LafargeHolcim Bangladesh sees 34% growth in profit
Highlights:
- Profit crosses Tk500cr mark for first time
- Declared highest ever 50% cash dividend
- Revenue grew over 20% to Tk2,838cr
Cement maker LafargeHolcim Bangladesh posted a 34% rise in net profit to Tk594 crore in 2023, riding on cost management and diversified products.
At the same time, its revenue grew over 20% year-on-year to Tk2,838 crore, the company said in statement on Thursday.
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LafargeHolcim's net profit crossed Tk500 crore mark for the first time in its history at a time when Bangladesh is in a crisis compounded by dollar shortages and mounting inflation.
It says their increased focus on cost management throughout the year had a reflection on the overall financial health last year.
Meanwhile, its board declared on Thursday a 50% cash dividend for shareholders for 2023, the highest payout in its history. Its earnings per share stood at Tk5.12.
"2023 was a very good year for the company," CEO Iqbal Chowdhury said, attributing the success to his colleagues' who focus on "sustainability" and expansion into a "diversified portfolio."
"The performance demonstrates the strength of our diverse product portfolio and strategic presence driven by innovative products, high-value solutions, digital footprint and new channels," he added.
Despite geopolitical uncertainty, ongoing inflation and persisting foreign exchange crisis, the cement manufacturer is optimistic to show strong performance in 2024 as well.
"In 2024, I look forward to another year of continued profitable growth and fast-paced transformation, to become the leader in innovative and sustainable building solutions in the country," the CEO further said.
To approve the dividend and audited financial statement, the company will conduct annual general meeting on 14 May.
The record date is 24 March. Till then the shareholders will be entitled for the dividend and will be allowed to attend the AGM.
Its share price closed at Tk74.50 at the Dhaka Stock Exchange on Thursday.
CEO Iqbal said by advancing leadership in sustainability, the company was on the right track to reduce carbon footprint per tonne in cement production.
"We are also at the forefront of decarbonising building across its entire lifecycle to build a net-zero future that works for people and the planet, while delivering solid performance at the same time," he said.
