| Natover Lease & Refinance Limited |
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| Annual
Report 2001 |
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| CONTENTS |
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| Company
Information |
|
| Notice of Meeting |
|
| Directors'
Report |
|
| Pattern of Shareholding |
|
| Auditor's Report |
|
| Balance Sheet |
|
| Profit and Loss Account |
|
| Cash Flow Statement |
|
| Statement
of Changes in Equity |
|
| Notes to the Accounts |
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|
|
| COMPANY
INFORMATION |
|
|
| Board
Of Directors |
Syed Zahid Hasan |
|
Chairman |
|
|
Mr. Khalid Latif |
|
|
Syed Dilawar Abbas |
|
|
Brig. (Retd.) M. Zareef
Malik |
|
|
Mr. Hassan Ali Fadoo |
|
|
Mr. Manzoor A. Sheikh |
|
N.I.T. Nominee |
|
|
Mr. Nadeem H. Shaikh |
|
Chief Executive |
|
|
| Company
Secretary |
Syed Kabiruddin |
|
|
| Auditors |
|
U/s. Hyder Bhimji &
Co. |
|
|
Chartered Accountants |
|
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| Legal
Advisor |
Mr. Muhammad Aslam Arain |
|
|
Mr. M.S. Qureshi |
|
|
| Registrars
and Share |
|
| Transfer
Office |
M/s. Uni Corporate &
Financial Services |
|
|
Westland Trade Centre |
|
|
Opposite Flyover,
Shaheed-e-Millat Road, Karachi. |
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|
Tel: 4313205-6, Fax: 4313207 |
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| Registered
Office: |
140, 17th East Street,
Off Main Korangi Road, Phase - 1, |
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|
Defence Housing
Authority, Karachi. Tel: (021) 5893881-3, |
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|
Fax: (021)5884082 |
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| Regional
Office: |
Portion - 1, 2nd Floor,
75-West, Eagle Plaza, |
|
|
Fazal-e-Haq Road, Blue
Area, Islamabad. |
|
|
Tel: (051) 2201532,
2206729, Fax : (051) 2206238 |
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|
E-mail: natover@isb.paknet.com.pk |
|
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| Branches |
|
|
| Karachi: |
|
Ground Floor, 140, 17th
East Street, Off Main Korangi Road, |
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|
Phase- 1 Defence Housing
Authority. |
|
|
Tel: (021)5893881-3, Fax:
(021)5884082 |
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|
| Islamabad: |
|
4, Tahir Plaza, Block -
37, Fazal-e-Haq Road, Blue Area |
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|
Tel: (051)2276467-8, Fax:
2276469, E-mail: natover@topnet.compk |
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|
| Lahore: |
|
1st Floor, Estate Guide
Building, 453 Main Boulevard, Defence Road, |
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|
Lahore Cantt. Tel: (042) 6682726 |
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| Pashawar: |
|
2nd Floor, State Life
Building, The Mall, Pashawar Cantt. |
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|
Tel: (091)270817-8, Fax:
(091)270819 |
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|
E-mail:
natover@brain.net. pk |
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|
| Kohat: |
|
Askari Plaza, Bannu Road,
Kohat Cantt. |
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|
Tel: (0922) 512382, Fax:
(0922) 512381 |
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|
| NOTICE
OF ANNUAL GENERAL MEETING |
|
|
| NOTICE
is hereby given that the 16th Annual General Meeting of NATOVER LEASE &
REFINANCE |
|
| LIMITED
will be held on Friday the December 28, 2001 at 8:00 a.m. at the Registered
Office of the |
|
| Company
at 140,-17th East Street, Off Main Korangi Road, Phase I, Defence Housing
Authority, Karachi, |
|
| to transact the following
business: |
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|
|
|
| 1.
To confirm the minutes of the Extra Ordinary General Meeting held on 25th
August 2001. |
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|
| 2.
To receive, consider and adopt the Audited Accounts of the Company for the
year ended June |
|
| 30, 2001. |
|
|
| 3.
TO appoint Auditors for the year 2001 - 2002 and to fix their remuneration.
The present Auditors, |
|
| M/s.
Hyder Bhimji & Co. Chartered Accountants, retire and being eligible,
offer themselves for |
|
| reappointment. |
|
|
| 4.
To transact any other business with the permission of the chair. |
|
|
|
By Order of the Board |
|
|
|
|
| KARACHI |
|
(SYED KABIRUDDIN) |
|
| December
7, 2001 |
|
Company Secretary |
|
|
| NOTES: |
|
| 1.
The Share Transfer Books of the Company will remain closed from 21st December
2001 to 28th |
|
| December
2001 (both days inclusive). |
|
|
| 2.
A member entitled to attend and vote at the meeting may appoint another
member as his / her |
|
| proxy
to attend and vote on his / her behalf. The instrument appointing a proxy
must be received |
|
| at
the Company's Registered Office not less than 48 hours before the time of
holding of the |
|
| meeting. |
|
|
| 3.
Any individual Beneficial Owner of the Central Depository Company, entitled
to vote at this |
|
| meeting
must bring his / her National Identity Card with him / her to prove his / her
identity and in |
|
| case
of proxy, must enclose an attested copy of his / her National Identity Card.
Representative |
|
| of
corporate members should bring the usual documents required for such purpose. |
|
|
|
| REPORT
OF DIRECTORS |
|
|
| The
Board of Directors are pleased to place before our valued shareholders the
16th Annual Report with |
|
| the
Audited Account of the Company for the Financial year ending 30th June 2001. |
|
|
| FINANCIAL
RESULTS |
|
RUPEES |
|
| Profit
before Taxation |
|
2,351,649 |
|
| Provision
for Taxation |
|
910,000 |
|
| Profit
after Taxation |
|
1,441,649 |
|
|
|
|
| Appropriations: |
|
|
|
| Transferred
to Statutory Reserves |
|
288,325 |
|
|
---------- |
|
| Profit
after Appropriations |
|
1,153,324 |
|
| Accumulated
(Loss) B/F |
|
(18,375,393) |
|
|
---------- |
|
| Accumulated
(Loss) C / F to Balance Sheet |
(17,222,069) |
|
|
========== |
|
|
| OVERALL
REVIEW |
|
| AI-hamdolillah,
your Company continues on its path to recovery by showing encouraging
improvement in |
|
| most
Key Performance Areas of its operation. |
|
|
| Lease
portfolio has recorded growth of 83% from Rs. 73.43(m) to Rs. 133.54(m)
particularly in Finance |
|
| Lease
/ Hire Purchase. Consequently gross revenue has risen by 57% from Rs. 2623(m)
to Rs. |
|
| 41.33(m).
Profit before tax for the year, however, declined to Rs. 2.35(m) from Rs.
3.84{m) due largely to |
|
| an
increase of Rs. 4.00(m) in administrative costs over last year. Costs
relating to increase in authorized |
|
| and
paid up capital, establishment expansion in order to market the Company's
products, revitalization of |
|
| the
management and professional conversion of its human resources needed to
support the added focus |
|
| on
Finance Lease portfolio and employee benefit are the substantial contributors
to this increase. The |
|
| various
administrative and strategic measures taken by the Company this year, the
Management expects, |
|
| would
result into desirable growth in the Company's profitability in the years to
come. |
|
|
| The
increase in Capital of the Company was the other main issue, which took up
the attention of the |
|
| Management
during the year. The Company has been granted time upto September 30th 2002
to raise its |
|
| paid
up capital to Rs. 200.00(m) in two tranches of Rs. 100.00(m) and Rs.
