Singer Bangladesh’s profit rises 615%

Singer Bangladesh sold Tk 1,700 crore worth of goods in 2023, which helped the company to post a staggering 615 percent year-on-year rise in profits.

The electronics and home appliance maker's profit after tax increased to Tk 52.2 crore in 2023 from Tk 7.3 crore in 2022.

The company's gross profit margin surged to 28.8 percent in 2023 from 23 percent the previous year thanks to the strong pricing policy, optimised expenses and a shift from trading goods to manufacturing products, Singer said in a statement.

The company's earnings per share also jumped to Tk 5.24 from Tk 0.73 and net operating cash flow per share hit Tk 22.76 in 2023 from Tk 18.19 in the previous year.

After the announcement of the audited results, the board of directors of Singer also announced 35 percent cash dividend for the year.

The company successfully managed its financial performance from the preceding year despite an overall industry de-growth and many challenges in 2023, Singer Bangladesh said in a press release today.

Throughout 2023, Singer faced various challenges, including the devaluation of the local currency, barriers to opening letters of credit, rising finance costs, ongoing supply side crises caused by the Ukraine war and undue turbulence during national elections, it said.

"The financial expenses were higher than the last year. Due to 2% increase in average interest rate, 2023 expenses increased by 10% in comparison to last year," the company mentioned in the statement.

"Despite these challenges, the company remained committed to staying competitive in the market by considering both consumers' and competitors' price sensitivity."

On a note, the board of directors commented that, Singer is strongly present in the appliances market and will further accelerate its operation in the medium to long term.

By leveraging its global expertise, scale, and knowledge, Singer will work to enhance its current strong market position with its strong brand image.

Singer Bangladesh is one of the largest retailers of consumer durables in Bangladesh with 451 retail stores across the country.

The company is 57 percent owned by Retail Holdings Bhold BV in the Netherlands, a subsidiary of Arcelik AS in Turkey.

Arcelik, a global leader in consumer durables, manages 14 brands, operates in 53 countries and has its presence in 147 countries.