| Hamdard University Hospital |
|
|
|
|
|
|
| The
Science of Medicine |
|
| The
Art of Care |
|
|
| ANNUAL
REPORT 1997 |
|
|
| CONTENTS |
|
| Corporate
Information |
|
| Notice
of Meeting |
|
| Chairman's Review |
|
| Report
of Directors |
|
| Auditors'
Report |
|
| Balance
Sheet |
|
| Profit & Loss Account |
|
| Cash
Flow Statement |
|
| Notes to the Accounts |
|
| Pattern
of Shareholding |
|
|
|
|
|
| CORPORATE
INFORMATION |
|
|
| Board
of Directors |
|
|
| Ferozuddin
Baweja |
(Chairman) |
|
| Masroor
F. Baweja |
(Chief Executive) |
|
| Mehmood
F. Baweja |
|
| Muzaffar
F. Baweja |
|
| Mohsin
F. Baweja |
|
| Aamir
F. Baweja |
|
| Zubair
F. Baweja |
|
| Mansoor
F. Baweja |
|
| Asma
Mehmood |
|
|
| Bankers |
|
|
| Allied
Bank of Pakistan Limited |
|
| Muslim
Commercial Bank Limited |
|
| National
Bank of Pakistan Limited |
|
|
| Secretary |
|
|
| S.
N. Rehman |
|
|
| Chief
Accountant |
|
|
| Mohd.
Akmal Aziz |
|
|
|
| Auditors |
|
|
| M/s.
Hamid Sherwani & Associates |
|
| Chartered
Accountants |
|
| 0406-
Kashif Centre |
|
| Dr.
Daudpota Road, Karachi |
|
|
| Registered
Office |
|
|
| Hamdard
Centre |
|
| A1-Maj.eed |
|
| Nazimabad
No. 3 |
|
| Karachi-74600 |
|
|
| NOTICE
OF 13TH ANNUAL GENERAL MEETING |
|
|
| Notice
is hereby given that the 13th Annual General Meeting of Taj |
|
| Medical
Complex Limited will be held on Sunday 30th December, 1997, at |
|
| 4.00
p.m., at Madinat al-Hikmah, Karachi (road map enclosed) to transact |
|
| the
following business: |
|
|
| 1.
To confirm the minutes of 12th Annual General Meeting held on 16th |
|
| February
1997. |
|
| 2.
To receive and adopt the audited accounts of the company for the year |
|
| ended
30th June, 1997 together with the Directors and Auditors reports |
|
| thereon. |
|
| 3.
To appoint the Auditors of the company for the year 1997-98 and to fix |
|
| their
remuneration. |
|
| 4.
To transact any other business of the company with the permission of |
|
| the
chairman. |
|
|
| NOTES |
|
|
| 1)
The share transfer books of the company will remain closed from 17th |
|
| December,
1997 to 30th December 1997 (both days inclusive). |
|
| 2)
A member entitled to attend and vote at the Annual General Meeting |
|
| may appoint another .member as his/her proxy
to attend the meeting |
|
| and
vote instead of him/her. |
|
| 3)
Shareholders are requested to notify the company of any change in |
|
| their
address. |
|
|
|
|
|
|
| CHAIRMAN'S
REVIEW |
|
|
| Dear
Members, |
|
|
| Assalamu-Alaikum, |
|
|
| It
give me immense pleasure to welcome you to the 13th Annual Gen- |
|
| eral
Meeting and to present the Company's Report and Audited Accounts for |
|
| the
financial year ended 30th June 1997. |
|
|
| Praise
be to Almighty Allah, your Company has continued to make |
|
| steady
progress on sound footing, closing the year with a pretax profit of Rs. |
|
| 4.81
million. Not only our sales excelled all previous records but operating |
|
| profits
also increased by 25% as compared to previous year. |
|
|
| A
strong base and steady growth have been the corner stones of our |
|
| strategy
and I am sanguine about the Company's prospects in future also. |
|
| However
in view of the change in the management of the Company and our |
|
| commitment
to the new management,-no dividend has been recommended |
|
| for
this year. |
|
|
| You
may be well aware that the Baweja Group comprising of the majority |
|
| Shareholders
of Taj Medical Complex Ltd., have disinvested its management |
|
| Shares
in the Company, alongwith management rights of the Company to |
|
| Hamdard
Foundation. |
|
|
| Consequently
Hafiz Mohammed Said who is the President of Hamdard |
|
| Foundation
has been elected as the new Chairman of Taj Medical Complex |
|
| Ltd.
