Home ›› 26 Oct 2022 ›› Stock
Quasem Industries Limited, a company listed in the engineering sector, has announced its first entry into the hospital business.
However, the company is yet to finalise how much money will be invested and where the hospital will be established.
Despite the announcement of new business addition, the Sunlite-branded batteries manufacturer’s earnings per share (EPS) and net profit both declined in FY22 compared to the previous year.
In this regard, Company Secretary Darul Awam Tuhin told Business Post, “The main reason for our decrease in income during this period is the increase in the cost of production compared to the previous year.”
In recent times, the large appreciation of the dollar against Taka has had a major impact on the import costs of raw materials, he added.
Regarding investment in hospital business, the company secretary said, “The matter was being discussed on the board for a long time. It has been announced this year. How much money will be invested or where the hospital will be is yet to be determined.”
The company’s board of directors has recommended a 1.50 per cent cash dividend for FY2021-22, the lowest since 1997.
The company paid a 10 per cent bonus dividend in the previous year. In FY20, it paid a 5 per cent cash and a 5 per cent bonus dividend.
The dividend decreased as the company’s net profit fell by 61 per cent in FY22 compared to the previous year. During this period, the net profit of the company was Tk 3.56 crore which was Tk 9.16 crore in FY21.
The company reported earnings per share (EPS) of Tk 0.49 in 2021-22, compared to Tk 1.26 in 2020-21.
The net asset value per share remained nearly unchanged at Tk 27.64 compared to Tk 27.68 in 2020-21.
In the recent fiscal year, net operating cash flow per share fell to Tk 0.47 from Tk 1.52 the previous year.
According to a filing on the Dhaka Stock Exchange on Tuesday, the company has also decided to establish a new head office and distribution hub in its own commercial tower.
As on June 30, 2021, the company’s short-term loan stood at Tk 53 crore.
Earlier, in June 2022, it decided to start the commercial operation of its Artificial Quartz Product Manufacturing Unit (AQPMU). All the products of this unit are exported to the USA.
Its share price remained unchanged on Tuesday at Tk 58.40 compared to the previous day. Quasem Dry Cell Company, which obtained its International Standards Organisation (ISO) certification in 1980, got listed on the stock market in 1988 as a blue chip company.
After conducting business for over two decades, Quasem Dry Cell changed its name to Quasem Industries Limited in 2017 to bring diversification to its products.
As of Sep 30, 2022, sponsors/directors hold 30 per cent shares of the company, institutes 14.13 per cent, and the general public 55.87 per cent.
