Regent Textile Mills Limited has experienced a loss of about Tk8 crore in the last quarter of Fiscal Year 2019-2020 even after going through profits throughout the first nine months of the financial year.
In the first three quarters, the company profit stood at Tk4.32 crore but at the end of FY20, it posted a loss amounting to Tk3.94 crore.
The company, listed with both stock exchanges, has paid a nominal dividend. As per its declaration, general shareholders, excluding sponsors/directors, got 1% cash dividend while all other shareholders another 1%.
The annual general meeting will be held on 30 December this year. In FY19, the company declared a 5% bonus dividend.
The company has suffered a loss due to Covid-19. In the April-June period of FY20, its sales declined, incurring a loss of about Tk8 crore in the last quarter.
Regent Textile deals in woven fabrics, dyeing, printing, sewing, finishing and packaging procedures. It completes the process line from weaving to finishing of RMG fabrics and home furnishing items.
The company is running with 12 million metres of weaving and 14 million metres of dying and printing capacity per year.
The company profit in the previous fiscal of 2018-2019 was Tk12.35 crore and its Earnings Per Share (EPS) was Tk0.98.
Despite the loss in FY20, the company last October decided to acquire 99% stake in the 100% export-oriented Legacy Fashion Limited.
Regent will acquire the company at a cost of Tk63.01 crore and it announced an additional investment of Tk80 crore in the RMG sector.
According to Regent's financial report, it made a profit of Tk4.32 crore in the first nine months from July 2019 to March 2020 while its EPS was Tk0.34.
At the same time in FY 2018-2019, the company profit stood at Tk10.95 crore.
Regent textile was listed in the capital market in 2015. The last share price of the company recorded on Thursday was Tk8.40 per share, which is 3.45% lower from the previous closing price of Tk8.70 in the wake of loss and low dividends.