Thanks to the coronavirus pandemic, which has resulted in declining sales in Bangladesh’s major apparel export destinations subsequent to the collapse in demand, many listed apparel manufacturing companies in the country witnessed their profits take a major hit in the July-September quarter.
According to media reports, 39 amongst the 56 RMG and textile companies listed on the DSE or Dhaka Stock Exchange have published their first quarterly financial reports. Of them, 15 companies have posted profits that are lower than what they were in the corresponding period of the previous year.
At the peak of the COVID-19 pandemic export orders had been cancelled, hold or revised, reportedly stated the Chairman of Evince Textile, Anwar-Ul-Alam Chowdhury, speaking to the media, adding that the industry has witnessed lower earnings due to drop in sales in the export destinations on account of the pandemic.
“Textile sector had performed worse than our analysis. Our export earnings did not see de-growth in the quarter,” underscored head of research of Prime Finance Asset Management Company, Mir Ariful Islam, while adding that the export earnings of the sector during the period were not encouraging due to the coronavirus pandemic.
We knew their earnings would not delight us, said Ariful.
