| Grays of Cambridge (Pakistan) Limited |
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| Annual
Report 2000 |
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| ASSOCIATED
COMPANIES |
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| In Pakistan |
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|
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| Grays
Leasing Limited |
|
| Head Office: |
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| 41-A,
Lawrence Road, Lahore. |
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| Tel:
(042) 6372159 - 61 |
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| Fax:
(042) 6371898 |
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| E-mail:
gll@ms.net.pk |
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|
| Liaison Office: |
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| Small
Industries Estate, Sialkot |
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| Tel:
(0432) 563051 - 52 |
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| Fax:
(0432) 551252 |
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| E-mail:
grays@skt.comsats.net.pk |
|
|
| Anwar
Khawaja Industries (Pvt) Limited |
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| Small
Industries Estate, Sialkot - 51310 |
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| Tel:
(0432) 551004 - 554531 - 554535 -65473 |
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| Fax:
(0432) 553609 |
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|
| Dawn
Sports (Private) Limited |
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| Small
Industries Estate, Sialkot- 51310 |
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| Tel:
(0432) 554537 - 557808 |
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|
| Overseas |
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| Grays
of Cambridge (International) Limited |
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| Station
Road, Robertsbridge, |
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| East
Sussex TN32 5DH, ENGLAND |
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| Tel:
01580 880357 |
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| Fax:
01580 881156 |
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|
| Gray - Nicolls |
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| Station
Road, Robertsbridge, |
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| East
Sussex TN32 5DH, ENGLAND |
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| Gray
- Nicolls (Australia) Pty. Limited |
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| 3
Fiveways Boulevard |
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| Keyborough
VIC 3173 |
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| AUSTRALIA |
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| Tel:
03 9769 0999 |
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| Fax:
03 9769 0977 |
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| CONTENTS |
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| CORPORATE
INFORMATION |
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| NOTICE
OF THE MEETING |
|
| COMPANY
PROFILE |
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| DIRECTORS'
REPORT |
|
| CHIEF
EXECUTIVE'S REVIEW |
|
| STATEMENT
OF VALUE ADDED AND ITS DISTRIBUTION |
|
| DECADE
AT A GLANCE |
|
| AUDITORS'
REPORT |
|
| BALANCE
SHEET |
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| PROFIT
AND LOSS ACCOUNT |
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| CASH
FLOW STATEMENT |
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| STATEMENT
OF CHANGES IN EQUITY |
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| NOTES
TO THE ACCOUNTS |
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| STATEMENT
PURSUANT TO SECTION 237 OF THE |
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| COMPANIES
ORDINANCE, 1984 |
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| PATTERN
OF SHAREHOLDINGS |
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| DAWN
SPORTS (PRIVATE) LIMITED |
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| CONSOLIDATED
FINANCIAL STATEMENTS |
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|
|
| Corporate
Information |
|
|
| BOARD
OF DIRECTORS |
Mr. Harold John Gray
(Chairman) |
|
|
|
Mr. Khawar Anwar Khawaja
(Chief Executive) |
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|
|
Mr. Paul Douglas Gray |
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|
Mr. Khurram Anwar Khawaja |
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|
|
Mr. Neil Douglas James
Gray |
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|
|
Mr. Muhammad Tahir Butt |
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|
|
Mrs. Nuzhat Khawar
Khawaja |
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|
Mr. Sarfraz Mahmood
(Alternate to |
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|
Mr. Harold John Gray) |
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| CORPORATE
SECRETARY |
Mr. Shakil Ahmed Bhalli |
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| AUDITORS |
|
Messrs. M. A. Tabussum
& Co. |
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|
Chartered Accountants |
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|
S-8 Ahmed Arcade |
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|
161 -Ferozepur Road |
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|
Lahore |
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Phone: (042) 7580098 -
7587323 |
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|
Fax: (042) 7675510 |
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| MANAGEMENT
CONSULTANTS |
Messrs. Sarfraz Mahmood
(Pvt) Limited |
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|
|
8-Mall Mansion,
30-Shahrah-e-Quaid-e-Azam, |
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|
Lahore-54000 (Pakistan) |
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|
Phone: (042) 7233324 - 26 |
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Fax: (042) 7235762 |
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E-Mail:
sarfrazm@paknet1.ptc.pk |
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|
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| REGISTERED
OFFICE |
Small Industries Estate, |
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| AND WORKS |
|
Sialkot - 4 (Pakistan) |
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|
|
Phones: (0432) 555338,
563051, 563052 |
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|
|
Telefax: (0432) 551252,
553609 |
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|
E-mail:
grays@skt.comsats.net.pk |
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| Notice
of Annual General Meeting |
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| NOTICE
IS HEREBY GIVEN THAT the thirty-seventh Annual General Meeting of GRAYS OF |
|
| CAMBRIDGE
(PAKISTAN) LIMITED will be held on Saturday, December 23,
2000 at 11.30 a.m. at |
|
| company's
registered office, Small Industries Estate, Sialkot to transact the following
business: |
|
|
| 1.
To confirm the minutes of last Annual General Meeting. |
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|
|
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| 2.
To receive, consider and adopt the audited accounts and the report of the
directors and auditors |
|
| thereon
for the year ended June 30, 2000. |
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|
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| 3.
To approve the payment of final dividend at the rate of 400 percent (Rupees
40 per share) for the |
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| year
ended June 30, 2000. |
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|
|
|
|
| 4.
To approve the issuance of bonus shares at 25% (one share for every four
shares) subject to the |
|
| compliance
of other legal formalities. |
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|
|
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| 5.
To appoint auditors and to fix their remuneration for the year ending June
30, 2001. The present |
|
| auditors,
Messrs. M.A. TABUSSUM & CO., Chartered Accountants, Lahore, being
eligible, offer |
|
| themselves
for reappointment. |
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|
|
|
|
|
| 6.
To transact any other business with the permission of the Chair. |
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|
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|
BY ORDER OF THE BOARD |
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| SIALKOT:
November 21, 2000. |
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COMPANY SECRETARY |
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|
| NOTES: |
|
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| i)
The shares transfer books of the company will remain closed from December 15,
2000 to |
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| December
22, 2000 (both days inclusive). |
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|
|
|
|
| ii)
A member entitled to attend and vote at the meeting may appoint another
member as his/her |
|
| proxy
to attend, speak and vote at the meeting. Proxies in order to be effective
must be received |
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| by
the company at the registered office not less than 48 hours before the time
for holding the |
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| meeting. |
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|
|
|
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| iii)
Account holders and sub-account holders holding book entry securities of the
Company in Central |
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| Depository
System of Central Depository of Pakistan Limited are requested to bring
original I.D. |
|
| Card
or attested copy of I.D. Card for identification purpose. |
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| Company
Profile |
|
|
| Industrial
Profile |
|
| Grays
of Cambridge (Pakistan) Limited was incorporated in Pakistan on June 02, 1964
to incarnate a |
|
| strong
yearn of Late Mr. Anwar Khawaja, the first Managing Director of the company,
of making the |
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| WORLD'S
BEST hockey stick in collaboration with Messrs H.J. Gray & Sons of
Cambridge, England |
|
| [presently
named as "Grays of Cambridge (International) Limited"] under an
agreement made and |
|
| signed in 1963. |
|
|
| The
formal inauguration of this Pak-British joint enterprise was held on May 08,
1965 although the unit |
|
| commenced
its commercial production on April 01, 1965 under the elite supervision of an
English |
|
| technician,
Mr. D. Fosket who had actually made Hockey Sticks with his own hands for more
than half a |
|
| century.
This great expert gave training to Pakistani workers and carved them into a
team of adroit and |
|
| enchanting
craftsmen by inculcating them with all his expertise, elegance and
excellence. |
|
|
| During
1983, while the company continued progressively making conventional hockey
sticks (around |
|
| 90,000
sticks a year), the management acquired technical know-how from Mr. Toon
Coolen of |
|
| Netherlands
and started making a Novelty Stick with a U-Shaped head approved by the Rules
Committee |
|
| of
the International Hockey Federation. By virtue of this blending mechanization
with the skills of the local |
|
| craftsmen,
the hockey sticks produced by this unit have met with a global acceptance as
the best ever- |
|
| made
and the venture proved to be an international success. The fact that the
first mark of 17590 hockey |
|
| sticks
produced and exported during .1965 has culminated to its present volume of
200,000 sticks a year, |
|
| has
evidently placed GRAYS PAKISTAN fairly and squarely on the World Hockey Map. |
|
|
| Equally
important was the year 1973 which also witnessed expansion in Company's
Product line. A |
|
| Cricket
Ball manufacturing unit was established to produce balls with the World's
most famous brand |
|
| names
"DUKE & SONS" and "GRAY-NICOLLS" This unit has also
shown a tremendous growth as |
|
| evidenced
by rising production of completely hand sewn cricket balls from a few
thousand in its first year |
|
| of
inception to around forty thousand a year at present. These balls are being
used in first class as well as |
|
| the
Test Cricket in Pakistan and abroad. |
|
|
| The
company has a global net work of marketing agents as well as a full fledged
quality control wing |
|
| consisting
of on-job trained supervisors headed by a professional, all working under a
regular control of |
|
| the
Company's Chief Executive / Technical Director Mr. Khawar A. Khawaja who did
his B.E. from the |
|
| University
of Engineering and Technology, Lahore. |
|
|
| Corporate
Profile |
|
| The
company which was incorporated as a private limited company went public in
April 1986 and was |
|
| listed
on Karachi and Lahore Stock Exchanges in January 1987. The issue was very
well received by |
|
| public
and was over-subscribed by 200 times, a record response by public. Since
then, the share of the |
|
| company
has a very strong demand which is well supported by the fact that its 10
rupees share has |
|
| touched
a 450 rupees price and is being quoted at Rupees 375 at present. |
|
|
| In
the recent years GRAYS PAKISTAN has also worked on expansion in its corporate
set up. |
|
| Consequently,
it acquired DAWN SPORTS (PRIVATE) LIMITED, a hockey manufacturing unit, as a
wholly |
|
| owned
subsidiary. At the same time, a plan for diversification in financial and
economic activities is also |
|
| underway,
and as a result thereof, the Company co-sponsored a leasing company named
GRAYS |
|
| LEASING
LIMITED, listed on Karachi and Lahore Stock Exchanges with an equity capital
of 100 million |
|
| rupees
which was also over subscribed even under the prevailing crunch in the
investment market. |
|
|
| The
financial performance of the company is also revealed by a simple statistic
that the shareholders' |
|
| equity
has grown from 225 thousand rupees in 1965 to 176129 thousand rupees in 2000
inspite of high |
|
| pay outs like: |
|
|
|
|
CASH |
BONUS |
|
|
|
DIVIDEND |
SHARES |
|
|
|
|
|
| 1992 |
|
---- |
|
200 percent |
-- |
|
| 1993 |
|
---- |
|
100 percent |
-- |
|
| 1994 |
|
---- |
|
100 percent |
-- |
|
| 1995 |
(Half year) |
---- |
|
100 percent |
-- |
|
| 1996 |
|
---- |
|
150 percent |
-- |
|
| 1997 |
|
---- |
|
200 percent |
-- |
|
| 1998 |
|
---- |
|
160 percent |
40 percent |
|
| 1999 |
|
---- |
|
200 percent |
25 percent |
|
| 2000 |
|
---- |
|
400 percent |
25 percent |
|
|
| Surely,
it is due to this performance that the company was ranked as first for
"Corporate Excellence |
|
| Award"
by the Management Association of Pakistan during 1995 and has been declared
as one of the |
|
| Top
25 Companies by the Karachi Stock Exchange for eight consecutive years from
1989 to 1996. For the |
|
| years
1997 and 1998, the company was not ranked among Top 25 Companies just for
lack of some |
|
| membership
criteria. For 1999, it has again been ranked as Third in the Tope 25
Companies. |
|
|
| GRAYS
PAKISTAN, under the chairmanship of Mr. John Gray and Chief Executive Officer
Mr. Khawar A. |
|
| Khawaja,
has pledged itself to a very strong commitment to realism and honesty with
its principles which |
|
| legislates
for the benefits of the public and not least of the Sports and the sportsmen. |
|
|
|
| Directors'
Report |
|
|
| The
Directors are pleased to present to you their report along with the Audited
Accounts for the year |
|
| ended
June 30, 2000 and the Auditors' Report thereon. |
|
|
| FINANCIAL
RESULTS |
|
| The
operating results and the Directors' recommendations regarding appropriations
there of are as under: |
|
|
|
|
|
Rupees |
|
|
| Profit
for the year ended June 30, 2000 after providing |
|
| for
administration, marketing and financial charges |
|
90,559,725 |
|
|
|
|
------------------ |
|
| Less:
Workers' profit participation fund |
|
4,469,580 |
|
| Donations |
|
|
1,168,213 |
|
|
------------------ |
|
|
|
|
5,637,793 |
|
|
|
|
------------------ |
|
| PROFIT
BEFORE TAXATION |
|
84,921,932 |
|
| Less:
Provision for taxation |
|
7,667,150 |
|
|
|
|
------------------ |
|
| PROFIT
AFTER TAXATION |
|
77,254,782 |
|
| UNAPPROPRIATED
PROFIT BROUGHT FORWARD |
|
70,549 |
|
|
|
|
------------------ |
|
| PROFIT
AVAILABLE FOR APPROPRIATIONS |
|
77,325,331 |
|
|
|
| APPROPRIATIONS: |
|
| Bonus
shares @ 25% |
|
32,663,751 |
|
| Proposed
final dividend @ 400% |
|
522,620,001 |
|
| Transfer
to general reserve |
|
20,000,000 |
|
|
|
|
------------------ |
|
|
|
|
75,528,375 |
|
|
|
|
------------------ |
|
| UNAPPROPRIATED
PROFIT CARRIED FORWARD |
|
1,796,956 |
|
|
|
|
========== |
|
|
|
| CHIEF
EXECUTIVE'S REVIEW |
|
| The
Directors endorse the Chief Executive's Review dealing with performance,
activities and prospects of |
|
| the
Company, which is included in this report. |
|
|
| AUDITORS |
|
| The
present auditors Messrs. M.A Tabussum & Co., Chartered Accountants,
retire, and being eligible, |
|
| have
offered themselves for re-appointment. |
|
|
| PATTERN
OF SHAREHOLDINGS |
|
| The
pattern of shareholdings as at June 30, 2000 is given on page 31. |
|
|
|
|
for and on behalf of the Board |
|
|
|
|
|
|
|
|
|
KHAWAR A. KHAWAJA |
|
| SIALKOT:
November 21, 2000 |
|
Chief Executive |
|
|
|
|
|
|
|
| Chief
Executive's Review |
|
|
| With
profound gratitude to the Almighty Allah, I am pleased to welcome you to the
37th annual general |
|
| meeting
and present this review of performance of the company for the year ended June
30, 2000. |
|
|
| OPERATING
PERFORMANCE |
|
|
| In
my last review, I have informed you about the development of composite hockey
stick which has |
|
| affected
sales of wooden hockey to some extent. However, despite this change, we
succeeded to |
|
| maintain
our sales at rupees 100.301 million depicting a minor increase of rupees
1.833 million over last |
|
| year's
sales of rupees 98.468 million. The operating margin on trading has also been
maintained with a |
|
| slight
improvement made possible through a strict check on various overheads. |
|
|
| The
pre-tax profit has, however, gone up at 85. 43 percent i.e. from rupees
45.797 million to rupees |
|
| 84.922
million during the year under review. This substantial increase in net profit
is an outcome of higher |
|
| returns
on company's investments in its subsidiary and associated undertaking and
optimal fund |
|
| management.
