| Haseeb Waqas Sugar Mills Limited |
|
|
|
|
|
|
|
|
|
| Annual
Report 2000 |
|
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| CONTENTS |
|
|
| Company
Information |
|
| Notice
of Annual General Meeting |
|
| Directors'
Report |
|
| Pattern
of Holding of Shares |
|
| Auditors'
Report |
|
| Balance
Sheet |
|
| Profit
and Loss Account |
|
| Cash
Flow Statement |
|
| Notes
to the Accounts |
|
|
|
| COMPANY
INFORMATION |
|
|
| BOARD
OF DIRECTORS |
|
| Mian
Muhammad Ilyas Miraj |
|
Chief Executive |
|
| Mian
Muhammad Ijaz Miraj |
|
| Mrs.
Shahzadi Ilyas |
|
| Mrs.
Yasmeen Riaz |
|
| Mrs.
Ayesha Ijaz |
|
| Mr.
Sohail Ahmad Butt |
|
| Mr.
Zia Mustafa |
|
|
| COMPANY
SECRETARY |
|
| M.Y. Sabir |
|
|
| AUDITORS |
|
| M/S.
Saeed Methani & Co. |
|
| Chartered
Accountants |
|
|
| BANKERS |
|
| Habib
Bank Limited |
|
| National
Bank of Pakistan |
|
| Allied
Bank of Pakistan Ltd. |
|
| United
Bank Ltd. |
|
|
| REGISTRAR |
|
| Softlink
(Pvt.) Ltd. |
|
| Wings
Arcade |
|
| 1-K
(Commercial) |
|
| Model
Town Lahore. |
|
|
| LEGAL
ADVISOR |
|
| Shahid
Jamil Khan Advocate |
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| 19-Dinga
Singh Building, |
|
| 46-The
Mall, Lahore. |
|
|
| REGISTERED
OFFICE |
|
| 103-B/1,
M.M. Alam Road, |
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| Gulberg-III,
Lahore - Pakistan. |
|
|
| MILLS |
|
| Mirajabad, |
|
| Teh.
Nankana Sahib, |
|
| Distt.
Sheikhupura. |
|
|
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| NOTICE
OF ANNUAL GENERAL MEETING |
|
|
| NOTICE
is hereby given that the 9th Annual General Meeting of the shareholders of
Haseeb Waqas Sugar Mills |
|
| Limited
will be held at its Registered Office, namely, 103-B/1, M.M. Alam, Road,
Gulberg-III, Lahore, on Friday, |
|
| 30th
day of March, 2001 at 9:00 A.M. to transact the following business:- |
|
|
| 1.
To confirm the minutes of the 8~h Annual General Meeting held on April 28,
2000. |
|
|
| 2.
To receive, consider and adopt the Annual Audited Accounts of the Company for
the year ended |
|
| September
30, 2000 together with Directors' and Auditors' Report thereon. |
|
|
| 3.
To appoint Auditors and fix their remuneration, the retiring auditors M/S
Saeed Methani & Company, |
|
| Chartered
Accountants, Lahore, being eligible, have offered themselves for
re-appointment. |
|
|
| 4.
To transact such other business which may be placed before the meeting with
the permission of the chair. |
|
|
|
On behalf of the Board, |
|
|
|
|
| PLACE: |
Lahore |
|
M.Y. SABIR |
|
| DATED: |
March 02, 2001 |
|
(Company Secretary) |
|
|
| NOTES: |
|
| 1.
The Share Transfer Book of the Company will remain closed form March 22, 2001
to March 30, 2001 |
|
| (both
days inclusive). |
|
|
| 2.
A member entitled to attend and vote at this meeting may appoint another
member as a proxy to attend |
|
| and
vote on his/her behalf. Proxies in order to be effective must be received at
the Registered Office of |
|
| the
Company, alongwith the attested copies of NIC or Passport, not less than 48
hours before the |
|
| meeting
and must be duly stamped, signed and witnessed by two persons. |
|
|
| 3.
All the members should bring their Original National Identity Card or
Original Passport at the time of the |
|
| Annual
General Meeting to facilitate the identification. |
|
|
| 4.
