Shipping corp reports Tk249.69cr net profit, highest in 53yrs

The Bangladesh Shipping Corporation (BSC) has reported a record net profit of Tk249.69 crore for the fiscal 2023-24, the highest in its 53-year history, following tax adjustments.

The corporation has also announced a 25% cash dividend for its shareholders, maintaining the same rate as the previous year.

This announcement was made by Commodore Mahmudul Malek, managing director of the BSC, during the 47th Annual General Meeting at the Boat Club in Chattogram today (22 December).

Commodore Mahmudul Malek said, "In the last fiscal 2022-23, the BSC's total income was Tk667.23 crore, total expenditure was Tk375.64 crore, and net profit after tax adjustment was Tk246.29 crore. The BSC's net income has increased by about Tk3.40 crore from the fiscal 2022-23 to the fiscal 2023-24."

Mahmudul Malek credited the government's active guidance and support for transforming the BSC into a profitable enterprise.

He emphasised the corporation's commitment to contributing to the country's economic growth while maintaining its consistent dividend policy for shareholders.

During his address, he shared that the BSC generated an income of Tk487.74 crore from operations and an additional Tk108.44 crore from other sectors, resulting in a total revenue of Tk596.19 crore for fiscal 2023-24. On the expenditure side, operational costs were Tk189.61 crore, while administrative and financial expenses amounted to Tk121.98 crore, bringing the total expenditure to Tk311.60 crore.

After considering these figures, the board of directors recommended a 25% cash dividend for shareholders based on the net profit.

As of June 30, 2024, the BSC's paid-up capital stood at Tk152.53 crore, with the government holding 52.10% of shares worth Tk79.46 crore and private shareholders owning 47.90% of shares valued at Tk73.07 crore. The BSC's total assets for the fiscal year amounted to Tk3,811.53 crore, against external liabilities of Tk2,256.16 crore.

Addressing the utilisation of funds raised from the Repeat Public Offering (RPO), Mahmudul Malek disclosed that Tk93.43 crore out of Tk313.70 crore had already been spent. Of this, Tk59.35 crore was allocated for constructing a 25-storey building in Dhaka, Tk17.93 crore for share marketing, and Tk16.15 crore for purchasing six vessels.

Highlighting the BSC's development plans and future goals, he announced that the corporation, with government support, had recently added six new ships to its fleet, five of which are currently operational. Plans are underway to build two crude oil mother tankers and two mother bulk carriers.

The BSC has initiated the construction of two bulk carriers with its funding and aims to add 12 new container ships to its fleet. Of these, six are being constructed with assistance from South Korea.

The event was addressed by Brigadier General (Retd) M Sakhawat Hossain, adviser to the Ministry of Shipping, as the chief guest, and Senior Secretary Mohammad Yusuf of the Ministry of Shipping as the special guest.