Written by The Banking Post
Eastern Housing Limited posted a 37 per cent year-on-year profit growth in FY25, driven by higher apartment and land sales alongside interest income from short-term investments.
The listed real estate firm reported Tk 772 million in annual profit, up from Tk 564 million a year earlier, according to price-sensitive information published Tuesday. Earnings per share rose to Tk 8.27 from Tk 6.04.
Analysts noted that Eastern Housing’s debt-free position shielded it from high borrowing costs, while its sizeable short-term investments of Tk 4.40 billion and deposits of Tk 350 million with Bangladesh Bank boosted interest earnings.
On the back of strong earnings, the board announced a 25 per cent cash dividend for FY25, compared to 19 per cent in the previous year. With 93.34 million shares, the payout will total over Tk 233 million, leaving the bulk of profits for future expansion.
The company’s operating cash flow improved sharply to Tk 2.90 per share from a negative Tk 10.42 per share in FY24. Its annual general meeting is scheduled for October 30, with October 5 set as the record date for dividend entitlement.
Although full-year revenue figures are yet to be released, nine-month results through March showed a 21 per cent rise to Tk 1.99 billion. Land sales grew 14 per cent to Tk 1.75 billion, while apartment sales surged 130 per cent to Tk 238 million. Gross profit margin improved to 39.4 per cent, up from 34.7 per cent, aided by easing construction material prices.
Despite the upbeat earnings, Eastern Housing’s stock fell 2.87 per cent to Tk 88.1 on the Dhaka Stock Exchange Tuesday.