50.00(m), which the Company |
|
| expects
to achieve. |
|
|
| AUDITORS |
|
| The
present Auditors Hyder Bhimji & Co. Chartered Accountants are retiring
and being eligible, offer |
|
| themselves
for reappointment. |
|
|
| PATTERN
OF SHARE HOLDING |
|
| The
pattern of Shareholding as at 30th June 2001 is shown at page 6. |
|
|
| ACKNOWLEDGEMENT |
|
| I,
on behalf of the Board, would like to express my gratitude to all those who
assisted the Company in its |
|
| operations
and would like to place on record our deep appreciation to the staff members
for .their |
|
| dedication
and hard work. |
|
|
|
On behalf of the Board |
|
|
|
|
| KARACHI |
|
SYED ZAHID HASSAN |
|
| December
5, 2001 |
|
Chairman |
|
|
|
| PATTERN
OF SHARE HOLDING |
|
| AS
AT 30TH JUNE 2001 |
|
|
| NUMBER OF |
|
SHAREHOLDING |
|
TOTAL SHARES |
|
| SHAREHOLDERS |
FROM |
|
TO |
HELD |
|
| 1,369 |
1 |
-- |
100 |
46,402 |
|
| 329 |
101 |
-- |
500 |
123,883 |
|
| 874 |
501 |
-- |
1,000 |
490,343 |
|
| 160 |
1,001 |
-- |
5,000 |
314,488 |
|
| 17 |
5,001 |
-- |
10,000 |
117,245 |
|
| 9 |
10,001 |
-- |
15,000 |
109,063 |
|
| 1 |
15,001 |
-- |
20,000 |
17,215 |
|
| 4 |
20,001 |
-- |
25,000 |
91,169 |
|
| 7 |
25,001 |
-- |
30,000 |
186,714 |
|
| 1 |
45,001 |
-- |
50,000 |
47,956 |
|
| 2 |
90,001 |
-- |
95,000 |
184,130 |
|
| 1 |
165,001 |
-- |
170,000 |
165,745 |
|
| 2 |
885,001 |
-- |
890,000 |
1,774,930 |
|
| 1 |
1,580,001 |
-- |
1,585,000 |
1,580,717 |
|
| ---------- |
---------- |
---------- |
---------- |
---------- |
|
| * 2777 |
|
5,250,000 |
|
| ========== |
========== |
========== |
========== |
========== |
|
|
|
| CATEGORIES |
|
Number of |
Total |
|
|
| OF
SHARE HOLDERS |
|
Share Holders |
Shareholding |
Percentage |
|
| INDIVIDUALS |
|
2,750 |
3,075,186 |
58.57 |
|
| INVESTMENTS
COMPANIES |
14 |
126,303 |
2.41 |
|
| JOINT
STOCK COMPANIES |
6 |
1,110,626 |
21.15 |
|
| FINANCIAL
INSTITUTIONS |
6 |
922,885 |
17.58 |
|
| MODARABA
COMPANY |
|
1 |
15,000 |
0.29 |
|
|
---------- |
---------- |
---------- |
|
|
2,777 |
5,250,000 |
100.00 |
|
|
========== |
========== |
========== |
|
| *
Includes 117 CDC beneficial owners as per list appearing on CDS. |
|
|
|
| AUDITOR'S
REPORT TO THE MEMBERS |
|
|
| We
have audited the annexed Balance Sheet of M/S NATOVER LEASE & REFINANCE
LIMITED as at |
|
| June
30, 2001 and the related Profit and Loss Account, Cash Flow Statement and
Statement of Changes |
|
| in
Equity together with the notes forming part thereof, for the year then ended
and we state that we have |
|
| obtained
all the information and explanations which, to the best of our knowledge and
belief, were |
|
| necessary
for the purposes of our audit. |
|
|
| It
is 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 account and are futher 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 and Profit and Loss Account, Cash Flow Statement and |
|
| 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 state of the Company's affairs as at June 30,
2001 and of |
|
| the
profit, its cash flows and 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. |
|
|
| KARACHI |
|
HYDER BHIMJI & CO. |
|
| December
5, 2001 |
|
CHARTERED ACCOUNTANTS |
|
|
|
| BALANCE
SHEET AS AT JUNE 30, 2001 |
|
|
|
|
2001 |
2000 |
|
|
NOTE |
Rupees |
Rupees |
|
| SHARE
CAPITAL & RESERVES |
|
| AUTHORISED
CAPITAL |
|
3 |
400,000,000 |
100,000,000 |
|
|
|
========== |
========== |
|
| ISSUED,
SUBSCRIBED AND PAID-UP CAPITAL |
4 |
52,500,000 |
52,500,000 |
|
|
|
|
|
| Statutory
Reserves |
|
|
2,705,618 |
2,417,293 |
|
| Capital
Reserve - Share Premium Account |
|
|
6,250,000 |
6,250,000 |
|
| General
Reserve |
|
|
812,500 |
812,500 |
|
| Accumulated
Loss |
|
|
(17,222,069) |
(18,375,393) |
|
|
|
---------- |
---------- |
|
|
|
(7,453,951) |
(8,895,600) |
|
|
|
---------- |
---------- |
|
| Shareholders
Equity |
|
|
45,046,049 |
43,604,400 |
|
|
|
|
|
| Certificates
of Investments & |
|
|
|
|
| Security
Payment Notes |
|
5 |
46,195,144 |
51,560,000 |
|
| Redeemable
Capital - Secured |
|
6 |
31,051,035 |
7,238,000 |
|
| Deferred
Liability- Gratuity |
|
|
577,163 |
-- |
|
| Security
Deposits |
|
7 |
11,256,729 |
2,537,289 |
|
| Advance
Against Shares / |
|
|
|
|
| Underwriting-Cum-Financing |
|
8 |
7,458,993 |
|
|
|
|
|
|
| CURRENT
LIABILITIES |
|
|
|
|
| Current
Portion of: |
|
|
|
|
| -
Certificates of Investments & |
|
|
|
|
| Security
Payment Notes |
|
5 |
28,120,100 |
34,183,367 |
|
| -
Redeemable Capital |
|
6 |
12,458,924 |
10,000,000 |
|
| -
Security Deposits |
|
7 |
1,735,339 |
1,500,000 |
|
| Short
Term Finance |
|
9 |
47,375,313 |
22,000,000 |
|
| Creditors,
Accrued & Other Liabilities |
|
10 |
2,336,077 |
6,411,813 |
|
| Unclaimed
Dividend |
|
615,847 |
380,858 |
|
| Proposed
Dividend |
|
-- |
3,937,500 |
|
|
92,641,600 |
78,413,538 |
|
|
---------- |
---------- |
|
|
234,226,713 |
183,353,227 |
|
| MEMORANDUM
ITEMS |
|
========== |
========== |
|
| Contingencies
& Commitments |
|
11 |
|
|
| FIXED
ASSETS |
|
| OPERATING
ASSETS - TANGIBLE |
|
12 |
|
| Vehicles
& Assets Plying for Hire |
|
48,369,842 |
532,044,851 |
|
| Assets
in own use |
|
9,531,528 |
6,429,692 |
|
|
---------- |
---------- |
|
|
57,901,370 |
59,634,177 |
|
|
| INVESTMENT
IN LEASES / HIRE PURCHASE (HP) |
|
| Receivables
under lease / HP contracts |
|
108,844,281 |
23,009,838 |
|
| Less:
Un-earned income |
|
23,670,953 |
2,779,175 |
|
|
| Net
Investment in Leases / HP |
|
85,173,328 |
20,230,663 |
|
| Less:
Allowance for potential lease losses |
|
1,000,000 |
1,000,000 |
|
| Current
Portion of Lease / HP Receivables |
|
43,092,346 |
13,990,815 |
|
|
---------- |
---------- |
|
|
41,080,982 |
5,239,848 |
|
|
|
|
| Deferred
Taxation |
|
14,000,000 |
14,550,000 |
|
| Long
Term Investments |
|
13 |
7,848,170 |
1,611,556 |
|
| Long
