Unilever Consumer Care Limited (UCCL) reported a 25% increase in year-on-year profit in the nine months leading to September. However, during this period, revenue decreased.
According to the recently released financial statements, the multinational corporation’s overall sales fell by 6% to Tk 3 billion from January to September.
This decline was attributed to increased raw material costs, reducing gross profits.
Nonetheless, as part of the Unilever Group of Companies, the manufacturer successfully enhanced net profit by significantly reducing operating expenses and improving net finance income.
Operating costs dropped by 37% to Tk 510 million during the first nine months of 2023, down from Tk 815 million in the same period the previous year.
Net finance income, on the other hand, surged by an impressive 627% to Tk 122 million.
As a result, UCCL achieved a 25% rise in net profit, reaching Tk 678 million.
This marked an increase from the Tk 540 million in net profit reported during the same period the previous year.
Earnings per share also saw an uptick, rising from Tk 28.04 in the same period the previous year to Tk 35.19 in January-September 2023.
The company, previously known as GlaxoSmithKline Bangladesh Ltd, attributed the improved EPS to greater efficiency in operating expenses and a one-time benefit from reassessing past liabilities and obligations.
It received a one-time waiver of technical assistance fees and royalties from the parent company for 2023, considering the country’s current economic conditions.
In June 2020, Unilever Overseas Holdings BV acquired an 81.98% stake in GlaxoSmithKline Bangladesh, leading to the change in the company’s name to Unilever Consumer Care Ltd.