B Mirror Desk: Walton Hi-Tech Industries PLC, a prominent manufacturer in the electrical and electronics sector, is set to launch a local production facility for high-quality lithium-ion batteries.

This initiative aims to decrease reliance on imports while providing competitively priced, domestically produced products. The company anticipates that commercial production will begin by mid-2026, following the board’s approval of the project alongside its third-quarter unaudited financial results.

As a leader in lithium-ion battery cell production, Walton is committed to driving technological advancements, establishing quality and sustainability standards, and fostering job creation, technological development, and export opportunities. However, Walton reported an 8.5 percent decline in net profit year-on-year, totaling Tk 696 crore for the July-March period of the 2024-25 financial year, attributed to various factors. Additionally, an increase in the value-added tax (VAT) to 7.5 percent on refrigerators and the introduction of a similar rate on air conditioners have contributed to rising costs, as noted in a company press release.

As a result, Walton’s operating profit margin for the July-March period of FY24-25 fell to 22.09 percent, down from 24.73 percent during the same timeframe last year. The finance cost as a percentage of sales also increased to 7.29 percent from 6.14 percent, influenced by higher borrowing costs and the depreciation of the local currency against the US dollar.