Term Deposits & Prepayments |
|
14 |
841,190 |
1,346,207 |
|
|
|
|
|
| CURRENT
ASSETS |
|
|
|
|
| Current
Portion of Lease / HP Receivables |
|
|
43,092,346 |
13,990,815 |
|
| Vehicles
Stock/Idle Lease Stock |
|
|
2,896,716 |
4,361,716 |
|
| Fixed
Income Securities - Trading Stock |
|
15 |
40,000,000 |
12,112,527 |
|
| Short
Term Financing |
|
16 |
7,550,000 |
3,400,000 |
|
| Rentals
Receivables |
|
17 |
1,078,029 |
2,704,013 |
|
| Loans
and Advances |
|
18 |
1,485,359 |
1,181,389 |
|
| Pre-Payments
and Other Receivables |
|
19 |
9,363,119 |
6,135,249 |
|
| Cash
& Bank Balances |
|
20 |
7,089,432 |
57,085,730 |
|
|
---------- |
---------- |
|
|
112,555,001 |
100,971,439 |
|
|
---------- |
---------- |
|
|
234,226,713 |
183,353,227 |
|
|
========== |
========== |
|
| NOTE:
The annexed notes form an integral part of these accounts. |
|
| NOTE:
Rentals due in the following 12 months under Operating Leases as on June 30,
2001 |
|
| amount
to Rs. 18,568,338 (June 2000:Rs.18,243,843). |
|
|
| KARACHI |
|
NADEEM H. SHAIKH |
|
SYED ZAHID HASAN |
|
| December
5, 2001 |
|
( CHIEF EXECUTIVE ) |
|
( CHAIRMAN ) |
|
|
|
| PROFIT
AND LOSS ACCOUNT |
|
| FOR
THE YEAR ENDED JUNE 30, 2001 |
|
|
|
|
2001 |
2000 |
|
|
NOTE |
Rupees |
Rupees |
|
| Rental
Income |
|
21 |
19,388,923 |
19,846,489 |
|
| Hire
Purchase/Finance Lease Income |
|
22 |
13,904,058 |
1,891,913 |
|
| Ancillary
Financial Services Income |
|
23 |
6,235,093 |
4,007,817 |
|
| Other Income |
|
24 |
1,805,099 |
484,352 |
|
|
|
---------- |
---------- |
|
|
|
41,333,173 |
26,230,571 |
|
| Less:
Expenses |
|
|
|
|
| -Operating |
|
25 |
11,654,606 |
7,765,648 |
|
| -Administrative |
|
26 |
15,639,440 |
11,462,863 |
|
| -Financial |
|
27 |
11,687,478 |
11,661,749 |
|
| -Allowance
for potential lease losses |
|
-- |
(8,500,000) |
|
|
---------- |
---------- |
|
|
38,981,524 |
22,390,260 |
|
|
---------- |
---------- |
|
| Profit
before Taxation |
|
2,351,649 |
3,840,311 |
|
| Provision
for Taxation |
|
|
|
| -Current year |
|
210,000 |
150,000 |
|
| -Previous
years |
|
150,000 |
350,000 |
|
| -Deferred |
|
550,000 |
450,000 |
|
|
---------- |
---------- |
|
|
910,000 |
950,000 |
|
|
---------- |
---------- |
|
| Profit
after Taxation |
|
1,441,649 |
2,890,311 |
|
|
|
|
| Appropriations: |
|
|
|
| Transferred
to Statutory Reserve |
|
288,325 |
722,578 |
|
| Transferred
from General Reserve |
|
-- |
(3,937,500) |
|
| Proposed
Dividend |
|
-- |
3,937,500 |
|
|
---------- |
---------- |
|
|
288,325 |
722,578 |
|
|
---------- |
---------- |
|
| Profit
After Appropriation |
|
1,1 53,324 |
2,167,733 |
|
|
|
|
| Accumulated
Loss B/F |
|
(18,375,393) |
(20,543,126) |
|
|
---------- |
---------- |
|
| Accumulated
Loss C/F to Balance Sheet |
|
(17,222,069) |
(18,375,393) |
|
|
========== |
========== |
|
| Basic
Earning per Share |
|
33 |
0.28 |
0.55 |
|
|
========== |
========== |
|
| NOTE:
The annexed notes form an integral part of these accounts. |
|
|
| KARACHI |
|
NADEEM H. SHAIKH |
|
SYED ZAHID HASAN |
|
| December
5, 2001 |
|
( CHIEF EXECUTIVE ) |
|
( CHAIRMAN ) |
|
|
|
| CASH
FLOW STATEMENT |
|
| FOR
THE YEAR ENDED JUNE 30, 2001 |
|
|
|
2000 |
2001 |
|
|
Rupees |
Rupees |
|
| Cash
flow from operating activities |
|
|
|
| Net
profit before taxation |
|
2,351,649 |
3,840,311 |
|
| Adjustments
for: |
|
|
|
| Depreciation |
|
12,115,136 |
6,991,124 |
|
| Amortization
of deferred cost |
|
-- |
486,284 |
|
| Deferred
Liability - Gratuity |
|
577,163 |
-- |
|
| Allowance
for Potential lease losses |
|
-- |
(8,500,000 |
|
| Gain
on disposal of Assets |
|
(2,543,816) |
(6,389,793 |
|
|
---------- |
---------- |
|
| Operating
profit(loss) before working capital changes |
|
12,500,132 |
(3,572,074 |
|
| (Increase)
/ Decrease in Loans & Advances, Prepayments |
|
|
| &
Other receivables and Rentals receivables |
|
(1,905,856) |
25,611,747 |
|
| (Increase)
/ Decrease in net investment in lease |
|
(64,942,665) |
12,655,317 |
|
| (Increase)
in Idle lease stock & Securities stock |
|
(28,422,473) |
(4,239,230) |
|
| Increase
/ (Decrease) in deposits from customers |
|
8,954,779 |
(158,488) |
|
| Increase
in Short term Finance |
|
25,375,313 |
2,875,166 |
|
| (Decrease)
in Creditors, Accrued and Other liabilities |
|
(4,075,736) |
(3,127,569) |
|
|
---------- |
---------- |
|
| Cash
generated from operations |
|
{63,016,638 |
33,616,943 |
|
| Income
taxes paid |
|
(360,000 |
(500,000) |
|
|
---------- |
---------- |
|
| Net
cash (used in) / generated from operating activities |
|
(50,876,506 |
29,544,869 |
|
|
|
|
| Cash
flows from investing activities |
|
|
|
| Addition
of fixed assets |
|
(11,962,240) |
(48,404,115) |
|
| Proceeds
from lease settlement / sale of own assets |
|
4,048,347 |
16,948,171 |
|
| Short
term Financing |
|
(4,150,000) |
(3,400,000) |
|
| Long
term deposit & prepayments |
|
5,017 |
367,622 |
|
| Addition
in deferred cost |
|
-- |
(251,472) |
|
|
---------- |
---------- |
|
| Net
cash used in investing activities |
|
(11,558,876 |
(34,739,794) |
|
|
|
|
| Cash
flows from financing activities |
|
|
|
| (Repayment)
/ Sale of COl's & SPN |
|
(11,428,123) |
51,881,092 |
|
| Underwriting-cum-Financing |
|
7,458,993 |
-- |
|
| Repayments
of long term finance |
|
(10,000,000) |
(4,999,957) |
|
| Dividend paid |
|
(3,702,511) |
-- |
|
| Receipts
from Natover Rental Notes |
|
36,271,959 |
7,238,000 |
|
|
---------- |
---------- |
|
| Net
cash from financing activities |
|
18,600,318 |
54,119,135 |
|
|
|
|
| Net
(decrease) / increase in cash and cash equivalents |
|
(43,835,064) |
48,924,210 |
|
| Cash
and cash equivalents at July 01, 2000 / 1999 |
|
58,772,666 |
9,848,456 |
|
|
|
---------- |
---------- |
|
| Cash
and Cash equivalents at June 30,2001 / 2000 |
(A) |
14,937,602 |
58,772,666 |
|
|
========== |
========== |
|
| A.
