Runner Automobiles reported a 142 percent increase in consolidated profit for the fiscal year 2026, reaching Tk 300 million, driven by higher sales in four-wheeler commercial vehicles and electric two-wheelers, alongside improved cost controls and a recovery in its subsidiary’s performance. The company’s earnings per share (EPS) rose to Tk 1.70, up from Tk 0.90 in the previous year, according to financial disclosures released on Tuesday. The EPS growth was tempered as the calculation excluded profits attributable to non-controlling shareholders of the subsidiary.
This marks a significant turnaround for the pioneering motorcycle manufacturer and exporter in Bangladesh, which had posted cumulative losses of Tk 1 billion in the 2023 and 2024 fiscal years amid sluggish sales and rising costs. The recovery that started in fiscal year 2025 strengthened further in FY26. Consolidated revenue increased by 15.5 percent year-on-year to Tk 12.10 billion for the year ended June 2026, supported by expanded production capacity and robust demand across key vehicle segments.
Runner Automobiles credited the improved performance to higher sales volumes, strategic marketing, an extensive dealer network, stringent cost management, and efficient use of funds. Chief financial officer Shanat Datta highlighted that sales growth was mainly driven by four-wheeler commercial vehicles and electric two-wheelers, particularly e-bikes. The company’s subsidiary, Runner Motors, also delivered a strong recovery in sales and profitability, contributing positively to the consolidated results.
Looking ahead, Mr. Datta expressed confidence in meeting sales targets in the upcoming fiscal year, citing ongoing sales momentum and increasing consumer interest in electric two-wheelers. To capitalize on this trend, Runner Automobiles is expanding its footprint in Bangladesh’s emerging electric vehicle market. Last month, the company inaugurated what it described as the country’s largest exclusive showroom for YADEA, a global electric scooter brand. As the exclusive distributor of YADEA in Bangladesh, Runner aims to leverage the Chinese brand’s international reputation to introduce a wider range of electric scooters to local consumers.
The expansion into electric mobility aligns with rising fuel prices and growing consumer demand for cost-effective transportation options. Additionally, Runner has completed a technical agreement with China’s BYD Auto Industry Co, following a feasibility study, to explore local production of BYD electric cars in Bangladesh. While the project’s timeline and production scale remain uncertain, it presents a potential new avenue for the company in the electric passenger vehicle sector.
Despite strong earnings growth, the board of Runner Automobiles proposed maintaining the cash dividend at 10 percent for FY26, unchanged from the previous year. Shareholders will receive Tk 1 per share against an EPS of Tk 1.70, representing a payout ratio of approximately 59 percent. Akramul Alam, head of research at Royal Capital, said the decision reflects the company’s effort to balance shareholder returns with the need to reinforce financial strength and fund future growth.
The company also reported a 64 percent year-on-year increase in net operating cash flow per share to Tk 16.84 in its standalone financials, primarily driven by improved collections from sales. Analysts view the stronger cash flow as evidence of enhanced operational efficiency, supporting the company’s ability to manage working capital and meet ongoing expenses.
Runner Automobiles is scheduled to hold its annual general meeting on December 23, with November 24 set as the record date for dividend entitlement. Following the earnings announcement, Runner’s share price rose 4.86 percent to Tk 45.30 on the Dhaka Stock Exchange, indicating increased investor interest.