Earnings Report /
Bangladesh

Heidelberg: Q3 CY22 loss declined by 67% driven by deferred tax income of BDT 218mn

  • 67% yoy decline in net loss reported in Q3 CY22 and 14% yoy growth in top-line revenue reported in Q3 CY22

  • Gross margin declined by 458bps yoy in the quarter

  • BDT 218mn deferred tax income helped reduced the net loss in Q3 CY22

Shopnil Paul
Shopnil Paul

Research Associate

Follow
IDLC Securities
24 October 2022
Published byIDLC Securities
  • 67% yoy decline in net loss reported in Q3 CY22. EPS in Q3 CY22 stood at BDT -0.64 against BDT -1.9 in Q3 CY21. In the 9M CY22, Heidelberg reported an EPS of BDT -4.27 against BDT +9.88 in 9m CY21.

  • 14% yoy growth in top-line revenue reported in Q3 CY22. The growth in revenue is driven by the price hike in the cement industry.

  • Gross margin declined by 458bps yoy in the said quarter. Unlike LHBL BD, Heidelberg has to import the raw materials for cement manufacturing, the price of which significantly increased in the international market. On top of that, HEID BD could not completely pass on the increased cost at the consumer level because of the existing intense competition in the market. Resultantly, the gross margin of the company contracted by 458bps.

  • BDT 218mn deferred tax income helped reduced the net loss in Q3 CY22.