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The ongoing macroeconomic strains cast a shadow over ACI Limited, a publicly traded business conglomerate, as the company posted a net loss of Tk 18.6 crore in the first quarter (July-September) of the fiscal year 2022-23.
The listed giant company, however, had registered Tk 30.12 crore in net profit in July-September of the previous fiscal year.
This year-on-year shock in earnings refers to that the company faced a massive blow to its business progress in the latest quarter.
A sharp rise in import costs caused by the steep depreciation of the taka against the US dollar led to a decline in its consolidated profit in July-September this fiscal, according to a filing posted on the website of the Dhaka Stock Exchange (DSE) on Monday.
The business group, however, achieved significant revenue growth in Q1 of the current fiscal, thanks to booming sales in some corporate segments, the DSE filing stated.
Its consolidated earnings per share (EPS), however, dropped because of the fall in its consolidated profit. Incorporated in 1973, the company operates business in pharmaceuticals, consumer brands, agribusinesses, and retail chains sectors.
The conglomerate is involved in the manufacturing and marketing of drugs, consumer goods, and animal healthcare products. It also markets fertiliser, seeds, and other agro items.
ACI Logistics Limited or chain super shop brand Swapno is a subsidiary of ACI Limited which is also the largest retail chain in the country.
ACI Limited’s consolidated per share loss stood at Tk 3.94 for July-September of FY23 against the earnings per share (EPS) of Tk 3.42 for the first quarter last fiscal.
Its consolidated net operating cash flow per share (NOCFPS) stood at negative Tk 85.45 for July-September of FY23 versus negative Tk 15.81 for the same period of FY22.
The publicly traded company’s consolidated net asset value (NAV) per share was reported as Tk 137.6 as on September 2022 which was Tk 141.98 at the end of June this year.
The consolidated earnings per share of ACI Limited rose by 9 per cent in FY22 compared to that in the previous fiscal despite it having witnessed volatility in operating as well as production costs.
The company’s annual earnings per share stood at Tk 5.23 in FY22 from Tk4.78 in the previous fiscal.
The board of directors of the company recommended a 50 per cent cash and 5 per cent stock dividend for FY22 against 65 per cent cash and 15 per cent stock for the previous fiscal.
Listed on the Dhaka Stock Exchange in 1976, the pharma sector company belongs to the ‘A’ category in the DSE. It has a paid-up capital base of Tk72 crore. ACI shares were traded at Tk273.2 per share on the DSE trading floor on Monday.
According to an analysis by EBL Securities, a stockbroker, the pharma, motors, retail chain, and food segments contributed 18.7 per cent, 17.4 per cent, 13.9 per cent, and 8.6 per cent respectively to the conglomerate’s total revenue in July-September of the current fiscal.
Among the sectors, the pharma segment posted the highest positive earnings, followed by motors, and salt, while the healthcare sector displayed the most negative performance, followed by the retail chain. ACI Healthcare’s revenue fell by 6.8 per cent in Q1 of FY23 on a year-on-year basis.
The subsidiary, which was established aiming to export drugs to the US market, was now targeting the domestic market as it awaits the US FDA inspection and approval for its Sonargaon-based factory.
