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138	138	The future of this industry is bright. The government is eying setting up of 100 economic zones (EZ) in the country. The rapid industrialization of the country will require support of the consumer durables industry as the people will be moving towards advance economy. Also, the production sites of the companies in this industry will be set up in those zones to ensure efficient production costs thus affordable prices.
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	140	+= Business Overview =
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	142	+Singer Bangladesh Limited is doing its business with the slogan “Embrace Life Now”. The company produces a range of consumer durable goods, electronics, and kitchen appliances. The main products of the company include refrigerator, air conditioner, television, washing machine, microwave oven, and kitchen appliances.
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	144	+In the year 2020, ended 31 December, Singer has reported a revenue of Tk 14,958 million which was 15,370 million a year earlier, a 2.68% decline year-on-year. Apart from that the company has earned carrying charges of Tk 87 million which was Tk 114 million a year earlier, a 23.68% decline year-on-year. The revenue of the company has slightly declined because of the Covid-19 pandemic. During the period of extended lockdowns, consumer behaviour had changed as they were more prone to savings than spending. However, Singer managed to keep the sales to a good level despite all the challenges.
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	146	+The cost of goods sold for the company during the latest year was Tk 10,982 million while it was Tk 11,102 million, a 1.08% decrease. The cost of goods sold also slightly decreased along with the revenue. Therefore, the cost of raw materials and others is remaining almost same over the years. Operating profit of the company has also decreased slightly during the year. All the figures are coherent and happened due to decrease in revenue in fact. However, finance costs of the company have increased from Tk 403 million in 2019 to Tk 443 million in 2020. Profit after tax of the company stood at Tk 782 million which was Tk 1,031 million a year earlier, an 24.15% decrease.
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	148	+The company’s business can be segregated into four segments in terms of revenue. Maximum revenue comes from the home appliances sale, followed by consumer electronics, other appliances and sewing machines. The segregation is shown in the following graph –
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	150	+[[image:sales segments.png||alt="market segments of the company" height="300" width="500"]]
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	152	+Total assets of the company have decreased slightly during the year due to a decrease in the property, plant, & equipment, right-of-use (ROU) asset, and deposits and prepayments. However, the company has increased its current assets balance at the end of the year.
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	154	+Owners’ equity of the company during 2020 stood at Tk 3,209 million while it was Tk 3,192 million a year earlier. Long-term debts of the company have reduced from Tk 25 million to Tk 14 million. However, total long-term liabilities have increased during the year by almost Tk 151 million due to increase in other non-current liabilities – includes non-remittable accounts of Tk 1,562 million which is due to Retail Holdings Bhold B.V., The Netherlands. As per directives of Bangladesh Bank, the company neither remit this as dividend nor as capital.
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	156	+The company has achieved a return on equity (ROE) of 24.36% in 2020 which was 32.32% in the previous year. Number of shares outstanding for the company is 99.70 million in both 2020 and 2019. Earning per share of the company is Tk 7.85 in 2020, which was Tk 10.35 in 2019. The company has declared a dividend of Tk 3.0 per share, which was Tk 7.7 per share a year earlier. Net cash flow of the company during the latest year is Tk 905.3 which was Tk 1,355.0 in 2019. Net operating cash flow per share of the company in 2020 is Tk 9.08 which was Tk 13.6 in 2019. Debt to equity ratio of the company in 2020 is 0.6 and it was same in the previous year. Overall, the performance of the company has slightly deteriorated due to the Covid-19 pandemic. But the company has maintained a consistency in all its major indicators that is, when sales has decreased, cost of goods sold has also decreased proportionately. Debt to equity ratio of the company remained the same during the year. However, financing cost increased slightly in the current year. Size of the company expressed in terms of number of employees in 1,767.
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