Raw material price hike eats up Aman Feed's profit
Aman Feed Limited – the producer of poultry, fish, cattle and shrimp feed – has suffered a 66.79% fall in profit for the fiscal 2021-22 owing to a significant increase in the prices of its raw materials.
The company, which is a concern of Aman Group, said the soaring raw material prices have driven up its cost of production by 48.54% compared to the previous fiscal year.
The feed maker also experienced a 35.61% increase in its debt servicing costs, the company said in a stock exchange disclosure on Thursday.
Keep updated, follow The Business Standard's Google news channel
In FY22, it reported a profit of Tk22.12 crore, which was Tk33.12 crore in the previous fiscal year.
As profit declined, it has recommended a 10% cash dividend, which is 5% lower than the previous fiscal year, only for the general shareholders and not for its sponsors and directors.
General shareholders will get Tk4.81 crore as cash dividends.
The feed producer will hold the annual general meeting on 26 December and, to identify shareholders, it has fixed 28 November as the record date.
Aman Feed Limited got listed on the country's stock exchanges in 2015.
It raised Tk72 crore by issuing two crore shares at Tk36 each, including a Tk26 premium, through an initial public offering.
