Doreen Power Generations and Systems has been removed from the Dhaka Stock Exchange’s (DSE) list of companies facing uncertainty over their ability to continue operating, after its latest audit found no such risk.
The listed power producer has also recommended a 15 per cent cash dividend for the financial year ended 30 June 2026, up from 10 per cent a year earlier, as earnings per share rose about 58 per cent.
DSE removed Doreen Power from its going concern threat list after the company’s latest audited financial statements contained neither a warning about its ability to remain in business nor a qualified audit opinion, according to a company press release.
A going concern warning indicates significant uncertainty about whether a company can continue operating and meet its obligations. A qualified audit opinion means the auditor has identified a specific problem with the financial statements.
The issue arose from Doreen Power’s audited accounts for the year ended 30 June 2025, when its auditor flagged material uncertainty over the company’s future operations.
The concern stemmed from the expiry of power purchase agreements with the Bangladesh Rural Electrification Board and Bangladesh Power Development Board for three gas-fired power plants with a combined capacity of 66 megawatts.
Following the auditor’s warning, DSE placed Doreen Power’s shares on its non-marginable securities list under the Bangladesh Securities and Exchange Commission (Margin) Rules, 2025.
The restriction meant investors could not use margin financing, or borrowed money provided against securities, to purchase the company’s shares.
Doreen Power’s statutory auditor, Hoda Vasi Chowdhury & Co., subsequently clarified that the warning applied only to the company’s separate financial statements, not to the wider group’s consolidated accounts.
The distinction is significant because separate financial statements cover the parent company alone, while consolidated accounts combine the financial position of the parent and its subsidiaries.
The group’s three subsidiaries continued operating under valid power purchase agreements extending to 2031 and 2037.
The auditor therefore concluded that there was no material uncertainty over the group’s ability to continue operating.
Doreen Power subsequently approached DSE and the Bangladesh Securities and Exchange Commission, citing the auditor’s clarification.
With the latest audited financial statements for the year ended 30 June 2026 containing no going concern warning or qualified audit opinion, DSE removed the company from its published list.
Meanwhile, Doreen Power’s earnings per share (EPS) rose about 58 per cent to Tk5.03 in the financial year 2025-26 from Tk3.19.
Net operating cash flow per share, which measures the cash generated from regular business operations for each share, climbed about 61 per cent to Tk18.96 from Tk11.78.
Net asset value per share, representing the company’s assets after deducting liabilities on a per-share basis, rose to Tk57.12 on 30 June.
The company’s board recommended the 15 per cent cash dividend at a meeting on 8 October. Shareholders will receive Tk1.50 for each share with a face value of Tk10 if the dividend is approved.
The proposed dividend remains subject to shareholder approval at the annual general meeting scheduled for 24 December at 11 am through a digital platform.
The record date has been fixed for 12 November, meaning shareholders recorded as eligible on that date will qualify for the dividend and participation in the meeting.
Doreen Power has traded in the A category since its listing on the stock exchanges in 2016. The company said it has regularly held annual general meetings and paid dividends.