You will surely be delighted to note that total income from other sources
increased from |
|
| rupees
19.225 million during 1998-99 .to rupees 60.476 million during 1999-2000.
This income includes |
|
| dividends
amounting to rupees 12 million received from Dawn Sports (Private) Limited
during 1998-99 |
|
| and
rupees 46.500 million {rupees 13.5 million received and rupees 24 million
accrued from Dawn |
|
| Sports,
and rupees 3 million received and rupees 6 million accrued from Grays Leasing
Limited} during |
|
| 1999-2000. |
|
|
|
| APPROPRIATION
OF PROFITS |
|
| The
directors have decided to adhere to their policy of handsome dividend
payouts, broadening equity |
|
| base
gradually and securing company's financial health by profit plough back. They
have thus proposed |
|
| 400
percent cash dividend, 25 percent bonus shares and rupees 20 million transfer
to the general reserve |
|
| from
out of profits for year ended 30th June 2000 as compared to 200 percent cash
dividend, 25 percent |
|
| bonus
shares and rupees 20 million transfer to general reserve during preceding
year. |
|
|
| Dear
shareholders, you would surely be delighted that, even after such exemplary
cash pay-outs, the |
|
| equity
base of your company has grown from rupees 151.136 million as at 30th June
1999 to rupees |
|
| 176.129
million on 30th June 2000 which reflects a consistent growth of the company. |
|
|
| FUTURE
OUTLOOK |
|
| As
mentioned earlier, the introduction of composite hockey will have negative
impact on sale of wooden |
|
| hockey
in the top range. In the middle and lower range, sales are expected to be
maintained provided the |
|
| quality
of products is improved and the costs are kept well under control for
maintaining a competitive |
|
| edge.
As the middle and lower range do have at present just a wafer-thin margin of
profit, the company's |
|
| earnings
from trading may remain under strain till necessary facilities for making
composite hockey sticks |
|
| are
obtained. We are therefore working on two fronts; firstly, managing for a
sales mix which will optimize |
|
| contribution
and secondly, making appropriate arrangements to get a composite hockey
project as early |
|
| as
possible. We are confident that we will soon overcome this situation before
it goes into an awful mess. |
|
|
| DAWN
SPORTS (PRIVATE) LIMITED |
|
| The
financials of this wholly owned subsidiary are also being published as a part
of this annual report and |
|
| you
can well ascertain its performance there from. You will surely appreciate
that the results shown by the |
|
| company
are excellent in all respects. |
|
|
| GRAYS
LEASING LIMITED |
|
| Grays
of Cambridge (Pakistan) Limited holds forty percent of the paid up capital of
rupees one hundred |
|
| million
in Grays Leasing Limited. After declaring 15 percent cash dividend for this
year too, its net worth |
|
| has
grown from rupees 125.154 million to rupees 134.905 million on 30th June
2000. |
|
|
| The
company which started lease operations on 26th February 1997, has generated
lease business over |
|
| rupees
750 million till 30th June 2000. comprising of 688 lease contracts. The
business volume grew at |
|
| 34.7
percent; the net investment in finance lease increased from rupees 293.640
million to rupees |
|
| 370.129
million which depicts 26.05 percent growth; the gross revenue from operations
was rupees |
|
| 58.035
million as against rupees 46.924 million in 1999; and the pre-tax profit was
25.660 million as |
|
| compared
to rupees 22.501 million during 1999. |
|
|
| PERSONNEL
& WORKING ENVIRONMENT |
|
| Your
company is well aware of the importance of a team of skilled workers and
staff. Therefore, in-house |
|
| training
programs designed for this purpose are regularly undertaken. Fresh
apprentices are trained |
|
| through
on-job practical working methods. At the same time, other important areas
like health, safety and |
|
| better
working environment are also being looked after very well. |
|
|
| The
company has implemented a computer-based management information system. We
have also made |
|
| significant
progress in the development of in-house programs and implementation of new
software and its |
|
| applications
which provide a centralized database, support integration between the
manufacturing and |
|
| financial
systems, and assist the company in providing meaningful data in time for
management decision |
|
| making. |
|
|
| APPRECIATION |
|
| I
wish to place on record my very special thanks to all at various levels of
management, administration and |
|
| workers
of the company as well as of all associated concerns for their tireless and
dedicated efforts and |
|
| positive
attitude towards our corporate goals. |
|
|
|
|
Khawar A. Khawaja |
|
| Sialkot:
21st November 2000 |
|
Chief Executive |
|
|
|
| Statement
of Value Added and its Distribution |
|
|
|
|
2000 |
|
1999 |
|
|
|
|
(Rupees in 000) |
% |
(Rupees in 000) |
% |
|
|
|
| VALUE ADDED |
|
| Net Sales |
|
100,301 |
|
98,468 |
|
| Less:
Materials and services |
48,970 |
|
50,325 |
|
|
|
------------------ |
|
------------------ |
|
|
|
51,331 |
|
48,143 |
|
| Other Income |
|
60,477 |
|
19,225 |
|
|
|
------------------ |
------------------ |
------------------ |
------------------ |
|
|
|
111,808 |
100.00 |
67,368 |
100.00 |
|
|
|
========== |
========== |
========== |
========== |
|
| DISTRIBUTION |
|
| To employees |
|
| Salaries,
wages and benefits |
16,645 |
14.89 |
15,161 |
22.50 |
|
| Workers'
profit participation fund |
4,470 |
4.00 |
2,410 |
3.58 |
|
|
------------------ |
------------------ |
------------------ |
------------------ |
|
|
|
21,115 |
18.89 |
17,571 |
26.08 |
|
| To Government |
|
|
| Taxes
on income |
7,667 |
6.86 |
2,389 |
3.55 |
|
| To Banks |
|
|
| Interest,
Commission etc. |
2,528 |
2.26 |
1,307 |
1.94 |
|
| To Shareholders |
|
|
| Bonus shares |
|
3,266 |
2.92 |
2,613 |
3.88 |
|
| Dividend |
|
52,262 |
46.74 |
20,905 |
31.03 |
|
| To
Service to community |
|
| Donations |
|
1,168 |
1.04 |
763 |
1.13 |
|
|
|
|
|
|
|
|
| Retained
in business |
|
| Depreciation |
|
2,076 |
1.86 |
1,930 |
2.87 |
|
| Retained profits |
|
21,726 |
19.43 |
19,890 |
29.52 |
|
|
------------------ |
------------------ |
------------------ |
------------------ |
|
|
|
23,802 |
21.29 |
21,820 |
32.39 |
|
|
|
------------------ |
------------------ |
------------------ |
------------------ |
|
|
|
111,808 |
100.00 |
67,368 |
100.00 |
|
|
========== |
========== |
========== |
========== |
|
|
|
| Decade
at a Glance |
|
|
|
|
|
|
(Rupees in '000) |
|
|
|
|
|
June 30 |
June 30 |
June 30 |
June 30 |
June 30 |
June 30 |
Dec 31 |
Dec 31 |
Dec 31 |
Dec 31 |
|
|
2000 |
1999 |
1998 |
1997 |
1996 |
1995 |
1994 |
1993 |
1992 |
1991 |
| INCOME |
|
|
|
| Sales
and Revenues |
160 777 |
117 693 |
112 395 |
87 865 |
80 253 |
38 452 |
66 651 |
66 224 |
61 736 |
47 459 |
| Cost of Sales |
|
52 419 |
50 710 |
49 151 |
45 238 |
38 505 |
19 299 |
32 427 |
27 411 |
25 096 |
23 441 |
| Operating
& other costs |
23 436 |
21 185 |
22 353 |
15 907 |
16 044 |
7 057 |
14 768 |
12 944 |
9 785 |
7 984 |
| Taxes
on income |
7 667 |
2 390 |
1 147 |
633 |
952 |
469 |
767 |
79 |
894 |
2 657 |
| Profit
after Taxation |
77 255 |
43 408 |
39 744 |
26 087 |
24 752 |
11 627 |
18 689 |
25 790 |
26 961 |
13 377 |
|
|
|
| FINANCIAL
POSITION |
|
| Current Assets |
|
207 046 |
150 421 |
107 605 |
96 147 |
61 835 |
87 965 |
78 105 |
73 496 |
61 020 |
39 716 |
| Less:
Current liabilities |
108 869 |
56 259 |
37 516 |
48 353 |
26 491 |
23 403 |
18 433 |
I9 035 |
23 119 |
13 030 |
| Net
Working Capital |
98 177 |
94 162 |
70 089 |
47 794 |
35 344 |
64 562 |
59 672 |
54 461 |
37 901 |
26 686 |
| Fixed
Assets and long |
|
| term deposits |
|
77 952 |
56 974 |
58 544 |
53 040 |
53 132 |
10 361 |
11 090 |
5 078 |
3 673 |
3 772 |
| Net
capital employed |
176 129 |
151 136 |
128 633 |
100 834 |
88 476 |
74 923 |
70 762 |
59 539 |
41 574 |
30 458 |
| Other liabilities |
|
-- |
-- |
-- |
-- |
-- |
-- |
-- |
-- |
360 |
272 |
|
|
|
| Shareholders'
equity |
176 129 |
151 136 |
128 633 |
100 834 |
88 476 |
74 923 |
70 762 |
59 539 |
41 214 |
30 186 |
|
|
|
| STATISTICS
AND RATIOS |
|
| Bonus
shares (Percentage) |
25 |
25 |
40 |
-- |
-- |
-- |
-- |
-- |
-- |
-- |
| Dividend
(Percentage) |
400.00 |
200.00 |
16,000 |
200.00 |
I50.00 |
10,000 |
100.00 |
100.00 |
200.00 |
7000 |
| Profit
on shareholders' |
|
| Equity
(Percentage) |
48.22 |
30.30 |
31.79 |
27.94 |
2905 |
16.14 |
27.49 |
43.45 |
65.16 |
53.42 |
| Profit
before tax to |
|
| Sales
(Percentage) |
8,467 |
46.51 |
41.33 |
31.17 |
33.02 |
3,263 |
30.51 |
40.22 |
44.71 |
35.03 |
| Current Ratio |
|
1.90: 1 |
2.67: 1 |
2.87: 1 |
1.99: 1 |
2.33:1 |
3.76: 1 |
4.24: 1 |
3.86: 1 |
2.64: 1 |
3.04: 1 |
|
|
|
| Auditors'
Report to the Members |
|
|
| We
have audited the annexed Balance Sheet of GRAYS OF
CAMBRIDGE (PAKISTAN) LIMITED as at |
|
| June
30, 2000 and 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 statement in conformity with the
approved accounting |
|
| standards
and the requirements of the Companies Ordinance, 1984. Our responsibility 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
