Share price of Bangladesh Shipping Corporation (BSC) dropped 1.60 per cent on Thursday despite the company reported record profit in the first half of the current fiscal year.
The state-run shipping corporation posted an impressive 399 per cent increase in its first half (H1) profit for July-December 2021 compared to the same period of the previous fiscal year, thanks to an increase of fare of the shipping sector internationally.
In a filing with Dhaka Stock Exchange (DSE) Thursday, the company said its earnings per share (EPS) increased to Tk 8.28 for July-December 2021, up by a whopping 399 per cent, from Tk 1.66 in the corresponding period.
The profit grew to Tk 1.26 billion, the highest profit compared to the first half of any financial year since the inception of the corporation. It has also surpassed the nearly Tk 720 million annual profit for the fiscal year (FY) 2020-21.
About the impressive growth in profit, the corporation said hikes in shipping fares internationally on a large scale helped it post higher revenue, and profit than the previous fiscal year.
Despite the higher profit news, its share price dropped by 1.60 per cent to close at Tk 141.10 on Thursday at the DSE.
Market insiders, however, said the shipping corporation's share price already soared in a record high in recent months. So, it's a natural correction.
In the past one and a half months until February 6, the state-run listed entity's share price jumped about 200 per cent or Tk 98.80 each.
The Bangladesh Shipping Corporation was also the day's most-traded stock on Thursday.
According to the DSE data, some 6.15 million shares of the shipping corporation were traded, generating a turnover of Tk 869 million, which was 6.92 per cent of the day's total turnover.
Share price of British American Tobacco Bangladesh also fell by 2.64 per cent to close at Tk 627.5 on the day amid lower-than expected- earnings and dividend declaration.
The board of directors of the multinational tobacco company has recommended a 150 per cent final cash dividend for the year ended on December 31, 2021.
The company declared a total 275 per cent cash dividend of the year ended on December 31, 2021 inclusive of 125 per cent interim cash dividend, which has already been paid.
The annual general meeting will be held on March 30 at 10:30am through digital platform. The record date is set on March 3, according to a filing with the DSE on Thursday.
The company has also reported earnings per share (EPS) of Tk 27.72 for the year ended on December 31, 2021, posting a 37.5 per cent growth, from Tk 20.16 in the previous year.
The net asset value (NAV) per share of Tk 68.13 and net operating cash flow per share (NOCFPS) of Tk 14.73 for the year ended on December 31, 2021 as against Tk 62.96 and Tk 27.81 respectively for the same period of the previous year.
In 2020, the company disbursed 600 per cent cash and 200 per cent stock dividend.
