dettol and Liesel produced by the company.

Pharmaceutical companies Renata Limited In the first three quarters of the current financial year, the revenue has increased by 10 percent over the same period of the previous year and stood at Tk 2,104 crore. The company’s net profit rose 19 percent during the period. Renata recently applied to the government to import the Modern and Johnson & Johnson’s Cavid-19 vaccines into the country. The company has written to the health department to import 5 lakh modern vaccines. Market insiders say that if the company can bring the vaccine, it will affect the company’s income in the future.

RAK Ceramics Revenue rose 18 percent in the first three months of this year compared to the same period last year. At that time the company’s income was 163 crore. Net profit has increased by about 42 percent.

Riyad Mahmud, vice-president of the Bangladesh Association of Publicly Listed Companies (BAPLC), an association of listed companies, and managing director of National Polymer Industries, said:

Although there have been discussions and criticisms about various decisions of the government, considering the reality, in the end it has been helpful for everyone. Reviewing the business trends of the companies till the third quarter, it can be seen that we could have done better in the future. Although the second wave of Kavid has pushed us back a bit. But if we can get the situation under control quickly, I don’t think business will be bad in the last quarter either.


Source: Daily StockBangladesh by www.dailystockbangladesh.com.

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