Walton incurs losses as sales dwindle
The fallout of Russia-Ukraine war, the depreciation of US dollar against the taka and the increase in the price of raw materials have pushed the country’s leading electronics brand Walton to loss.
Walton, a registered company on the stock exchange, disclosed its financial statement for July-September on Monday. The country’s leading bourse Dhaka Stock Exchange (DSE) has published Walton’s statement on its website.
According to the financial report, Walton in the first quarter of the current fiscal 2022-23 incurred a loss of Tk 1.52 per share. The company gained Tk 9.28 per share at the same time in the previous FY and Tk 13.26 in the first quarter of FY 2020-21.
Walton incurred a loss for the first time after being listed on the stock exchange on 23 September 2020. The economy has been facing a crisis since then.
The Russia-Ukraine war that started in February led to a whopping increase in the price of raw materials in the global market. Freight fares also got increased as a result of the war. Moreover, the country faced an acute dollar crisis in July-September leading to the depreciation of the Taka. Prices of essentials also shot up.
As a result of the price hike, people started to decrease purchasing luxury items. This led to a decrease in sales of Walton.
The sales of Walton have decreased by around Tk 2.5 billion in comparison with the same period of the previous year.