Envoy Textiles posts over Tk100cr profit till Q3, up 129% YoY

Envoy Textiles Limited, the country's pioneering LEED Platinum-certified denim manufacturer, has reported a profit of over Tk100 crore in the first nine months of FY25, marking a 129% year-on-year growth.

Driven by strong international demand and improved operational efficiency, the company posted a profit of Tk101.87 crore in the July–March period of the current fiscal year, more than doubling its earnings of Tk43.98 crore in the same period of the previous year.

In contrast, its full-year profit in FY24 was Tk60 crore. The company's revenue for the nine-month period also rose by 27% to Tk1,365.88 crore, according to its unaudited financials.

But, despite the impressive growth, Envoy's shares dropped 0.46% to Tk43.50 each at the Dhaka Stock Exchange on Thursday (24 April).

Earnings per share (EPS) stood at Tk6.03 for the nine months, up from Tk2.62 in the same period of the previous fiscal. The company's net operating cash flow per share improved slightly to Tk3.27 from Tk3.05, while its net asset value per share increased to Tk55.95 as of March this year, up from Tk51.93 in June 2024.

Company officials expect the upward momentum to continue amid rising global demand for ethical and eco-friendly denim products.

Speaking to The Business Standard, M Saiful Islam Chowdhury, company secretary of Envoy Textiles, attributed the sharp earnings growth to efficient raw material sourcing, rising global demand, and improvements in the factory's energy efficiency.

"We have been able to make profit from both raw material sourcing and marketing. That's why the company's nine-month profit jumped to over Tk101 crore, a 129% increase year-on-year," he said.

Strong Q3 performance

According to the company disclosure, in the January-March quarter alone, Envoy Textiles reported a net profit of Tk40.99 crore, up from Tk19.71 crore in the same quarter of the previous fiscal. 

EPS for the quarter also rose to Tk2.44 from Tk1.18 year-on-year.

The company's third quarter revenue rose to Tk467 crore from Tk383 crore, while profit for the quarter surged by 108%, as per the quarterly reports.

Envoy Textiles was listed on the bourse in 2012 and currently trades in the "A" category as it had been paying over 10% dividend.

In FY24, it had paid a 20% cash dividend to its shareholders. 

As of March 2025, sponsor-directors held 65.18% of the company's shares, institutional investors held 26.15%, the general public 8.61%, and foreign investors 0.06%, according to its shareholding report.