Bangladesh
6 years ago

Monno Ceramic to double production capacity

Invests Tk 760m for factory modernisation

Published :

Updated :

Monno Ceramic Industries, a flagship company of Monno Group, is set to modernise its factory for doubling the production capacity, officials said.

As part of the modernisation, the company is importing 100 per cent brand new Biscuit Firing Roller Kiln from Modena Technology Ltd, 100 brand new Glost Firing Tunnel Kiln from Riedhammer GmBH Germany.

"The brand new machinery has already been made shipment and will arrive shortly," Faiz Mafuzullah, Director Finance of the company, told the FE on Thursday.

Mr Faiz informed that the company has invested about Tk 760 million for the factory modernisation.

"After installation of the new line completely, the production capacity of the company will be doubled from the existing capacity," he said.

He noted that the production from the new machinery will hit the market in the end of the July-September quarter.

Currently, the country's leading ceramic manufacturer's production capacity for Porcelain would be around 1.5 million pieces and Bone China 500,000 pieces per month, according to its website.

Mr. Faiz said the company's turnover will increase substantially after increasing the production capacity as it would be able to meet a substantial demand for both export and domestic markets.

The tableware manufacturer's total turnover stood at Tk 859.50 million for the year ended on June 30, 2017 against Tk 819.06 million a year ago.

Monno Ceramic's net profit stood at Tk 2.71 million for the year ended on June 30, 2017 as against Tk 2.18 million in the previous year.

Each share of the company, which was listed on the Dhaka bourse in 1983, closed at Tk 341.10 on Thursday, registering an increase of 2.0 per cent over the previous day.

The company's share price soared unusually in the recent months with no undisclosed price sensitive information.

The DSE served show-cause notice on the company several times during April and May.

But, the company informed the DSE that there was no undisclosed price sensitive information for unusual price hike of its shares.

The company's share price jumped 772 per cent or Tk 302 each to reach Tk 341.10 on Thursday. Its share price was only Tk 39.10 on July 13, 2017.

The company disbursed 5.0 per cent cash and 5.0 per cent stock dividend for the year ended on June 30, 2017.

The company's paid-up capital is Tk 251.24 million, authorised capital Tk 500 million and the total number of securities is 25.12 million.

Sponsor-directors own 62.40 per cent stake in the company while institutional investors 9.15 per cent, foreign investors 0.12 per cent and the general public 28.33 per cent as on June 30, 2018.

The company's earnings per share (EPS) stood at Tk 0.30 for January-March quarter of 2018 as against Tk 0.02 for January-March 2017.

In nine months for July 2017-March 2018, the company's EPS was Tk 2.00 as against Tk 0.12 for July 2016-March 2017.

The net operating cash flow per share (NOCFPS) was Tk 4.37 for July 2017-March 2018 as against minus Tk 2.99 for July 2016-March 2017.

The net asset value (NAV) per share was Tk 92.19 as on March 31, 2018 and Tk. 94.32 as on June 30, 2017.

[email protected]

Share this news