statements are free of any material misstatement. 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 accounts 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 accounts 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
explanations given to us, the |
|
| balance
sheet, profit and loss account, cash flow statement and the statement of
changes in |
|
| equity,
together with the 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
company's affairs as at |
|
| June
30, 2000 and of the profit, its cash flows and the changes in equity for the
year then ended; and |
|
|
| (d)
in our opinion, Zakat deductible at source under the Zakat and Ushr
Ordinance, 1980, was |
|
| deducted
by the company and deposited in the Central Zakat Fund established under
section 7 of |
|
| that Ordinance. |
|
|
|
|
|
(M.A. TABUSSUM & COMPANY) |
|
| LAHORE:
November 21,2000 |
|
Chartered Accountants |
|
|
|
| Balance
Sheet as at June 30, 2000 |
|
|
|
|
|
2000 |
1999 |
|
|
|
Note |
Rupees |
Rupees |
|
| SHARE
CAPITAL AND RESERVES |
|
|
|
| Authorized
Share Capital |
|
|
|
| 5,000,000
ordinary shares of Rupees 10 each |
|
50,000,000 |
50,000,000 |
|
|
|
========== |
========== |
|
| Issued,
subscribed and paid up share capital |
3 |
13,065,500 |
10,452,400 |
|
| Reserves |
|
4 |
161,266,375 |
140,613,100 |
|
| Unappropriated
profit |
|
|
1,796,956 |
70,549 |
|
|
|
|
------------------ |
------------------ |
|
|
|
|
176,128,831 |
151,136,049 |
|
| CURRENT
LIABILITIES |
|
|
|
| Export refinance |
|
5 |
35,000,000 |
15,000,000 |
|
| Creditors,
accrued and other liabilities |
6 |
13,285,708 |
17,434,982 |
|
| Provision
for taxation |
|
7 |
7,989,317 |
2,659,114 |
|
| Dividend
payable |
|
8 |
52,594,055 |
21,164,429 |
|
|
|
|
------------------ |
------------------ |
|
|
|
|
108,869,080 |
56,258,525 |
|
| CONTINGENCIES
AND COMMITMENTS |
9 |
-- |
-- |
|
|
|
|
------------------ |
------------------ |
|
|
|
284,997,911 |
207,394,574 |
|
|
|
========== |
========== |
|
| ASSETS |
|
|
|
| NON-CURRENT
ASSETS |
|
|
|
|
| Tangible
operating fixed assets |
|
10 |
13,385,018 |
12,735,824 |
|
| Equity
and other investments |
|
11 |
64,465,664 |
44,155,139 |
|
| Long
term security deposits |
|
|
101,023 |
82,623 |
|
|
|
------------------ |
------------------ |
|
|
|
77,951,705 |
56,973,586 |
|
|
|
| CURRENT
ASSETS |
|
| Stock in trade |
|
12 |
22,482,960 |
26,404,162 |
|
| Trade debts |
|
13 |
29,746,080 |
42,261,123 |
|
| Advances,
deposits, prepayments and |
|
|
| other
receivables |
|
14 |
57,001,656 |
24,597,149 |
|
| Cash
and bank balances |
|
15 |
97,815,510 |
57,158,554 |
|
|
|
------------------ |
------------------ |
|
|
|
207,046,206 |
150,420,988 |
|
|
|
------------------ |
------------------ |
|
|
|
284,997,911 |
207,394,574 |
|
|
|
========== |
========== |
|
| The
annexed notes form an integral part of these accounts |
|
|
|
KHAWAR A. KHAWAJA |
|
MUHAMMAD TAHIR BUTT |
|
|
|
Chief Executive |
|
Director |
|
|
|
|
| Profit
and Loss Account for the year ended June 30, 2000 |
|
|
|
|
2000 |
1999 |
|
|
|
Note |
Rupees |
Rupees |
|
|
| SALES |
|
16 |
100,300,582 |
98,468,095 |
|
| COST
OF GOODS SOLD |
|
17 |
52,419,452 |
50,710,195 |
|
|
|
|
------------------ |
------------------ |
|
| GROSS
PROFIT |
|
|
47,881,130 |
47,757,900 |
|
|
|
| ADMINISTRATIVE
SELLING AND |
|
| GENERAL
EXPENSES |
|
18 |
15,266,692 |
16,695,150 |
|
|
|
|
------------------ |
------------------ |
|
|
|
|
32,614,438 |
31,062,750 |
|
| OTHER
INCOME |
|
19 |
60,476,507 |
19,224,690 |
|
|
|
|
------------------ |
------------------ |
|
|
|
|
93,090,945 |
50,287,440 |
|
| FINANCIAL
AND OTHER CHARGES |
20 |
8,169,013 |
4,490,027 |
|
|
|
|
------------------ |
------------------ |
|
| PROFIT
BEFORE TAXATION |
|
|
84,921,932 |
45,797,413 |
|
|
|
| PROVISION
FOR TAXATION |
|
| Current |
|
7,667,150 |
2,336,947 |
|
| Prior years |
|
|
-- |
52,462 |
|
|
|
|
------------------ |
------------------ |
|
|
|
|
7,667,150 |
2,389,409 |
|
|
|
|
------------------ |
------------------ |
|
| PROFIT
AFTER TAXATION |
|
|
77,254,782 |
43,408,004 |
|
| UNAPPROPRIATED
PROFIT BROUGHT FORWARD |
70,549 |
180,445 |
|
|
|
|
------------------ |
------------------ |
|
| PROFIT
AVAILABLE FOR APPROPRIATIONS |
|
77,325,331 |
43,588,449 |
|
|
|
|
|
|
| APPROPRIATIONS: |
|
|
| Bonus
shares @ 25% (1999: 25%) |
|
|
3,266,375 |
2,613,100 |
|
| Proposed
final dividend Rupees 40 per share |
|
| (1999:
Rupees 20 per share) |
|
|
52,262,000 |
20,904,800 |
|
| Transfer
to general reserve |
|
|
20,000,000 |
20,000,000 |
|
|
------------------ |
------------------ |
|
|
|
|
75,528,375 |
43,517,900 |
|
|
|
|
------------------ |
------------------ |
|
| UNAPPROPRIATED
PROFIT |
|
|
1,796,956 |
70,549 |
|
|
|
========== |
========== |
|
| EARNINGS
PER SHARE |
|
21 |
59.13 |
33.22 |
|
|
|
|
|
|
|
| The
annexed notes form an integral part of these accounts |
|
|
|
KHAWAR A. KHAWAJA |
|
MUHAMMAD TAHIR BUTT |
|
|
Chief Executive |
|
Director |
|
|
|
| Cash
Flow Statement for the year ended June 30, 2000 |
|
|
|
|
|
2000 |
1999 |
|
|
|
|
Rupees |
Rupees |
|
|
| CASH
FLOWS FROM OPERATING ACTIVITIES |
|
| Profit
before taxation |
|
|
84,921,932 |
45,797,413 |
|
| Adjustment
for non cash and other items: |
|
|
|
| Depreciation |
|
|
2,075,822 |
1,929,854 |
|
| Profit
on deposits with banks |
|
|
(12,937,310) |
(4,927,695) |
|
| Dividend
income |
|
|
(47,536,983) |
(12,701,215) |
|
| Loss
/ (gain) on sale of investment |
|
3,464 |
(1,566,732) |
|
| Miscellaneous |
|
|
(2 214) |
(29,048) |
|
|
------------------ |
------------------ |
|
|
|
|
(58,397,221) |
(17,294,836) |
|
|
|
|
------------------ |
------------------ |
|
| Operating
profit before working capital changes |
|
2,652,471 |
28,502,577 |
|
|
|
|
|
|
| Increase
in current assets |
|
|
(15,968,262 |
(20,690,202 |
|
| (Decrease)
/increase in creditors, accrued |
|
|
|
| and
other liabilities |
|
|
(4,149,274 |
4,541,696 |
|
| Increase
in export refinance |
|
|
20,000,000 |
4,000,000 |
|
|
------------------ |
------------------ |
|
|
|
(117,536) |
(12,148,506) |
|
|
|
|
------------------ |
------------------ |
|
| Cash
flows from operating activities before income tax |
26,407,175 |
16,354,071 |
|
| Income tax paid |
|
|
(2,336,947) |
(1,199,218) |
|
|
|
|
------------------ |
------------------ |
|
| Net
cash flows from operating activities |
|
24,070,228 |
15,154,853 |
|
|
| CASH
FLOWS FROM INVESTING ACTIVITIES |
|
| Addition
in equity investment |
|
|
(20,310,525) |
(247,270) |
|
| Addition
in fixed assets |
|
|
(2,800,588) |
(1,335,281) |
|
| Long
term security deposits |
|
|
(18,400) |
(35,763) |
|
| Proceeds
from disposal of fixed assets |
|
77,786 |
1,287,877 |
|
| Profit
on deposits with banks |
|
|
12,937,310 |
4,927,695 |
|
| Dividend
income |
|
|
47,536,983 |
12,701,215 |
|
| (Loss)
/ gain on sale of investment |
|
(3,464) |
1,566,732 |
|
|
|
|
------------------ |
------------------ |
|
| Net
cash flows from investing activities |
|
37,419,102 |
18,865,205 |
|
|
|
|
------------------ |
------------------ |
|
| Net
increase / decrease in cash and cash equivalents |
61,489,330 |
34,020,058 |
|
| Dividend paid |
|
|
(20,832,374) |
(11,894,456) |
|
|
------------------ |
------------------ |
|
| Net
increase in cash and cash equivalents |
|
40,656,956 |
22,125,602 |
|
| Cash
and cash equivalents at the beginning of the year |
57,158,554 |
35,032,952 |
|
|
------------------ |
------------------ |
|
|
| CASH
AND CASH EQUIVALENTS AT THE |
|
|
|
| END
OF THE YEAR |
|
|
97,815,510 |
57,158,554 |
|
|
|
|
========== |
========== |
|
|
|
KHAWAR A. KHAWAJA |
|
MUHAMMAD TAHIR BUTT |
|
|
Chief Executive |
|
Director |
|
|
|
| Statement
of Changes in Equity for the year ended 30 June 2000 |
|
|
|
|
Share |
General |
Reserve for |
Unappropriated |
Total |
|
|
Capital |
Reserve |
Bonus |
Profit |
|
|
|
|
|
Shares |
|
|
|
|
|
| Balance
as at June 30, 1998 |
7,466,000 |
118,000,000 |
2,986,400 |
180,445 |
128,632,845 |
|
| Net
profit for the year |
-- |
-- |
-- |
43,408,004 |
43,408,004 |
|
| Bonus
shares issued |
2,986,400 |
-- |
(2,986,400) |
-- |
-- |
|
|
|
|
|
|
| Appropriations: |
|
|
|
| Bonus shares |
|
-- |
-- |
2,613,100 |
(2,613,100) |
-- |
|
| Proposed
dividend |
-- |
-- |
-- |
(20,904,800) |
(20,904,800) |
|
| General reserve |
|
-- |
20,000,000 |
-- |
(20,000,000) |
-- |
|
|
|
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
|
| Balance
as at June 30, 1999 |
10,452,400 |
138,000,000 |
2,613,100 |
70,549 |
151,136,049 |
|
|
|
|
|
| Net
profit for the year |
-- |
-- |
-- |
77,254,782 |
77,254,782 |
|
| Bonus
shares issued |
2,613,100 |
-- |
(2,613,100) |
-- |
-- |
|
|
|
|
|
|
| Appropriations: |
|
|
|
| Bonus shares |
|
-- |
-- |
3,266,375 |
(3,266,375) |
-- |
|
| Proposed
dividend |
-- |
-- |
-- |
(52,262,000) |
(52,262,000) |
|
| General reserve |
|
-- |
20,000,000 |
-- |
(20,000,000) |
-- |
|
|
|
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
|
| Balance
as at June 30, 2000 |
13,065,500 |
158,000,000 |
3,266,375 |
1,796,956 |
176,128,831 |
|
|
|
========== |
========== |
========== |
========== |
========== |
|
|
|
KHAWAR A. KHAWAJA |
|
MUHAMMAD TAHIR BUTT |
|
|
Chief Executive |
|
Director |
|
|
|
| Notes
to the accounts for the year ended June 30, 2000 |
|
|
|
|
| 1.
