Lub-rref’s profit rises by 13% in H1

KEY POINTS

• Lub-rref's share trading debut is Tuesday
• In H1, Lub-rref made a profit of Tk8.66 crore
• H1 EPS stood at Tk0.84
• In Q2, the company made a profit of Tk5.89 crore
• Q2 EPS was Tk0.59

Just hours before making its stock market debut, Lub-rref (Bangladesh), popular as BNO brand in the market, has posted 13% profit growth in the first half of the 2020-2021 fiscal year.

The share trading of the company will begin on the Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE) on Tuesday under the "N" category.

On Monday, in its disclosure, the company posted a profit of Tk8.66 crore in the July-December period, while its earnings per share (EPS) stood at Tk0.87.

The profit was Tk7.65 crore in the same period of the previous fiscal year, while EPS was Tk077.

As per its un-audited report in the October-December quarter, the company posted a profit after tax of Tk5.89 crore and EPS Tk0.59.

The profit was Tk5.19 crore and EPS Tk0.52 in the same period of the previous year.

In November last year, the company secured the Bangladesh Securities and Exchange Commission's (BSEC) approval to raise Tk150 crore capital through initial public offering (IPO) under the book building method.

The eligible institutional investors (EIs) placed bids to determine the cut-off price of the company's shares. The cut-off price stood at Tk30 per share for the EIs while the general investors got the shares at a 10% discounted price of Tk27.

BNO Lubricants–a brand of the company–sells around 10,000 tonnes of lubricant annually for Tk175 crore.

Lub-rref, incorporated in 2001, commercially launched its manufacturing plant in 2006. Currently, 60% of its lubricants are made of responsibly-recycled lubricants, while the remaining 40% are made of imported base oil–the key raw material for lubricants.