Members whose shares are deposited with Central Depository Company of
Pakistan Limited, are also |
|
| advised
to bring with them Participant's ID number with sub-account number or CDC
Investor Account |
|
| number. |
|
|
| 5.
Members are requested to immediately notify the change of address, if any, at
our Head Office, i.e. 103- |
|
| B/1,
M.M. Alam Road, Gulberg-III, Lahore. |
|
|
|
| DIRECTORS'
REPORT |
|
|
| The
Board of Directors welcome you to the ninth Annual General Meeting of the
Company and present the |
|
| Audited
Accounts for the year ended September 30, 2000. |
|
|
| The
operational performance for the year under review is as under: |
|
|
|
2000 |
1999 |
|
| Sugarcane
Crushed |
(M. Ton) |
469,252 |
931,634 |
|
| Sugar
Produced |
(M. Ton) |
35,788 |
70,372 |
|
| Sugar
Recovery |
|
7.62% |
7.55% |
|
| Days
Worked |
|
128 |
152 |
|
|
| Lesser
cultivation of sugarcane and decrease in per acre yield due to no rain led to
shortage of cane in the |
|
| country
which resulted in under utilization of crushing capacity of the mills. The
shortage of cane compelled the |
|
| sugar
mills to pay more than the Government announced support price. |
|
|
| Inspite
of above problems, your management has exercised prudence marketing policy
and fetched higher selling |
|
| rate
and managed the financial results to profit zone and earned Rs. 42 million
pre-tax profit. |
|
|
| CURRENT
YEAR'S PROSPECTS |
|
| The
size of cane crop during this year is almost the same as in previous year.
The growers, by exploiting the |
|
| situation,
are demanding hard cash and about double the support price of Rs.35 per maund
from the very first day |
|
| of
the season. To meet daily cash requirement, mills have to make forced
selling. Furthermore, Government's |
|
| policy
of allowing continuous imports of Indian sugar into Pakistan, have pushed the
sugar prices below the cost |
|
| of
production. The import of refined and raw sugar will result in about 300,000
Tons of surplus sugar in Pakistan |
|
| by
the end of the season. It is felt that above narrated factors will adversely
effect the financial position of the |
|
| sugar
industry. |
|
|
| PSMA
has requested the concerned Ministries to ban further import of sugar to save
the industry from total |
|
| collapse;
otherwise none of the mills will be in a position to meet its obligations. |
|
|
| During
current year, your management is focusing on higher recovery of the sugar and
selling it on comparatively |
|
| better
prices to offset the negative impact of under utilization of capacity and
higher input cost. May ALLAH help |
|
| US. |
|
|
| AUDITORS |
|
| The
present auditors M/S Saeed Methani & Co., Chartered Accountants retire
and being eligible, offer themselves |
|
| for
reappointment. |
|
|
| THE
PATTERN OF SHAREHOLDING |
|
| The
pattern of shareholding as on September 30, 2000 is annexed. |
|
|
| APPRECIATION |
|
| The
management employees relations remained cordial and the Directors record
their appreciation for their |
|
| devotion,
sense of responsibility and loyalty. |
|
|
|
