Rahman Rahman Huq (Chartered Accountants SasMoraena CA rakagsong oom Draka 1212 vwonkpmgcomb Bandadesh INDEPENDENT AUDITOR'S REPORT to the Shareholders of Advanced Chemical Industries Limited Report on the Financial Statements We have audited the accompanying separate financial statements of Advanced Chemical Industries Limited ("the Company") as well as the consoligated financial statements of Advanced Chemical Industries Limited and he subsidiaries, joint ventures land associates ("the Group’) which comrises the separate and the consolidated statements of financial positon as at 30 Sune 2017, statements of proftor los, statements oF prof oF loss an other earmprehensie income, statements of changes in equity, statements of cash flows for the year then ended, and a summary of signficant accounting polices and other ‘exolanatory information The Financ statements of eleven subsidiaries and three assocates as disclosed In nate 43 0 these financial statements weve not auleed by us Management's Responsibility for the Financial Statements Management is responsible forthe preparation and fir presentation ofthe separate financial statements of the Company ane the consolidated financial statements of the Group In accordance mith Bangladesh Financial Reporting Standards, the Companies Act 1984, the Securties and Exchange Rules 1987, and for such intemal Control as mangement determines Is hecassary tovenable the preparation of the separate financial statements of the Company and the consolidated Tnancal Statements ofthe Group that are free from material misstatement, whether due to faut or error, ‘Auditor's Responsibility ‘Our responsibilty is to express an opinion on the separate financial statements of the Company and the consolidated Financial statements of the Group basec on our audit. We conducted our auch in accordance with Bangladesh Stancards on Aualing, Those sandards require that we comply with ethical requirements and plan and perform the audit to obtain Feasonable assurance about whether the separate flancial statements of the Company an the consolidated financial Statements ofthe Group are free from material misstatement {An audit involves performing procedures to obtain auclt evidence about the amounts and disclosures inthe separate financial Stements of the Company and tre consolcated financial statements of the Group. The procedures selected epent on out Jidgment, including tre assessment of the risks of material misstatement of the separate financial statements of the Company ‘and the consolidates financial statements of the Group, whether due to fraud or error. in making those sk assessments, we consider internal control relevant to the entity's preparation and fair presentation of the separate financal Statements of the Company and the consolidated financial statements of the Group in order to design audit procecures tat are aporoprate In the circumstances, but not for the purpase of expressing an opinion on the effectiveness ofthe entity's internal control, An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, 2s well as evaluating the overall presentation of the separate financal Statements ofthe Company and the consolidated financal statements ofthe Group. We believe thatthe audit evidence we have obtained issufcient and appropriate to provide a bass for our audit opinion. Opinion In our epinion, the separate financial statements ofthe Company and the consollated financial statements ofthe Group give atrue and fair view of the financial positon ofthe Company as well as ofthe Group as at 30 June 2017, and of ther finascal Performance and ther cash flows for the year then ended in accordance with Bangladesh Financial Reporting Standards. Report on Other Legal and Regulatory Requirements In accordance with the Companies Act 1994, the Securities and Exchange Rules 1987 and relevant notification issued by Bangladesh Securtes and Exchange Commission, we also report the folowing (2) we have obtained all the information and explanation which to the best of our knowledge and belief were necessary for the purpose of our aust and made due verte reef (8) in our opinion, proper books of account as required by law have been kept by the Group so far as t appeared from aur examination af these books; (©) the separate and the consolidated statements of nancial postion, statements of profit or loss and statements of profit or loss and other comprehensive income dealt with by the -eport are in agreement withthe books of account; and expenditure incurred was forthe purposes of the Group's business. Dhaka, 23 October 2017 Rahman Rahman Hug Chartered Accountants ‘eigen ng Eat Sheen page 50. | Annual Report 2016-2017