Square Textiles has announced a remarkable 53 per cent year-on-year rise in profit for the second quarter of the 2024-25 fiscal year, driven primarily by enhanced yarn production. The company reported a profit of Taka 38.13 crore for the quarter.
Revenue also saw significant growth, climbing 26 per cent year-on-year to Taka 674.32 crore for the second quarter. The company attributed this growth to expanded yarn production from its new project in Habiganj, alongside ongoing modernization and rehabilitation initiatives at both the Gazipur project and Square Texcom. The appreciation of the dollar also contributed to the positive financial results.
However, the surge in yarn production resulted in an increase in raw material costs, which rose by Taka 190.18 crore. Additionally, finance costs grew by Taka 29.11 crore, attributed to the need for extra financing related to expansion and BMRE activities, as well as higher interest rates on loans.