On behalf of Board of Directors |
|
|
|
|
| Lahore |
|
Muhammad Ilyas Miraj |
|
| December
05, 2000 |
|
Chief Executive |
|
|
|
|
| FORM 34 |
|
| PATTERN
OF HOLDING OF SHARES |
|
| HELD
BY THE SHAREHOLDERS AS AT 30TM SEP. 2000 |
|
|
| Shareholding |
|
Total
Shares |
|
| No. of |
From |
To |
Held |
|
| Shareholders |
|
|
| 99 |
1 |
100 |
9900 |
|
| 2166 |
101 |
500 |
1046700 |
|
| 397 |
501 |
1000 |
394800 |
|
| 499 |
1001 |
5000 |
1418600 |
|
| 106 |
5001 |
10000 |
841600 |
|
| 27 |
10001 |
15000 |
333400 |
|
| 22 |
15001 |
20000 |
402600 |
|
| 16 |
20001 |
25000 |
374300 |
|
| 18 |
25001 |
30000 |
516300 |
|
| 2 |
30001 |
35000 |
67000 |
|
| 2 |
35001 |
40000 |
77000 |
|
| 1 |
40001 |
45000 |
45000 |
|
| 1 |
45001 |
50000 |
50000 |
|
| 1 |
50001 |
55000 |
50500 |
|
| 1 |
55001 |
60000 |
60000 |
|
| 1 |
65001 |
70000 |
66700 |
|
| 1 |
70001 |
75000 |
75000 |
|
| 1 |
75001 |
80000 |
80000 |
|
| 1 |
90001 |
95000 |
93400 |
|
| 2 |
95001 |
100000 |
200000 |
|
| 1 |
195001 |
200000 |
195200 |
|
| 1 |
245001 |
250000 |
246000 |
|
| 1 |
305001 |
310000 |
310000 |
|
| 1 |
310001 |
315000 |
312400 |
|
| 1 |
320001 |
325000 |
324800 |
|
| 3 |
330001 |
335000 |
1000500 |
|
| 2 |
385001 |
390000 |
773000 |
|
| 1 |
395001 |
400000 |
400000 |
|
| 1 |
405001 |
410000 |
407400 |
|
| 1 |
595001 |
600000 |
600000 |
|
| 1 |
615001 |
620000 |
617600 |
|
| 1 |
640001 |
645000 |
640500 |
|
| 1 |
665001 |
670000 |
667000 |
|
| 2 |
765001 |
770000 |
1537000 |
|
| 2 |
1965001 |
1970000 |
3937500 |
|
| 1 |
3370001 |
3375000 |
3375000 |
|
| 1 |
4040001 |
4045000 |
4041000 |
|
| 1 |
6810001 |
6815000 |
6812300 |
|
| ----------- |
----------- |
----------- |
----------- |
|
| 3387 |
|
32400000 |
|
| ========== |
========== |
========== |
========== |
|
|
|
| Categories
of Shareholders |
Number |
Share Held |
Percentage |
|
| Individuals |
|
3365 |
22402300 |
69.14 |
|
| Investment
Companies |
|
6 |
491600 |
1.52 |
|
| Insurance
Companies |
|
2 |
622600 |
1.92 |
|
| Joint
Stock Companies |
|
1 |
6812300 |
21.03 |
|
| Financial
Institutions |
|
4 |
130200 |
0.40 |
|
| Modarabas |
|
1 |
800 |
0.00 |
|
| Leasing
Companies |
|
1 |
386300 |
1.19 |
|
| Others |
|
7 |
1553900 |
4.80 |
|
|
----------- |
----------- |
----------- |
|
| Total |
|
3387 |
32400000 |
100.00 |
|
|
----------- |
----------- |
----------- |
|
| Modarabas
Managements |
|
4 |
524100 |
1.62 |
|
| Non-Resident |
|
2 |
719800 |
2.22 |
|
| Trust |
|
1 |
310000 |
0.96 |
|
|
----------- |
----------- |
----------- |
|
| Total |
|
7 |
1553900 |
4.80 |
|
|
----------- |
----------- |
----------- |
|
|
|
|
| AUDITORS'
REPORT TO THE MEMBERS |
|
|
| We
have audited the annexed Balance Sheet of HASEEB WAQAS SUGAR MILLS LIMITED as
at September |
|
| 30,
2000 and the related Profit and Loss Account, Cash Flow Statement and
Statement of Changes in Equity |
|
| together
with the notes forming part thereof, for the year then ended and we state
that we have obtained all the |
|
| information
and explanations which to the best of our knowledge and belief were necessary
for the purposes of |
|
