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Walton Hi-Tech Industries secured a remarkable 79 per cent year-on-year growth in profit to Tk 4.22 billion in the third quarter through March this year, supported by a significant decrease in foreign currency transaction loss.
Its earnings per share rose to Tk 13.93 for the January-March quarter this year, up from Tk 7.78 for the same quarter a year ago, according to its financial statements published on Sunday.
The electronic and home appliance giant's nine-month profit through March this year escalated 205 per cent year-on-year to Tk 7.62 billion, while the foreign currency transaction loss was reduced by more than 56 per cent year-on-year to Tk 2.63 billion during the time.
The country's largest consumer electronic brand's net sales revenue grew almost 5 per cent year-on-year to Tk 42.86 billion in the nine months through March, while cost of sales fell slightly, leading to the company's bottom-line growth, according to the financial statements.
Finance costs during the nine months were significantly lower than in the same period of the previous year because the impact of the currency devaluation against the dollar and the euro was less, said the company.
"Anticipating healthier profits in the last quarter of the current financial year (April to June, 2024), the management remains optimistic about Walton Hi-Tech's continued growth and performance," reads an earnings statement.
Walton managed to offset the costs partially by adjusting sales prices, which resulted in a comparatively higher profit during the time, said an official of the company.
It listed on the stock exchange in September 2020 by raising Tk 1 billion under the book-building method and issuing only 0.97 per cent shares.
Meanwhile, Walton's annual profit had declined 36 per cent year-on-year to Tk 7.83 billion in FY23, the lowest in three years since its listing in 2020.
Despite the profit decline, the company paid 300 per cent cash dividends for FY23 for general shareholders and 90 per cent for sponsor-directors, the highest since the listing.
Walton's stock fell 2.23 per cent on the Dhaka Stock Exchange to Tk 632.9 per share on Sunday. It tumbled 40 per cent since the floor price removal on January 21 this year.
As a result, Walton saw its market value wiped out by Tk 126 billion since the withdrawal of the price restriction, leading to its sliding from the second to the third position in terms of market capitalisation.