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Sonali Aansh declared a staggering 172 per cent growth in profits to Tk 95.35 million in FY25.
The profit growth was attained from rising revenue as the demand for locally made jute yarn and jute twine has been increasing in the world market.
According to a stock exchange filing on Wednesday, the company's earnings per share rose to Tk 8.79 in FY25 from Tk 3.23 the year before.
Jute yarn is a spun fibre primarily used for weaving, knitting, and creating fabrics like burlap.
Jute twine is a tightly twisted, finished product often used for packaging, binding, and crafting due to its strength and durability.
Md Habibur Rahman Khan, company secretary of Sonali Aansh Industries Limited, told The FE, "Our revenue grew remarkably, as exports of jute yarn and jute twine to India and Europe received a boost."
Jute yarn and twine from Bangladesh are considered good due to their high tensile strength, durability, and eco-friendly, biodegradable nature.
Bangladesh produces the highest-quality jute fibre in the world, known for being strong, inexpensive, and resistant to abrasion.
"We also received a huge export subsidy as our exports increased compared to our local sales," said the company secretary.
A 10 per cent cash subsidy on exports provides an additional boost to revenue and net profits.
Sonali Aansh has been producing value-added, diversified jute products like shoes, bags, and accessories. They are getting higher prices for these value-added products.
Alongside higher profits, cash generation capacity also increased from Tk 7.71 per share in FY24 to Tk 9.11 per share in FY25.
Due to higher profits, the company has declared a higher dividend for FY25 - 15 per cent cash. It paid 10 per cent cash dividends the year before.
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