THE COMPANY AND ITS ACTIVITIES |
|
| Grays
of Cambridge (Pakistan) Limited was incorporated in Pakistan on June 02, 1964
as a |
|
| private
company limited by shares under the Companies Act, 1913 (Now Companies
Ordinance, |
|
| 1984)
and converted into a public limited company on April 17, 1986. The Company's
shares are |
|
| quoted
on the Karachi and Lahore Stock Exchanges. The principal activities of the
company are |
|
| to
manufacture-cum-export of quality sports goods particularly hockey sticks,
cricket bats and |
|
| hockey
and cricket balls. |
|
|
| 2.
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES |
|
|
|
| 2.1
Overall valuation policy |
|
| These
accounts have been prepared under the historical cost convention except to
the extent of |
|
| exchange
differences as stated in Note 2.7. |
|
|
| 2.2
Tangible fixed assets and depreciation |
|
|
| These
are stated at cost less accumulated depreciation except land and capital
work-in-progress |
|
| which
are stated at cost. Cost of tangible fixed assets consists of historical cost
including directly |
|
| attributable
cost of bringing the assets to working condition. |
|
|
|
|
| Depreciation
is charged to income applying the reducing balance method to write off the
cost of |
|
| operating
fixed assets over their expected useful life. |
|
|
|
|
| Full
year's depreciation is charged on additions, while no depreciation is charged
on assets |
|
| deleted
during the year. |
|
|
|
|
| Maintenance
and normal repairs are charged to income as and when incurred. Major renewals |
|
| and
improvements are capitalized. |
|
|
|
|
|
|
| Gain
or loss on disposal of tangible fixed assets is included in current year's
income. |
|
|
|
|
| 2.3
Staff retirement benefits |
|
| The
company operates a funded contributory provident fund scheme for its
employees. Equal |
|
| monthly
contributions are made both by the company and employees at the rate of 6.25
percent of |
|
| the
salary to the fund. |
|
|
|
| 2.4 Taxation |
|
|
|
| The
company falls under section 80(cc) of the Income Tax Ordinance, 1979 and
provision for |
|
| income
tax has been made in the accounts accordingly. |
|
|
| 2.5
Stock-in-trade |
|
| This
is valued at the lower of average cost and net realizable value. Average cost
and net |
|
| realizable
value are defined as under: |
|
|
| Average Cost |
|
|
| For raw material |
|
-- |
at annual average cost |
|
| For
work-in-process |
|
|
| and
finished goods |
-- |
at annual manufacturing
cost |
|
| Net
realizable value |
-- |
it signifies the
prevailing market prices in the ordinary course |
|
|
of business less selling
expenses incidental to sales. |
|
|
| 2.6 Trade Debts |
|
|
|
| Known
bad debts are written off and provision is made against debts considered
doubtful. |
|
|
| 2.7
Exchange Difference / Foreign Currency |
|
| Transactions
in foreign currencies are recorded in the books of accounts using the rates
of |
|
| exchange
ruling at the date of respective transaction. ,All assets and liabilities in
foreign currencies |
|
| are
translated into Pak Rupees at the rates of exchange prevailing at the balance
sheet date. |
|
| Gains
and losses on translation are included in the income currently. |
|
|
| 2.8 Investments |
|
| These
are stated at cost. |
|
|
| 2.9
Revenue recognition |
|
|
|
| Revenue
from sales is recognized on delivery of goods to customers. Profit on
deposits with |
|
| banks
is recognized on a time proportion basis taking into account the principal
outstanding and |
|
| rate
of profit / interest applicable thereon. |
|
|
|
|
|
2000 |
1999 |
|
|
|
Rupees |
Rupees |
|
| 3.
ISSUED, SUBSCRIBED AND PAID UP CAPITAL |
|
| 204
700 Ordinary shares of Rupees 10 each |
|
| fully
paid up in cash |
|
2,047,000 |
2,047,000 |
|
| 4
400 Ordinary shares of Rupees 10 each |
|
|
| fully
paid up for consideration other than cash |
|
44,000 |
44,000 |
|
| 1
097 450 Ordinary shares of Rupees 10 each issued as |
|
| fully
paid bonus shares |
|
10,974,500 |
8,361,400 |
|
|
|
------------------ |
------------------ |
|
|
|
13,065,500 |
10,452,400 |
|
|
========== |
========== |
|
|
| 3.1
Grays of Cambridge (International) Limited, England and Anwar Khawaja
Industries (Pvt) Ltd. |
|
| Sialkot,
associated undertakings held 522,666 and 65,332 ordinary shares of Rs. 10/-
each |
|
| respectively
(1999: 414,633 and 52,266 ordinary shares). |
|
|
| 4. RESERVES |
|
| Capital
reserve for issuance of bonus shares |
|
|
| Balance
at the beginning of the year |
|
2,613,100 |
2,986,400 |
|
| Transfer
from profit and loss account |
|
3,266,375 |
2,613,100 |
|
| Bonus
shares issued |
|
|
(2,613,100) |
(2,986,400) |
|
|
------------------ |
------------------ |
|
| Balance
at the end of the year |
|
3,266,375 |
2,613,100 |
|
|
|
|
|
| General reserve |
|
| Balance
at the beginning of the year |
|
138,000,000 |
118,000,000 |
|
| Transfer
from profit and loss account |
|
20,000,000 |
20,000,000 |
|
|
|
------------------ |
------------------ |
|
|
|
158,000,000 |
138,000,000 |
|
|
|
------------------ |
------------------ |
|
|
|
161,266,375 |
140,613,100 |
|
|
|
========== |
========== |
|
|
|
|
| 5.
EXPORT REFINANCE |
|
|
|
| Habib
Bank Limited |
|
5,000,000 |
5,000,000 |
|
| ANZ
Grindlays Bank Limited |
|
30,000,000 |
10,000,000 |
|
|
|
------------------ |
------------------ |
|
|
|
35,000,000 |
15,000,000 |
|
|
|
========== |
========== |
|
|
| This
represents the availed portion of total credit facility of Rupees 26 million
obtained |
|
| from
Habib Bank Limited and Rupees 32 million obtained from ANZ Grindlays Bank |
|
| Limited.
It carries mark up at the rate of paisas 22 per Rupees thousand per day.
These |
|
| finances
are secured by registered hypothecation over stocks, book debts of the |
|
| company,
mortgage of freehold land and building and pledge of Government securities or |
|
| shares
on stocks of other listed companies. |
|
|
| 6.
CREDITORS, ACCRUED AND OTHER LIABILITIES |
|
| Trade creditors |
|
448,790 |
3,085,252 |
|
| Advances
from customers |
|
14,379 |
475,410 |
|
| Due to directors |
|
142,557 |
366,372 |
|
| Commission
payable |
|
5,388,770 |
6,998,607 |
|
| Workers'
profit participation fund (Note 6.1) |
|
4,469,580 |
2,410,390 |
|
| Due
to associated undertakings |
|
-- |
33,093 |
|
| Other
accrued liabilities |
|
2,821,632 |
4,065,858 |
|
|
|
------------------ |
------------------ |
|
|
|
|
13,285,708 |
17,434,982 |
|
|
========== |
========== |
|
|
| 6.1
Workers' Profit Participation Fund |
|
| Balance
at the beginning of the year |
|
2,410,390 |
2,153,370 |
|
| Less:
Payments made during the year |
|
| To Workers |
|
|
|
372,000 |
402,000 |
|
| To Government |
|
2,038,390 |
1,751,370 |
|
|
|
------------------ |
------------------ |
|
|
|
2,410,390 |
2,153,370 |
|
|
------------------ |
------------------ |
|
|
-- |
-- |
|
| Share
of company's profit for the year |
|
4,469,580 |
2,410,390 |
|
|
|
|
------------------ |
------------------ |
|
|
|
|
4,469,580 |
2,410,390 |
|
|
|
|
========== |
========== |
|
|
| 7.
PROVISION FOR TAXATION |
|
| Balance
at the beginning of the year |
|
2,659,114 |
1,468,923 |
|
| Payments
made during the year |
|
(2,336,947) |
(1,146,756) |
|
|
|
------------------ |
------------------ |
|
|
|
322,167 |
322,167 |
|
| Provision
for the year |
|
7,667,150 |
2,336,947 |
|
|
|
------------------ |
------------------ |
|
|
|
7,989,317 |
2,659,114 |
|
|
|
========== |
========== |
|
|
|
|
| 8.
DIVIDEND PAYABLE |
|
| Proposed
final dividend |
|
52,262,000 |
20,904,800 |
|
| Unclaimed
dividend |
|
332,055 |
259,629 |
|
|
|
------------------ |
------------------ |
|
|
|
52,594,055 |
21,164,429 |
|
|
|
========== |
========== |
|
|
|
|
| 9.
CONTINGENCIES AND COMMITMENTS |
|
|
| Counter
guarantees given by the company to its bankers and post dated cheques issued
to the |
|
| Custom
Authorities are amounting to Rupees 6.320 million (1999:Rupees 7.477
million). |
|
|
| 10.
TANGIBLE OPERATING FIXED ASSETS |
|
|
|
|
|
Cost |
|
|
Accumulated depreciation |
|
Book value |
Depreciation |
|
| Description |
|
As at |
Additions |
As at |
As at |
Adjustment |
As at |
As at |
Charge |
Rate |
|
|
|
July 01, |
(deletions) |
June 30, |
July 01, |
|
June 30, |
June 30, |
For the |
% |
|
|
|
1999 |
|
2000 |
1999 |
|
2000 |
2000 |
year |
|
|
|
|
|
|
|
|
|
|
| Freehold Land |
|
38,487 |
164,219 |
202,706 |
-- |
-- |
-- |
202,706 |
-- |
-- |
|
| Factory
Building on |
|
|
|
| Freehold
Land |
|
8,428,090 |
471,892 |
8,899,982 |
3,180,164 |
-- |
3,752,146 |
5,147,836 |
571,982 |
10 |
|
| Plant
and Machinery |
2,543,156 |
116,875 |
2,660,031 |
1,515,279 |
-- |
1,629,754 |
1,030,277 |
114,475 |
10 |
|
| Office
Equipment |
1,318,534 |
-- |
1,318,534 |
547,051 |
-- |
624,199 |
694,335 |
77,148 |
10 |
|
| Tools
and equipment |
1,140,127 |
91,339 |
1,231,466 |
352,877 |
-- |
440,736 |
790,730 |
87,859 |
10 |
|
| Electric
Installations |
1,737,382 |
192,574 |
1,929,956 |
760,517 |
-- |
877,461 |
1,052,495 |
116,944 |
10 |
|
| Furniture
& Fixtures |
903,172 |
-- |
903,172 |
390,787 |
-- |
42,026 |
461,146 |
51,239 |
10 |
|
| Vehicles |
|
5,241,596 |
1,605,270 |
6,699,266 |
2,172,718 |
(72,028) |
3,020,405 |
3,678,861 |
919,715 |
20 |
|
|
|
|
(147,600) |
|
|
|
| Computers |
|
681,982 |
158,419 |
840,401 |
389,649 |
-- |
524,875 |
315,526 |
135,226 |
30 |
|
| Security Arms |
|
19,300 |
-- |
19,300 |
6,960 |
-- |
8,194 |
11,106 |
1,234 |
10 |
|
|
|
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
|
|
| 2000-Rupees |
|
22,051,826 |
2,800,588 |
24,704,814 |
9,316,002 |
(72,028) |
11,319,796 |
13,385,018 |
2,075,822 |
|
|
|
|
(147,600) |
|
|
|
|
========== |
========== |
========== |
========== |
========== |
========== |
========== |
========== |
|
| 1999 - Rupees |
|
23,173,445 |
1,335,281 |
22,051,826 |
8,584,219 |
(1,198,071) |
9,316,002 |
12,735,824 |
1,929,854 |
|
|
|
|
(2,456,900) |
|
|
|
|
========== |
========== |
========== |
========== |
========== |
========== |
========== |
========== |
|
|
|
|
2000 |
1999 |
|
|
|
Rupees |
Rupees |
|
|
|
|
|
| 10.1
The depreciation charged for the year has been allocated as follows: |
|
| Cost of goods sold |
|
891,260 |
893,325 |
|
| Administrative,
selling and general expenses |
|
1,184,562 |
1,036,529 |
|
|
------------------ |
------------------ |
|
|
|
2,075,822 |
1,929,854 |
|
|
========== |
========== |
|
|
| 10.2
Detail of fixed assets disposed of during the year: |
|
|
|
|
COST |
ACCUMULATED |
BOOK |
SALE |
MODE OF |
PARTICULARS |
|
|
RUPEES |
DEPRECIATION |
VALUE |
PROCEEDS |
DISPOSAL |
OF PURCHASER |
|
|
|
RUPEES |
RUPEES |
|
|
| Honda CG 125 |
|
| STH 3202 |
73,800 |
36,014 |
37,786 |
40,000 |
Negotiation |
Mr. Abdul Razaq, |
|
| Honda CG 125 |
|
|
|
|
(Employee) |
|
| STH
3203 |
73,800 |
36,014 |
37,786 |
37,786 |
Negotiation |
Mr. Amjad Javed |
|
|
------------------ |
------------------ |
------------------ |
------------------ |
|
(employee) |
|
|
147,600 |
72,028 |
75,572 |
77,786 |
|
|
========== |
========== |
========== |
========== |
|
|
| 11.