with effect from 24th September 1997. The other persons who have been |
|
| co-opted
for the time being as Directors for the remaining term of office of |
|
| the
outgoing Directors are as follows: |
|
|
| 1.
Mr. Ali Hasan |
|
| 2.
Mrs. Sadia Rashid |
|
| 3.
Mr. Furqan Ahmed Shamsi |
|
| 4.
Mr. Naveed-uz-Zafar |
|
| 5.
Mrs. Lily Anne D'silva |
|
| 6.
Dr. Mahmood Hussain Qazi |
|
|
| I
take this opportunity to welcome Hafiz Hakim Mohammed Said and |
|
| his
team on the Board of Directors of the Company. Hafiz Hakim Mohammed |
|
| Said
is a well known figure and needs no introduction. I am confident that |
|
| under
his dynamic Leadership, the Company will grow from strength to |
|
| strength
and the Shareholders will receive even better returns from the |
|
| Company. |
|
|
| I
also place on record the valuable services rendered by the outgoing |
|
| Directors
of the Company. |
|
|
| I
will be failing in my duty if I do not thank. the employees, Doctors, |
|
| nurses
and pare medical staff for their dedicated services to the Company/ |
|
| Hospital.
My thanks are also due to consultants on our panel for their |
|
| cooperation
extended to me. |
|
|
|
|
| REPORT
OF DIRECTOR'S |
|
|
|
| Your
Directors submit their Report with the Audited Accounts of |
|
| Company
for the 13th Years of the Company's Operations ended 30th June, |
|
| 1997. |
|
|
| Accounts: |
|
|
(Rs. '000') |
|
|
| Total
Revenue |
|
|
57,522 |
|
|
| Less:
Director Cost |
|
|
43,203 |
|
|
|
| Other
Management and Financial Expenses |
7,322 |
50,525 |
|
|
|
---------- |
---------- |
|
| Operating
Profit |
|
|
6,997 |
|
| Add: Other Income |
|
|
621 |
|
|
|
|
---------- |
|
|
|
|
7,618 |
|
| Less: Statutory Depreciation |
|
2,809 |
|
|
|
|
---------- |
|
| Unappropiated
Profit before taxation |
|
4,809 |
|
|
|
|
========= |
|
| Dividend: |
|
| Directors: |
|
|
|
| The
following directors have resigned on 25-09-1997: |
|
|
|
|
| 01.
Mr. S. Ferozuddin Baweja |
|
| 02.
Mr. Mehmood F. Baweja |
|
| 03.
Mr. Masroor F. Baweja |
|
| 04.
Mr. Muzaffar F. Baweja |
|
| 05.
Mr. Mohsin F. Baweja |
|
| 06.
Mrs. Asma Mehmood |
|
| 07.
Mr. Aamir F. Baweja |
|
| 08.
Mr. Zubair F. Baweja |
|
|
| The
previous board has been replaced by following Directors who will |
|
| hold
office uptill the next election of directors due on 28-06-98. |
|
|
| 01.
Hakim Mohammed Said |
|
| 02.
Mr. Ali Hasan |
|
| 03.
Mrs. Sadia Rashid |
|
| 04.
Mr. Furqan Ahmed Shamsi |
|
| 05.
Mr. Naveed-uz-Zafar |
|
| 06.
Mrs. Lily Anne D'silva |
|
| 07.
