Paramount Textile to buy brand new machinery

FE Report | Monday, 15 July 2019

The board of directors of Paramount Textile has decided to purchase some brand new capital machinery from abroad worth nearly Tk 117 million, said an official disclosure on Sunday.

The textile company will purchase the machinery due to enhancement and replacement of machinery of the company for increasing existing production capacity under the credit facilities of Pubali Bank, said the disclosure.

The specifications of the machinery are --- Stenter Frame Range (China) and Sanforizing Machine (Italy). Total price of the machinery is US$ 1,000,000 and euro 340,000 respectively which is equivalent nearly Tk 117 million.

Paramount Textile's shares on Sunday traded between Tk 59.80 and Tk 62.20 each on the DSE, before closing at Tk 61.10, gaining 0.49 per cent over the previous session.

In the last one year, its share traded between Tk 52.10 and Tk 75 each.

The company disbursed 7.0 per cent cash and 5.0 per cent stock dividend for the year ended on June 30, 2018.

The company has reported earnings per share (EPS) in nine months for July 2018-March 2019 of Tk 2.12 as against Tk 1.20 for July 2017-March 2018.

The net operating cash flow per share (NOCFPS) was Tk 3.43 for July 2018-March 2019 as against Tk 1.64 for July 2017-March, 2018.

The net asset value (NAV) per share was Tk 21.23 as on March 31, 2019 and Tk 19.79 as on June 30, 2018.

The company made a substantial growth in revenue. EPS, NAV per share and NOCFPS due to BMRE expansion and capacity enhancement made earlier in the company, company officials said.