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Lovello profits as ice-cream demand soars

Staff Correspondent
16 Apr 2024 22:38:34 | Update: 16 Apr 2024 22:39:12
Lovello profits as ice-cream demand soars

Taufika Foods and Lovello Ice-cream PLC – a listed food and accessories sector company – posted 73 per cent higher profits in the third quarter of FY24 compared year-on-year, thanks to the rising demand for delicious ice cream in the heat of summer.

Released on the Dhaka Stock Exchange (DSE) website on Tuesday, the company’s financial report for January-March 2024 states that the company made a net profit of Tk 6.03 crore during the period, compared to Tk 3.48 crore recorded in the same period of previous year.

Responding to query, Company Secretary Mohammad Didarul Alam, FCMA, said, “The ice cream business in Bangladesh has always been seasonal. Basically, summer lasts from February to July. Our business profits are mainly made during this period.”

During the period from January 1, 2024, to March 31, 2024, their sales increased as the summer began. As a result, net profit after tax, earnings per share (EPS), and net asset value (NAV) per share have also increased in comparison to the 2nd quarter of FY24.

Taufika Foods and Lovello Ice-cream PLC posted earnings per share (EPS) of TK 0.71 in the third quarter of FY24, compared to Tk 0.41 in the same period last year.

Net operating cash flow per share (NOCFPS) was Tk 3.50 for July 2023-March 2024, against Tk 2.12 for July 2022-March 2023. Net asset value (NAV) per share was Tk 13.21 as of March 31, 2024, and Tk 12.94 as of June 30, 2023.

At the same time, the company also released its financial statement for the first nine months (July to March) of FY24. Whereas the company posted earnings per share of Tk 1.28 in the July-March quarter, compared to Tk 1.14 in the same period last year.

The company has yet to release its full financials for the third quarter of FY24. However, its sales in the first six months of FY24 were Tk 42.56 crore, of which Tk 50.55 crore came from the first six months.

The company’s sales in the second quarter [October-December of 2023] were worth Tk 20.66 crore, down 16.39 percent from the first quarter of the previous quarter.

Taufika Foods and Agro Industries Ltd have been engaged in the business of manufacturing and distribution of ice cream since 2016 under the brand name Lovello. Lovello Ice-cream is produced of imported high-quality raw materials using state-of-the-art technology.

Taufika Foods and Lovello Ice-Cream PLC got incorporated as a private limited company in 2011. Later, it was converted into a public limited company dated in 2019 and got listed with DSE and CSE in February, 2021.

The firm then raised Tk30 crore through an initial public offering (IPO).

Upon the approval of the Bangladesh Securities and Exchange Commission (BSEC), the company started its share trading on the DSE and CSE on February 10, 2021. The company paid out an 11 per cent cash dividend to its shareholders for 2021 and 12 per cent cash for 2022.

Its sponsors and directors held a 41.12 percent stake in the company, while institutions owned 19.10 per cent and the general public 39.78 per cent until March this year. The company’s shares closed at Tk 62.90 per share on the DSE trading floor on Tuesday.