| Maple Leaf Electric Company Limited |
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| Annual
Report 1999 |
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| CONTENTS |
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| MAPLE
LEAF ELECTRIC COMPANY LIMITED |
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| Company
Information |
|
| Notice
of Meeting |
|
| Directors'
Report |
|
| Pattern
of Share Holding |
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| Auditors'
Report |
|
| Balance Sheet |
|
|
| Profit
& Loss Account |
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| The
Statement of Changes in Financial Position |
|
| Notes
to the Statement of Changes in Financial Position |
|
| Notes
to the Accounts |
|
| Statement
and Report under Section 237 |
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|
| Subsidiary
Company |
|
| KOHINOOR
RAIWIND MILLS LIMITED |
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| Company
Information |
|
| Notice
of Meeting |
|
| Directors'
Report |
|
| Pattern
of Holding of the Shares |
|
| Auditors'
Report |
|
| Balance Sheet |
|
|
| Profit
and Loss Account |
|
| Cash
Flow Statement |
|
| Notes
to the Accounts |
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|
|
| COMPANY
INFORMATION |
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|
| BOARD
OF DIRECTORS |
|
|
| MR.
TARIQ SAYEED SAIGOL |
|
Chairman |
|
| MR.
SAYEED TARIQ SAIGOL |
|
Chief Executive |
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| MR.
TAUFIQUE SAYEED SAIGOL |
|
| MR.
AAMIR FAYYAZ SHEIKH |
|
| MR.
ASAD FAYYAZ SHEIKH |
|
| MR.
USMAN SAID |
|
| SYED
JAWAD GILLANI |
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| COMPANY
SECRETARY |
|
| MR.
MUHAMMAD ASHRAF |
|
|
| AUDITORS |
|
| M/S.
AMIN, MUDASSAR & CO. |
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| CHARTERED
ACCOUNTANTS |
|
|
| BANKERS |
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| MUSLIM
COMMERCIAL BANK LIMITED |
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| GULF
COMMERCIAL BANK LIMITED |
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| THE
BANK OF PUNJAB |
|
| PRIME
COMMERCIAL BANK LIMITED |
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| REGISTERED
OFFICE & |
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| SHARES
DEPARTMENT |
|
| 42-LAWRENCE
ROAD, |
|
| LAHORE
- 54OOO |
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| TEL:
(92-42) 6302261-62 |
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| FAX:
(92-42) 6368721 |
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|
| PROJECTS |
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| ISKENDERABAD,
DISTT. MIANWALI |
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| TEL
:(92-459) 392561 |
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| FAX:
(92-459) 392323 |
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| PESHAWAR
ROAD, RAWALPINDI |
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| TEL:
(92-51) 476154 |
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| FAX:
(92-51) 476153 |
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|
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| NOTICE
OF ANNUAL GENERAL MEETING |
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| Notice
is hereby given that the 7th Annual General Meeting of the members of Maple
Leaf Electric |
|
| Company
Limited will be held on Friday, December 31, 1999, at 10.30 a.m. at its
Registered Office, |
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| 42-Lawrence
Road, Lahore, to transact the following business:- |
|
|
| 1.
To confirm the minutes of the last Extra-Ordinary General Meeting held on
September 30, 1999. |
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|
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| 2.
To receive, consider and adopt the audited accounts of the Company for the
year ended |
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| June
30, 1999 together with the Directors' and Auditors' reports thereon. |
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|
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| 3.
To approve the payment of final cash dividend @ Rs. 1.25 per share of Rs.
10/= each |
|
| (12.5%),
for the year ended June 30, 1999, as recommended by the Directors. |
|
|
| 4.
To appoint Auditors and fix their remuneration. M/s. Amin, Mudassar &
Co., Chartered |
|
| Accountants,
the retiring auditors, being eligible offer themselves for re-appointment. |
|
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| 5.
To transact any other business with the permission of the Chair. |
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|
By order of the Board, |
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|
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| Lahore:
December 03, 1999. |
|
(MUHAMMAD ASHRAF) |
|
|
Company Secretary |
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|
|
|
| NOTES: |
|
|
| 1.
The share transfer books of the Company shall remain closed from December 25,
1999 to |
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| December
31, 1999 (both days inclusive) and no transfer will be accepted during this
period. |
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| The
members whose names appear in the register of members' as at the close of
business on |
|
| December
24, 1999 will qualify for the payment of cash dividend. |
|
|
| 2.
