GPH Ispat Q3 loss soars 14-fold amid weak sales

GPH Ispat Limited, a leading steel manufacturer in the country, incurred a net loss of Tk15 crore in the third quarter (January-March) of fiscal year 2025-26.

This marks a sharp deterioration in financial health, as the quarterly loss is 14 times higher than the Tk1.07 crore loss recorded during the same period in the previous fiscal year.

According to the company's price-sensitive statement filed with the Dhaka Stock Exchange (DSE) today (24 May), the earnings per share (EPS) for the third quarter dropped to negative Tk0.31, compared to negative Tk0.02 in the corresponding quarter of 2024-25.

The company attributed the ballooning loss primarily to a significant decrease in sales volume, with the management stating that lower sales led to a substantial drop in revenue, which ultimately compromised the company's overall profitability and per-share earnings during the three months.

The cumulative performance for the first nine months of the current fiscal year also paints a bearish picture. For the July-March period of FY26, the steel manufacturer reported a consolidated EPS of negative Tk0.22, a stark contrast to the positive EPS of Tk0.63 recorded in the same nine-month period a year earlier.

The company's net asset value (NAV) per share stood at Tk51.44 as of March 31, 2026, down slightly from Tk51.72 as of June 30, 2025. Meanwhile, the net operating cash flow per share for the nine months settled at Tk6.53, compared to Tk6.70 in the previous year.

Investors reacted cautiously to the disclosure, with GPH Ispat's share price falling 1.23% to Tk15.90 on the Dhaka bourse following the announcement.

GPH Ispat, which manufactures and trades iron, steel, and other allied materials, has been a major industrial player since its commercial production began in August 2008.