Cash and Cash equivalents at June 30, 2001 / 2000 |
|
|
|
| Cash
in hand and with banks |
|
7,089,432 |
57,085,730 |
|
| Investments |
|
7,848,170 |
1,686,936 |
|
|
---------- |
---------- |
|
|
14,937,602 |
58,772,666 |
|
|
========== |
========== |
|
| NOTE:
The annexed notes form an integral part of these accounts. |
|
|
| KARACHI |
|
NADEEM H. SHAIKH |
|
SYED ZAHID HASAN |
|
| December
5, 2001 |
|
( CHIEF EXECUTIVE ) |
|
( CHAIRMAN ) |
|
|
|
| STATEMENT
OF CHANGES IN EQUITY |
|
| FOR
THE YEAR ENDED JUNE 30,2001 |
|
|
|
SHARE |
PREMIUM |
STATUTORY |
GENERAL |
ACCUMULATED |
TOTAL |
|
|
CAPITAL |
ON ISSUE |
RESERVE |
RESERVE |
LOSS |
|
|
|
|
OF SHARE |
|
|
|
Rupees |
Rupees |
Rupees |
Rupees |
Rupees |
Rupees |
|
| Balance as on |
|
| July 01, 1999 |
|
52,500,000 |
6,250,000 |
1,694,715 |
4,750,000 |
(20,543,126) |
44,651,589 |
|
| Profit
for the year |
-- |
-- |
-- |
-- |
2,890,311 |
2,890,311 |
|
| Transferred
from / to |
|
|
| profit
& loss a/c. |
-- |
-- |
722,578 |
(3,937,500) |
3,214,922 |
-- |
|
| Dividend |
|
-- |
-- |
-- |
-- |
(3,937,500) |
(3,937,500) |
|
|
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
|
| Balance as on |
|
|
|
| June 30, 2000 |
|
52,500,000 |
6,250,000 |
2,417,293 |
812,500 |
(18,375,393) |
43,604,400 |
|
| Profit
for the year |
-- |
-- |
-- |
-- |
1,441,649 |
1,441,649 |
|
| Transferred
from |
|
|
| profit
& loss a/c. |
-- |
-- |
288,325 |
-- |
(288,325) |
-- |
|
|
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
|
| Balance as on |
|
|
|
| June
30, 2001 |
52,500,000 |
6,250,000 |
2,705,618 |
812,500 |
(17,222,069) |
45,046,049 |
|
|
========== |
========== |
========== |
========== |
========== |
========== |
|
| NOTE:
The annexed notes form an integral part of these accounts. |
|
|
|
| NOTES
TO THE ACCOUNTS |
|
| FOR
THE YEAR ENDED JUNE 30,2001 |
|
|
| 1
STATUS AND NATURE OF BUSINESS |
|
| The
Company was incorporated in Pakistan on December 20, 1984 as Private Limited |
|
| Company.
On September 25, 1988 the Company was converted into Public Limited |
|
| Company.
The Company is listed on the Karachi & Islamabad Stock Exchanges. The
main |
|
| business
of the Company is leasing and contract hire of vehicles, transport craft,
plant & |
|
| machinery
and other permissible assets. Its ancillary business includes trading in
fixed |
|
| income
securities and other financial services. |
|
|
| 2
SIGNIFICANT ACCOUNTING POLICIES |
|
| 2.1
Accounting Convention |
|
| These
accounts have been prepared under the historical cost convention. |
|
|
| 2.2 Taxation |
|
| The
provision for current taxation is based on taxable income at current rates of
taxation |
|
| after
considering admissible tax credit, rebates if any, minimum tax liability at
half percent |
|
| of
turnover tax, whichever is higher. The Company accounts for deferred taxation
on all |
|
| material
timing difference using liability method. |
|
|
| 2,3
Fixed Assets - Tangible |
|
| These
are stated at cost less accumulated depreciation. Depreciation is charged to
income |
|
| applying
straight-line method at the rates specified in Note 12. No depreciation is
charged |
|
| on
the assets in the month of acquisition while full month's depreciation is
charged in the |
|
| month
of disposal. |
|
|
| Maintenance
and normal repairs are charged to income as and when incurred. Major |
|
| renewals
and replacements are capitalised and assets so replaced, if any are retired.
Profit |
|
| &
Loss on disposal of fixed assets is included in current income. |
|
|
| 2,4
Leasing Operations |
|
| The
aggregate lease receivables less unearned income are recorded as Net
Investment in |
|
| leases
in case of Hire Purchase and Finance Lease. Assets Leased under the terms
of |
|
| operating
lease are stated as provided in Note 2.3, above. |
|
|
| 2.5
Revenue Recognition |
|
| Rental
income from leased vehicles is received on quarterly / monthly basis
generally in |
|
| advance and
accounted for in books on monthly basis. |
|
|
| The
unearned income portion of the aggregate lease contract receivables is taken
into |
|
| income
over the term of lease commencing with the month of execution, on a pattern |
|
| reflecting
a generally constant rate of return on net investment outstanding. |
|
|
| Income
from investment is recorded when the right to receive is established. |
|
|
| 2.6
Allowance for Potential Lease Losses |
|
| The
allowance for potential lease losses is maintained a level, which in the
judgment of the |
|
| management
is sufficient to provide for any potential lease. The recognition of |
|
| annual
charge and income of such amount is taken through the profit and loss
account. |
|
|
| 2.7
Investments |
|
| Long-term
investment is stated at fair value. The resultant amount is taken to Profit
and |
|
| Loss account. |
|
|
| 2.8
Staff Retirement Benefits |
|
| The
Company commenced operating an un-funded Gratuity Scheme for its permanent |
|
| employees
whose period of service is five years or more. Provision is made annually to |
|
| cover
obligation under the Scheme. Gratuity accruing to staff is equal to one basic
salary |
|
| for
each completed year of service. |
|
|
|
2001 |
2000 |
|
|
Rupees |
Rupees |
|
| 3
AUTHORIZED CAPITAL |
|
| 30,000,000
(2000:Nil) Preference Shares |
|
| of
Rs.10/-each |
|
300,000,000 |
-- |
|
| 10,000,000
(2000:10,000,000) Ordinary Shares |
|
|
|
| of
Rs. 10/-each |
|
100,000,000 |
100,000,000 |
|
|
---------- |
---------- |
|
|
400,000,000 |
100,000,000 |
|
|
========== |
========== |
|
|
|
|
| 4
ISSUED, SUBSCRIBED AND PAID-UP CAPITAL |
|
| 4,750,000
(2000:4,750,000) Ordinary Shares |
|
| of
Rs. 10/-each fully paid issued for cash |
|
47,500,000 |
47,500,000 |
|
| 500,000
(2000:500,000) Ordinary Shares of |
|
|
|
| Rs.
