Walton Hi-Tech Industries announced the good news of rising profits yesterday and plans to expand its overseas presence, driving its shares up 3%.
The local listed electronics giant has decided to open branches or liaison offices in India, Nepal, the United Arab Emirates and South Korea, which would not only expand its market and help find technologies.
For all the latest news, follow the Daily Star’s Google News channel.
“We already send our products to these countries, but now we want to strengthen our market share there,” said managing director Golam Murshed.
Special marketing and service teams will work in these offices to achieve the upgrade goal of becoming one of the top five global electronics giants by 2030, he said.
South Korea will allow product research and development, he said.
Its board also decided to invest $500,000 in the Walton Corporation United States of America to purchase common and preferred shares, subject to approval by Bangladesh Bank and other relevant regulators.
The aforementioned company will provide import, export and sourcing services in North America, Walton Hi-Tech Industries said in a web posting on the Dhaka Stock Exchange.
“In the United States, we started supplying products to American e-commerce giant Amazon,” Murshed said, adding that now that effort would be taken further.
The company’s shares jumped 2.97% to Tk 1,286 crore after the news broke on the DSE website.
Between July 2020 and March 2021, its profits increased by 34% to Tk 1,029 crore.
During this period, its sales increased by 18.6% year-on-year to Tk 4,291 crore.
On earnings, Murshed said people’s confidence in the company boosted sales.
Demand for freezers, air conditioners and household appliances has been higher this year, while televisions have overtaken those exported, he said.
Earlier last February, Walton decided to make a new investment of $640 million, equivalent to Tk 5,440 crore, to expand the facilities to produce and increase exports of electrical and electronic products.
With him, the company sought 300 acres of land at Bangabandhu Sheikh Mujib Shilpa Nagar in Chattogram.
Today, Walton has over 20,000 employees in 22 production bases over 680 acres of factory area in Chandra, Gazipur.