Dr. Mahmood Hussain Qazi |
|
|
| AUDITORS |
|
| The
present Auditors M/s Hamid Sherwani & Associates, Chartered |
|
| Accountants,
stand retired. A Shareholder has sent a notice under section |
|
| 253
of the Companies Ordinance 1984 to the Company for appointment of |
|
| NUs
Faruq Ali & Co., Chartered Accountants, as Auditors of the company for |
|
| 1997-98. |
|
|
| Pattern
of Shareholding |
|
|
| The
statement of pattern of shareh01ding as at 30th June, 1997 is |
|
| annexed. |
|
|
| Masroor
F. Baweja |
|
| Chief
Executive |
|
|
| Karachi:
22nd September, 1997 |
|
|
|
| AUDITED |
|
| STATEMENTS
OF ACCOUNTS |
|
| OF |
|
|
|
| M/s TAJ MEDICAL COMPLEX LIMITED |
|
|
| FOR
THE YEAR ENDED 30th June, 1997 |
|
|
| HAMID
SHERWANI & ASSOCIATES |
|
| Chartered
Accountants |
|
| 406-Kashif
Centre, Shahra-e-Faisal, Karachi. |
|
| Phones
# 515597 - 514476 |
|
|
|
| AUDITORS'
REPORT TO THE MEMBERS |
|
|
| We
have audited the annexed Balance Sheet of TAJ MEDICAL COMPLEX |
|
| LIMITED
as at 30th June, 1997 and the related Profit and Loss |
|
| Account
and Statement of Cash Flow together with the notes forming |
|
| par.
t 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 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 and Cash Flows Statement 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
affair as at 30th June, 1997, and of the Profit and |
|
| the
Changes in Financial Position for the year then ended; and |
|
|
| (d)
Zakat deductible at source under the Zakat and Ushr Ordinance, |
|
| 1980
has been duly deducted and deposited. |
|
|
| HAMID
SHERWANI & ASSOCIATES |
|
| CHARTERED
ACCOUNTANTS |
|
|
| KARACHI: 22nd September, 1997 |
|
|
|
| BALANCE
SHEET |
|
| AS
ON 30TH JUNE, 1997 |
|
|
1997 |
1996 |
|
| CAPITAL
& LIABILITIES: |
|
NOTE |
Rs.'000 |
Rs.'000 |
|
| SHARE
CAPITAL: |
|
| AUTHORIZED: |
|
|
| 2,500,000
ordinary shares of Rs. 10/- each. |
|
25,000 |
25,000 |
|
|
========= |
========= |
|
| ISSUED,
SUBSCRIBED & PAID-UP: |
3 |
25,000 |
25,000 |
|
| General
reserve |
|
|
2,000 |
2,000 |
|
| Un-appropriated
profit |
|
|
5,678 |
2,894 |
|
|
|
|
---------- |
---------- |
|
|
|
|
32,678 |
29,894 |
|
|
|
|
|
| Liability
against asset sub to finance lease |
4 |
1,076 |
1,256 |
|
|
| LONG
TERM ADVANCES & DEPOSITS: |
5 |
500 |
7,820 |
|
|
| CURRENT
LIABILITIES: |
|
| Short
term borrowings |
|
6 |
3,298 |
1,770 |
|
| Current
portion of liability against leased assets |
4 |
1,280 |
756 |
|
| Creditors,
accrued charges & other liabilities |
7 |
11,234 |
11,294 |
|
| Provision
for staff gratuity |
|
|
1,608 |
663 |
|
| Taxation |
|
|
1,437 |
565 |
|
| Dividend
payable |
|
|
208 |
1,249 |
|
|
|
|
|
---------- |
---------- |
|
|
|
|
19,065 |
16,297 |
|
|
| CONTINGENCIES
& CAPITAL COMMITMENTS |
8 |
-- |
-- |
|
|
---------- |
---------- |
|
|
|
|
53,319 |
55,267 |
|
|
|
|
========= |
========= |
|
| MASROOR
F. BAWEJA |
|
| CHIEF
EXECUTIVE |
|
|
| AUDITOR'S
