Summit Power Ltd, a major private electricity producer, reported a significant increase in its profit for 2024, thanks to reduced volatility in the exchange rate.

Summit said its consolidated EPS increased by 51.2 percent this financial year compared to last year, primarily due to the significantly higher heavy fuel oil (HFO) cost relative to HFO revenue in the previous year.

This was driven by the sharp appreciation of the US dollar against the Bangladeshi taka, which resulted in higher import costs.

"As this impact was relatively lower in the current year, the EPS has increased," it said in a disclosure to the Dhaka Stock Exchange yesterday.

The company posted a profit of Tk 334.24 crore in the year ended June 30, 2024, marking a 51 percent year-on-year increase.

The company posted a profit of Tk 334.24 crore in the year that ended on June 30, 2024

Buoyed by the positive earnings, shares of the company remained an identical 3.07 percent to Tk 16.30 in the last trading on the DSE yesterday.

Its consolidated earnings per share (EPS) rose to Tk 3.13 from Tk 2.07 in the previous year, according to the disclosure.

The board of directors has recommended a 10 percent cash dividend for the year, the same as in the previous year.

The company's consolidated net asset value per share stood at Tk 41.44 as of June 30, 2024, up from Tk 38.02 a year ago.

However, its consolidated net operating cash flow per share declined to Tk 6.13 from Tk 7.04 over the same period.