Lub-rref posts 21% surge in half-yearly profits

Lub-rref (Bangladesh) Limited, lubricant producer under the BNO brand, reported 21.42% higher earnings per share (EPS) in the first half of fiscal 2021-22, compared to the same time a year ago.

At the end of the July-December period, its EPS stood at Tk1.02, which was Tk0.84 at the same period in the previous fiscal year.

Mofijur Rahaman, the chief financial officer of the company, told The Business Standard, "Our business grew well in the first quarter but in the second quarter, there had been some problems with raw material sourcing and that slightly hindered the timeliness of supply to the market."

Both the quarters saw year on year growth, but the business in the second quarter was slightly slower than the first, he added.

Meanwhile, despite the Covid shock, the company did well in fiscal 2020-21 as it reported a 54% EPS growth to Tk3.41.

But it paid only a 10% cash dividend to the shareholders for the last fiscal year.

Lub-rref is the lubricant recycling pioneer in the country that went public in 2021.

The firm is expanding both its lubricant recycling capacity and virgin base oil refining capacity in Chattogram.

The company's under-construction industrial theme park on the bank of Karnaphuli is going to have a large base oil refinery, a jetty, a tank terminal, a bitumen, and a hydrogen plant.

Lub-rref shares closed 1.23% higher at Tk41 each on Wednesday in the Dhaka Stock Exchange (DSE).

At the end of December last year, its net asset value per share stood at Tk36.82 against the face value of Tk10.