Higher tax puts British American Tobacco in net operating cash crisis
British American Tobacco Bangladesh Company (BATBC) reported that its net operating cash flow per share (NOCFPS) was Tk1.23 negative in the first half of this year due to higher VAT, supplementary duty, tax payment and reduce receipt from customers.
NOCFPS negative means the company is suffering a liquidity shortage, according to the market insider.
According to the Dhaka Stock Exchange (DSE) filing, its earnings per share slightly fell to Tk9.14 in the April-June quarter of 2023, compared to the previous year at the same time.
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At the end of the first half of this year, its earnings per share was Tk17.59, which was Tk16.93 at the same time a year ago.
BATBC said in its statement, earnings per share has increased in the first half from the same period last year driven by volume growth and higher leaf export.
Its shares were being traded on the floor price at Tk518.70 each on Monday at the DSE.
