Matin Spinning Mills PLC has reported remarkable growth in profits for the first half of the fiscal year 2024-25, highlighting the resilience of the textile sector in Bangladesh despite significant challenges.
The company registered a 17 per cent year-on-year increase in sales, amounting to Taka 445 crore in the July-December period. This sales growth translated into a more than threefold increase in profits, reaching Taka 25 crore compared to the same timeframe last year.
The surge in revenue was primarily driven by an increase in average selling prices and a rise in sales volume, which improved to 10,100 tonnes from 9,559 tonnes over the six-month period. The average selling price for yarn also saw a slight increase, rising to US $ 3.68 per kilogram from US $ 3.64.
Despite the positive financial results, Matin Spinning faced challenges related to supply chain disruptions and increased operating costs due to higher wages. Additionally, the company experienced higher finance costs as interest rates climbed in the banking sector, with net interest costs increasing by 38 per cent year-on-year to Taka 18 crore.
