KDS Accessories to invest Tk4.4cr to boost capacity

KDS Accessories Ltd has decided to invest Tk4.4 crores to add new machines and do needed repair work in its plants to boost the production capacity.

If utilised fully, the extended capacity and improved productivity would add Tk10 crore to its annual revenue, the company informed its shareholders.

The garment accessories manufacturer said it would invest TK1.61 crores to replace machine parts for its packaging board plant in Chattogram, which would increase efficiency and productivity.

It will also invest Tk2.1 crore in its button unit for adding another six tuning machines, two centrifugal casting machines and water polishing machines along with standard spare parts.

Tk68 lakh will be invested to add 20 sets of braiding machines for its existing elastics and narrow fabrics unit that will increase overall efficiency and productivity.

The addition and replacement would increase the company's annual manufacturing capacity by nine lakh pieces of cartons, 1.3 lakh pieces of CG button, 96 lakh yards of drawcord and drawstring.

KDS Accessories has two manufacturing facilities – one in Chattogram and the other in Gazipur.

Listed in 2015, KDS Accessories now generates over Tk220 crore in annual revenue to make a net profit of Tk15 crore.

Its earnings per share have been consistently hovering around Tk2.2 since its listing in the capital market, while the net asset value per share has also been maintained at around Tk25.

KDS shares closed at Tk70 in the Dhaka Stock Exchange at the end of 2021.