Heavy fuel oil import duty pushes up Doreen Power’s business costs
Skip to main content
  • Home
  • Economy
  • Stocks
  • Analysis
  • World+Biz
  • Sports
  • Splash
  • Features
  • Videos
  • Long Read
  • Games
  • Epaper
  • More
    • COVID-19
    • Bangladesh
    • Infograph
    • Interviews
    • Offbeat
    • Thoughts
    • Podcast
    • Quiz
    • Tech
    • Subscribe
    • Archive
    • Trial By Trivia
    • Magazine
    • Supplement
  • বাংলা
The Business Standard
SUNDAY, MAY 29, 2022
SUNDAY, MAY 29, 2022
  • Home
  • Economy
  • Stocks
  • Analysis
  • World+Biz
  • Sports
  • Splash
  • Features
  • Videos
  • Long Read
  • Games
  • Epaper
  • More
    • COVID-19
    • Bangladesh
    • Infograph
    • Interviews
    • Offbeat
    • Thoughts
    • Podcast
    • Quiz
    • Tech
    • Subscribe
    • Archive
    • Trial By Trivia
    • Magazine
    • Supplement
  • বাংলা
Heavy fuel oil import duty pushes up Doreen Power’s business costs

Stocks

TBS Report
22 January, 2022, 07:20 pm
Last modified: 22 January, 2022, 07:30 pm

Related News

  • Subsidiaries help Doreen Power to exceed annual profit in nine months
  • Doreen Power’s subsidiary gets BPDB nod to start commercial operation
  • Fix minimum duty on imported consumer goods: Cabinet
  • 14 cases filed against 9 customs officials in a week over duty evasion
  • Doreen Power estimates Tk1,100cr yearly revenue from subsidiary

Heavy fuel oil import duty pushes up Doreen Power’s business costs

TBS Report
22 January, 2022, 07:20 pm
Last modified: 22 January, 2022, 07:30 pm
Representational image
Representational image

Import duty on heavy fuel oil – a basic raw material for power plants – has pushed up the business cost of Doreen Power Generations and Systems by 51% in the first half of fiscal 2021-2022 from a year earlier.

In the July-December period, its profit grew by 26%, which is way below compared to the consolidated revenue growth of 42%.

In fiscal 2020-21, the government imposed a 15% duty on the import of heavy fuel oil used for power generation.

In its financial statements, the independent power producer said the cost of production has increased because of the imposition of duties on heavy fuel oil import which was not applicable in the previous fiscal year.

It also explained in its financial statements how the company maintained the growth.

The report read that profit increased considerably, riding on a significant rise in revenue of two subsidiaries and a significant decrease in finance cost of the group for a reduction in outstanding loans and interest rates.

At the end of the first half of FY22, Doreen Power's consolidated revenue stood at Tk463.59 crore, net profit Tk79 crore, and earnings per share (EPS) Tk4.86.

Doreen Power operates three power plants with a 22-megawatt capacity each in Tangail, Feni, and Narsingdi. The plants will expire in 2023.

It also has two subsidiaries – Dhaka Southern Power Generation and Dhaka Northern Power Generation – with 55-megawatt capacity each, where Doreen Power owns more than 99% stakes. The subsidiaries have been in commercial operation since 2016.

Doreen has also received approval from the Bangladesh Power Development Board in 2019 to set up a power plant with a capacity of 115 megawatt for 15 years.

It is constructing the plant under its subsidiary named Chandpur Power Generation Ltd in which Doreen holds 99.9% shares.

Officials at the company said they could not set up the plant in time owing to the Covid-19 pandemic.

Doreen Power got listed on the capital market in 2016. It had paid 13% cash and 12% stock dividends to the shareholders for FY21.

Its shares traded at Tk75.3 each on Thursday at the Dhaka Stock Exchange.

Top News

Doreen Power Generations and Systems / import duty

Comments

While most comments will be posted if they are on-topic and not abusive, moderation decisions are subjective. Published comments are readers’ own views and The Business Standard does not endorse any of the readers’ comments.