EQUITY AND OTHER INVESTMENTS |
|
|
|
|
| MUTUAL
FUNDS |
|
| ICP
STATE ENTERPRISE (MUTUAL FUND) SERIES 'A' |
|
| 39900
ordinary shares of Rupees 10 each |
|
| (1999:
39900 shares) |
|
1,260,840 |
1,260,840 |
|
|
|
|
| LEASING
AND LEASING MODARABA |
|
| GRAYS
LEASING LIMITED |
|
| (ASSOCIATED
UNDERTAKING) |
|
| 4000000
(40%) ordinary shares of Rupees 10 each |
|
| (1999:
2000000 (20%) shares) |
|
40,422,875 |
20,000,000 |
|
|
| TRUST
MODARABA |
|
| 182000
certificates of Rupees 10 each including |
|
| 82000
bonus certificates (1999: 182000 |
|
| certificates
including 82000 bonus certificates) |
|
2,182,545 |
2,182,545 |
|
|
| FIRST
GRINDLAYS MODARABA |
|
| 24948
certificates of Rupees 10 each including |
|
| 5948
bonus certificates (1999: 24948 |
|
| certificates
including 5948 bonus certificates) |
|
529,030 |
529,030 |
|
|
| FIRST
CRESCENT MODARABA |
|
| 205312
certificates of Rupees 10 each including |
|
| 58812
bonus certificates (1999: 205312 |
|
| certificates
including 58812 bonus certificates) |
|
2,554,820 |
2,548,370 |
|
|
|
|
| FIRST
FIDELITY LEASING MODARABA |
|
| 444186
certificates of Rupees 10 each including |
|
| 74624
bonus certificates (1999: 444186 |
|
| certificates
including 74624 bonus certificates) |
|
4,510,285 |
4,510,285 |
|
|
| TEXTILE
SPINNING |
|
| UMER
FABRICS LIMITED |
|
| 14950
ordinary shares of Rupees 10 each |
|
| (1999:
14950 shares) |
|
|
153,465 |
153,465 |
|
|
| NISHAT
MILLS LIMITED |
|
| 45891
ordinary shares of Rupees 10 each including |
|
| 13726
bonus shares (1999: 45891 shares |
|
| including
13726 bonus shares) |
|
|
929,320 |
929,320 |
|
|
| SUGAR |
|
| HUSEIN
SUGAR MILLS LIMITED |
|
| 13197
ordinary shares of Rupees 10 each including |
|
| 7010
bonus shares (1999: 13197 shares |
|
| including
7010 bonus shares) |
|
|
326,550 |
326,550 |
|
|
| CEMENT |
|
| MAPLE
LEAF CEMENT FACTORY LTD. |
|
| 227000
ordinary shares of Rupees 10 each including |
|
| 6000
bonus shares (1999: 227000 shares |
|
| including
6000 bonus shares) |
|
|
2,090,250 |
2,090,250 |
|
|
| D.
G. KHAN CEMENT COMPANY LTD. |
|
| 172945
ordinary shares of Rupees 10 each including |
|
| 8612
bonus shares (1999: 172945 shares |
|
| including
8612 bonus shares) |
|
|
4,382,344 |
4,382,344 |
|
|
|
|
| CHEMICALS |
|
| SITARA
CHEMICAL INDUSTRIES LTD. |
|
| 950
ordinary shares of Rupees 10 each including |
|
| 655
bonus shares (1999: 950 shares including |
|
| 550
bonus shares) |
|
|
6,740 |
6,740 |
|
|
------------------ |
------------------ |
|
|
|
|
59,349,064 |
38,919,739 |
|
|
========== |
========== |
|
|
|
| FOREIGN
EXCHANGE BEARER CERTIFICATES |
|
| Rupees
0.110 million face value and Rupees 0.150 million |
|
| surrender
value (1999: Rupees 0.220 million face |
|
| value
and Rupees 0.385 million surrender value) |
|
116,600 |
235,400 |
|
|
| UNQUOTED |
|
|
| Wholly
owned subsidiary company |
|
| DAWN
SPORTS (PRIVATE) LIMITED |
|
| 600000
Fully paid ordinary shares of Rupees 10 each |
|
| including
300000 bonus shares. Break up value |
|
| as
on June 30, 2000 was Rupees 41.08 per share |
|
| (1999:
450000 ordinary shares including |
|
| 150000
bonus shares. Break up value |
|
| Rupees
63.03 per share) |
|
5,000,000 |
5,000,000 |
|
|
|
------------------ |
------------------ |
|
|
|
64,465,664 |
44,155,139 |
|
|
|
========== |
========== |
|
|
| 11.1
Market value of quoted equity investment was Rupees 46.631 million as on June
30, 2000 |
|
| (1999:
Rupees 31.973 million) |
|
|
| 12.
STOCK-IN-TRADE |
|
| Raw materials |
|
13,027,227 |
16,495,697 |
|
| Work-in-process |
|
6,189,293 |
6,046,138 |
|
| Finished goods |
|
3,266,440 |
3,862,327 |
|
|
|
------------------ |
------------------ |
|
|
|
22,482,960 |
26,404,162 |
|
|
|
========== |
========== |
|
|
|
|
| 13.
TRADE DEBTS - UNSECURED |
|
29,746,080 |
42,261,123 |
|
|
|
========== |
========== |
|
|
| These
are unsecured but considered good. The export bills under collection include
bills due from |
|
| Gray
Nicolls, England and Gray Nicolls, Australia (associated undertakings)
amounting to |
|
| Rupees
18.681 million (1999: Rupees 19.541 million) |
|
|
|
| 14.
ADVANCES, DEPOSITS, PREPAYMENTS |
|
| AND
OTHER RECEIVABLES |
|
| Advances |
|
|
| To employees |
|
1,080,383 |
995,175 |
|
| Provision
for doubtful debts |
|
(11,000) |
(11,000) |
|
|
|
------------------ |
------------------ |
|
| Considered
good |
|
1,069,383 |
984,175 |
|
| To Suppliers |
|
670,144 |
1,185,604 |
|
| To
Income tax department |
|
3,870,529 |
3,452,957 |
|
|
------------------ |
------------------ |
|
|
|
5,610,056 |
5,622,736 |
|
| Deposits
- Trade and others |
|
8,335,425 |
8,499,644 |
|
| Short
term prepayments |
|
106,280 |
114,050 |
|
| Export
rebate claims |
|
6,993,000 |
6,251,896 |
|
| Sales
tax receivable |
|
1,090,614 |
1,589,595 |
|
| Dividend
receivable |
|
30,000,000 |
-- |
|
| Accrued
profit on investments |
|
3,415,296 |
1,632,801 |
|
| Grays
of Cambridge (Int'l) Limited (associated undertaking) |
29,650 |
29,650 |
|
| Dawn
Sports (Private) Limited (subsidiary undertaking) |
1,421,335 |
856,777 |
|
|
|
------------------ |
------------------ |
|
|
|
57,001,656 |
24,597,149 |
|
|
========== |
========== |
|
|
|
|
| 15.
CASH AND BANK BALANCES |
|
|
|
|
| Cash in hand |
|
25,417 |
981 |
|
| Cash
with banks: |
|
|
|
| Current
Accounts |
|
1,889,197 |
304,290 |
|
| Deposit
Accounts |
|
95,900,896 |
56,853,283 |
|
|
|
------------------ |
------------------ |
|
|
|
97,790,093 |
57,157,573 |
|
|
|
------------------ |
------------------ |
|
|
|
97,815,510 |
57,158,554 |
|
|
|
========== |
========== |
|
|
|
|
| 16. SALES |
|
|
|
| Export |
|
101,411,114 |
99,477,281 |
|
| Custom rebates |
|
8,108,165 |
6,856,457 |
|
|
|
------------------ |
------------------ |
|
|
|
109,519,279 |
106,333,738 |
|
| Local |
|
891,914 |
1,849,730 |
|
|
|
------------------ |
------------------ |
|
|
|
110,411,193 |
108,183,468 |
|
| Commission
to selling agents |
|
(10,110,611) |
(9,715,373) |
|
|
|
------------------ |
------------------ |
|
|
|
100,300,582 |
98,468,095 |
|
|
|
========== |
========== |
|
|
|
|
| 17.
COST OF GOODS SOLD |
|
| Raw
materials consumed (Note 17.1) |
|
37,390,082 |
37,749,858 |
|
| Salaries,
wages and other benefits inclusive of |
|
|
| employer's
contribution towards provident fund |
|
|
| Rupees
154,698 (1999 Rupees 137,268) |
|
11,355,687 |
10,174,716 |
|
| Repair
and maintenance |
|
570,495 |
429,288 |
|
| Fuel and power |
|
1,150,797 |
1,053,326 |
|
| insurance |
|
571,263 |
584,168 |
|
| Rent,
rates and taxes |
|
37,136 |
45,580 |
|
| Depreciation
(Note 10.1) |
|
891,260 |
893,325 |
|
|
|
------------------ |
------------------ |
|
|
|
51,966,720 |
50,930,261 |
|
| Work
- in- process: |
|
------------------ |
------------------ |
|
| Opening
Inventory |
|
|
6,046,138 |
4,826,101 |
|
| Closing
Inventory |
|
|
(6,189,293) |
(6,046,138) |
|
|
|
|
------------------ |
------------------ |
|
|
|
|
(143,155) |
(1,220,037) |
|
|
|
|
------------------ |
------------------ |
|
| Cost
of goods manufactured |
|
51,823,565 |
49,710,224 |
|
|
|
|
|
| Finished goods: |
|
|
| Opening
Inventory |
|
|
3,862,327 |
4,862,298 |
|
| Closing
Inventory |
|
|
(3,266,440) |
(3,862,327) |
|
|
|
|
------------------ |
------------------ |
|
|
|
|
595,887 |
999,971 |
|
|
|
|
------------------ |
------------------ |
|
|
|
52,419,452 |
50,710,195 |
|
|
========== |
========== |
|
|
|
| 17.
Raw Material Consumed |
|
| Opening stock |
|
|
16,495,697 |
12,535,951 |
|
| Purchases
during the year |
|
|
33,921,612 |
41,709,604 |
|
|
|
|
------------------ |
------------------ |
|
|
|
|
50,417,309 |
54,245,555 |
|
| Closing stock |
|
|
13,027,227 |
16,495,697 |
|
|
|
|
------------------ |
------------------ |
|
|
|
37,390,082 |
37,749,858 |
|
|
|
========== |
========== |
|
|
| 18.
