Covid-19: 3 listed sugar firms post losses in Jul-Mar of FY21
The government decided to shut down six sugar companies, including Shyampur Sugar Mills, for reformation and modernisation last year
Three sugar companies listed under the Bangladesh Sugar and Food Industries Corporation posted huge losses in the first nine months of the current fiscal year due to Covid-19.
Renwick Jajneswar & Co (Bd) Ltd, a sugar mill parts supplier, incurred big losses in the third quarter of FY21 as its sales declined amid the pandemic.
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During this period, its net loss stood at Tk1.36 crore. In the same period last year, its profit was Tk0.18 crore.
Also, in the third quarter of this fiscal year, its loss per share was Tk6.61, which was Tk0.88 positive in the same period of the previous fiscal year.
In the July-March period of FY21, its loss per share was Tk15.51, which was Tk2.59 positive in the same period of the previous fiscal year. During this period, its net loss was Tk3.1 crore.
Until 31 March 2021, the net asset value per share of the company, which was listed on the stock exchanges in 1989, was Tk15.43 negative.
Renwick said its overall business had declined due to Covid-19, causing its revenue to fall. It has an amusement park and earnings from that also declined due to the pandemic. The park generated earnings of Tk29 lakh in the last fiscal year.
The government decided to shut down six sugar companies, including Shyampur Sugar Mills, for reformation and modernisation last year. For this reason, Renwick could not supply its products to those companies, causing its revenue to decline.
In the third quarter of FY21, Shyampur Sugar Mills posted a net loss of Tk14.24 crore, which was Tk13.17 crore in the same period of the previous fiscal year.
During this period, its loss per share was Tk28.48, which was Tk26.34 in the third quarter of previous year.
In the July-March period of the current fiscal year, its loss per share was Tk77.70, which was Tk72.38 in the same period of FY20.
It did not recommend any dividend for its shareholders for the year that ended on 30 June, 2020.
The last trading price of the company's shares at the Dhaka Stock Exchange (DSE) was Tk900 each on Monday.
Another listed company Zeal Bangla Sugar Mills posted a massive loss in the third quarter of FY21. From January to March, its net loss stood at Tk6.16 crore, which was Tk5.53 crore in the same period last year.
In this period, its loss per share was Tk10.27.
Also, in the July-March period, its loss per share was Tk47.08. The amount of this loss was Tk44.73 in the same period of the previous fiscal year.
The last trading price of the company's shares at the DSE was Tk100.90 each on Monday.
