A large, almost debt-free medicine maker with steadily rising profits and a dependable, growing cash dividend — built for stability rather than fast growth.

Square Pharmaceuticals PLC is a medicine (pharmaceutical) company that has been listed on the Dhaka Stock Exchange since 1995 — about 30 years on the market. It sits in the "Pharmaceuticals & Chemicals" sector and is one of the country's large, well-established drug makers. It is in the exchange's top "A" category.

It is a big company by local standards. In its 2025 financial year it earned about 7,629 crore taka in sales and about 2,397 crore taka in net profit. It has around 88.6 crore shares in issue, each with a face value of 10 taka, and has built up reserves (past profits kept in the business) of roughly 12,905 crore taka.

Over three decades it has become a household name in medicines, and its scale and long track record are a big part of the story — this is an established blue-chip, not a young or untested company.

The company's business is easy to understand: it makes and sells medicines. People and hospitals buy its products all year round, which gives it steady, repeatable demand rather than one-off sales.

Sales have grown from about 5,835 crore taka in 2021 to about 7,629 crore taka in 2025 — a rise of roughly 31% over five years. That growth comes from selling more of its existing products and adding new ones.

In mid-2026 the company's board approved a contract-manufacturing arrangement with another maker (C2C Pharma Ltd.) to help meet increased demand for existing products and to introduce new ones — a sign it is trying to expand what it can supply. (The exchange noted it had not yet received a copy of that agreement.)

This is where the company looks strongest. Net profit has climbed every single year: about 1,595 crore taka in 2021, then 1,818, 1,898, 2,093 and 2,397 crore taka in 2025 — an increase of about 50% over the five years. Profit per share rose the same way, from about 17.99 taka to 27.04 taka.

It turns sales into profit well. In 2025 it made about 2,100 crore taka of operating profit on about 7,629 crore taka of sales, and that profit margin has stayed healthy year after year.

One thing to watch: revenue is a little bumpier than profit — sales dipped from about 6,641 crore taka in 2022 to about 6,071 crore in 2023 before recovering. And the cash it collects from operations moves around (about 1,098 crore in 2021, about 854.6 crore in the weaker 2023, then about 1,853 and 1,730 crore in 2024–2025). But the overall direction of both profit and cash is upward.

Square's balance sheet is about as safe as they come on the local market. It carries almost no borrowing — total loans of only about 82.5 crore taka against shareholders' own money (equity) of about 13,996 crore taka. In plain terms, it barely owes anyone anything.

On top of that it holds a large cash cushion — about 5,540 crore taka in 2025, up from about 4,336 crore in 2021 — and reserves (profits kept in the business over the years) of roughly 12,905 crore taka.

With near-zero debt, a big cash pile and steady profits, the company could comfortably survive a bad year or two. It also pays for its factory spending (about 617.7 crore taka in 2025) out of its own cash rather than by borrowing.

Square is a dependable dividend payer. It has paid a cash dividend every year, and the amount has risen steadily: 60% of face value in 2021, then 100%, 105%, 110% and 120% in 2025. On a face value of 10 taka, that 120% means about 12 taka in cash per share, up from about 6 taka five years earlier. It pays cash, not bonus shares.

The dividend looks safe. In 2025 the company earned about 27.04 taka per share and paid out 12 taka — a little under half of its profit — leaving plenty behind to reinvest and to cushion future payouts. And because it generates real operating cash (about 1,730 crore taka in 2025), the dividend is backed by actual money, not just accounting profit.

Its most recent dividend, 120% cash for the 2025 financial year, was declared on 23 October 2025 with a record date of 16 November 2025. (Today's dividend yield — the dividend measured against the current price — changes with the price, so it is shown live beside this report, not here.)

Square's advantage is not a secret formula — it is size, reputation and staying power. Three decades on the market, a large sales base (about 7,629 crore taka in 2025) and reserves of roughly 12,905 crore taka give it a scale and financial cushion that small rivals cannot easily match.

Among the sector peers in this report, recent yearly earnings growth ranges widely — from a small dip at ACME Laboratories to over 20% at Navana Pharmaceuticals. Square sits in the healthy middle with steady, repeatable growth (profit up about 50% over five years) rather than one-off jumps. Some multinational names in the sector, such as Marico and Reckitt Benckiser, earn unusually high returns on the money shareholders put in because they run lighter, brand-only businesses; Square is a heavier manufacturer that owns big factories, so its returns look more ordinary but rest on a very large base of its own money.

The clearest sign of its strength is who backs it: its top credit rating (the agency CRISL rated it "AAA" long-term with a stable outlook) and its own founders. Sponsors and directors — including the Chairman and Managing Director — bought large blocks of shares over 2026, lifting sponsor ownership to about 44.15%.

• Profits keep rising. Net profit grew about 50% over five years, from about 1,595 crore taka in 2021 to about 2,397 crore in 2025, with profit per share up to about 27.04 taka.
• A fortress balance sheet. Almost no debt (about 82.5 crore taka of loans against about 13,996 crore taka of shareholders' money), a big cash pile of about 5,540 crore taka and reserves of about 12,905 crore taka.
• A reliable, growing dividend. The cash dividend has risen every year to 120% of face value (about 12 taka per share) in 2025, and uses a little under half of profit — so it is well covered.
• Insiders are buying. The Chairman, Managing Director and a Director each bought large blocks of shares in 2026, and sponsor ownership rose to about 44.15% — a sign the people who know it best are confident.
• Top credit rating. The credit agency CRISL rated the company "AAA" (its highest long-term grade) with a stable outlook.

• Slow grower. This is a big, mature company; sales rose only about 31% over five years and even dipped in 2023. Do not expect fast growth.
• Bumpy cash flow. The cash it collects from operations jumps around — about 854.6 crore taka in the weaker 2023 versus about 1,853 crore in 2024 — so profit does not always turn into cash evenly.
• A lot of idle cash. It sits on about 5,540 crore taka of cash and roughly 12,905 crore taka of reserves that are not fully put to work, which holds down the return earned on all the money tied up in the business.
• Closely held, thinner free float. Sponsors and directors own about 44.15% and the general public only about 26.91%, so relatively few shares trade freely.
• Unproven new venture. The 2026 contract-manufacturing deal with C2C Pharma may help, but the exchange noted it had not yet received a copy of the agreement, and the benefit will not show until it appears in the results.

Square Pharmaceuticals is the kind of steady, blue-chip business that long-term and income-minded investors tend to like: profits that rise a little every year, a balance sheet with almost no debt, a big cash cushion and a dependable, growing cash dividend.

The trade-off is speed. It is large and mature, so it grows slowly, its cash flow can be bumpy from year to year, and it keeps a lot of money idle. Someone hoping for a quick, exciting rise may find it dull.

If you want a stable company to hold for years and collect a reliable dividend, Square fits that profile well. Whether today's price is attractive is a separate question — check the live value estimate shown beside this report, and remember this is educational information, not a recommendation to buy or sell.