Singer Bangladesh Limited (Singer) announced 615% profit growth for the year 2023. Despite an overall industry de-growth and many challenges in 2023, the company successfully managed its financial performance from the preceding year. After the announcement of the audited results, the Board of Directors of Singer announced 35% cash dividend for the year, 2023.
As per the audited results, Gross profit margin increased to 28.8% in 2023 from 23.0% in previous year. Singer strategically took strong pricing policy, optimized the expenses and shifted from trading goods to manufactured products to secure the profit margin. As a result, profit after tax increased to Tk. 522 million in 2023 from Tk. 73 million in 2022, an increase of 615%. The company’s earnings per share increased from Tk. 0.73 to Tk. 5.24. Net operating cash flow per share stands at Tk. 22.76 in 2023 (Tk. 18.19 in 2022). Overall, the company managed to achieve a revenue of Tk. 17 billion by the end of 2023.
Throughout the year, Singer faced various challenges, including the devaluation of the Taka against the US dollar, opening LCs, rising finance costs, ongoing supply side crises related to the Ukraine war and undue turbulence during National Parliamentary Election made it a more challenging year. Despite these challenges, the company remained committed to staying competitive in the market by considering both consumers’ and competitors’ price sensitivity.
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.
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 57.0% owned by Retail Holdings Bhold B.V. in the Netherlands, a subsidiary of Arcelik A.S. in Turkey. Arcelik, a global leader in consumer durables, manages 14 brands, operates in 53 countries and has a presence in 147 countries. With 30 R&D centers globally employing over 2,300 researchers, Arcelik’s flagship brand is BEKO, is among the Top 3 brands in Europe. Arcelik is a subsidiary of Koc Holding, the only Fortune 500 company in Turkey.