REPORT: As per report of even date annexed. |
|
|
| PROPERTY
& ASSETS: |
|
|
| FIXED
CAPITAL EXPENDITURE |
|
|
| Operating
fixed assets. |
|
9 |
30,355 |
32,618 |
|
| Operating
assets ( under lease) |
|
|
2,823 |
2,027 |
|
|
--------- |
--------- |
|
|
|
|
33,178 |
34,645 |
|
|
| LONG
TERM DEPOSITS: |
|
10 |
483 |
408 |
|
|
| CURRENT
ASSETS: |
|
| Stocks
and stores |
|
11 |
1,109 |
1,529 |
|
| Trade
debtors - Unsecured |
|
|
17,060 |
13,014 |
|
| Advances,
deposits, prepayments & other receivables |
12 |
966 |
1,763 |
|
| Cash
& bank balances |
|
13 |
523 |
3,908 |
|
|
|
|
--------- |
--------- |
|
|
|
|
19,658 |
20,214 |
|
|
--------- |
--------- |
|
|
53,319 |
55,267 |
|
|
========= |
========= |
|
|
|
| TRADING,
PROFIT & LOSS ACCOUNT |
|
| for
the year ended 30th June, 1997 |
|
| PARTICULARS |
|
NOTE |
1997 |
1996 |
|
|
|
Rs.' 000' |
|
|
| Sales
& Services |
|
|
14 |
57,522 |
36,455 |
|
| Cost
of sales |
|
15 |
44,664 |
28,355 |
|
|
|
|
--------- |
--------- |
|
| Gross
Profit |
|
|
|
12,858 |
8,100 |
|
|
| Workers'
profit participation fund |
|
240 |
-- |
|
|
|
8,304 |
6,954 |
|
|
|
--------- |
--------- |
|
| Operating
Profit |
|
|
4,554 |
1,146 |
|
| Other
Income |
|
17 |
621 |
1,864 |
|
|
|
|
5,175 |
3,010 |
|
| Financial
charges |
|
18 |
366 |
229 |
|
|
|
|
--------- |
--------- |
|
| Profit
before tax |
|
|
4,809 |
2,781 |
|
| Taxation: |
|
| Current
year |
|
|
2,025 |
565 |
|
| Prior year |
|
|
-- |
(98) |
|
|
|
--------- |
--------- |
|
|
|
2,025 |
467 |
|
|
--------- |
--------- |
|
| Profit
after taxation |
|
|
2,784 |
2,314 |
|
| Unappropriated
profit brought forward |
|
2,894 |
1,563 |
|
| Profit
available for appropriation |
|
5,678 |
3,877 |
|
| Proposed
dividend |
|
|
-- |
983 |
|
|
--------- |
--------- |
|
| Unappropriated
profit carried forward |
|
5,678 |
2,894 |
|
|
|
|
========= |
========= |
|
| The
annexed notes form an integral part of these accounts. |
|
|
|
| CASH
FLOW STATEMENT |
|
| for
the year ended 30th June, 1997 |
|
| PARTICULARS |
|
1997 |
1996 |
|
|
|
Rs.'000 |
|
|
|
| CASH
FLOWS FROM OPERATING ACTIVITIES |
|
|
| Profit
before taxation |
|
|
4,809 |
2,781 |
|
|
| Adjustment
for; |
|
| Depreciation |
|
|
2,809 |
2,955 |
|
|
|
|
|
|
| Gain/(Loss)
on disposal of fixed assets |
|
379 |
(1,242) |
|
|
| Provision
for gratuity |
|
|
945 |
663 |
|
|
|
|
---------- |
---------- |
|
|
|
|
4,133 |
2,376 |
|
|
---------- |
---------- |
|
| Operating
profit/(1oss) before working capital charges |
|
8,942 |
5,157 |
|
|
| Increase/(Decrease)
in operating assets |
|
| Stock
and stores |
|
|
420 |
(395) |
|
|
|
|
|
|
| Trade
debtors |
|
|
(4,046) |
(2,619) |
|
|
| Advances,
prepayments & other receivable |
|
797 |
(508) |
|
|
|
|
---------- |
---------- |
|
|
|
|
(2,829) |
(3,522) |
|
|
| Increase/(Decrease)
in operating liabilities |
|
| Short
term borrowing |
|
|
1,528 |
1,294 |
|
|
| Creditors
accrued & other liabilities |
|
|
(60) |
2,845 |
|
|
|
|
---------- |
