Metro Spinning Limited posted a 71.8% growth in share price in 18 trading sessions till 12 May – the last session before the Eid-Ul-Fitr holidays.
The share price rose to Tk13.4 each on the day, which was Tk7.8 on 18 April.
However, its share price declined by 1.5% to Tk13.2 on Sunday.
On 12 May, the Dhaka Stock Exchange (DSE) sent a query letter to the company, seeking an explanation for the unusual price hike.
But it replied that there was no undisclosed price sensitive information behind this price hike.
As per the company's financial statements in the first half of the current fiscal year, its revenue declined by 10.39% to Tk36.05 crore, which was Tk40.23 crore in the same time of the previous fiscal.
Its net profit after tax increased around seven times, compared to the same period previous year.
In the July-March period of the current fiscal, its net profit stood at Tk1.24 crore and earnings per share Tk0.20, which was Tk18.33 lakh and Tk0.03 respectively in the same period previous year.
In the previous fiscal year, the company made a profit of Tk47 lakh and recommended a 2% cash dividend for its shareholders.
Before the pandemic, in fiscal 2018-2019, it made a profit of Tk1.29 crore and paid a 2% cash dividend to its shareholders.
Metro Spinning Ltd, a member of Maksons Group, was established in 1993 and got listed on the stock exchanges in 2002.
It produces yarn for both the local garments industry as well as the export market.