10/-each fully paid issued as Bonus Shares |
|
5,000,000 |
5,000,000 |
|
|
---------- |
---------- |
|
|
52,500,000 |
52,500,000 |
|
|
========== |
========== |
|
|
|
|
| 5
CERTIFICATES OF INVESTMENT & |
|
| SECURITY
PAYMENT NOTES - UNSECURED |
|
|
| 5.1
Certificate of Investments (COl'S) Issued to: |
|
| -
Associated Company |
|
-- |
6,250,000 |
|
| -
Directors, Shareholders, Friends |
|
|
|
| and
Family members |
|
62,506,550 |
4,351,199 |
|
| -
Insurance Companies & Other Institution |
|
8,800,000 |
8,000,000 |
|
|
---------- |
---------- |
|
| Amount
Carried Forward |
|
71,306,550 |
18,601,199 |
|
|
---------- |
---------- |
|
| Amount
Brought Forward |
|
71,306,550 |
18,601,199 |
|
|
---------- |
---------- |
|
|
|
|
| 5.2
Security Payment Notes (SPN) Issued to: |
|
| -
Associated Company |
|
-- |
24,750,000 |
|
| -
Directors, Shareholders, Friends |
|
|
|
| and
Family Members |
|
1,554,458 |
23,392,168 |
|
| -
Insurance Companies & Other Institutions |
|
1,454,236 |
19,000,000 |
|
|
---------- |
---------- |
|
|
3,008,694 |
67,142,168 |
|
|
|
|
| Less:
Issued for less than one year |
|
28,120,100 |
34,183,367 |
|
|
---------- |
---------- |
|
| Issued
for one year and more |
|
46,195,144 |
51,560,000 |
|
|
========== |
========== |
|
|
|
|
| 5.1
The Company has a scheme of registered Certificates of Investment for
resource |
|
| mobilization.
The term of Certificates ranges from three months to five years and expected |
|
| return
ranges from 15% to 18% p.a. |
|
|
| 5.2
Security Payment Notes are issued by the Company in transactions which are
based upon |
|
| a
trade in Fixed Income Securities i.e. Government Guaranteed Bonds or Notes or
Other |
|
| Securities
of similar nature. Expected rate of return is at an average of 16% p.a. |
|
|
| 5.3
Rs. 35,810,536/- in face value of these instruments are pledged with the
Company under |
|
| the
terms of underwriting-cure-financing agreement by the Directors for the
subscription of |
|
| Company's
forthcoming issue of Preference Shares. |
|
|
|
2001 |
2000 |
|
|
Rupees |
Rupees |
|
| 6
REDEEMABLE CAPITAL - SECURED |
|
| MUSHARIKA |
|
(6.1) |
|
| From
First Allied Bank Modaraba (F.A.B.M.) |
|
-- |
10,000,000 |
|
| Less:
Current Portion Shown in Current Liabilities |
|
-- |
10,000,000 |
|
|
---------- |
---------- |
|
| NATOVER
RENTAL NOTES (NRN) |
|
(6.2) |
|
| Issued
by Company |
|
43,509,959 |
7,238,000 |
|
| Current
Portion Shown in Current Liabilities |
|
12,458,924 |
-- |
|
|
---------- |
---------- |
|
|
31,051,035 |
7,238,000 |
|
|
---------- |
---------- |
|
|
31,051,035 |
7,238,000 |
|
|
========== |
========== |
|
|
| 6.1
This represents the amount of Rs.10.00 million Musharika Fund obtained from |
|
| F.A.B.M.
Previous facility of Rs. 25.00 million expired on September 30, 1999 and
balance |
|
| Rs.
10.00 million had been extended for one year expiring on September 30, 2000.
It was |
|
| paid
in August 2000. The profit and loss was shared between F.A.B.M. and the
Company in |
|
| an
agreed ratio after adjusting operating expenses. The share of profit of
F.A.B.M. for the |
|
| year
amounted to Rs. 300,000 (2000:1,873,700). The facility was secured by way of
first |
|
| charge
on present & future assets of the Company. |
|
|
| 6.2
Natover Rental Note is based on the rental income of an individual and
distinct lease in the |
|
| Company's
portfolio and is shariah compliant. It has a specific charge on the leased
out |
|
| asset
of the Company as security which is identified on the Certificate. The net
rental is |
|
| shared
as income with the investor in agreed proportion. At disposal of the leased
assets, |
|
| the
proceeds are shared in the same proportion alongwith accumulated capital
allowances |
|
| as
the investment in specific lease carries. |
|
|
| 6.3
Rs. 19,189,371/- in face value of the NRNs are pledged with the Company under
the terms |
|
| of
underwriting-cum-financing agreement by the Directors for the subscription of |
|
| Company's
forthcoming issue of Preference Shares. |
|
|
|
2001 |
2000 |
|
|
Rupees |
Rupees |
|
| 7
SECURITY DEPOSITS |
|
| Deposits
against Leases |
|
12,992,068 |
4,037,289 |
|
| Less:
Current portion refundable |
|
1,735,339 |
1,500,000 |
|
|
---------- |
---------- |
|
|
11,256,729 |
2,537,289 |
|
|
========== |
========== |
|
|
|
|
| 8. ADVANCE AGAINST SHARES / |
|
| UNDERWRITING
- CUM - FINANCING |
|
| Advance
Against Shares |
|
7,458,993 |
-- |
|
|
========== |
========== |
|
|
|
|
| A
Director and an associated Company have given undertakings for subscription
of Right |
|
| Preference
Shares of their entitlement and the above amount represents finance to be |
|
| utilized
their against. This advance carries mark-up @ 15% p.a. to be payable till the
date |
|
| of
calling of subscription money from them. |
|
|
| In
addition to the above undertaking, the financing provided through pledges of
Company's |
|
| own
debt instrument by the Directors under the terms of
underwriting-cum-financing |
|
| agreements
for the forthcoming issue of the Company's Preference Share is as follows; |
|
|
|
(Rupees) |
|
| Certificates
of Investments & Security Payment Notes |
|
35,810,536 |
|
| Natover
Rental Notes |
|
19,189,371 |
|
|
---------- |
|
|
54,999,907 |
|
|
========== |
|
|
|
2001 |
2000 |
|
|
Rupees |
Rupees |
|
| 9
SHORT TERM FINANCE |
|
| Unsecured |
|
(9.1) |
10,000,000 |
22,000,000 |
|
| Secured |
|
(9.2) |
37,375,313 |
-- |
|
|
|
|
---------- |
---------- |
|
|
47,375,313 |
22,000,000 |
|
|
========== |
========== |
|
|
|
|
| 9.1.
This represents Short Term Placement from Financial Institutions carrying
average mark- |
|
| up
of 16.5% p.a. |
|
|
| 9.2.
The Company has obtained Running Finance Facility from a Commercial Bank upto
a |
|
| maximum
limit of Rs. 50.4 million. Facility is supported by lien over Pakistan
Investment |
|
| Bonds
having face value of Rs. 40.00 million and charge over book debts of the
Company |
|
| amounting
to Rs. 25.00 million. Facility carries mark-up @ 14% p.a. |
|
|
|
2001 |
2000 |
|
|
Rupees |
Rupees |
|
| 10
CREDITORS, ACCRUED AND OTHER LIABILITIES |
|
| Accrued
Expenses |
|
755,648 |
1,368,982 |
|
| Accrued
profit on COl's |
|
1,099,862 |
3,477,734 |
|
| Mark-up
Accrued on Finance Facilities |
|
-- |
1,244,341 |
|
| Other
Liabilities |
|
480,567 |
320,756 |
|
|
---------- |
---------- |
|
|
2,336,077 |
6,411,813 |
|
|
========== |
========== |
|
|
|
|
| 11
CONTINGENCIES & COMMITMENTS |
|
| Contingencies
in respect of guarantees given favouring |
|
| (I)
Banking companies & other financial institutions |
|
Nil |
Nil |
|
| (ii) Others |
|
Nil |
Nil |
|
|
| Commitments
Maturing during 2000-2001: |
|
| Commitments
in respect of forward transactions |
|
| in securities: |
|
| - Sale |
|
56,622,440 |
Nil |
|
| - Purchase |
|
88,500,000 |
51,672,540 |
|
|
| Capital
expenditure contracted but not provided for |
|
| (net
of capital work-in-progress) |
|
Nil |
Nil |
|
| Repo
transactions |
|
Nil |
Nil |
|
|
| 12.