A member entitled to vote at this meeting is entitled to appoint another
member as proxy. |
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| Proxies
in order to be effective must be received at 42-Lawrence Road, Lahore, the |
|
| Registered
Office of the Company not less than 48 hours before the meeting and must be |
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| duly
stamped, signed and witnessed. |
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|
| 3.
Shareholders are requested to promptly notify the Company of any change in
their |
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| addresses. |
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| DIRECTORS'
REPORT TO THE SHAREHOLDERS |
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| The
Directors of your Company welcome you to the 7th Annual General Meeting of
the Company and |
|
| take
pleasure in placing before you their report along with audited accounts and
auditors' report thereon |
|
| for
the year ended 30th June, 1999. |
|
|
| OPERATING
AND FINANCIAL RESULTS |
|
|
| Your
Company earned a net profit after tax of Rs. 82.670 million as compared to
Rs. 93.415 million last |
|
| year.
The operating profit of your Company improved from Rs. 118.264 million last
year to Rs. 202.300 |
|
| million
this year. However, due to the continued recession in the stock market
coupled with the |
|
| economic
conditions of Pakistan, the market value of long term investment in Maple
Leaf Cement |
|
| Factory
Limited declined from Rs. 136.184 million to Rs. 30.746 million resulting in
loss due to diminution |
|
| in
value of investment to the tune of Rs. 105.438 million. The break-up value of
the investment as per the |
|
| audited
accounts for the year ended June 30, 1998 was Rs. 24.04 and as per the
un-audited accounts |
|
| for
the half year ended was Rs. 21.23. The summarised results for the year ended
June 30, 1999 are as |
|
| follows: |
|
|
|
|
|
|
(Rupees in
thousand) |
|
|
|
|
1999 |
1998 |
|
| Net
profit of the Company for the year ended |
|
|
| 30th June, 1999 |
|
|
82,669 |
93,415 |
|
| Unappropriated
profit brought forward |
|
|
152,186 |
58,771 |
|
|
|
|
------------------ |
------------------ |
|
| Profit
available for appropriation |
|
|
234,855 |
152,186 |
|
|
|
|
| APPROPRIATIONS: |
|
|
|
| Proposed
Final Cash Dividend @ Rs. 1.25 (1998: Nil) per share |
|
65,000 |
-- |
|
| Transfer
to General Reserve |
|
|
160,000 |
-- |
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|
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|
------------------ |
------------------ |
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|
225,000 |
-- |
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|
------------------ |
------------------ |
|
| Unappropriated
profit carried forward |
|
|
9,855 |
152,186 |
|
|
|
|
========== |
========== |
|
| Earning
per share (Rupees) |
|
|
1.59 |
1.80 |
|
|
|
|
|
|
| FUTURE
PROSPECTS |
|
| The
reduction in WAPDA's industrial tariff in April 1999 by about 10% to 12% and
increase in furnace oil |
|
| prices
from Rs. 5,500 per metric ton to Rs. 6,070.50 per metric ton in May 1999 will
adversely affect your |
|
| Company's
profitability. However, the management of the Company is exerting its best
efforts to |
|
| minimize
the effect on profitability through improved maintenance, cost reductions and
improvement in |
|
| consumption
ratio of the petroleum products. |
|
|
| MILLENNIUM
BUG |
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| The
hardware and software systems being used by the Company are Y2K compliant. |
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| DIVIDEND |