ADMINISTRATIVE, SELLING AND |
|
| GENERAL
EXPENSES |
|
| Salaries
and other benefits inclusive of employer's |
|
| contribution
towards provident fund Rupees 50,466 |
|
| (1999:
Rupees 46,141) |
|
5,289,409 |
4,985,812 |
|
| Travelling
and conveyance |
|
1,552,107 |
2,151,183 |
|
| Vehicles
running |
|
800,975 |
661,672 |
|
| Postage,
telephone and telex |
|
836,070 |
639,919 |
|
| Legal
and professional |
|
455,250 |
266,110 |
|
| Audit fee |
|
50,000 |
50,000 |
|
| Printing
and stationery |
|
319,210 |
206,317 |
|
| Boarding,
lodging and entertainment |
|
206,521 |
317,384 |
|
| Fee
and subscription |
|
414,202 |
228,653 |
|
| Books
and periodicals |
|
31,073 |
38,489 |
|
| Repairs
and maintenance |
|
93,851 |
78,464 |
|
| Free samples |
|
175,008 |
176,389 |
|
| Export tax |
|
255,735 |
239,447 |
|
| Advertisement
and publicity |
|
1,200,828 |
2,871,237 |
|
| Clearing
and forwarding |
|
2,376,925 |
2,443,242 |
|
| Royalty |
|
-- |
251,095 |
|
| Bad debts |
|
-- |
33,583 |
|
| Miscellaneous |
|
24,966 |
19,625 |
|
| Depreciation
(Note 10.1) |
|
1,184,562 |
1,036,529 |
|
|
|
------------------ |
------------------ |
|
|
|
15,266,692 |
16,695,150 |
|
|
========== |
========== |
|
|
| 18.1
Number of employees, including Chief Executive and 3 Executives as on June
30, 2000 were 142 |
|
| (1999: 131). |
|
|
| 19.
OTHER INCOME |
|
| Profit
on deposits with banks |
|
|
12,937,310 |
4,927,695 |
|
| Dividend
income (Note 19.1) |
|
|
47,536,983 |
12,701,215 |
|
| Capital gain |
|
|
-- |
1,566,732 |
|
| Gain
on sale of fixed assets |
|
|
2,214 |
29,048 |
|
|
------------------ |
------------------ |
|
|
|
60,476,507 |
19,224,690 |
|
|
|
========== |
========== |
|
|
| 19.1
Included Rs. 37.500 million from subsidiary undertaking Dawn Sports (Private)
Limited (1999: |
|
| Rs.
12.000 million) and Rs. 9.000 million from associated undertaking Grays
Leasing Limited |
|
| (1999: nil). |
|
|
|
|
| 20.
FINANCIAL AND OTHER CHARGES |
|
| Mark
up on export Refinance |
|
|
2,143,844 |
938,411 |
|
| Bank
charges and commission |
|
|
383,912 |
368,615 |
|
|
|
------------------ |
------------------ |
|
|
|
2,527,756 |
1,307,026 |
|
| Capital loss |
|
|
|
3,464 |
-- |
|
| Zakat |
|
|
|
-- |
9,975 |
|
| Workers'
profit participation fund |
|
|
4,469,580 |
2,410,390 |
|
| Donations
(Note 20.1) |
|
|
1,168,213 |
762,636 |
|
|
------------------ |
------------------ |
|
|
|
|
8,169,013 |
4,490,027 |
|
|
========== |
========== |
|
|
| 20.1
None of the directors and their spouses had any interest in the donees fund. |
|
|
|
|
| 21.
EARNINGS PER SHARE - BASIC |
|
| There
is no dilutive effect on the basic earnings per share of the company, which
is based on: |
|
|
|
|
|
|
| Profit
after taxation |
|
(Rupees) |
77,254,782 |
43,408,004 |
|
| Number
of shares |
|
|
1,306,550 |
1,306,550 |
|
| Earnings
per share (Note 21.1) |
|
(Rupees) |
59.13 |
33.22 |
|
|
|
| 21.1
The earning per share for the year ended June 30, 1999 is restated from
Rupees 41.53 per share |
|
| to
Rupees 33.22 per share due to issue of bonus shares in the year ended June
30, 2000. |
|
|
| 22.
CHIEF EXECUTIVE'S AND EXECUTIVES' REMUNERATION |
|
|
| The
aggregate amount charged in the accounts for the year for remuneration
including certain |
|
| benefits
to the chief executive and executives were as follows: |
|
|
|
2000 |
1999 |
|
|
Chief |
|
Chief |
|
|
|
Executive |
Executives |
Executive |
Executives |
|
|
| Managerial
remuneration |
1,656,000 |
564,000 |
1,656,000 |
532,000 |
|
|
|
|
| Allowances: |
|
|
|
| Housing |
|
744,000 |
253,800 |
744,000 |
239,400 |
|
| Utilities |
|
129,465 |
28,200 |
88,691 |
26,600 |
|
| Bonus |
|
-- |
70,500 |
-- |
110,466 |
|
| Earned leave |
|
-- |
32,900 |
-- |
29,633 |
|
|
|
------------------ |
------------------ |
------------------ |
------------------ |
|
| Rupees |
|
2,529,465 |
949,400 |
2,488,691 |
938,099 |
|
|
|
========== |
========== |
========== |
========== |
|
| Number
of persons |
1 |
3 |
1 |
3 |
|
|
| 22.1
Chief Executive and one executive have been provided free maintained
vehicles. |
|
|
| 22.2
No meeting fees were paid to directors during the year under reference. |
|
|
| 23.
TRANSACTIONS WITH ASSOCIATED / SUBSIDIARY UNDERTAKINGS |
|
| The
company purchased from and sold to associated / subsidiary undertakings
goods, materials |
|
| and
services at market prices in the aggregate sum of Rupees 0.103 million (1999:
Rupees 1.605 |
|
| million)
and Rupees 31.139 million (1999: Rupees 28.900 million) respectively. |
|
|
|
|
| Maximum
aggregate amount due from associated / subsidiary undertakings at the end of
any |
|
| month
during the year was Rupees 24.522 million (1999: Rupees 20.800 million). |
|
|
|
|
| 24.
FINANCIAL INSTRUMENTS AND RELATED DISCLOSURES |
|
| The
company's exposure to interest / mark up rate risk and effective rates on its
financial assets |
|
| and
financial liabilities are summarized as follows: |
|
|
|
|
|
2000 |
|
|
|
INTEREST /
MARK-UP |
NON |
|
|
FINANCIAL |
BEARING |
INTEREST/ |
|
|
|
INSTRUMENTS |
WITHIN |
ONE YEAR |
MARK-UP |
|
|
|
|
ONE YEAR |
TO FIVE |
BEARING |
|
|
|
|
|
YEARS |
|
| ASSETS |
|
|
| Trade debts |
|
29,746,080 |
-- |
-- |
29,746,080 |
|
| Advances,
deposits and |
|
|
| other
receivables |
24,024,847 |
-- |
-- |
23,024,847 |
|
| Cash
and bank balances |
97,815,510 |
95,900,896 |
-- |
1,914,614 |
|
|
------------------ |
------------------ |
------------------ |
------------------ |
|
|
150,586,437 |
95,900,896 |
-- |
54,685,541 |
|
|
------------------ |
------------------ |
------------------ |
------------------ |
|
|
|
|
| LIABILITIES |
|
| Export refinance |
|
35,000,000 |
35,000,000 |
-- |
-- |
|
| Creditors,
accrued and other liabilities |
13,285,708 |
-- |
-- |
13,285,708 |
|
|
------------------ |
------------------ |
------------------ |
------------------ |
|
|
48,285,708 |
35,000,000 |
-- |
13,285,708 |
|
|
------------------ |
------------------ |
------------------ |
------------------ |
|
| Total
interest / mark up rate sensitivity gap |
102,300,729 |
60,900,896 |
-- |
41,399,833 |
|
|
------------------ |
------------------ |
------------------ |
------------------ |
|
| Cumulative
interest/mark-up rate sensitivity gap |
60,900,896 |
60,900,896 |
102,300,729 |
|
|
------------------ |
------------------ |
------------------ |
|
|
| EFFECTIVE
INTEREST / MARK-UP RATES |
|
| FINANCIAL
ASSETS |
|
| Deposits with banks |
8.00 to 16.00 percent per
annum |
|
|
| FINANCIAL
LIABILITIES |
|
| Export refinance |
8.00 percent per annum |
|
|
|
|
1999 |
|
|
|
INTEREST /
MARK-UP |
NON |
|
|
FINANCIAL |
BEARING |
INTEREST/ |
|
|
|
INSTRUMENTS |
WITHIN |
ONE YEAR |
MARK-UP |
|
|
|
|
ONE YEAR |
TO FIVE |
BEARING |
|
|
|
|
|
YEARS |
|
| ASSETS |
|
|
|
| Trade debts |
|
42,261,123 |
-- |
-- |
42,261,123 |
|
| Advances,
deposits and |
|
|
| other
receivables |
21,030,142 |
-- |
-- |
21,030,142 |
|
| Cash
and bank balances |
57,158,554 |
56,853,283 |
-- |
305,271 |
|
|
|
------------------ |
------------------ |
------------------ |
------------------ |
|
|
|
120,449,819 |
56,853,283 |
-- |
63,596,536 |
|
|
------------------ |
------------------ |
------------------ |
------------------ |
|
| LIABILITIES |
|
| Export refinance |
|
15,000,000 |
15,000,000 |
-- |
-- |
|
| Creditors,
accrued and other liabilities |
17,434,982 |
-- |
-- |
17,434,982 |
|
|
------------------ |
------------------ |
------------------ |
------------------ |
|
|
|
32,434,982 |
15,000,000 |
-- |
17,434,982 |
|
|
|
========== |
========== |
========== |
========== |
|
| Total
interest / mark up rate sensitivity gap |
88,014,837 |
41,853,283 |
-- |
46,161,554 |
|
|
|
========== |
========== |
========== |
========== |
|
| Cumulative
interest / mark-up rate sensitivity gap |
41,853,283 |
41,853,283 |
88,014,837 |
|
|
========== |
========== |
========== |
|
|
| EFFECTIVE
INTEREST / MARK-UP RATES |
|
| FINANCIAL
ASSETS |
|
| Deposits
with banks |
8.00 to 17.75 percent per
annum |
|
|
|
|
| FINANCIAL
LIABILITIES |
|
| Export refinance |
|
8.00 to 11.00 percent per
annum |
|
|
| 25.
PLANT CAPACITY AND ACTUAL PRODUCTION |
|
| As
the company is engaged in manufacturing of man made sports goods and its
production is |
|
| dependent
upon the efficiency of the persons engaged, hence the capacity of the unit
could not be |
|
| determined. |
|
|
|
|
| 26.