| our audit. |
|
|
| It
is the responsibility of the Company's management to establish and maintain a
system of internal control, and |
|
| prepare
and present the above said statements in conformity with the approved
accounting standards and the |
|
| requirements
of the Companies Ordinance, 1984. Our responsibility is to express an opinion
on these statements |
|
| based
on our audit. |
|
|
| We
conducted our audit in accordance with the auditing standards as applicable
in Pakistan These standards |
|
| require
that we plan and perform the audit to obtain reasonable assurance about
whether the above said |
|
| statements
are free of any material misstatements. An audit includes examining, on a
test basis, evidence |
|
| supporting
the amounts and disclosures in the above said statements. An audit also
includes assessing the |
|
| accounting
policies and significant estimates made by management, as well as, evaluating
the overall |
|
| presentation
of the above said statements. We believe that our audit provides a reasonable
basis for our opinion |
|
| and,
after due verification, we report that: |
|
|
| (a)
In our opinion, proper books of account have been kept by the Company as
required by the Companies |
|
| Ordinance,
1984; |
|
|
| (b)
In our opinion; |
|
|
| i)
the Balance Sheet and Profit and Loss Account together with the notes thereon
have been drawn |
|
| up
in conformity with the Companies Ordinance, 1984 and are in agreement with
the books of |
|
| account
and are further in accordance with accounting policies consistently applied; |
|
|
| ii)
the expenditure incurred during the year was for the purpose of the Company's
business; and |
|
|
| iii)
the business conducted, investments made and the expenditure incurred during
the year were in |
|
| accordance
with the objects of the Company; |
|
|
| (c)
In our opinion and to the best of our information and according to the
explanations given to us, the |
|
| Balance
Sheet, Profit and Loss Account, Cash Flow Statement and Statement of Changes
in Equity |
|
| together
with notes forming part thereof conform with approved accounting standards as
applicable in |
|
| Pakistan,
and, give the information required by the Companies Ordinance, 1984, in the
manner so |
|
| required
and respectively give a true and fair view of the sate of the Company's
affairs as at September |
|
| 30,
2000 and of the profit, its cash flow and changes in equity for the year then
ended; and |
|
|
| (d)
In our opinion, no Zakat was deductible at source under the Zakat and Ushr
Ordinance, 1980. |
|
|
|
Sd/- |
|
| Lahore |
|
Saeed Methani & Co., |
|
| December
05, 2000 |
|
CHARTERED ACCOUNTANTS |
|
|
|
| BALANCE
SHEET AS AT SEPTEMBER 30, 2000 |
|
|
|
NOTE |
2000 |
1999 |
|
|
|
RUPEES |
RUPEES |
|
| CAPITAL
AND RESERVES |
|
| Authorised
Capital |
|
| 35,000,000
Ordinary Shares of Rs. 10/- each |
|
350,000,000 |
350,000,000 |
|
|
========== |
========== |
|
| Issued,
Subscribed and Paid up |
|
3 |
324,000,000 |
324,000,000 |
|
| Surplus
on Revaluation on Fixed Assets |
|
4 |
517,441,565 |
517,441,565 |
