Queen South Textile moves to cut costs

Queen South Textile Mills, a listed knitted, dyed and finished cotton producer, is going to install a salt recovery system that will reduce its production cost and improve profitability.

The textile mill yesterday said that shareholders of the company approved the installation of the auto dispensing and modernised salt recovery system during an annual general meeting on December 22.

After the system is installed, the company's dyes, chemical, and water consumption costs will be reduced by about Tk 1 crore per month.

This will directly help increase gross profit, Queen South Textile Mills said in a disclosure.

The cost associated with the installation of the auto dispensing and modernised salt recovery system is Tk 16 crore, it added.

Queen South Textile Mills has paid-up capital of Tk 143 crore in addition to a reserve and surplus of Tk 69 crore, according to data from the Dhaka Stock Exchange. Stocks of Queen South Textile remained the same at Tk 24.70 yesterday.