CORRESPONDING FIGURES |
|
| Corresponding
figures have been rearranged wherever necessary for the purpose of
comparison. |
|
|
|
KHAWAR A. KHAWAJA |
|
MUHAMMAD TAHIR BUTT |
|
|
Chief Executive |
|
Director |
|
|
|
|
|
| STATEMENT
PURSUANT TO SECTION 237 OF THE |
|
| COMPANIES
ORDINANCE, 1984 |
|
|
| The
accounts of the subsidiary company M/s. Dawn Sports (Pvt) Limited for the
year ended June 30, |
|
| 2000
alongwith the auditors' and directors' reports thereon are annexed: |
|
|
| (a)
The holding company interest in the subsidiary company for the year ended
June 30, 2000 is 100 |
|
| percent
including 7 shares issued to the Directors. |
|
|
|
|
|
| (b)
The net aggregate amount of the profit of subsidiary company which have so
far not been dealt |
|
| within
the accounts of the holding company for the year ended June 30, 2000 is as
follows: |
|
|
|
|
Rupees |
|
|
| For the year |
|
|
20,284,519 |
|
|
|
|
| For
the previous financial years |
|
38,862,709 |
|
|
|
|
------------------ |
|
|
|
59,147,228 |
|
|
|
|
| Final
dividend paid |
|
13,500,000 |
|
|
|
|
------------------ |
|
|
|
45,647,228 |
|
|
|
|
========== |
|
|
|
KHAWAR A. KHAWAJA |
|
MUHAMMAD TAHIR BUTT |
|
|
Chief Executive |
|
Director |
|
|
|
| FORM - 34 |
|
| Pattern
of Shareholdings |
|
| As
at June 30, 2000 |
|
|
| NUMBER OF |
SHAREHOLDINGS |
TOTAL |
|
| SHARE |
FROM |
TO |
SHARES HELD |
|
| HOLDERS |
|
| 374 |
1 |
100 |
1,562 |
|
| 89 |
101 |
500 |
18,019 |
|
| 34 |
501 |
1000 |
26,216 |
|
| 24 |
1001 |
5000 |
62,305 |
|
| 5 |
5001 |
10000 |
40,537 |
|
| 2 |
10001 |
15000 |
26,260 |
|
| 1 |
15001 |
20000 |
16,755 |
|
| 1 |
40001 |
45000 |
40,013 |
|
| 1 |
50001 |
55000 |
52,698 |
|
| 1 |
55001 |
60000 |
56,398 |
|
| 1 |
65001 |
70000 |
65,332 |
|
| 1 |
110001 |
115000 |
114,013 |
|
| 2 |
130001 |
135000 |
267,276 |
|
| 1 |
515001 |
520000 |
519,166 |
|
| ------------------ |
|
------------------ |
|
| 537 |
|
|
1,306,550 |
|
| ========== |
|
|
========== |
|
|
| CATEGORIES
OF |
|
NUMBER OF |
SHARES |
|
|
| SHARE
HOLDERS |
|
SHARE |
HELD |
PERCENTAGE |
|
|
HOLDERS |
|
|
| Individuals |
|
534 |
608,039 |
56.54 |
|
| Investment
Companies |
|
1 |
114,013 |
8.73 |
|
| Associated
Companies |
|
2 |
584,498 |
44.73 |
|
|
|
------------------ |
------------------ |
------------------ |
|
| TOTAL |
|
537 |
1,306,550 |
100.00 |
|
|
========== |
========== |
========== |
|
|
|
|
|
| DAWN
SPORTS (PRIVATE) LIMITED |
|
|
|
|
|
| Directors'
Report |
|
|
|
| The
Directors have pleasure in presenting their report together with the accounts
of the company for the |
|
| year
ended June 30, 2000. |
|
|
| The
operating results and directors recommendations regarding appropriations are
as under :- |
|
|
|
|
Rupees |
|
|
|
|
| Operating profit |
|
|
20,121,232 |
|
| Other income |
|
|
5,991,865 |
|
|
|
|
------------------ |
|
|
|
|
26,113,097 |
|
| Financial
and other charges |
|
2,584,017 |
|
|
|
|
------------------ |
|
| Profit
before taxation |
|
23,529,080 |
|
| Provision
for taxation |
|
3,244,561 |
|
|
------------------ |
|
| Profit
after taxation |
|
20,284,519 |
|
| Unappropriated
profit brought forward |
|
4,462,709 |
|
|
|
|
------------------ |
|
| Profit
available for appropriation |
|
24,747,228 |
|
|
|
|
| Appropriations: |
|
|
| Proposed
final dividend @ 400% |
|
24,000,000 |
|
| Transfer
to general reserve |
|
|
-- |
|
|
------------------ |
|
|
|
24,000,000 |
|
|
------------------ |
|
| Unappropriated
profit |
|
747,228 |
|
|
|
|
========== |
|
|
| The
Directors are pleased to report that the Company has attained good financial
results. They also |
|
| expect
good results and performance of the company in the next year. |
|
|
| The
present auditors Messrs. M. A. Tabussum & Co., Chartered Accountants,
retire and being eligible, |
|
| offer
themselves for reappointment for the ensuing year. |
|
|
| The
Directors wish to place on record their appreciation for the sincere efforts
and hard work done by the |
|
| workers,
staff and officers of the Company during the year under review. |
|
|
|
|
for and on behalf of the Board |
|
|
|
|
|
|
|
|
|
KHURRAM ANWAR KHAWAJA |
|
| SIALKOT:
November 21, 2000 |
|
Chief Executive |
|
|
|
|
|
|
|
| Auditors'
Report to the Members |
|
|
| We
have audited the annexed Balance Sheet of DAWN SPORTS
(PRIVATE) LIMITED as at June 30, |
|
| 2000
and 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 misstatement. 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 accounts 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 accounts 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
explanations given to us, the |
|
| balance
sheet, profit and loss account, cash flows statement and statement of changes
in equity, |
|
| together
with the notes formin9 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 state of
the company's |
|
| affairs
as at June 30, 2000 and of the profits, its cash flows and the 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. |
|
|
|
|
|
(M.A. TABUSSUM & COMPANY) |
|
| LAHORE:
November 21, 2000 |
|
Chartered Accountants |
|
|
|
| Balance
Sheet as at June 30, 2000 |
|
|
|
|
|
2000 |
1999 |
|
|
|
NOTE |
Rupees |
Rupees |
|
| EQUITY
AND LIABILITIES |
|
|
|
| SHARE
CAPITAL AND RESERVES |
|
|
| Authorized
share capital |
|
| 1,000,000
ordinary shares of Rupees 10 each |
|
10,000,000 |
5,000,000 |
|
|
|
========== |
========== |
|
| Issued,
subscribed and paid up share capital |
3 |
6,000,000 |
4,500,000 |
|
|
|
|
|
| Reserves |
|
4 |
17,900,000 |
19,400,000 |
|
| Unappropriated
profit |
|
|
747,228 |
4,462,709 |
|
|
|
------------------ |
------------------ |
|
|
|
|
24,647,228 |
28,362,709 |
|
|
|
| CURRENT
LIABILITIES |
|
|
|
| Export
Refinance |
|
5 |
14,500,000 |
-- |
|
| Creditors,
accrued and other liabilities |
6 |
9,578,278 |
7,720.03 |
|
| Provision
for taxation |
|
7 |
3,244,561 |
1,861,689 |
|
| Dividend
payable |
|
|
24,000,000 |
13,500,000 |
|
|
|
|
------------------ |
------------------ |
|
|
|
|
51,322,839 |
23,081,718 |
|
| CONTINGENCIES
AND COMMITMENTS |
8 |
|
|
------------------ |
------------------ |
|
|
|
75,970,067 |
51,444,427 |
|
|
|
========== |
========== |
|
| ASSETS |
|
|
|
| NON-CURRENT
ASSETS |
|
| Operating
fixed assets |
|
9 |
7,179,928 |
7,467,035 |
|
| Long
term security deposit |
|
|
29,200 |
21,300 |
|
|
|
|
------------------ |
------------------ |
|
|
|
|
7,209,128 |
7,488,335 |
|
| CURRENT
ASSETS |
|
|
|
| Stock in trade |
|
10 |
11,720,604 |
11,468,243 |
|
| Trade debts |
|
11 |
5,056,975 |
6,867,125 |
|
| Advances,
deposits, prepayments |
|
|
| and
other receivables |
|
12 |
6,175,387 |
5,321,646 |
|
| Cash
and bank balances |
|
13 |
45,807,973 |
20,299,078 |
|
|
|
|
------------------ |
------------------ |
|
|
|
|
68,760,939 |
43,956,092 |
|
|
|
|
------------------ |
------------------ |
|
|
75,970,067 |
51,444,427 |
|
|
|
========== |
========== |
|
| The
annexed notes form an integral part of these accounts. |
|
|
|
KHURRAM A. KHAWAJA |
|
KHAWAR A. KHAWAJA |
|
|
|
Chief Executive |
|
Director |
|
|
|
|
|
|
|
| Profit
and Loss Account for the year ended June 30, 2000 |
|
|
|
|
|
2000 |
1999 |
|
|
NOTE |
Rupees |
Rupees |
|
|
| SALES |
|
14 |
48,768,261 |
48,013,318 |
|
| COST
OF GOODS SOLD |
|
15 |
23,365,196 |
24,101,845 |
|
|
|
|
------------------ |
------------------ |
|
| GROSS
PROFIT |
|
|
25,403,065 |
23,911,473 |
|
|
|
|
|
|
| ADMINISTRATIVE,
SELLING AND |
|
| GENERAL
EXPENSES |
|
16 |
5,281,833 |
5,601,127 |
|
|
|
------------------ |
------------------ |
|
|
|
|
20,121,232 |
18,310,346 |
|
| OTHER
INCOME |
|
17 |
5,991,865 |
3,516,383 |
|
|
|
|
------------------ |
------------------ |
|
|
|
|
26,113,097 |
21,826,729 |
|
| FINANCIAL
AND OTHER CHARGES |
18 |
2,584,017 |
1,381,964 |
|
|
|
|
------------------ |
------------------ |
|
| PROFIT
BEFORE TAXATION |
|
|
23,529,080 |
20,444,765 |
|
| PROVISION
FOR TAXATION |
|
|
3,244,561 |
1,861,689 |
|
|
|
|
------------------ |
------------------ |
|
| PROFIT
AFTER TAXATION |
|
|
20,284,519 |
18,583,076 |
|
| UNAPPROPRIATED
PROFIT BROUGHT FORWARD |
4,462,709 |
879,633 |
|
|
|
|
------------------ |
------------------ |
|
| PROFIT
AVAILABLE FOR APPROPRIATION |
|
24,747,228 |
19,462,709 |
|
|
|
|
|
|
| APPROPRIATIONS: |
|
| Bonus
shares (1999: @ 33.33%) |
|
|
-- |
1,500,000 |
|
| Proposed
final dividend Rupees 40 per share |
|
|
|
| (1999:
Rupees 30 per share) |
|
|
24,000,000 |
13,500,000 |
|
|
|
|
------------------ |
------------------ |
|
|
|
|
24,000,000 |
15,000,000 |
|
|
|
|
------------------ |
------------------ |
|
| UNAPPROPRIATED
PROFIT |
|
|
747,228 |
4,462,709 |
|
|
|
|
========== |
========== |
|
| EARNINGS
PER SHARE |
|
19 |
33.81 |
30.97 |
|
|
|
========== |
========== |
|
|
|
|
| The
annexed notes form an integral part of these accounts. |
|
|
|
KHURRAM A. KHAWAJA |
|
KHAWAR A. KHAWAJA |
|
|
Chief Executive |
|
Director |
|
|
|
|
|
| Cash
Flow Statement for the year ended June 30, 2000 |
|
|
|
|
2000 |
1999 |
|
|
|
Rupees |
Rupees |
|
|
|
| CASH
FLOWS FROM OPERATING ACTIVITIES |
|
| Profit
before taxation |
|
23,529,080 |
20,444,765 |
|
| Adjustment for · |
|
|
|
| Depreciation |
|
818,769 |
883,633 |
|
| Profit
on deposits with banks |
|
(5,991,865) |
(3,516,383) |
|
| Loss
on sale of fixed assets |
|
-- |
3,357 |
|
|
|
------------------ |
------------------ |
|
|
|
(5,173,096) |
(2,629,393) |
|
|
|
------------------ |
------------------ |
|
| Operating
profit before working capital changes |
|
18,355,984 |
17,815,372 |
|
|
|
|
|
|
| Decrease
/ (increase) in current assets |
|
704,048 |
(4,482,774) |
|
| Increase
/ (decrease) in creditors, accrued and other liabilities |
1,858,249 |
(123,702) |
|
|
|
|
------------------ |
------------------ |
|
| Cash
flow from operating activities before income tax |
20,918,281 |
13,208,896 |
|
| Income tax paid |
|
|
(1,861,689) |
(913,065) |
|
|
|
|
------------------ |
------------------ |
|
| Net
cash flows from operating activities |
|
19,056,592 |
12,295,831 |
|
|
|
|
| CASH
FLOWS FROM INVESTING ACTIVITIES |
|
| Long
term security deposits |
|
(7,900) |
(17,400) |
|
| Profit
on deposits with banks |
|
|
5,991,865 |
3,516,383 |
|
| Proceeds
from disposal of fixed assets |
|
-- |
122,773 |
|
| Addition
in fixed assets |
|
(531,662) |
(1,398,311) |
|
|
|
------------------ |
------------------ |
|
| Net
cash flows from investing activities |
|
5,452,303 |
2,223,445 |
|
|
| CASH
FLOWS FROM FINANCING ACTIVITIES |
|
|
|
| Increase
in export refinance |
|
|
14,500,000 |
-- |
|
| Dividend paid |
|
|
(13,500,000) |
(12,000,000) |
|
|
------------------ |
------------------ |
|
| Net
cash flows from financing activities |
|
1,000,000 |
(12,000,000) |
|
|
|
|
|
------------------ |
------------------ |
|
| Net
increase in cash and cash equivalents |
|
25,508,895 |
2,519,276 |
|
| Cash
and cash equivalents at the beginning of the year |
20,299,078 |
17,779,802 |
|
|
|
|
|
------------------ |
------------------ |
|
| CASH
AND CASH EQUIVALENTS AT THE END OF THE YEAR |
45,807,973 |
20,299,078 |
|
|
|
|
|
========== |
========== |
|
|
|
KHURRAM A. KHAWAJA |
|
KHAWAR A. KHAWAJA |
|
|
Chief Executive |
|
Director |
|
|
|
| Statement
of Changes in Equity for the year ended June 30, 2000 |
|
|
|
Share |
General |
Reserve for |
Unappropriated |
|
|
Capital |
Reserve |
Bonus |
Profit |
Total |
|
|
|
Shares |
|
|
|
|
|
| Balance
as at June 30, 1998 |
3,000,000 |
17,900,000 |
1,500,000 |
879,633 |
23,279,633 |
|
| Issue
of bonus shares |
1,500,000 |
-- |
(1,500,000) |
-- |
-- |
|
| Net
profit for the year |
-- |
-- |
-- |
18,583,076 |
18,583,076 |
|
|
|
|
|
|
| Appropriations: |
|
|
| Bonus shares |
|
-- |
-- |
1,500,000 |
(1,500,000) |
-- |
|
| Proposed
final dividend |
-- |
-- |
-- |
(13,500,000) |
(13,500,000) |
|
|
|
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
|
| Balance
as at June 30, 1999 |
4,500,000 |
17,900,000 |
1,500,000 |
4,462,709 |
28,362,709 |
|
|
|
|
| Issue
of bonus share |
1,500,000 |
-- |
(1,500,000) |
-- |
-- |
|
| Net
profit for the year |
-- |
-- |
-- |
20,284,519 |
20,284,519 |
|
|
|
|
|
|
| Appropriations: |
|
|
| Proposed
final dividend |
-- |
-- |
-- |
(24,000,000) |
(24,000,000) |
|
|
|
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
|
| Balance
as at June 30, 2000 |
6,000,000 |
17,900,000 |
-- |
747,228 |
24,647,228 |
|
|
|
========== |
========== |
========== |
========== |
========== |
|
|
|
KHURRAM A. KHAWAJA |
|
KHAWAR A. KHAWAJA |
|
|
Chief Executive |
|
Director |
|
|
|
| Notes
to the Accounts for the year ended June 30, 2000 |
|
|
|
| 1.