OPERATING ASSETS |
|
|
|
COST |
|
DEPRECIATION |
W.D.V. |
|
AS ON |
ADDITIONS |
TRANSFERS |
SALES |
AS ON |
|
AS ON |
FOR THE |
TRANSFERS |
SALES |
AS ON |
AS ON |
| PARTICULARS |
01-07-2000 |
DURING |
DURING |
DURING |
30-06-2001 |
|
01-07-2000 |
YEAR |
DURING |
DURING |
30-06-2001 |
30-06-2001 |
|
|
THE YEAR |
THE YEAR |
THE YEAR |
|
RATES |
|
THE YEAR |
THE YEAR |
|
|
Rupees |
Rupees |
Rupees |
Rupees |
Rupees |
% |
Rupees |
Rupees |
Rupees |
Rupees |
Rupees |
Rupees |
| VEHICLES
& ASSETS PLYING FOR HIRE |
|
| Relief Vehicle |
|
3,201,747 |
-- |
(953,850) |
(1,835,897) |
412,000 |
20 |
2,840,037 |
47,693 |
(810,773) |
(1,664,957) |
412,000 |
-- |
| Lease
Vehicles |
60,519,030 |
6,491,000 |
-- |
(4,147,824) |
62,862,206 |
20 |
7,676,255 |
10,022,369 |
-- |
'(3,206,260) |
14,492,364 |
48,369,842 |
|
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
| Sub Total |
|
63,720,777 |
6,491,000 |
(953,850) |
(5,983,721) |
63,274,206 |
|
10,516,292 |
10,070,062 |
(810,773) |
(4,871,217) |
14,904,364 |
48,369,842 |
|
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
| ASSETS
IN OWN USE |
|
|
|
| Furniture
& Fixtures |
1,378,183 |
674,731 |
-- |
-- |
2,052,914 |
10 |
714,339 |
103,620 |
-- |
-- |
817,959 |
1,234,955 |
| Office
Equipments |
4,437,439 |
927,080 |
-- |
-- |
5,364,519 |
10 |
2,531,745 |
419,377 |
-- |
-- |
2,951,122 |
2,413,397 |
| Tools
& Machinery |
376,425 |
-- |
-- |
-- |
376,425 |
10 |
374,091 |
2,211 |
-- |
-- |
376,302 |
123 |
| Vehicles
for Office Use |
9,034,541 |
3,869,429 |
869,135 |
(3,108,044~) |
10,665,061 |
20 |
5,176,723 |
1,519,866 |
808,528: |
(2,723,109 |
4,782,008 |
5,883,053 |
|
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
| Sub Total |
|
15,226,588 |
5,471,240 |
869,135 |
(3,108,044) |
18,458,919 |
-- |
8,796,898 |
2,045,074 |
808,528 |
(2,723,109 |
8,927,391 |
9,531,528 |
|
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
| Total:
2001 |
|
78,947,365 |
11,962,240 |
(84,715) |
(9,091,765) |
81,733,125 |
|
19,313,188 |
12,115,136 |
(2,245) |
(7,594,326) |
23,831,755 |
57,901,370 |
|
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
---------- |
| Total:
2000 |
|
48,583,846 |
48,404,115 |
(2,787,975) |
(15,252,621) |
78,947,365 |
|
20,235,903 |
6,991,124 |
(3,232,701) |
(4,681,129) |
19,313,188 |
59,634,177 |
|
========== |
========== |
========== |
========== |
========== |
========== |
========== |
========== |
========== |
========== |
========== |
========== |
|
|
|
| 12.1
Particulars of own fixed assets sold during the year. |
|
|
| Description |
|
Original |
Accumulated |
Written |
Sale |
Profit/ |
Mode of disposal & |
|
|
Cost |
Depreciation |
down value |
proceeds |
(Loss) |
Particulars of buyers |
|
|
Rupees |
Rupees |
Rupees |
Rupees |
Rupees |
|
| Suzuki
Mehran |
207,179 |
207,179 |
-- |
130,000 |
130,000 |
Sold to Mr. M.Sohail
Samad |
|
| W-1297 |
|
Qazi Street, Shah Colony, |
|
|
Canal Town, |
|
|
Peshawar |
|
|
| Pajero Intercooler |
2,871,795 |
2,486,860 |
384,935 |
1,475,000 |
1,090,065 |
Sold to Mr. Chaudhary
Abdul Majeed |
|
| LOZ-3333 |
|
P-4, Rehman Manzil, |
|
|
Rehmanpura, |
|
|
Faisalabad |
|
|
| Honda
CG 125 |
29,070 |
29,070 |
-- |
12,000 |
12,000 |
Sold to Mr. M. Nazir |
|
| KCB-2117 |
|
B-1066, Future Colony, |
|
|
Landhi |
|
|
Karachi |
|
|
---------- |
---------- |
---------- |
---------- |
---------- |
|
| Total: 2001 |
|
3,108,044 |
2,723,109 |
384,935 |
1,617,000 |
1,232,065 |
|
|
========== |
========== |
========== |
========== |
========== |
|
| Total · 2000 |
|
294,408 |
274,712 |
19,696 |
225,000 |
.205,304 |
|
|
========== |
========== |
========== |
========== |
========== |
|
|
|
2001 |
2000 |
|
|
Rupees |
Rupees |
|
| 13
LONG TERM INVESTMENTS |
|
| 6,800
(2000: 6800) registered units of N.I.T. |
|
75,850 |
72,080 |
|
| Shares
of quoted companies |
|
(13.1) |
35,000 |
95,600 |
|
| Special
US $ Bonds |
|
(13.2) |
7,737,320 |
1,443,876 |
|
|
|
---------- |
---------- |
|
|
7,848,170 |
1,611,556 |
|
|
========== |
========== |
|
| Investments
have been made to comply with the provisions of Leasing companies |
|
|
| (Establishment
& Regulation) Rules, 2000 to maintain liquidity against prescribed
liabilities. |
|
|
|
2001 |
2000 |
|
|
|
|
Rupees |
Rupees |
|
| 13.1
SHARES OF QUOTED COMPANIES |
|
| 4,000
(2000: 4000) shares of I.C.I. Pakistan Limited |
|
35,000 |
36,100 |
|
| Nil
(2000: 5000) shares of Commercial Union |
|
| Life
Insurance Limited |
|
-- |
59,500 |
|
|
---------- |
---------- |
|
|
35,000 |
95,600 |
|
|
========== |
========== |
|
|
|
|
| 13.2
SPECIAL US $ BONDS |
|
| It
represents investment amounting to US $129,700 (2000: US $ 27,500) in the
special |
|
| US
dollar bonds issued by the Government of Pakistan. These bonds will be
redeemable |
|
| on
April 01,2002 and carry interest of six months LIBOR plus two percent. |
|
|
|
2001 |
2000 |
|
|
Rupees |
Rupees |
|
| 14
LONG TERM DEPOSITS & PRE-PAYMENTS |
|
| Deposits |
|
457,190 |
316,550 |
|
| Pre-Payments
- Associated Undertakings |
|
384,000 |
960,000 |
|
| - Others |
|
-- |
69,657 |
|
|
---------- |
---------- |
|
|
841,190 |
1,346,207 |
|
|
========== |
========== |
|
|
|
|
| 15
FIXED INCOME SECURITIES - TRADING STOCK |
|
| This
represents Investment in Pakistan Investment Bonds of 10 years maturities,
carrying |
|
| profit
@ 14% p.a., payable six monthly. (2000 : It represents investment in the
special US |
|
| dollar bonds.) |
|
|
| 16
SHORT TERM FINANCING - SECURED |
|
| This
represents Short Term Financing facilities provided to potential lessees.
