Apex Footwear’s profit falls 34% on reduced sales, higher cost

Apex Footwear's net profit fell about 34 percent to Tk 2.4 crore in the October-December quarter from a year earlier as its sales slowed, and finance and administration costs increased.

Apex Footwear, one of the largest footwear retailers and exporters, sold Tk 316.73 crore of footwear in the October-December quarter, a 16 percent decrease from the same period a year earlier.

In a filing to the Dhaka Stock Exchange (DSE), the footwear maker said its earnings eroded because of a drop in the net sales revenue compared with the same period of last year. This was the second consecutive quarter Apex Footwear's profit took a hit. 

The earnings of Apex Footwear fell 31 percent year-on-year to Tk 4.64 crore in the first half of the financial year. 

Apex pointed out the impossibility of managing cost control in all areas of operations. 

However, the cost of raw materials decreased in the second quarter, according to its unaudited financial statement published today.

Shares of the footwear retailer and exporter declined 0.55 percent to Tk 237 on the DSE until 10.32 am.