Active Fine’s profit dips by 98% in Q3

Pharmaceuticals raw materials import and producer company Active Fine Chemicals saw a huge decline in profit in the third quarter of FY21.

The company gained profit only Tk 58 lakh for Q3 (January-March), which was Tk 4.54 crore for the same period of the previous year.

For the nine-month (July-March) of FY21, profit also declined around 82 per cent and stood Tk 4.17 crore. During the same period of FY20, the profit was Tk 23.05 crore.

Mahbubur Rahman, company secretary of the Active Fine Chemicals, told The Business Post that the pandemic hampered their business like import raw materials and supply of the chemical products. Most of the chemists in the company are foreigners who could not return to Bangladesh for a long time due to pandemic, which hampered their work for several times for lockdown.

He added that from next financial year, the company will show better profit for export opportunities. The company is trying to focus on export to Singapore and Malaysia.

To increase the export earnings of the company, it is making the technological update, where investment is being increased. It is also another fact for declining the profit, added the company secretary.

According to the un-audited financial statement of the company, Active Fine’s EPS was Tk 0.02 for January-March 2021 as against Tk 0.19 for the same period of the previous year while, EPS was Tk 0.17 for July 2020-March 2021 as against Tk 0.96 for July 2019-March

2020.

The company also informed in its discloser to Dhaka Stock Exchange (DSE) that EPS has been fall down due to decrease in profit from comparative quarters.

The company’s NOCFPS (net operating cash flow per share) was Tk 0.01 for July 2020-March 2021 as against Tk 2.00 for July 2019-March 2020 while NAV (net asset value) per share was Tk 22.02 as on March 31, 2021 and Tk 21.85 as on June 30, 2020.

Its NOCFPS has significantly downed in the third quarter for increase of receivable from past, the company added its disclosure on DSE website.

The company’s closing price was Tk 25.70 traded on Thursday while its latest un-audited price earning ratio is 113.38.