BBS Cables secures Tk51.76cr supply order from Rural Electrification Board
The announcement couldn’t pull the stock price up from floor price though
BBS Cables Ltd has secured an order from the Bangladesh Rural Electrification Board (BREB) to supply conductors, bare wire and bare conductors worth Tk51.76 crore, according to a regulatory disclosure by the company through the Dhaka Stock Exchange (DSE) on Thursday.
The company also informed that on 17 May, it received the notification of award from the electrification board and it would be effective upon signing the contract within 28 days.
BBS Cables, which had been rising in the business of bulk supply of locally self-manufactured electrification cables, was suffering business decline since the pandemic, and its profits were in a downtrend.
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Since the Ukraine war, the soaring dollar added to the company's misery by raising the costs of raw materials it had to import.
The announcement of new orders failed to pull its share price up from the floor price of Tk49.9 in the DSE.
Having listed with both the bourses of Dhaka and Chattogram in 2017, BBS Cables' annual net profit increased to over Tk145 crore in the 2018-19 fiscal year, from Tk111 crore in the 2017-18. It came down to less than Tk81 crore in the 2021-22 fiscal year.
In the first nine months of the current fiscal year, the company's earnings per share dropped to Tk0.34, from Tk3.01 over the same period last year.
Net asset value per share stood at Tk32.87 at the end of March this year.
