Aramit Cement's revenue drops 51% in H1 FY25
Aramit Cement reported a 51% decline in revenue for the July-December period of FY25 due to the severe business disruptions.
The company approved its unaudited financial statements in a virtual board meeting on 27 March, as most shareholder directors did not attend in person, according to a company source.
Aramit Cement, a sister concern of Aramit Group, was founded by the late Awami League leader Akhtaruzzaman Chowdhury. After his death, his son, Saifuzzaman Chowdhury Javed, took over the group. Saifuzzaman previously served as land minister in the ousted Sheikh Hasina-led government.
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According to the financial statement, Aramit Cement's revenue stood at Tk4.13 crore in the first half of FY25, down significantly from Tk8.43 crore in the same period of FY24.
However, the company managed to reduce its loss by 49% to Tk13.57 crore during the period, mainly due to lower business costs. As of December 2024, its loss per share stood at Tk4.01, improving from Tk7.88 in the same period of the previous year.
Aramit Cement is currently trading on the stock exchange under Z category due to failure to pay dividend in the last couple of years. On Thursday, its share dropped by 2% to close at Tk14.70.
Earlier in January, the Chattogram Money Loan Court had ordered the freezing of the bank account of Aramit Cement.
Judge Mujahidur Rahman of the court passed the order in response to a case filed by Bank Asia, seeking repayment of Tk14.63 crore.
In August last year, Social Islami Bank issued a legal notice to the company after its installment payment cheque bounced, warning of potential legal action.
According to the notice issued by Social Islami Bank, Aramit Cement and its top executives, including Managing Director Rukhmila Zaman, wife of the former land minister, and directors Khourshedul Alam, Habib Ullah, and Shafiqul Islam, Deputy General Manager AKM Maruf, and chief operating officer and chief financial officer Shah Alam took loans from the bank's Jubilee Road Branch in Chattogram under the company name.
On 8 August, six cheques dated 7 August, totaling Tk3.30 crore, were given to the bank with the consent of the company's directors and officers for the payment of outstanding dues. However, the cheques bounced due to insufficient funds in the company's account.
According to the financial statement, Aramit Cement has loans totaling Tk501 crore.
The bulk of these loans, around Tk350 crore, is owed to Islami Bank, with additional debts from First Security Islami Bank, SBAC Bank, Social Islami Bank, and Bank Asia.
