Tax changes, revenue dip pull down MJL Bangladesh profit by 27% in July-March

MJL Bangladesh PLC, a leading lubricant and energy company, reported a 27% drop in consolidated net profit in the first nine months of FY26, primarily due to lower revenue and the withdrawal of key tax benefits.

According to the company's unaudited financial statements for the July-March period, the consolidated net profit dropped to Tk187.23 crore, down from Tk256.21 crore in the corresponding period of the previous year.

This downturn significantly impacted the company's earnings per share (EPS), which settled at Tk5.91 at the end of the first three quarters, compared to Tk8.09 during the same period a year earlier. 

The company's consolidated net revenue also experienced an 8% decline, falling to Tk3,016 crore from Tk3,263 crore. 

Management attributed the earnings slump to a combination of an 8% decline in revenue, a rise in minimum tax from 0.6% to 1%, and the withdrawal of a tax exemption on its oil tanker operations.

Standalone net profit also fell by over 17%, largely driven by the reduced profitability of the oil tanker segment.

However, the company posted a strong rebound in the third quarter. In January-March 2026, MJL's consolidated net profit rose 44% to Tk65 crore, supported by an 18% surge in revenue, which climbed to Tk1,148 crore, alongside a reduction in finance costs.

MJL Bangladesh, known for its state-of-the-art lube oil blending plant, remains a dominant provider of high-performance lubricants and energy solutions in the local market, while also maintaining an active presence in international exports.

MJL Bangladesh shares price edged up by 0.68% today (4 May) to reach at Tk88.70 at the Dhaka Stock Exchange.