|
| Un-appropriated
Profit/(Loss) |
|
|
(41,770,969) |
(78,087,633) |
|
|
|
799,670,596 |
763,353,932 |
|
|
|
|
|
| LONG
TERM LOANS |
|
5 |
246,317,835 |
260,174,432 |
|
|
| LIABILITIES
AGAINST ASSETS SUBJECT |
|
| TO
FINANCE LEASE |
|
6 |
49,256,631 |
57,370,046 |
|
|
|
|
|
| DEFERRED
LIABILITIES |
|
7 |
23,190,264 |
78,345,416 |
|
|
|
|
|
| CURRENT
LIABILITIES |
|
|
|
| Short
Term Loans |
|
8 |
47,159,547 |
350,306,226 |
|
| Current
Portion of Long Term Liabilities |
|
9 |
117,811,977 |
127,453,562 |
|
| Creditors,
Provisions and Accrued Liabilities |
10 |
70,051,634 |
140,076,191 |
|
| Provision
for Taxation |
|
16,706,715 |
10,557,696 |
|
|
----------- |
----------- |
|
|
251,729,873 |
628,393,675 |
|
|
| CONTINGENCIES
AND COMMITMENTS |
11 |
|
|
----------- |
----------- |
|
|
1,370,165,199 |
1,787,637,501 |
|
|
========== |
========== |
|
|
| PROPERTY
AND ASSETS |
|
| Fixed Assets |
|
12 |
1,059,843,184 ~ |
1,109,932,365 |
|
| Assets
Subject to Finance Lease |
|
13 |
163,412,367 |
169,351,261 |
|
|
|
----------- |
----------- |
|
|
1,223,255,551 |
1,279,283,626 |
|
|
| LONG
TERM DEPOSITS |
|
2,916,450 |
2,159,500 |
|
|
| CURRENT
ASSETS |
|
| Stores
and Spares |
|
65,235,153 |
65,153,772 |
|
| Stock
in Trade |
|
11,746,892 |
333,280,907 |
|
| Advances,
Deposits and Prepayments |
|
14 |
66,562,171 |
100,715,797 |
|
| Cash
and Bank Balances |
|
15 |
448,982 |
7,043,899 |
|
|
|
----------- |
----------- |
|
|
143,993,198 |
506,194,375 |
|
|
----------- |
----------- |
|
|
1,370,165,199 |
1,787,637,501 |
|
|
========== |
========== |
|
| The
annexed notes from 1 to 29 form an integral part of the financial statements. |
|
|
|
CHIEF EXECUTIVE |
|
DIRECTOR |
|
|
|
| PROFIT
AND LOSS ACCOUNT |
|
| FOR
THE YEAR ENDED SEPTEMBER 30, 2000 |
|
|
|
NOTE |
2000 |
1999 |
|
|
|
RUPEES |
RUPEES |
|
| SALES |
|
16 |
1,229,804,064 |
1,144,461,720 |
|
| COST
OF SALES |
|
17 |
1,027,632,370 |
995,875,718 |
|
|
|
----------- |
----------- |
|
| GROSS
PROFIT |
|
202,171,694 |
148,586,002 |
|
|
| OPERATING
EXPENSES |
|
| Administrative
Expenses |
|
18 |
15,405,431 |
20,095,537 |
|
| Selling
Expenses |
|
19 |
15,238,192 |
27,840,874 |
|
|
|
----------- |
----------- |
|
|
|
30,643,623 |
47,936,411 |
|
|
|
----------- |
----------- |
|
| OPERATING
PROFIT |
|
|
171,528,071 |
100,649,591 |
|
| Non-Operating
Income |
|
20 |
-- |
568,635 |
|
|
----------- |
----------- |
|
|
171,528,071 |
101,218,226 |
|
| FINANCIAL
CHARGES |
|
21 |
126,827,351 |
163,254,947 |
|
| WORKERS
PROFIT PARTICIPATION FUND |
|
2,235,036 |
-- |
|
|
|
129,062,387 |
163,254,947 |
|
|
----------- |
----------- |
|
| NET
PROFIT/(LOSS) BEFORE TAXATION |
|
42,465,684 |
(62,036,721) |
|
| Prior
Year's Adjustment |
|
-- |
30,966,372 |
|
|
----------- |
----------- |
|
|
42,465,684 |
(93,003,093) |
|
| Provision
For Taxation |
|
22 |
6,149,020 |
3,615,821 |
|
|
----------- |
----------- |
|
| NET
PROFIT/(LOSS) AFTER TAXATION. |
|
36,316,664 |
(96,618,914) |
|
| Net
Profit/(Loss) Brought Forward |
|
(78,087,633) |
(71,468,719) |
|
|
|
|
| PROFIT/(LOSS)
AVAILABLE FOR APPROPRIATION |
