SK Trims Loss Narrows To Tk 11.94 Crore On Higher Exports And Cost Controls
SK Trims & Industries reported reduced losses of Tk 11.94 crore for nine months, with net operating cash flow per share turning positive at Tk 1.01 from negative Tk 0.53 a year earlier, driven by higher exports and cost control measures.
Dhaka, September 29, 2026 — SK Trims & Industries reported a significant reduction in losses to Tk 11.94 crore for the nine-month period, driven by higher exports and effective cost control measures. In a major operational boost, its net operating cash flow per share (NOCFPS) surged into positive territory at Tk 1.01 for the nine-month period, rebounding from a negative of Tk 0.53 recorded in the previous year.
📊 Key Financial Highlights
- 💰 Loss for nine months: Tk 11.94 crore (reduced from prior period)
- 💰 Net operating cash flow per share (NOCFPS): Tk 1.01 (positive, vs negative Tk 0.53 previous year)
- 💰 Key drivers: higher exports + cost control measures
👕 SK Trims: Company Profile
SK Trims & Industries is a listed Bangladeshi manufacturing company:
- 🏭 Industry: trimming and accessories manufacturing for the apparel sector
- 🏭 Products: garment trims, accessories, packaging materials
- 🏭 Listed on: Dhaka Stock Exchange (DSE)
- 🏭 Market segment: RMG backward linkage industry
💼 Significance Of Positive Cash Flow
The shift from negative to positive net operating cash flow per share — from Tk -0.53 to Tk +1.01 — is particularly significant:
- 📈 Operational improvement — positive cash flow means the company is generating cash from operations, not just burning reserves
- 📈 Debt servicing capacity — positive cash flow supports loan repayment ability
- 📈 Investor confidence — signals that the company's core business is becoming financially sustainable
- 📈 Growth potential — positive cash flow can fund future expansion without additional borrowing
👕 Bangladesh's RMG Backward Linkage Sector
SK Trims operates in Bangladesh's RMG backward linkage sector:
- 👕 Trims and accessories — essential inputs for garment manufacturing (labels, buttons, zippers, packaging)
- 👕 Domestic supply — reducing reliance on imported trims from China and other countries
- 👕 Government support — backward linkage development is a policy priority
- 👕 Export potential — some trims manufacturers also export directly to international brands
💼 Cost Control Context
The cost control measures cited by SK Trims are particularly relevant in the current economic environment:
- 💰 Fuel price hike impact — September 20 Tk 20/litre increase affecting production costs
- 💰 Energy costs — gas supply disruptions and electricity price increases
- 💰 Input costs — raw material prices affected by global inflation and taka depreciation
- 💰 Interest rates — BB policy rate at 9.5% increasing borrowing costs
📜 Looking Ahead
For SK Trims, the narrowing loss and positive cash flow suggest the company is on a recovery trajectory. The key question is whether this improvement can be sustained despite the challenging macroeconomic environment.
For Bangladesh's RMG backward linkage sector, SK Trims' performance demonstrates that cost-conscious management and export growth can offset macroeconomic headwinds — providing a positive signal for the broader sector.
This news was originally published by The Business Standard. For the full original report, please visit: https://www.tbsnews.net/economy/stocks/sk-trims-loss-narrows-tk1194cr-higher-exports-cost-controls-1555571
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