Bashundhara Paper posts Tk184cr loss in nine months
The company’s revenue dropped significantly by 51.53% to Tk508 crore in the July-March period of FY25
Bashundhara Paper Mills, a concern of Bashundhara Group, which manufactures paper and a range of tissue products, reported a loss of Tk184 crore in the July-March period of the current fiscal year.
According to the company's price-sensitive disclosure, its loss per share stood at Tk10.60, which was earnings per share Tk1.81 in the same period of the previous fiscal year.
The company's revenue dropped significantly by 51.53% to Tk508 crore in the July-March period of FY25, down from Tk1,048 crore during the same period last year.
Keep updated, follow The Business Standard's Google news channel
In the first nine months, its finance cost stood at Tk223 crore, which is up from Tk122 crore compared to the same period of the previous year.
In the January-March quarter, the company's revenue stood at Tk97 crore, down from Tk363 crore in the same period of the previous year.
During the quarter, it incurred a loss of Tk83 crore, compared to a profit of Tk6.23 crore a year earlier.
Its net asset value per share was Tk66.49 at the end of March 2024.
The company's share price closed at Tk34.60 on 30 April on the Dhaka Stock Exchange.
In its official statement, the company highlighted that the global economic situation in Q3 of FY 2024–25 had a significant impact on consumer spending, directly affecting the publication and packaging paper industry. Ongoing uncertainty around global economic growth, coupled with multiple external economic shocks, severely disrupted business operations.
Key challenges included a sharp increase in foreign exchange rates, rising raw material costs, import restrictions and difficulty opening LCs due to banks reluctance, a surge in interest rates from 9% to 14.5%, and limited availability of dollars.
Due to persistent political and economic instability, the company was unable to open LCs for importing essential raw materials, resulting in substantial losses. Additionally, global trade tensions – such as sanctions, import duties, and other trade restrictions – continue to pose serious risks to the company's sourcing capabilities and overall profitability.