---------- |
|
|
|
|
1,468 |
4,139 |
|
|
---------- |
---------- |
|
| Cash
generated from operations |
|
(1,361 ) |
617 |
|
|
|
|
|
|
| Income
tax paid |
|
|
(1,153) |
|
|
|
---------- |
---------- |
|
| Net
cash flows from operating activities |
|
6,428 |
5,774 |
|
|
| CASH
FLOWS FROM INVESTING ACTIVITIES |
|
| Fixed
capital expenditure |
|
(1,484 |
(592) |
|
|
|
|
|
|
| Sale
proceeds of fixed assets |
|
1,036 |
l, 304 |
|
|
|
|
|
|
| Long
term advance & prepayments. |
|
(7,32) |
(1,130) |
|
|
|
|
|
|
| Long
term deposits .. |
|
|
(74) |
(288) |
|
|
|
|
--------- |
--------- |
|
|
|
|
(7,842 |
(706) |
|
|
|
|
--------- |
--------- |
|
|
|
|
(1,414) |
5,068 |
|
|
|
|
| CASH
FLOWS FROM FINANCING ACTIVATES: |
|
| Repayment
of lease liability |
|
(930) |
(411) |
|
| Dividend
paid |
|
|
(1,041) |
(2,234) |
|
|
|
|
--------- |
--------- |
|
| Net
cash flow from financing activities |
|
(1,971) |
(2,645) |
|
|
--------- |
--------- |
|
| Net
increase/(decrease) in cash & cash equivalents |
|
(3,385) |
2,423 |
|
| Cash
& cash equivalents at the beginning of the year |
|
3,908 |
1,485 |
|
|
|
|
--------- |
--------- |
|
| Cash
& cash equivalents at the end of the year. |
|
523 |
3,908 |
|
|
========= |
========= |
|
| CASH
AND CASH EQUIVALENTS: |
|
| Cash |
|
|
478 |
3,866 |
|
|
|
|
| Cash
at banks |
|
|
45 |
42 |
|
|
|
|
--------- |
--------- |
|
|
|
|
523 |
3,908 |
|
|
========= |
========= |
|
|
|
|
|
|
|
|
|
| NOTES
TO THE ACCOUNTS |
|
|
|
|
|
|
| 1. STATUS AND NATURE OF BUSINESS: |
|
|
| 1.1
The Company was incorporated as Private Limited Company |
|
| on
30th September, 1984 and has been converted into |
|
| Public
Limited Company with effect from 9th September, |
|
| 1987.
The Company is listed on Karachi and Lahore Stock |
|
| Exchange
in Pakistan. |
|
|
| 1.2
The main object of the company is to set up and run 150 |
|
| beds
hospital. |
|
|
| 2.
SIGNIFICANT ACCOUNTING POLICIES: |
|
|
| 2.1
Accounting Convention: |
|
|
| These
accounts have been prepared under the historical |
|
| cost
conventions. |
|
|
| 2.2
Staff Retirement benefits: |
|
|
| The
Company operates an unfunded gratuity scheme for all |
|
| permanent
employees and provision is made annually to |
|
| cover
the obligation under the scheme. |
|
|
| 2.3
Taxation: |
|
|
| Current: |
|
| Provision
for current taxation is base on taxable income |
|
| at
the current rates of taxation after taking into |
|
| account
tax credits and rebates available, if any. |
|
|
| Deferred: |
|
| Provision
for deferred taxation is made on significant |
|
| timing
differences using the liability method. |
|
|
| 2.4
Fixed. Assets and Depreciation: |
|
|
| (a)
OWNED: |
|
| Operating
fixed assets are stated at cost less |
|
| accumulated
depreciation except leasehold land |
|
| which
is stated at cost. |
|
|
| Depreciation
is charged to income on the reducing |
|
| balance
method at the rates specified in Note 9 to |
|