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| Your
Directors have recommended a cash dividend @ Rs. 1.25 per share of Rs. 10
each (12.50%) for the |
|
| year
ended 30th June, 1999. |
|
|
| AUDITORS |
|
| The
auditors M/s. Amin, Mudassar & Co., Chartered Accountants retire and
being eligible offer |
|
| themselves
for re-appointment. |
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|
| CONSOLIDATED
FINANCIAL STATEMENTS |
|
| Kohinoor
Raiwind Mills Limited, a textile weaving unit, became subsidiary of Maple
Leaf Electric |
|
| Company
Limited (the holding company) by virtue of investment with effect from
February 1999. Under |
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| International
Accounting Standards (IAS) 27, it is obligatory for the holding company to
present |
|
| consolidated
financial statements as on June 30, 1999. Last audited financial statements
of the |
|
| subsidiary
relate to the year ended September 30, 1998 which date is prescribed by the
Government |
|
| and
not by the management. The provision of IAS 27, requires that the difference
between the reporting |
|
| dates
of the holding Company and the subsidiary Company should not be more than
three months. In |
|
| view
of the extra-ordinary situation, references have been made to the Securities
and Exchange |
|
| Commission
of Pakistan for their guidance in this regard. Under the circumstances, and
in view of the |
|
| force
mature situation, it is not possible for the Company to present the
consolidated financial |
|
| statements
as on 30-06-99. The procedure suggested by Institute of Chartered Accountants
of Pakistan |
|
| has
been followed and in future the provisions of IAS 27 will be complied with. |
|
|
| PATTERN
OF SHARE HOLDING |
|
| The
pattern of share holding of the Company is included in the Annual Report. |
|
|
| ACKNOWLEDGMENT |
|
| The
Directors place on record their appreciation for the dedicated efforts made
by the Staff and |
|
| Executives
of the Company and hope that the same spirit of devotion and dedication will
continue in |
|
| future. |
|
|
|
|
For and on behalf of the Board |
|
|
|
|
|
|
|
|
|
(SAYEED TARIQ SAIGOL) |
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| Lahore:
November 30, 1999. |
|
Chief Executive |
|
|
|
|
|
|
|
| PATTERN
OF SHARES HELD BY THE SHARE HOLDERS |
|
| AS
AT JUNE 30, 1999 |
|
|
|
NO. OF |
SHAREHOLDING |
|
|
| Sr. |
SHARE |
|
TOTAL |
|
| No. |
HOLDERS |
FROM |
TO |
SHARES HELD |
|
|
|
| 1 |
18 |
1 |
100 |
921 |
|
| 2 |
55 |
101 |
500 |
17,115 |
|
| 3 |
763 |
501 |
1,000 |
502,930 |
|
| 4 |
213 |
1,001 |
5,000 |
458,260 |
|
| 5 |
56 |
5,001 |
10,000 |
403,610 |
|
| 6 |
38 |
10,001 |
15,000 |
470,960 |
|
| 7 |
14 |
15,001 |
20,000 |
259,600 |
|
| 8 |
4 |
20,001 |
25,000 |
91,600 |
|
| 9 |
21 |
25,001 |
30,000 |
568,350 |
|
| 10 |
6 |
30,001 |
35,000 |
195,350 |
|
| 11 |
2 |
35,001 |
40,000 |
75,140 |
|
| 12 |
1 |
40,001 |
45,000 |
44,500 |
|
| 13 |
9 |
45,001 |
50,000 |
425,000 |
|
| 14 |
5 |
60,001 |
65,000 |
325,000 |
|
| 15 |
1 |
65,001 |
70,000 |
65,650 |
|
| 16 |
1 |
70,001 |
75,000 |
72,410 |
|
| 17 |
1 |
80,001 |
85,000 |
84,000 |
|
| 18 |
1 |
85,001 |
90,000 |
88,036 |
|
| 19 |
1 |
95,001 |
100,000 |
97,500 |
|
| 20 |
1 |
110,001 |
115,000 |
110,500 |
|
| 21 |
2 |
125,001 |
130,000 |
260,000 |
|
| 22 |
1 |
130,001 |
135,000 |
131,740 |
|
| 23 |
1 |
135,001 |
140,000 |
136,500 |
|
| 24 |
1 |
160,001 |
165,000 |
162,500 |
|
| 25 |
1 |
185,001 |
190,000 |
189,000 |
|
| 26 |
1 |
190,001 |
195,000 |
195,000 |
|
| 27 |
1 |
220,001 |
225,000 |
223,250 |
|
| 28 |
1 |
235,001 |
240,000 |
239,990 |
|
| 29 |
1 |
375,001 |
380,000 |
377,000 |
|
| 30 |
4 |
385,001 |
390,000 |
