Message from the Chairman

Dear Owners of Summit Power Limited

As-Salamu-Alaikum and warm greetings. It is my privilege to welcome you to the 28th Annual General Meeting of Summit Power Limited (SPL).

In 2009, we established four power plants with the best quality reciprocating engines from Finland’s Wärtsilä at Rupganj, Maona, and Jangalia and a GE Jenbacher reciprocating engine at Ullapara. In this reporting period, three plants, i.e., Rupganj, Maona and Ullapara, generated electricity for nine months on a “No Electricity, No Payment” basis. We are pleased that our engineers have run these power plants professionally for the past 15 years without any major breakdowns or safety issues and concluded the Power Purchase Agreement (PPA) with the government of Bangladesh successfully. Alhamduillah!

Meanwhile, Summit’s two older power plants, i.e., Ashulia 1 (2003) and Madhabdi 1 (2003) with Caterpillar USA engines, had received a second renewal of Power Purchase Agreements (PPAs) after their initial 15 years followed by their first 5 years renewal. Given there was no gas supply, the plants did not operate this year. We are happy that these power plants were best utilized within their operational lifespan and provided cost-effective power.

Similarly, Narayanganj Unit 1 successfully operated in its initial 5 years and renewed contract periods till March 2024. In 2025, the Board of Directors of Summit Power Limited decided to explore buyers and later the Company has entered into an Asset Purchase Agreement to sell the Narayanganj Unit 1 power plant, in its entirety, to the Sabson Energy FZCO, UAE, a company of Salem Abdul Rahman Bajersh & Sons (SABSON), a well established conglomerate that started in Yemen over 100 years ago and now operate in several middle eastern countries. We are also exploring relocation opportunities for six other retired plants overseas.

Therefore, during FY 2024-25, a total of seven plants remained non-operational, leading to a 6.6% revenue reduction and a 39% decline in net profit. Due to permanent reduction in assets i.e. seven power plants, an “Impairment Loss” of BDT 1,380 million was recorded. However, prudent cost management and a stabilised exchange rate contributed to a 15.5% reduction in finance expenses.

The Board has recommended a 10.5% cash dividend (BDT 1.05 per share), subject to the shareholders’ approval.

SPL continues to play a leading role as Bangladesh’s largest and most reliable IPP, operating and co-owning 2,036 MW, including 733 MW fully under SPL. Through our eight plants, SPL contributes 7% of IPP capacity of Bangladesh and 18% of private sector power generation with associate companies. Summit retains its ‘AAA’ credit rating, reflecting our long-standing resilience and strong governance practices and maintains the confidence of global financial institutions such as Clifford Capital, SMBC, IDCOL, ICD, OFID, as well as local banks.

On behalf of the Board of Directors, we want to record our condolences on the passing of Mr. Syed Fazlul Haque, FCA, Director of Summit Power Limited. We appreciate his guidance and that helped us to uphold the highest standards of corporate governance.

This year we also lost Prof Hamiduzzaman Khan, the Ekushey Padak award-winning legendary sculptor of the nation. He had created the “Hamiduzzaman Sculpture Park” in Summit Gazipur power plant premises and harmonized the concept of “Labour and Art” through the largest mural in the country. Because of his presence, the Summit family has come to realize that art and industrialization complement each other.

I express sincere gratitude to our employees, Board of Directors, our valued shareholders, partners, and regulators, for their continued trust and support. Together, we will strive to ensure reliable, affordable, and sustainable power for Bangladesh’s future.

Thank you.
Sincerely

Mohammad Latif Khan
Chairman, Summit Power Limited
22nd October 2025