|
(41,770,969) |
(168,087,633) |
|
| Transferred
From General Reserve |
|
-- |
90,000,000 |
|
|
----------- |
----------- |
|
| UN-APPROPRIATED
PROFIT/(LOSS) CARRIED FORWARD |
(41,770,969) |
(78,087,633) |
|
|
========== |
========== |
|
| The
annexed notes from 1 to 29 form an integral part of the financial statements. |
|
|
|
CHIEF EXECUTIVE |
|
DIRECTOR |
|
|
|
| CASH
FLOW STATEMENT |
|
| FOR
THE YEAR ENDED SEPTEMBER 30, 2000 |
|
|
|
|
|
2000 |
1999 |
|
|
RUPEES |
RUPEES |
|
| (a)
CASH FORM OPERATING ACTIVITIES |
|
| Net
Profit/(Loss) Before Taxation |
|
42,465,684 |
(62,036,721) |
|
| Add: |
|
|
|
| Items
not involving in Movement of Funds |
|
|
|
| Depreciation: |
|
|
|
| Operating
Assets |
|
53,047,972 |
36,981,904 |
|
| Assets
Subject to Finance Lease |
|
5,938,894 |
4,077,922 |
|
| Amortization
of Deferred Cost |
|
-- |
1,655,500 |
|
|
----------- |
----------- |
|
|
58,986,866 |
42,715,326 |
|
| OPERATING
PROFIT/(LOSS) BEFORE |
|
----------- |
----------- |
|
| WORKING
CAPITAL CHANGES |
|
101,452,550 |
(19,321,395) |
|
|
| CHANGES
IN WORKING CAPITAL |
|
| (Increase)/Decrease
in Current Assets: |
|
|
| Stores
and Spares |
|
(81,381) |
843,563 |
|
| Stock
in Trade |
|
321,534,015 |
(23,561,957) |
|
| Advances,
Deposits and Prepayments |
|
34,153,626 |
61,808,658 |
|
|
----------- |
----------- |
|
|
355,606,260 |
46,682,332 |
|
| Increase/(Decrease)
in Current Liabilities: |
|
| Short
Term Borrowing |
|
(303,146,679) |
68,327,103 |
|
| Creditors
and Accrued Liabilities |
|
(69,974,557) |
(46,690,845) |
|
|
----------- |
----------- |
|
|
(373,121,236) |
21,636,258 |
|
|
----------- |
----------- |
|
| Net
Working Capital Changes |
|
(17,514,976) |
68,318,590 |
|
|
----------- |
----------- |
|
| NET
CASH FROM OPERATING ACTIVITIES |
|
83,937,572 |
48,997,195 |
|
|
| (b)
CASH FROM INVESTING ACTIVITIES |
|
| Fixed
Capital Expenditure |
|
(2,958,791) |
(53,292,227) |
|
| Sale
of Fixed Assets |
|
-- |
50,346,095 |
|
| Long
Term Deposits |
|
(756,950) |
-- |
|
|
----------- |
----------- |
|
| NET
CASH USED IN INVESTING ACTIVITIES |
|
(3,715,741) |
(2,946,132) |
|
|
| (c)
CASH FROM FINANCING ACTIVITIES |
|
| Long
Term Loans Repayments |
|
(35,388,560) |
(26,485,666) |
|
| Payment
to Leasing Companies |
|
(16,954,738) |
(17,970,290) |
|
| Deferred
Liabilities |
|
(34,423,370) |
-- |
|
| Dividend
Payments |
|
-- |
(5,290,979) |
|
|
----------- |
----------- |
|
| NET
CASH FROM FINANCING ACTIVITIES |
|
(86,766,668) |
(49,746,935) |
|
|
----------- |
----------- |
|
| NET
(DECREASE)/INCREASE IN CASH AND |
|
| BANK
BALANCES (a+b+c) |
|
(6,544,837) |
(3,695,872) |
|
|
| OPENING
CASH AND BANK BALANCES |
|
7,043,818 |
10,739,690 |
|
|
----------- |
----------- |
|
| CLOSING
CASH AND BANK BALANCES |
|
498,981 |
7,043,818 |
|
|
========== |
========== |
|
|
|
|
CHIEF EXECUTIVE |
|
DIRECTOR |
|
|
|
|
| NOTES
TO THE ACCOUNTS |
|
| FOR
THE YEAR ENDED SEPTEMBER 30, 2000 |
|
|
| 1.
STATUS AND PRINCIPAL ACTIVITIES |
|
| Haseeb
Waqas Sugar Mills Limited is a public Company quoted on Karachi and Lahore
Stock Exchanges, |