1,560,000 |
|
| 31 |
1 |
400,001 |
405,000 |
403,000 |
|
| 32 |
1 |
425,001 |
430,000 |
430,000 |
|
| 33 |
1 |
495,001 |
500,000 |
499,850 |
|
| 34 |
2 |
515,001 |
520,000 |
1,040,000 |
|
| 35 |
1 |
730,001 |
735,000 |
732,752 |
|
| 36 |
1 |
755,001 |
760,000 |
756,600 |
|
| 37 |
1 |
780,001 |
785,000 |
780,600 |
|
| 38 |
1 |
915,001 |
920,000 |
917,470 |
|
| 39 |
1 |
1,075,001 |
1,080,000 |
1,077,000 |
|
| 40 |
1 |
1,295,001 |
1,300,000 |
1,300,000 |
|
| 41 |
1 |
1,595,001 |
1,600,000 |
1,597,000 |
|
| 42 |
1 |
2,320,001 |
2,325,000 |
2,323,750 |
|
| 43 |
1 |
2,395,001 |
2,600,000 |
2,600,000 |
|
| 44 |
1 |
5,845,001 |
5,850,000 |
5,850,000 |
|
| 45 |
1 |
6,550,001 |
6,555,000 |
6,552,589 |
|
| 46 |
1 |
8,445,001 |
8,450,000 |
8,450,000 |
|
| 47 |
1 |
8,855,001 |
8,860,000 |
8,857,977 |
|
|
------------------ |
|
------------------ |
|
|
1,243 |
|
TOTAL |
52,000,000 |
|
|
========== |
|
========== |
|
|
|
|
|
|
| Note:
The slabs not applicable, have not been shown. |
|
|
| Sr. |
CATEGORIES OF |
NUMBER OF |
NUMBER OF |
PERCENTAGE |
|
| No. |
SHARE HOLDERS |
SHARE |
SHARES |
OF ISSUED |
|
|
HOLDERS |
|
CAPITAL |
|
|
| 1 |
Individuals |
|
1,194 |
6,113,532 |
11.756 |
|
| 2 |
Investment Companies |
18 |
6,629,962 |
12.750 |
|
| 3 |
Insurance Companies |
1 |
32,500 |
0.063 |
|
| 4 |
Joint Stock Companies |
12 |
27,041,727 |
52.003 |
|
| 5 |
Financial Institutions |
4 |
1,847,600 |
3.553 |
|
| 6 |
Foreign Companies |
5 |
8,028,179 |
15.439 |
|
| 7 |
Modaraba Companies |
6 |
2,281,500 |
4.388 |
|
| 8 |
Others |
|
3 |
25,000 |
0.048 |
|
|
|
------------------ |
------------------ |
------------------ |
|
|
GRAND TOTAL: |
1,243 |
52,000,000 |
100.000 |
|
|
|
========== |
========== |
========== |
|
|
|
|
|
|
| AUDITORS'
REPORT TO THE MEMBERS |
|
|
| We
have audited the annexed balance sheet of Maple Leaf Electric Company Limited
as at June 30, |
|
| 1999
and the related profit and loss account and the statement of changes in
financial position, 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 and, after due verification thereof, 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 applies; |
|
|
| 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 and the statement of changes in financial
position, together |
|
| with
the notes forming part thereof, give the information required by the
Companies Ordinance, |
|
| 1984
in the manner so required and respectively give a true and fair view of the
state of the |
|
| company's
affairs as at dune 30, 1999 and of the profit and the changes in the
financial position for |
|
| the
year then ended; and |
|
|
| d)
in our opinion, no Zakat was deductible at source under the Zakat and Ushr
Ordinance, 1980. |
|
|
|
AMIN, MUDASSAR & CO. |
|
| Lahore:
November 30, 1999 |
|
Chartered Accountants |
|
|
|
|
|
| BALANCE
SHEET AS AT JUNE 30, 1999 |
|
|
|
|
1999 |
1998 |
|
|
Note |
Rupees |
Rupees |
|
|
|
|
| Share
Capital and Reserves |
|
|
|
|
|
|
| Authorised
Capital |
|
|
|
| 75,000,000
Ordinary shares of |
|
|
|
| Rs. 10/- each |
|
|
750,000,000 |
750,000,000 |
|
|
|
|
========== |
========== |
|
|
|
|
|
|
| Issued,
subscribed and paid-up capital |
|
3 |
520,000,000 |
520,000,000 |
|
|
| Reserve |
|
|
4 |
280,000,000 |
120,000,000 |
|
|
| Unappropriated
profit |
|
|
9,855,317 |
152,185,806 |
|
|
|
|
|
------------------ |
------------------ |
|
|
|
|
|
809,855,317 |
792,185,806 |
|
|
| Long
Term Loans and Deferred Liabilities |
|
|
|
|
| Supplier's credit |
|
|
5 |
-- |
118,776,385 |
|
|
| Liability
against assets subject |
|
|
|
|
| to finance lease |
|
6 |
4,537,778 |
8,033,194 |
|
|
| Provision
for gratuity |
|
|
993,770 |
902,023 |
|
|
|
|
|
------------------ |
