Saif Powertec’s profit soars 62% as revenue grows, interest and tax rate drops
Saif Powetech Limited, the operator of the Chattogram Sea Port, has posted 62% growth in annual profits for the 2020-21 fiscal year.
The company's earnings per share (EPS) for the 12 month up to the end of June this year grew to Tk1.75, which was Tk1.08 in the previous year.
The company's Chief Financial Officer (CFO) Md Hasan Reza told The Business Standard, the profit jump was mainly due to the one-fourth growth in revenue that did not cost the company a lot.
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He also attributed the drops in interest expenses and corporate tax rates to the increase in the annual net profit.
Explaining the year on year improvement in business, Hasan Reza said Saif Powertec's operations were on during the first wave of the pandemic, but as the economy had been in a standstill for more than two months, revenue from port operations dropped in the last quarter of 2019-20 fiscal year.
The company's consolidated annual revenue was 3.03% down to Tk385 crore for the 2019-20 fiscal year and that affected its profit margins to yield 24% less annual profits.
Unlike the previous year, the second wave of the Covid-19 this year did not disrupt port operations that much to reduce the company's revenue, instead revenue increased.
"The increased revenue did not cost us a lot as the same set of resources were deployed in operations," said the CFO.
