Business Report :
Energypac Power Generation, a publicly listed company in the power sector, reported a Tk35 crore loss for the first quarter of the current fiscal year, primarily driven by a significant increase in finance costs from the previous year, along with a sharp rise in interest rates.
For the July to September period, power engineering company’s loss per share rose to Tk1.85, compared to a profit per share of Tk0.05 in the same period of the previous fiscal year, as per its price-sensitive information.
The full report for the first quarter has yet to be published, so the exact finance costs incurred remain unconfirmed. However, the company attributed the decrease in earnings per share to the higher finance charges compared to last year and the impact of increased interest rates.
Just four years after being listed on the bourses in 2021, Energypac Power reported a loss of Tk98 crore FY24, and for the first time since its listing, it did not pay any dividends to its shareholders.
According to its auditor report, Energypac’s total loans and borrowings stood at Tk1,287cr representing approximately 80 per cent of total liability at the end of June 2024. Interest rates for loans and borrowing significantly increased in recent times and now the rates jumped over 12per cent.