------------------ |
|
|
|
|
5,531,548 |
127,711,602 |
|
| Current
Liabilities |
|
|
| Current
portion of long term liabilities |
|
7 |
160,136,821 |
13,015,370 |
|
| Short
term finances |
|
8 |
30,092,804 |
54,000,000 |
|
| Creditors,
accrued and other liabilities |
|
9 |
54,570,450 |
27,032,771 |
|
| Proposed
dividend |
|
|
65,000,000 |
-- |
|
| Provision
for taxation |
|
|
20,576,718 |
-- |
|
|
|
|
------------------ |
------------------ |
|
|
|
330,376,793 |
94,048,141 |
|
|
|
| Contingencies
and Commitments |
|
|
10 |
-- |
-- |
|
|
|
|
|
|
------------------ |
------------------ |
|
|
|
|
1,145,763,658 |
1,013,945,549 |
|
|
|
|
|
========== |
========== |
|
|
|
| Tangible
Fixed Assets |
|
|
|
|
|
|
| Operating
assets |
|
11 |
637,765,667 |
665,836,817 |
|
| Assets
subject to finance lease |
|
12 |
9,566,840 |
12,276,212 |
|
| Capital
work in progress |
|
13 |
1,406,218 |
1,220,198 |
|
|
|
|
------------------ |
------------------ |
|
|
|
|
648,738,725 |
679,333,227 |
|
|
|
|
|
| Long
Term Investments |
|
14 |
107,933,309 |
146,406,640 |
|
|
|
|
|
| Long
Term Deposits and Deferred Costs |
|
15 |
19,927,921 |
50,162,833 |
|
|
|
|
|
| Current Assets |
|
|
|
| Stores,
spares and loose tools |
|
16 |
75,629,417 |
16,604,716 |
|
| Trade debts |
|
|
17 |
138,667,773 |
106,307,752 |
|
| Advances,
deposits, prepayments |
|
|
|
| and
other receivables |
|
18 |
112,439,281 |
12,002,784 |
|
| Cash
and bank balances |
|
19 |
42,427,232 |
3,127,597 |
|
|
|
|
------------------ |
------------------ |
|
|
|
|
|
369,163,703 |
138,042,849 |
|
|
|
|
|
------------------ |
------------------ |
|
|
|
|
|
1,145,763,658 |
1,013,945,549 |
|
|
|
|
========== |
========== |
|
| The
annexed notes form an integral part of these accounts |
|
|
|
SAYEED TARIQ SAIGOL |
|
USMAN SAID |
|
|
|
Chief Executive |
|
Director |
|
|
|
|
|
|
|
|
|
|
|
| PROFIT
AND LOSS ACCOUNT |
|
| FOR
THE YEAR ENDED JUNE 30, 1999 |
|
|
|
|
1999 |
1998 |
|
|
Note |
Rupees |
Rupees |
|
|
|
|
| Sales |
|
20 |
573,611,255 |
469,152,130 |
|
| Cost of sales |
|
21 |
357,737,325 |
338,403,506 |
|
|
|
|
------------------ |
------------------ |
|
| Gross profit |
|
|
215,873,930 |
130,748,624 |
|
| Administrative
and general expenses |
|
22 |
13,574,371 |
12,484,247 |
|
|
|
|
------------------ |
------------------ |
|
| Operating profit |
|
|
202,299,559 |
118,264,377 |
|
| Other income |
|
23 |
30,782,414 |
2,094,225 |
|
|
|
|
------------------ |
------------------ |
|
|
|
|
|
233,081,973 |
120,358,602 |
|
|
|
|
|
|
| Financial
charges |
|
24 |
18,957,261 |
22,026,963 |
|
| Other charges |
|
25 |
110,878,483 |
4,916,582 |
|
|
|
|
------------------ |
------------------ |
|
|
|
|
129,835,744 |
26,943,545 |
|
|
|
|
------------------ |
------------------ |
|
| Profit
before taxation |
|
|
103,246,229 |
93,415,057 |
|
| Provision
for taxation |
|
26 |
20,576,718 |
-- |
|
|
|
|
------------------ |
------------------ |
|
| Profit
after taxation |
|
|
82,669,511 |
93,415,057 |
|
| Unappropriated
profit brought forward |
|
152,185,806 |
58,770,749 |
|
|
|
|
|
------------------ |
------------------ |
|
| Profit
available for appropriation |
|
234,855,317 |
152,185,806 |
|
|
|
|
|
|
| Appropriation |
|
|
|
|
| Proposed
final dividend @ 12.50% (1998: nil) |
|
65,000,000 |
-- |
|
| Transfer
to general reserve |
|
160,000,000 |
-- |
|
|
|
------------------ |
------------------ |
|
|
|
225,000,000 |
-- |
|
|
|
------------------ |
------------------ |
|
| Unappropriated
profit carried forward |
|
9,855,317 |
152,185,806 |
|
|
|
|
|
|
========== |
========== |
|
|
|
|
| The
annexed notes form an integral part of these accounts. |
|
|
|
SAYEED TARIQ SAIGOL |
|
USMAN SAID |
