Singer Bangladesh has received approval from the Bangladesh Economic Zones Authority (BEZA) to commence commercial operations at its newly established manufacturing plant in Narayanganj’s Bangladesh Special Economic Zone stated in a report.
The state-of-the-art factory, built in 2022 with an investment of $78 million (approximately Tk800 crore), spans 135,000 square meters and aims to transform local production by manufacturing 90% of its product lineup domestically. The facility marks the first investment in Bangladesh by Arçelik, the flagship company of Turkey’s Koç Group, which acquired Singer Bangladesh in 2019.With an annual production capacity of 15 lakh units, the plant is set to manufacture a range of home appliances, including refrigerators, televisions, washing machines, and air conditioners. The expansion is expected to bolster local manufacturing capabilities while generating employment opportunities for approximately 4,000 workers.
Read more: BAT Bangladesh to Invest Tk 25 Crore in Packaging Upgrade
Despite the significant milestone, Singer Bangladesh reported an annual loss of Tk49 crore in 2024 the first in the company’s history. As a result, the board has proposed a reduced dividend payout of 10% in cash, a substantial decrease from the previous year’s 35% dividend.The company’s revenue for the year reached Tk1,870 crore, reflecting a 9.5% increase from Tk1,700 crore in the prior year. However, sales failed to meet expectations amid economic challenges, including declining consumer purchasing power due to persistent inflation.
Several macroeconomic factors, including the devaluation of the taka, difficulties in opening letters of credit, and rising finance costs, contributed to the downturn. The company also cited broader economic uncertainties as key obstacles impacting overall profitability.
Looking ahead, shareholders will convene for the company’s annual general meeting on April 22 to review financial performance, discuss strategic plans, and vote on the proposed dividend payout.
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