MK Footwear's profit shrinks by 20% in FY24

MK Footwear, a listed firm on the SME platform of the Dhaka Stock Exchange (DSE), reported today that its profit fell by 20.53% in the 2023-24 fiscal year compared to the previous year.

Despite decreasing its profit, the company recommended a 10% cash dividend only for its general shareholders.

The sponsor-directors of the company are not entitled for the dividends.

Although it witnessed a slump in profit in FY24, in the first quarter during the July to September of the current fiscal year, MK Footwear reported a 44% growth in its profit.

According to its disclosure, its earnings per share (EPS) increased to Tk0.46 in the first quarter, at the same time of the previous fiscal year, it was Tk0.32.

According to its disclosures published on 3 November, the general shareholders of the company will get Tk2.33 crore as dividend for FY24.

Its EPS stood at Tk0.85 for FY24, which is lower from Tk1.07 in the previous fiscal year.

MK Footwear raised Tk10 crore issuing 1 crore shares at a face value of Tk10 each, and used the fund to purchase machinery.

Raising the funds, MK Footwear got listed on the small and medium enterprises platform of the DSE.

As of June 2023, its net asset value per share stood at Tk15.22, and net operating cash flow per shares at Tk0.57, which was Tk16.31, and Tk4.28 respectively in the previous fiscal year.

The annual general meeting of the company is scheduled on 26 January 2025 through a hybrid system, and to identify its shareholders, the record date has been fixed on 1 December.