Facilities |
|
| have
been secured by lien on Certificates of Investment and Equitable Mortgage of
their |
|
| properties.
Rate of mark-up ranges from 18% to 19% p.a, |
|
|
|
2001 |
2000 |
|
|
Rupees |
Rupees |
|
| 17
RENTALS RECEIVABLE |
|
| Considered
Good |
|
1,078,029 |
2,704,013 |
|
| Considered
Doubtful |
|
299,415 |
299,415 |
|
|
---------- |
---------- |
|
|
1,377,444 |
3,003,428 |
|
|
|
|
| Provision
for Doubtful |
|
299,415 |
299,415 |
|
|
---------- |
---------- |
|
|
1,078,029 |
2,704,013 |
|
|
========== |
========== |
|
|
|
|
| 18
LOANS AND ADVANCES |
|
| CONSIDERED
GOOD - UNSECURED |
|
| Loans
to Employees |
|
358,667 |
48,500 |
|
| Advance
against Expenses |
|
418,793 |
489,628 |
|
| Income
Tax (Net of provision) |
|
707,899 |
643,261 |
|
|
---------- |
---------- |
|
|
1,485,359 |
1,191,389 |
|
|
========== |
========== |
|
|
|
|
| 19
PRE-PAYMENTS AND OTHER RECEIVABLES |
|
|
|
| Pre-Payments |
|
4,237,907 |
1,610,820 |
|
| Other
receivables |
|
5,125,212 |
4,524,429 |
|
|
---------- |
---------- |
|
|
9,363,119 |
6,135,249 |
|
|
========== |
========== |
|
|
| 20
CASH & BANK BALANCES |
|
| Cash in Hand |
|
206,100 |
24,770 |
|
| With Banks : |
|
| -
Current Accounts |
|
3,610,403 |
2,156,535 |
|
| -
PLS Accounts |
|
3,272,929 |
34,904,425 |
|
| -
Money at Call on Short Notice |
|
-- |
20,000,000 |
|
|
---------- |
---------- |
|
|
6,883,332 |
57,060,960 |
|
|
---------- |
---------- |
|
|
7,089,432 |
57,085,730 |
|
|
========== |
========== |
|
|
| 21
RENTAL INCOME |
|
| Income
from Assets Plying for Hire |
|
22,359,988 |
13,692,009 |
|
| Add: Lease Settlement at Disposals |
(21.1) |
|
763,427 |
6,184,489 |
|
|
---------- |
---------- |
|
| Gross
Rental Income |
|
23,123,415 |
19,876,498 |
|
| Less:
Rental Share of Natover Rental Note Holders |
|
3,734,492 |
30,009 |
|
|
---------- |
---------- |
|
| Net
Rental Income |
|
19,388,923 |
19,846,489 |
|
|
========== |
========== |
|
|
|
|
| 21.1
LEASE SETTLEMENT AT DISPOSALS |
|
| Profit
on Disposals of Leased Assets |
|
1,311,751 |
6,184,489 |
|
| Less:
Rental Rebate |
|
548,324 |
-- |
|
|
---------- |
---------- |
|
|
763,427 |
6,184,489 |
|
|
========== |
========== |
|
|
|
|
| 22
HIRE PURCHASE / FINANCE LEASE INCOME |
|
| Gross
Hire Purchase & Finance Lease Rent |
|
27,419,456 |
3,555,754 |
|
| Less:
Adjustment against principal |
|
13,515,398 |
1,663,841 |
|
|
---------- |
---------- |
|
|
13,904,058 |
1,891,913 |
|
|
========== |
========== |
|
|
|
|
| 23
ANCILLARY FINANCIAL SERVICES INCOME |
|
| Gain
on Sale of Securities |
|
3,934,539 |
2,103,896 |
|
| Placement
/ Mark -up / Profit / Income |
|
2,300,554 |
1,903,921 |
|
|
---------- |
---------- |
|
|
6,235,093 |
4,007,817 |
|
|
========== |
========== |
|
|
| 24
OTHER INCOME |
|
| Profit
on Disposal of Assets |
|
1,232,065 |
205,304 |
|
| Others |
|
573,034 |
279,048 |
|
|
---------- |
---------- |
|
|
1,805,099 |
484,352 |
|
|
========== |
========== |
|
|
|
|
| 25
OPERATING EXPENSES |
|
| Depreciation |
|
10,070,062 |
5,720,238 |
|
| Insurance |
|
1,020,127 |
1,737,288 |
|
| Vehicles
Maintenance |
|
-- |
119,394 |
|
| Registration
& Road Tax |
|
516,051 |
110,801 |
|
| Asset
Value Insurance |
|
-- |
59,541 |
|
| Freight
Charges |
|
48,366 |
18,386 |
|
|
---------- |
---------- |
|
|
11,654,606 |
7,765,648 |
|
|
========== |
========== |
|
|
| 26
ADMINISTRATIVE EXPENSES |
|
|
|
| Staff
Salaries & Allowances |
|
7,110,919 |
4,289,799 |
|
| Gratuity |
|
609,421 |
-- |
|
| Printing
& Stationery |
|
289,867 |
246,583 |
|
| Postage
& Telephone |
|
760,659 |
789,554 |
|
| Electricity
& Gas |
|
297,740 |
395,050 |
|
| Travelling |
|
200,813 |
156,220 |
|
| Conveyance
& Transport |
|
63,749 |
62,659 |
|
| Fees,
Subscription & Periodicals |
|
906,161 |
243,277 |
|
| Entertainment |
|
230,250 |
254,176 |
|
| Office
Maintenance |
|
401,273 |
433,055 |
|
| Rent,
Rates, Taxes & Insurance |
|
1,185,263 |
1,307,894 |
|
| Auditor's
Remuneration |
|
(26.1) |
110,340 |
86,856 |
|
| Legal
& Professional Charges |
|
629,887 |
611,400 |
|
| Advertisement |
|
143,881 |
92,350 |
|
| Depreciation |
|
2,045,074 |
1,270,886 |
|
| Amortization
of Deferred cost for |
|
|
|
| Renovation
of office / Building |
|
-- |
486,284 |
|
| Vehicles
Maintenance |
|
611,200 |
691,336 |
|
| Business
Promotion Expenses |
|
23,470 |
35,881 |
|
| Others
Charges |
|
19,473 |
9,603 |
|
|
----------- |
----------- |
|
|
15,639,440 |
11,462,863 |
|
|
========== |
========== |
|
|
|
|
| 26.1
Auditor's Remuneration |
|
|
|
| Annual
Audit Fee |
|
60,000 |
45,000 |
|
| Special
Audit Fee |
|
30,000 |
20,000 |
|
| Out
of pocket Expenses |
|
20,340 |
21,856 |
|
|
----------- |
----------- |
|
|
110,340 |
86,856 |
|
|
========== |
========== |
|
|
| 27
FINANCIAL EXPENSES |
|
|
|
| Profit
on Musharika Financing |
|
300,000 |
3,627,020 |
|
| Mark-Up
on Short Term Financing |
|
1,815,970 |
1,121,856 |
|
| Bank
Charges & Commission |
|
102,855 |
86,730 |
|
| Central
Excise Duty |
|
-- |
253,828 |
|
| Profit
on COl's & SPN |
|
7,721,996 |
5,799,359 |
|
| Fund
Mobilization Commission |
|
1,746,657 |
708,102 |
|
| Others |
|
-- |
64,854 |
|
|
----------- |
----------- |
|
|
11,687,478 |
11,661,749 |
|
|
========== |
========== |
|
|
| 28
FINANCIAL ASSETS & LIABILITIES |
|
|
Non Mark - Up / |
|
|
Mark - up Interest Bearing |
Non Interest Bearing |
|
|
Mark-up |
Maturity |
Maturity |
Total |
|
|
Interest |
With in |
One year |
With in |
One year |
|
|
% |
one year |
to five years |
one year |
to five years |
|
|
(Rupees) |
(Rupees) |
(Rupees) |
(Rupees) |
(Rupees) |
(Rupees) |
