Electrical and electronics appliances maker Walton Hi-Tech Industries PLC reported profit in the third quarter of the current financial year though it was much lower than that in the same period last fiscal.
The electronic giant’s net profit plummeted by 37 per cent in the January-March quarter of the fiscal year 2022-23 on a year-on-year basis due mainly to high inflationary pressure that forced people to compress their expenditures.
Besides, an appalling surge in production cost due mainly to an increase in the cost of raw materials and freight charges coupled with the depreciation of the domestic currency against the US dollar also hampered the company’s profitability.
The listed company posted Tk 235 crore in net profit in Q3 of FY23.
Meanwhile, the company reported revenue of Tk 1,502 crore in January-March quarter of FY23, which was 32 per cent lower than Tk 2,208 crore in the same period last fiscal.
Its financial report was published after reviewed and approved by the company’s board of directors at a board meeting held recently, as per a filing posted on the Dhaka Stock Exchange (DSE) website on Monday.
According to its unaudited financial report, the listed company’s earnings per share (EPS) for the January-March quarter of the fiscal year 2022-23 stood at Tk 8.25.
The electrical and electronics appliances maker’s net asset value per share (NAVPS) stood at Tk 224.57 without revaluation and Tk 327.84 with revaluation till March 2023.
In the quarter, the its net operating cash flow per share (NOCFPS) stood at Tk 73.70, which was 550.49 times higher than the same period last year.
The NOCFPS for Q3 surged due mainly to better control over inventory, improvement of receivables, strong monitoring and control over the company’s all costs and proper utilisation of the assets, the company said in its financial report.
But, due to the increase in transportation costs and the depreciation of the Bangladeshi currency against the US dollar, the cost of raw materials and spare parts increased drastically, it stated.
However, Walton is overcoming all the adverse business situations by taking various timely initiatives and thus returning to profit in the third quarter, it added.
As the demand and sales of electronics products in the country increased remarkably centering the temperature rise and two Eids in the country, the authorities hope that the company’s profit will be increased more in the fourth quarter of the current financial year.
The company reported a net profit of Tk 14.36 crore in the first half of FY23 against a profit of Tk 446.14 crore in the same period last fiscal year.
Its H1 earnings per share (EPS) dropped to Tk 0.47 from Tk 14.73 for the same period last year.
Walton shares closed at Tk 1,047.7 per share on the DSE trading floor on Monday.