Paramount Textile has seen a drop in profit in the first quarter because of high finance costs and the closure of an associated company.

The company's profit stood at Tk 19.16 crore in the first quarter of FY25, marking a 20 percent year-on-year decline.

Its earnings per share (EPS) fell to Tk 1.07 for the July-September period, compared to Tk 1.34 a year earlier, according to a disclosure on the Dhaka Stock Exchange (DSE) website.

Paramount Textile stated that the decline in EPS was attributed to the closure of one of its associate companies' business operations and rising finance costs.

Despite the profit slump, the company reported an improved consolidated net operating cash flow per share (NOCFPS), which rose to Tk 1.67 from Tk 1.35 in the same period last year.

This improvement was driven by a subsidiary's strong cash generation and lower operating expenses relative to revenue, as per the disclosure.

Shares of Paramount Textiles declined 2.12 percent to close at Tk 46.2 on the DSE yesterday.