Top Stories

  • Bankers unhappy with uniform exchange rate
    Bankers unhappy with uniform exchange rate
  • Photo: PID
    Brand Bangladesh as powerful peace promoting country: PM
  • Finance projects export fall, remittance rise
    Finance projects export fall, remittance rise

MOST VIEWED

  • CMSF emerges big to support the market
    CMSF emerges big to support the market
  • BSEC orders three banks to cancel lien with Aman Cotton
    BSEC orders three banks to cancel lien with Aman Cotton
  • This year will be tougher for the financial markets and the economy. Photo: Bloomberg
    Wall St Week Ahead: Stock rally fanned by hopes of Fed 'past peak hawkishness'
  • The Wall Street sign is pictured at the New York Stock exchange (NYSE) in the Manhattan borough of New York City, New York, US, 9 March 2020. REUTERS/Carlo Allegri
    Wall Street jumps on retailer outlook hikes, ebbing Fed fears
  • SS Steel entrepreneurs to acquire Oimex Electrode
    SS Steel entrepreneurs to acquire Oimex Electrode
  • Infographic: TBS
    Higher freight charges help BSC post stellar growth in Q3 profits

Related News

  • Subsidiaries help Doreen Power to exceed annual profit in nine months
  • Doreen Power’s subsidiary gets BPDB nod to start commercial operation
  • Fix minimum duty on imported consumer goods: Cabinet
  • 14 cases filed against 9 customs officials in a week over duty evasion
  • Doreen Power estimates Tk1,100cr yearly revenue from subsidiary

Features

Aiman R Khan. Illustration: TBS

Why ‘marry your rapist’ court orders are not always what they seem

36m | Thoughts
Photo: Collected

Top 3 The Ordinary products that give extraordinary results

2h | Mode
Photo: Courtesy

KVN Beauty: Channel your inner Bangalee baddie

2h | Mode
CholPori is planning to roll out their platform in schools so teachers can utilise their tools for the classroom. Photo: Courtesy

CholPori: Where learning is practical, fun and inclusive

2h | Panorama

More Videos from TBS

Photo: TBS

Tips to help you become a successful lawyer

3h | Videos
People bid adieu to Abdul Gaffar Chowdhury

People bid adieu to Abdul Gaffar Chowdhury

3h | Videos
Photo: TBS

Harassment over 'indecent clothing': Women gather at Narsingdi railway station to protest, show solidarity

3h | Videos
Attorney General's suggestion to reduce case clutter

Attorney General's suggestion to reduce case clutter

17h | Videos

Most Read

1
Bangladesh Bank GM, DGM’s designation changed
Banking

Bangladesh Bank GM, DGM’s designation changed

2
Corporates go cashless…tax cut on cards
NBR

Corporates go cashless…tax cut on cards

3
Photo: Courtesy
Panorama

Misfit Technologies: A Singaporean startup rooted firmly in Bangladesh

4
British International Investment (BII) CEO Nick O’Donohoe. Illustration: TBS
Economy

BII to invest $450m in Bangladesh in 5 years

5
Representational image. Picture: Pixabay
Economy

Govt raises regulatory duty to discourage imports of 130 products

6
Photo: Collected
Industry

Spanish recycled cotton producer opens new facility in Bangladesh

The Business Standard
Top
  • Home
  • Entertainment
  • Sports
  • About Us
  • Bangladesh
  • International
  • Privacy Policy
  • Comment Policy
  • Contact Us
  • Economy
  • Sitemap
  • RSS

Contact Us

The Business Standard

Main Office -4/A, Eskaton Garden, Dhaka- 1000

Phone: +8801847 416158 - 59

Send Opinion articles to - oped.tbs@gmail.com

For advertisement- sales@tbsnews.net

Copyright © 2022 THE BUSINESS STANDARD All rights reserved. Technical Partner: RSI Lab