Renata profit rises 14pc

Renata logged 14 per cent higher profits year-on-year in the first six months of the current financial year of 2021-22 in spite of a rise in the price of raw material.

The profits came to reach Tk 274 crore while turnover rose 6.12 per cent to Tk 1,542 crore in the July-December period, according to financial statements of the listed drug maker.

Raw material prices were higher, raising the percentage of the cost of goods sold in the total revenue.

Cost of goods sold was 52 per cent of its total revenue whereas in the same period of the preceding year it was 50 per cent.

The company's administrative and marketing cost rationalisation kept the profit higher.

Its administrative and marketing costs went down to Tk 343 crore in the first half of the current financial year, from Tk 352 crore in the same period a year ago.

Renata's net profit margin ratio stands at 19 per cent now, which was 17.68 per cent at the end of the first half of the previous financial year, shows analysis of the financial report.