THE COMPANY AND ITS ACTIVITIES |
|
|
| Dawn
Sports (Private) Limited was incorporated in Pakistan on April 07, 1993 as a
private |
|
| company
limited by shares under the Companies Ordinance, 1984.The principal
activities of the |
|
| company
are to manufacture-cum-export of quality sports goods particularly hockey
sticks. The |
|
| company
is wholly owned subsidiary of Grays of Cambridge (Pakistan) Limited. |
|
|
| 2.
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES |
|
|
|
| 2.1
Overall valuation policy |
|
| These
accounts have been prepared under the historical cost convention except to
the extent of |
|
| exchange
differences as stated in Note 2.5. |
|
|
| 2.2
Tangible fixed assets and depreciation |
|
|
| These
are stated at cost less accumulated depreciation except land and capital
work-in-progress |
|
| which
are stated at cost. Cost of fixed assets consists of historical cost
including directly |
|
| attributable
cost of bringing the assets to working condition. |
|
|
|
|
| Depreciation
is charged to income applying the reducing balance method to write off the
cost of |
|
| operating
fixed assets over their expected useful life. |
|
|
|
|
| Full
year's depreciation is charged on additions, while no depreciation is charged
on assets |
|
| deleted
during the year. |
|
|
|
|
|
|
| Maintenance
and normal repairs are charged to income as and when incurred. Major renewals |
|
| and
improvements are capitalized. |
|
|
|
|
|
|
| Gain
or loss on disposal of tangible fixed assets is included in current year's
income. |
|
|
|
|
| 2.3 Taxation |
|
|
|
| The
company falls under section 80(cc) of the Income Tax Ordinance 1979 and
provision for |
|
| income
tax has been made in the accounts accordingly. |
|
|
| 2.4
Stock-in-trade |
|
| This
is valued at the lower of average cost and net realizable value. Average cost
and net |
|
| realizable
value are defined as under: |
|
|
|
| Average Cost |
|
|
| For raw material |
|
- at annual average cost. |
|
|
|
|
|
|
|
| For
work-in-progress |
|
|
|
| and
finished goods |
- at annual manufacturing cost |
|
|
|
|
|
| Net
realizable value |
-
It signifies the prevailing market prices in the ordinary course |
|
|
of business less selling
expenses incidental to sales. |
|
|
| 2.5 Trade Debts |
|
|
|
| Known
bad debts are written off and provision is made against debts considered
doubtful. |
|
|
| 2.6
Exchange Differences / Foreign Currency |
|
| Transactions
in foreign currencies are recorded in the books of accounts using the rates
of |
|
| exchange
ruling at the date of respective transaction. All assets and liabilities in
foreign currencies |
|
| are
translated into Pak rupees at the rates of exchange prevailing at the balance
sheet date. |
|
| Gains
and losses on translation are included in the income currently. |
|
|
| 2.7
Revenue recognition |
|
|
|
| Revenue
from sales is recognized on delivery of goods to customers. Profit on short
term |
|
| placement
of funds is recognized on a time proportion basis taking into account the
principal |
|
| outstanding
and rates of profit/interest thereon. |
|
|
|
|
|
|
|
2000 |
1999 |
|
|
|
Rupees |
Rupees |
|
| 3.
ISSUED, SUBSCRIBED AND PAID UP CAPITAL |
|
| 300,000
Ordinary shares of Rupees 10 |
|
| each
fully paid up in cash |
|
3,000,000 |
3,000,000 |
|
|
|
|
|
| 300,000
Ordinary shares of Rupees 10 |
|
|
| each
issued as fully paid bonus shares |
|
3,000,000 |
1,500,000 |
|
|
|
------------------ |
------------------ |
|
|
|
6,000,000 |
4,500,000 |
|
|
|
========== |
========== |
|
|
| 3.1
Grays of Cambridge (Pak) Limited wholly owned the equity of Dawn Sports (Pvt)
Limited. |
|
|
| 4. RESERVES |
|
| Capital |
|
|
|
|
| Reserve
for issue of bonus shares: |
|
| Balance
at the beginning of the year |
|
1,500,000 |
1,500,000 |
|
| Transfer
from profit and loss account |
|
-- |
1,500,000 |
|
|
|
------------------ |
------------------ |
|
|
|
1,500,000 |
3,000,000 |
|
| Less:
Bonus shares issued |
|
1,500,000 |
1,500,000 |
|
|
|
------------------ |
------------------ |
|
| Balance
at the end of the year |
|
-- |
1,500,000 |
|
|
|
|
|
| Revenue |
|
|
|
| General reserve |
|
17,900,000 |
17,900,000 |
|
|
|
------------------ |
------------------ |
|
|
|
17,900,000 |
19,400,000 |
|
|
|
========== |
========== |
|
|
|
|
| 5.
EXPORT REFINANCE |
|
| ANZ
Grindlays Bank Limited |
|
14,500,000 |
-- |
|
|
|
|
========== |
========== |
|
|
|
|
| This
represents the availed portion of total credit facility of Rs. 20 million
obtained from ANZ |
|
| Grindlays
Bank Limited. It carries mark up at the rate of paisas 22 per Rupee thousand
per day. |
|
| This
finance is secured by registered hypothecation over stocks, book debts of the
company and |
|
| mortgage
of freehold land & building. |
|
|
|
| 6.
CREDITORS, ACCRUED AND OTHER LIABILITIES |
|
| Trade creditors |
|
2,368,455 |
656,080 |
|
| Grays
of Cambridge (Pakistan) Limited (holding company) |
1,421,335 |
856,777 |
|
| Anwar
Khawaja Industries (associated company) |
|
199 |
-- |
|
| Due to directors |
|
763 |
9,909 |
|
| Commission
payable |
|
1,277,578 |
1,553,677 |
|
| Workers'
profit participation fund (Note 6.1) |
|
1,238,373 |
1,076,040 |
|
| Workers'
welfare fund |
|
321,326 |
321,326 |
|
| Other
accrued liabilities |
|
2,950,249 |
3,246,220 |
|
|
|
------------------ |
------------------ |
|
|
|
9,578,278 |
7,720,029 |
|
|
========== |
========== |
|
|
|
| 6.1
WORKERS' PROFIT PARTICIPATION FUND |
|
| Balance
at the beginning of the year |
|
1,076,040 |
905,248 |
|
| Less:
Payments made during the year |
|
| To Workers |
|
|
201,000 |
207,000 |
|
| To Government |
|
|
875,040 |
698,248 |
|
|
|
|
------------------ |
------------------ |
|
|
1,076,040 |
905,248 |
|
|
------------------ |
------------------ |
|
|
-- |
-- |
|
| Add:
Share of company's profit for the year |
|
1,238,373 |
1,076,040 |
|
|
------------------ |
------------------ |
|
| Balance
at the end of the year |
|
1,238,373 |
1,076,040 |
|
|
========== |
========== |
|
|
|
| 7.
PROVISION FOR TAXATION |
|
| Balance
at the beginning of the year |
|
1,861,689 |
913,065 |
|
| Provision
for the year |
|
3,244,561 |
1,861,689 |
|
|
|
------------------ |
------------------ |
|
| Payments
made during the year |
|
5,106,250 |
2,774,754 |
|
|
|
1,861,689 |
918,065 |
|
|
|
------------------ |
------------------ |
|
| Balance
at the end of the year |
|
3,244,561 |
1,861,689 |
|
|
|
========== |
========== |
|
|
|
|
| 8.
CONTINGENCIES AND COMMITMENTS |
|
|
| Counter
guarantees given by the company to its bankers and post dated cheques issued
to the |
|
| Custom
Authorities are amounting to Rupees 0.582 million as on June 30, 2000 (1999: |
|
| Rupees
1.170 million). |
|
|
|
|
| 9.
OPERATING FIXED ASSETS |
|
|
|
|
|
|
|
COST |
|
ACCUMULATED |
|
BOOK |
DEPRECIATION |
|
|
|
|
DEPRECIATION |
|
VALUE |
|
|
| DESCRIPTION |
|
AS AT |
ADDITIONS/ |
AS AT |
AS AT |
ADJUSTMENT |
AS AT |
AS AT |
FOR |
RATE |
|
|
|
JULY 01, |
(DELETIONS) |
JUNE 30, |
JUNE 30, |
|
JUNE 30, |
JUNE 30, |
THE |
% |
|
|
|
1999 |
|
2000 |
1999 |
|
2000 |
2000 |
YEAR |
|
|
|
|
|
| Land - Freehold |
|
910,000 |
-- |
910,000 |
-- |
-- |
-- |
910,000 |
-- |
-- |
|
| Factory
Building on |
|
|
|
|
| freehold land |
|
5,995,364 |
218,502 |
6,213,866 |
2,326,312 |
-- |
2,715,067 |
3,498,799 |
388,755 |
10 |
|
| Plant
and Machinery |
1,508,124 |
301,400 |
1,809,524 |
324,984 |
-- |
473,438 |
1,336,086 |
148,454 |
10 |
|
| Office
Equipment |
88,375 |
-- |
88,375 |
27,441 |
-- |
33,534 |
54,841 |
6,093 |
10 |
|
| Tools
and Equipment |
425,164 |
-- |
425,164 |
132,954 |
-- |
162,175 |
262,989 |
29,221 |
10 |
|
| Electric
Installations |
237,058 |
-- |
237,058 |
80,282 |
-- |
95,960 |
141,098 |
15,678 |
10 |
|
| Furniture
and Fixtures |
243,196 |
11,760 |
254,956 |
87,762 |
-- |
104,481 |
150,475 |
16,719 |
10 |
|
| Computers |
|
159,490 |
-- |
159,490 |
98,202 |
-- |
116,588 |
42,902 |
18,386 |
30 |
|
| Vehicles |
|
2,079,257 |
-- |
2,079,257 |
1,102,826 |
-- |
1,298,112 |
781,145 |
196,286 |
20 |
|
| Security Arms |
|
3,500 |
-- |
3,500 |
1,730 |
-- |
1,907 |
1,593 |
177 |
10 |
|
|
|
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
------------------ |
|
|
| 2000 Rupees |
|
11,649,528 |
531,662 |
12,181,190 |
4,182,493 |
-- |
5,001,262 |
7,179,928 |
818,769 |
|
|
|
|
========== |
========== |
========== |
========== |
========== |
========== |
========== |
========== |
|
|
| 1999 Rupees |
|
10,430,244 |
1,398,311 |
11,649,528 |
3,351,757 |
(52,897) |
4,182,493 |
7,467,035 |
883,633 |
|
|
|
(179,027) |
|
|
|
========== |
========== |
========== |
========== |
========== |
========== |
========== |
========== |
|
|
| 9.1
The depreciation charged for the year |
|
| has
been allocated as follows: |
|
|
| Cost
of goods sold |
|
|
582,108 |
589,021 |
|
| Administrative,
selling and general expenses |
|
236,661 |
294,612 |
|
|
|
