In a significant financial development, the Bangladesh Shipping Corporation (BSC) announced that it had achieved a net profit of Tk 246.29 crore during the 2022-23 fiscal year. This notable achievement underscores the corporation’s commitment to its operational excellence and its pivotal role in Bangladesh’s maritime sector.
The momentous announcement was made during the 318th board meeting of the BSC’s board of directors, which convened at the BSC head office in Chattogram. The meeting, presided over by BSC Chairman and State Minister for Shipping Khalid Mahmud Chowdhury, was attended by various key figures from the government and the BSC management.
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The Bangladesh Shipping Corporation BSC announced the declaration of a 25% dividend to its shareholders. This dividend distribution is a reflection of the corporation’s commitment to its stakeholders, who have played a crucial role in its continued growth and success. The dividend not only rewards the shareholders but also serves as an incentive for future investments in the corporation.
Impressive Growth in Profit
The Bangladesh Shipping Corporation (BSC), a state-owned oceangoing vessel management authority, has reported a 23% year-on-year growth in profit to Tk 62 crore in the January-March quarter of 2023 as its income from lighterage ships significantly jumped. Based on unaudited financial reports, there was a 14% increase in its net revenue, amounting to Tk 123 crore when compared to the same period in the previous year (20-22).
Contributions of Different Segments
The lighterage ship division of the corporation made a noteworthy contribution of Tk 30.44 crore, marking a substantial increase from Tk 14 crore. However, the revenue from its charter ships experienced an 8% decline, falling to Tk 65 crore due to damage sustained by one of the vessels during the Russia-Ukraine conflict. Additionally, the service revenue witnessed robust growth, surging by 23% to reach Tk 27.87 crore.
For the initial nine months of the fiscal year 2022-23, the corporation’s total revenue exhibited a commendable 10% rise, reaching Tk 369.59 crore. Simultaneously, the profit increased by Tk 1.73%, reaching Tk 190 crore, as reported by BSC’s official statement.
In the last fiscal year (22-23), BSC made a profit of Tk225.80 crore, which is 213% higher than the previous year (21-22).
In FY (21-22) year, it paid a 20% cash dividend to its shareholders. The dividend stood at 12% in the previous fiscal (20-21) year.
The achievement of a net profit of Tk 246.29 crore for the 2022-23 fiscal year highlights the Bangladesh Shipping Corporation’s commitment to excellence and its substantial role in the country’s maritime industry.
Insights into the Growth
Mohammad Ashraful Amin, general manager (Administration) of Bangladesh Shipping Corporation (BSC), clarified the motives behind the notable financial performance. He stated, “Revenue and profit jumped related to the previous year (2022), due to mostly an important jump in the income from lighterage ships.” He Currently, the demand for oil tankers has increased, and the fare has also jumped.
So, the revenue of the lighterage ships, which carry oil from mother vessels, saw a jump. Earlier, the demand for bulk carriers was upright, but the demand is declining now. On the contrary, the demand for oil tankers has improved, which has contributed to BSC’s revenue.”
The Bangladesh Shipping Corporation (BSC) is a prominent state-owned shipping enterprise situated in the heart of Bangladesh. Since its inception in 1972, the BSC has established itself as a vital player in the nation’s maritime landscape. Its contributions extend beyond mere economic influence, actively fostering the growth and development of Bangladesh.