950828

Al-Zamin

Leasing Mod to

transfer Rs 3.9m to

statutory reserve

KARACHI: The Board of Directors of Al-Zamin Modaraba Management (Pvt) Limited have announced the operating results of Al-Zamin Leasing Modaraba which completed its third year of successful operations as on 30th June, 1995. According to Hasan Zaheer, Chairman of the Board, the total footings of the Modaraba's operations grew to Rs 225.5 million indicating a healthy growth of 47.45 percent during the year. The net lease receivables increased from Rs 122.2 million to Rs 188.3 million showing an improvemennt of 54 percent. While the total earnings increased from Rs 23.5 million to Rs 33.4 million, achieving a growth of 42 percent, the operating profit increased from Rs 17.7 million to Rs 21.0 million during the year.

The Board has decided to transfer Rs 3.9 million to their statutory reserve. Out of the remaining profit, a cash dividend of 12.5 percent will be paid to the certificate-holders. The Modaraba had declared 10 percent bonus in the first year of its operations and increased it to 15 percent in 1994. The Board feels that a cash dividend this year will be preferred by the certificate-holders. Distribution to the certificate-holders this year is lesser than previous years due to the transfer of 20 percent profit to the reserve to comply with the prudential guidelines but will yield more cash-value than the bonus certificates in view of the current depressing Modaraba sector stock prices.