Renata's profit grows by 21% in Q3
However, its revenue grew by 14% to Tk2781.46 crore but its profit fell by 4% to Tk258.07 crore.
Renata Limited — a manufacturer of pharmaceuticals and animal health products — has reported a 21.4% growth in profit and while its revenue grew by 9% in the January to March quarter of the current fiscal year over the same time of the previous fiscal year.
During the Q3, it logged Tk72.62 crore profit, and Tk921.844 crore revenue, according to its consolidated interim financial statements for the nine months.
However, its revenue grew by 14% to Tk2781.46 crore but its profit fell by 4% to Tk258.07 crore.
Keep updated, follow The Business Standard's Google news channel
Despite the decline in profit, company officials said its nine months profit surpassed its last year annual profit. In the last FY23, it made a profit of Tk233 crore.
While its half-yearly financials report showed, it had reported a 21.76% revenue growth in the second quarter of fiscal year 2023-24, and its profit increased by 1.49% as cost of sales including raw material costs, utility cost increased significantly.
Jubayer Alam, company secretary at Renata Limited, told The Business Standard, Buoyed by moderate revenue growth coupled with significant cost-management, Net Profit of Renata PLC grew by 21.4% in Q3 of 2023-24. While year-to-date profit-growth was slightly negative, it is important to note that the Company's cumulative profit in three quarters exceeded the total profit earned in the 2022-2023.
Company Secretary Jubayer Alam expressed hope that profit growth in 2023-24 would be satisfactory. "Since, we have exceeded last year's profit in just three quarters, even a modest performance in Q4 would add significantly to growth."
He further said, "As our costs increased significantly due to devaluation of the currency, high interest expense, and depreciation from new capital investment, we embarked on a strategic cost-management programme that has begun to yield results."