|
| Financial
Assets |
|
| Net Investment in leases |
18-25 |
43,092,346 |
41,080,982 |
-- |
-- |
84,173,328 |
|
| Long term Investment |
12-14 |
-- |
7,737,320 |
-- |
110,850 |
7,848,170 |
|
| Long term Deposit |
-- |
-- |
-- |
-- |
457,190 |
457,190 |
|
| Fixed Income Securities |
14 |
-- |
40,000,000 |
-- |
-- |
40,000,000 |
|
| Short term Finance |
17-22 |
7,550,000 |
-- |
-- |
-- |
7,550,000 |
|
| Rental Receivable |
18-25 |
1,078,029 |
-- |
-- |
-- |
1,078,029 |
|
| Loans & Advances |
-- |
-- |
-- |
358,667 |
-- |
358,667 |
|
| Prepayments
& |
|
|
| Other Receivables |
-- |
-- |
-- |
5,125,212 |
-- |
5,125,212 |
|
| Cash and Bank Balances |
10-14 |
3,272,929 |
-- |
3,816,503 |
-- |
7,089,432 |
|
|
|
---------- |
---------- |
---------- |
---------- |
---------- |
|
| 2001 |
|
54,993,304 |
88,818,302 |
9,300,382 |
568,040 |
153,680,028 |
|
|
|
---------- |
---------- |
---------- |
---------- |
---------- |
|
| 2000 |
|
74,999,253 |
7,755,804 |
6,754,234 |
412,150 |
89,921,441 |
|
|
---------- |
---------- |
---------- |
---------- |
---------- |
|
|
|
|
|
|
Non Mark - Up / |
|
|
Mark - up Interest Bearing |
Non Interest Bearing |
|
|
|
Mark-up |
Maturity |
Maturity |
Total |
|
|
Interest |
With in |
One year |
With in |
One year |
|
|
% |
one year |
to five years |
one year |
to five years |
|
|
|
(Rupees) |
(Rupees) |
(Rupees) |
(Rupees) |
(Rupees) |
(Rupees) |
|
| Financial
Liabilities |
|
| Advance against Shares |
15 |
7,458,993 |
-- |
-- |
-- |
7,458,993 |
|
| Certificates
of Investment |
|
|
| & Security Payment Notes |
15-18 |
28,120,100 |
46,195,144 |
-- |
-- |
74,315,244 |
|
| Redeemable Capital |
14-19 |
12,458,924 |
31,051,035 |
-- |
-- |
43,509,959 |
|
| Security Deposits |
-- |
-- |
-- |
1,735,339 |
11,256,729 |
12,992,068 |
|
| Short
Term Finance |
14-16 |
47,375,313 |
|
47,375,313 |
|
| Creditors,
Accrued & |
|
| Other
Liabilities |
-- |
-- |
-- |
2,223,536 |
-- |
2,223,536 |
|
|
|
---------- |
---------- |
---------- |
---------- |
---------- |
|
| 2001 |
|
95,413,330 |
77,246,179 |
3,958,875 |
11,256,729 |
187,875,113 |
|
|
|
---------- |
---------- |
---------- |
---------- |
---------- |
|
| 2000 |
|
66,183,367 |
58,798,000 |
7,911,813 |
2,537,289 |
135,430,469 |
|
| Net
Financial Assets I (Liabilities) |
|
| 2001 |
|
(40,420,026) |
11,572,123 |
5,341,507 |
(10,688,689) |
(34,195,085) |
|
|
|
========== |
========== |
========== |
========== |
========== |
|
| 2000 |
|
8,815,886 |
(51,042,196) |
(1,157,579) |
(2,125,139) |
(45,509,028) |
|
|
========== |
========== |
========== |
========== |
========== |
|
|
|
|
| 29
FAIR VALUE OF FINANCIAL INSTRUMENTS |
|
| The
carrying value of financial assets and liabilities approximates their fair
values as reflected in the financial |
|
| statements. |
|
|
| 30
CREDIT RISK |
|
| The
Company's credit risk exposure is not significantly different from that
reflected in the |
|
| financial
statements. The management monitors and limits company's exposure to credit
risk |
|
| through
monitoring of client's credit exposure, reviews and conservative estimates of
provision |
|
| for
doubtful receivables and through the prudent use of collateral policy. The
management is |
|
| of
the view that the Company is not exposed to significant concentration of
credit risk as its |
|
| financial
assets are adequately diversified in organizations and individuals of sound
financial |
|
| standing
covering various industrial sectors and professions respectively. |
|
|
| 31
REMUNERATION OF CHIEF EXECUTIVE & EXECUTIVES |
|
|
CHIEF |
DIRECTORS |
EXECUTIVES |
|
|
EXECUTIVE |
|
|
|
| SALARY |
|
627,097 |
-- |
1,962,580 |
|
| HOUSE
RENT |
282,194 |
-- |
883,161 |
|
| UTILITIES |
|
62,709 |
-- |
196,259 |
|
| MEDICAL |
|
29,160 |
-- |
91,260 |
|
|
----------- |
----------- |
----------- |
|
| 2001 Rupees |
|
1,001,160 |
-- |
3,133,260 |
|
|
----------- |
----------- |
----------- |
|
| 2000 Rupees |
|
1,121,040 |
-- |
1,351,360 |
|
| (Including
Arrears: |
(453,600) |
-- |
-- |
|
|
----------- |
----------- |
----------- |
|
| NUMBER
OF PERSONS |
|
| 2001 |
|
1 |
7 |
17 |
|
|
|
----------- |
----------- |
----------- |
|
| 2000 |
|
1 |
7 |
5 |
|
|
----------- |
----------- |
----------- |
|
|
|
|
| The
Chief Executive and Executives of the Company are also provided with free use
of |
|
| company
maintained vehicles. |
|
|
|
2001 |
2000 |
|
|
Rupees |
Rupees |
|
| 32
TRANSACTIONS WITH ASSOCIATED |
|
| COMPANY |
|
| Rent
charged for office premises |
|
576,000 |
576,000 |
|
| Lease
rentals received |
|
5,724,000 |
934,584 |
|
|
| 33
BASIC EARNING PER SHARE |
|
| Profit
after taxation |
|
1,441,649 |
2,890,311 |
|
|
========== |
========== |
|
| Number
of ordinary shares |
|
5,250,000 |
5,250,000 |
|
|
========== |
========== |
|
| Earning
per share |
|
0.28 |
0.55 |
|
|
========== |
========== |
|
|
| 34
STAFF STRENGTH |
|
| As
at year end |
|
44 |
40 |
|
|
========== |
========== |
|
|
| 35
TAXATION |
|
| The
income tax assessments of the Company have been finalised upto and including |
|
| assessment
year 2000-2001. In view of tax loss available in respect of leasing business,
only |
|
| a
provision for minimum taxation has been made. |
|
|
| 36 GENERAL |
|
| (i)
Previous year's figures have been re-arranged wherever necessary for the
purpose |
|
| of
comparison. |
|
| (ii)
Figures have been rounded off to the nearest rupees. |
|
|
| KARACHI |
|
NADEEM H.SHAIKH |
|
SYED ZAHID HASAN |
|
| December
5, 2001 |
|
( CHIEF EXECUTIVE ) |
|
( CHAIRMAN ) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
