Singer Bangladesh Ltd recently announced its audited results for the year ending December 31, 2022, says a press release.
Its 2022 turnover increased to Tk 17.1 billion compared to the previous year with a growth of 8.1pc. The company continued to implement a number of marketing initiatives during the year to improve sales.
Continued to focus on managing operating expenses, which was 18.5pc of revenue in 2022 slightly increased from 18.1pc in the previous year. The expenses grew at a rate less than revenue growth.
Financial expenses are higher than last year’s mainly for the utilization of borrowing at a higher level due to overall low sales and increase of product cost coupled with higher interest rates as well.
Profit after tax decreased from Tk. 518.4 million to Tk 73.1in 2022 with earnings per share decreasing from Tk. 5.2 to Tk.0.73 mainly because of less margin in Q3& Q4, 2022 and with a higher effective tax rate (ETR).
ETR is higher than last year due to minimum tax rate in both business income from trading and manufacturing. Net operating cash flow per share stands Tk. 18.2 which was (Tk. 16.6) in the previous year. 10pc cash dividend has been announced.
During the year cost of sales increased significantly. Cost increased due to price hikes of raw materials, freight, taka devaluation with US dollar and Ukrain crisis fueled this further. But company’s strategy was to remain competitive in the market because of price sensitivity both from consumers and at competitors end. For that strategy Singer could not adjust significant cost increases with the sales price and resulting in lower profit in 2022.
Singer is strongly present in appliances market and will further accelerate its operation in the medium to long term. Global expertise, scale and knowledge will be combined with the strong market position of Singer Bangladesh Limited being equipped with its strong brand image.
Singer is the largest retailer of consumer durables in Bangladesh with 437 company-owned stores. Singer commenced operations in the region in 1905 being famous for sewing machines and hire purchase finance. Today Singer sells all categories of consumer durables under Singer and third-party brands. The Company also has more than1,000 wholesale dealers. Singer Bangladesh is 57.0 pc owned by Retail Holdings B hold B.V. (The Netherlands) and the shares of the company are publicly traded on DSE and CSE.
