Most listed multinational companies (MNCs) in Bangladesh reported lower profits in the October-December quarter of FY25, as higher financing costs and economic uncertainty took a toll on earnings.

According to Sandhani Asset Management, nine of the 13 listed MNCs have released financial reports for the period, with four recording profit declines, one reporting increased losses, and the remaining four seeing profit growth.

Shahidul Islam, CEO of VIPB Asset Management, attributed the profit erosion to tight monetary and fiscal policies, which reduced aggregate demand and GDP growth. He noted that while MNCs suffered, their profit declines were less severe than those of other listed firms.

Persistent inflation—above 9% since March 2023—affected consumer spending, particularly on non-essential goods, said Mir Ariful Islam, CEO of Sandhani Asset Management. Cuts in government spending on the Annual Development Programme (ADP) also hit the construction sector.

LafargeHolcim Bangladesh’s profit dropped 43% to Tk 51 crore in Q4, while its annual net profit fell 36% to Tk 381 crore. The company cited political changes and macroeconomic challenges as key factors.

Singer Bangladesh’s losses more than tripled to Tk 54 crore due to higher financing costs and weak sales. Rising interest rates, reaching nearly 12% in December 2024 from 9% a year earlier, contributed to the financial strain.

British American Tobacco (BAT) posted a slight profit decline to Tk 428 crore, possibly due to shifts in consumer preferences toward lower-priced products.