Stocks
Anwar Galvanizing Eyes Growth, Leases Land for Production Expansion
Anwar Galvanizing, an affiliate of Anwar Group, is poised to lease approximately five bighas of land from Fresco Steel Mills, as part of its strategic plan to augment production capacity.
The decision to execute the lease deed was made during a board meeting on January 30, with the lease tenure set at 17 years and a security deposit of Tk1 crore. Anwar Galvanizing, specializing in galvanized iron-pipe (GI) fittings, intends to construct sheds for godowns, steel structures with concrete floors, and install heavy machinery on the leased land.
Company Secretary Tauhidul Islam shared, “The existing factory of the company is very small; that’s why the management has decided to expand its capacity.” The proximity of the leasehold land to the current factory facilitates the seamless expansion of the production facility.
While Islam refrained from divulging detailed investment plans, he highlighted the expansion’s alignment with the company’s strategic growth objectives.
Financial Snapshot and Expansion Plans:
According to its July-December 2023 financials, Anwar Galvanizing reported a 3% year-on-year decline in revenue to Tk32.25 crore. However, net profit demonstrated a noteworthy 30% increase, reaching Tk6.60 crore. The company attributed this success to a reduction in manufacturing costs, resulting in an improved gross profit margin.
For the fiscal year 2022-23, Anwar Galvanizing witnessed a 1.87% growth in revenue, albeit experiencing a 69% dip in profit compared to the previous year. In FY23, revenue reached Tk79.79 crore, while profit stood at Tk5.95 crore, as opposed to Tk72.43 crore and Tk19.34 crore, respectively, in the preceding fiscal year.
The company’s board of directors has proposed a 10% cash dividend for shareholders in FY23, pending approval at the annual general meeting scheduled for February 4, 2024.
Bond Issuance for Further Expansion:
In a bid to fuel business expansion, Anwar Galvanizing has outlined plans to issue a bond worth Tk50 crore. The company envisions that 90% of the bond units will convert into shares, with the remaining 10% remaining as non-convertible redeemable coupon-bearing bond units with a five-year tenure. The coupon rate is anticipated to range from 9% to 11% per year, offered semi-annually. Approval from the Bangladesh Securities and Exchange Commission and other regulatory bodies is a prerequisite for the bond issuance, which targets potential investors including banks, non-bank financial institutions, insurance companies, corporate entities, high-net-worth individuals, existing shareholders, and the general public.
Dhaka Stock Market DSE, Bourse on the last working day of the week, 25th July, ended with a hike in Indices and Turnover from the previous working session. This information is known from DSE sources.
497 crore 34 lakh taka shares were traded on this day. 337 crore 97 lakh more tradings were done in DSE today compared to the previous workday, July 24th, Shares worth Tk 159 crores 37 lakh shares were traded last time, Wednesday.
The benchmark DSEX increased 62.81 points or 5,413 The Shariah-based index DSES added 13.81 points or 1,183 and the blue-chip index DS30 gained by 24.25 points or 1,932.
Of the issues traded, 286 advanced, 66 declined and 40 remained unchanged.
Techno Drugs Limited ranked top gainer on DSE, the share price increased by Tk 3.80 paisa or 9.87 percent. On this day, the share was last traded at Tk 42.30 paisa.
Rangpur Foundry Limited ranked top loser on the DSE, the share price dropped by Tk 5.40 paisa or 2.98 percent. On this day, the share was last traded at Tk 175.70 paisa.
DSE topped on trade is Square Pharmaceuticals PLC 35 crore 9 lakh takas of company shares have been traded.
A total of 28 companies’ shares were traded in the Block on Dhaka Stock Exchange. A total of 82 lakh 94 thousand 29 shares of the companies were traded. The financial value of which is 21 crore 92 lakh taka
One of the listed companies, Eastland Insurance Company Limited discloses its financial reports for the second quarter, (April – June 24).
The company’s earnings per share (EPS) Tk 0.27 paisa in Q2 of the current financial year (April – June 24). EPS was Tk. 0.41 for January-June 2024 as against Tk. 1.47 for the same period last year. EPS was Tk 0.80 paisa during the same period last year. NAV per share was Tk. 20.85 as of June 30, 2024.
One of the listed companies, Shahjalal Islami Bank PLC discloses its financial reports for the second quarter, (April – June 24).
The company’s Consolidated earnings per share (EPS) Tk 1.50 paisa in Q2 of the current financial year (April – June 24). Consolidated EPS was Tk. 1.50 for January-June 2024 as against Tk. 1.47 for the same period last year. EPS was Tk 0.80 paisa during the same period last year. Consolidated NAV per share was Tk. 20.85 as of June 30, 2024.
