KDS Accessories sales, profit fall in FY23

KDS Accessories Limited, a concern of Chattogram-based KDS Group, reported year-on-year declines in both its revenue and profit for the fiscal year that ended on 30 June 2023. 

At the end of FY23, its revenue fell 13% to Tk279.45 crore and its profit dropped 8% to Tk15.32 crore, compared to the previous fiscal. Its earnings per share stood at Tk2.15 in FY23. 

The company, in a price sensitive statement on Monday, blamed the decrease in demand for its products for the revenue fall. Also, it held pricey raw materials and strengthening of the dollar responsible for its lower profit. 

The company has recommended a 10% cash dividend for FY23. In the previous fiscal, it paid a 16% cash dividend to its shareholders. 

To approve the dividend and audited financial statement, the company has scheduled its annual general meeting on 14 December. The record date is 20 November.

In 2015, KDS Accessories raised Tk24 crore from the stock market through an initial public offering (IPO). It issued 1.2 crore shares at Tk20 each, including a premium of Tk10 per share. 

Its shares are stuck at the floor price of Tk77 each at the Dhaka Stock Exchange (DSE) since this January. 

KDS Accessories has two factories in Gazipur and Chattogram. Using the funds collected through the IPO, the company established the third unit of its Gazipur factory.

The company manufactures all types of garments accessories such as corrugated cartons, buttons, hangers, gum tapes and soft line printing products – labels, elastics, and offset printings.

It supplies materials to major retailers like WalMart, Tesco, and Decathlon.