Fu-Wang Ceramic profit declines 27% due to increase in production cost

The net profit of Fu-Wang Ceramic Industries Ltd has dropped by 27% due to an increase in production cost and an increase in financial cost for the period ended on 30 June 2021.

During the period, the net profit of the company was Tk4.63 crore, which was Tk6.37 crore in the previous year 2020.

The company has recommended a 2% cash dividend for its shareholders for the period ended on 30 June 2021. The dividend was declared at the company's board meeting held on Saturday.

The company has planned an annual general meeting (AGM) on 30 December 2021. The record date for the AGM will be 12 December.

Consequently, its earnings per share was Tk0.34 while the net asset value per share of the company was Tk11.70.

Fu-Wang Ceramic Industries owns and operates two industrial units for manufacturing of various types and sizes of floor tiles and glazed wall tiles, and sales thereof.

The company said its statement, the production cost has been increased amid this year. Besides, its financial cost has also increased compared to the previous year.

Earlier in July this year, the Bangladesh Securities and Exchange Commission (BSEC) restructured the board of directors of Fu Wang Food Ltd. The regulator nominated five independent directors for the company.

As of 30 September 2021, the Sponsors and directors jointly hold 21.02% shares of the paid-up capital of the company and thus failed to comply with the 30% shareholding rules.

On the other hand, the institutions hold 11.04% shares, foreign investors hold 0.40% shares and the general public holds 67.54% shares of the company. The company got listed on stock exchanges in 2000.