RD Food’s sales, profit return to a near pre-pandemic level
Quarterly data showed that the sales and profits of RD Foods started to increase at the beginning of the current fiscal year, and continued the upward trend through March
The business of Rangpur Dairy and Food Products has returned to almost the pre-pandemic level as its profit grew 169% and sales jumped 35% in the first nine months of the current fiscal year.
Due to the Covid-19 pandemic, the manufacturer of dairy and non-dairy products from milk, which got listed on the capital market in 2011, witnessed a drop in sales and profit in the last fiscal year.
Quarterly data showed that the sales and profits of RD Foods started to increase at the beginning of the current fiscal year, and continued the upward trend through March.
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"The situation indicates that the company is recovering from the pandemic shocks as sales rebounded, which had declined in the pandemic time," said Yeasin Arafat, chief financial officer (CFO) of the company.
"Sales increased due to the improvement of the pandemic situation, at the same time the company marketed new products. Also, the new investment plan and business strategy helped it post a significant growth," he added.
During the July-March period, its revenue increased by 68.77 crores, up from Tk50.91 crore a year ago, while the profit rose by 168% to Tk10.37 crore from Tk3.85 crore.
According to the company officials, in the third quarter of fiscal 2021-22, it saw a 204% growth in profit to Tk4.53 crore, and revenue jumped by 32% to Tk25.61 crore.
At the same time of fiscal 2020-2021, its profit was Tk1.49 crore, and its revenue was Tk25.61 crore.
In September last year, the company decided to invest Tk7 crore for buying machinery and was expected an annual revenue increase of 15-18% following the investment.
It had also launched four new brands of products.
RD Foods collects raw milk from rural areas in the northern parts of Bangladesh.
After processing the raw milk, it produces dairy products as well as non-dairy products.
Dairy products are UHT fresh milk, chocolate milk, mango milk, strawberry milk, banana milk, and ghee.
Non-dairy products include drinks, candy, toast biscuits, fried dal, Bar-B-Q chanachur, spicy chanachur, noodles, cup jelly, and potato crackers.
