Singer Bangladesh reports Tk 489 loss in 2024 amid rising costs, inflation

Singer Bangladesh Limited has announced its audited financial results for the year ending December 31, 2024, reporting a net loss of Tk. 489 million. The company cited rising finance costs, currency depreciation, and economic challenges as key factors behind the decline.

Key Financial Highlights:

Revenue Growth: Revenue increased by 9.5 per cent to Tk. 18.7 billion from Tk. 17.0 billion in 2023. However, sales fell short of expectations due to weak consumer purchasing power amid sustained inflation.

Gross Profit & Margin: Gross profit increased by Tk. 43 million, but the GP margin declined to 26.5 per cent from 28.8 per cent, impacted by higher trade goods sales and forex-related losses.

Operating Expenses: Increased by 16 per cent due to higher advertisement and sales promotion costs, salaries, rent for new shops, and warranty expenses.

Finance Costs: Surged by 137 per cent, reaching Tk. 1,433 million, driven by a 4 per cent rise in interest rates and foreign exchange losses from significant currency depreciation.

Earnings Per Share (EPS): Declined from Tk. 5.24 in 2023 to (Tk. 4.91) in 2024, primarily due to higher finance costs and exchange rate losses.

Net Asset Value (NAV) Per Share: Decreased following an increase in short-term borrowing from Tk. 8,142 million to Tk. 11,908 million, needed for working capital.

Operating Cash Flow (NOCFPS): Declined to Tk. 7.96 due to increased expenses and unsold inventory.

Company Outlook

Despite economic challenges, Singer Bangladesh announced a 10 per cent cash dividend and reaffirmed its commitment to strengthening its market presence. The company has implemented initiatives to improve operations and mitigate financial risks.