Singer Bangladesh Ltd has secured a better turnover in the current year compared to that in the last year, especially in air conditioner and sewing machine sales, although its business has come to a halt in the wake of Covid-19 outbreak. The sale of home appliances has increased overall.
Singer's business was thriving until March this year. However, due to the lockdown to curb the Covid-19 outbreak, its business has been confined to some online orders only.
Last year, the company reached a milestone in home appliance sales with a turnover of Tk1,500 crore. However, its television sales dropped by six percent for the first time in the last six years.
In the 2019 financial year, air conditioner sales rose by 49 percent to Tk204.41 crore while sewing machine sales rose by 63 percent to Tk79.24 crore.
The sale of home appliances increased by 19 percent to Tk1,104 crore. The company sold television sets worth Tk255.47 crore in the 2019 financial year.
In the first quarter of the current financial year, the overall sale of the company went up by 12 percent to Tk306 crore. However, due to increased operational cost, the net profit decreased by eight percent to Tk11.89 crore, while earnings per share were Tk1.11.
The secretary of Singer Bangladesh, Mohammad Sanaullah, told The Business Standard that the company's production has increased to 61 percent from 10 percent in the last few decades. At present, the company is working with the parent company Retail Holdings to improve the quality of refrigerators.
Regarding business amid the lockdown, a high official of the company said on condition of anonymity that the company would certainly face a loss in the second quarter of the current financial year. Besides, as trade is stopped now, the company is trying to determine the total probable loss.
The company has decided to reevaluate the business contracts made with various companies. No decision about lay off and salary reduction has been made yet, he added.
Singer Bangladesh sold only sewing machines till 1985. Later, it included electronics and home appliances in its business.