The Fenaka Corporation Limited has stated that it has seen profit from operating expenses in the last two quarters.
Speaking at the conference, Managing Director Muaz Mohamed noted that Fenaka was running at a loss until the last quarter of 2023. He stated that the company's financial reports have shown positive changes. He noted that the company has reduced its expenses in the last two quarters and made a profit in both quarters. The company's debt stood at USD 279 million when the current administration took over.
The company's operating expenses stood at a loss of USD 1.6 million by the end of 2023. Muaz disclosed that the company posted a profit of USD 501,323 in the first quarter, which is a 77% increase over the first quarter of the previous year. During the second quarter of the year, Fenaka posted a profit of USD 273,449, a 117% increase over the same period of the previous year.
Furthermore, Muaz said the company is working to reduce its expenses while paying off its debts. The company has paid more than USD 19.5 million to suppliers and contractors in the past six months. Fenaka aims to pay off its debt of USD 279 million by 2027 and make the company fully profitable.
The company's efforts to reduce costs include not renewing the contracts of employees hired for projects that have been stalled for a long time, reducing the company's logistics expenses and slowing down CSR expenses. The company has also stopped operating the ice plants that were operating at a loss.