Pakistan Synthetics Limited Condensed Interim Balance Sheet Analysis

Pakistan Synthetics Limited
Condensed Interim Balance Sheet (Unaudited)

As at 31 March 2009 Equity and liabilities Note Share capital and reserves Authorised share capital 70,000,000 ordinary shares of Rs 10 each Issued, subscribed and paid-up capital Revenue reserve Accumulated losses Non-current liabilities Liabilities against assets subject to finance lease Staff retirement benefits Deferred taxation Current liabilities Trade and other payables Short-term borrowings - secured Current portion of liabilities against assets subject to finance lease Taxation-net Total equity and liabilities Assets Non-current assets Property, plant and equipment Long-term loans and advances Deferred taxation Long-term deposits and prepayments Current assets Stores and spares Stock-in-trade Trade debts Loans and advances Other assets and short term prepayments Other receivables Cash and bank balances Total assets Contingencies and commitments 8 Unaudited Audited 31 March 30 June 2009 2008 (Rupees in '000)
700,000 560,400 362,500 (45,717) 877,183 30,829 30,829 324,562 1,062 3,505 329,128 1,237,140
700,000 560,400 362,500 (66,420) 856,480 50,016 27,577 1,573 79,166 544,693 184,089 17,197 14,183 760,162 1,695,808
374,538 1,523 327 257 376,644 122,740 214,528 375,677 1,725 1,791 34,650 109,386 860,497 1,237,140
425,733 1,464 8,571 435,768 100,775 683,183 356,525 1,236 1,145 102,154 15,022 1,260,040 1,695,808
The annexed notes 1 to 11 form an integral part of this condensed interim financial information.
________________________ EBRAHIM HAJI KARIM CHAIRMAN
____________________ UMER HAJI KARIM CHIEF EXECUTIVE
____________________ SHOAIB BATVIA CHIEF FINANCIAL OFFICER

Condensed Interim Profit and Loss Account (Unaudited)
For the Nine months and 3rd quarter ended 31 March 2009 Quarter ended 31 March 31 March 2009 2008 (Rupees in '000) Turnover Freight Brokerage and discounts Net sales Cost of sales Gross profit Other operating income 659,398 (2,290) (8,857) (11,147) 648,252 (616,043) 32,209 1,943 34,152 Distribution and selling costs Administration and general expenses Other operating expenses (2,965) (8,618) (1,397) (12,980) 536,934 (5,035) (1,180) (6,215) 530,719 (509,685) 21,034 7 21,041 (1,999) (10,361) 284 (12,076) Nine months ended 31 March 31 March 2009 2008 (Rupees in '000) 1,833,439 (8,063) (11,829) (19,892) 1,813,548 (1,743,321) 70,227 4,720 74,947 (8,236) (23,199) (13,340) (44,775) 1,671,983 (14,214) (4,660) (18,874) 1,653,109 (1,587,357) 65,752 1,486 67,238 (9,263) (31,993) (307) (41,563)
Profit from operations before finance cost Finance cost Profit before tax Taxation Profit after tax
21,172 (3,760) 17,412 2,236 19,648 (Rupee)
8,965 (8,706) 259 622 881
30,172 (11,369) 18,803 1,900 20,703 (Rupee)
25,675 (18,006) 7,669 (6,029) 1,640
Earnings per share - basic and diluted
0.35
0.02
0.37
0.03

Condensed Interim Statement of Changes in Equity (Unaudited)
For the Nine months and 3rd quarter ended 31 March 2009 Issued, Revenue Accumulated Total subscribed reserve loss and paid-up capital -----------------------------------(Rupees in '000)-----------------------------------
Balance as at 30 June 2007 Profit for the nine months period ended 31 March 2008
560,400
362,500
(72,213)
850,687
1,640
1,640
Balance as at 31 March 2008 Balance as at 30 June 2008 Profit for the nine months period ended 31 March 2009 Balance as at 31 March 2009
560,400 560,400
362,500 362,500
(70,573) (66,420)
852,327 856,480
560,400
362,500
20,703 (45,717)
20,703 877,183

Condensed Interim Cash Flow Statement (Unaudited)
For the six months ended 31 December 2008 Note 31 December 31 December 2008 2007 (Rupees in '000)
CASH FLOWS FROM OPERATING ACTIVITIES Cash generated from operations Staff gratuity paid Finance cost paid Long-term loans and advances Taxes paid Net cash flows from operating activities CASH FLOWS FROM INVESTING ACTIVITIES Acquistion of property plant and equipment Proceeds from disposal of property, plant and equipment Profit on saving and deposit accounts Net cash outflows from investing activities CASH FLOWS FROM FINANCING ACTIVITIES Ijarah finance against assets Recei[pt of security deposit on Ijarah Dividend paid Net cash flow from financing activities Net increase in cash and cash equivalents Cash and cash equivalents as at 1 July Cash and cash equivalents as at 31 December (67,213) 8,309 (44) (58,948) 277,392 (169,067) 108,325 (15,877) (15,877) (92,654) (70,566) (163,220) (24,993) 200 4,639 (20,154) (16,983) 105 556 (16,322) 9 383,476 (857) (15,386) (59) (10,680) 356,494 (31,407) (2,211) (18,909) 204 (8,132) (60,455)

Notes to the Condensed Interim Financial Information (Unaudited)
For the nine months ended 31 March 2009
1.
STATUS AND NATURE OF BUSINESS The Company was incorporated on 18 November 1984 as a private limited company in Pakistan and subsequently converted into a public limited company on 30 December 1987. The shares of the Company are listed on all the stock exchanges of Pakistan. The principal activity of the Company is to manufacture and sale of Polyester Staple Fibre. The registered office of the Company is situated in Karachi.
2.
BASIS OF PREPARATION This interim financial information has been presented in condensed form in accordance with approved accounting standards as applicable in Pakistan for interim financial reporting and is being circulated to shareholders in accordance with the requirements of section 245 of the Companies Ordinance, 1984. This condensed interim financial information does not include all of the information required for full annual financial statements and should be read in conjunction with the annual financial statements as at and for the year ended 30 June 2008. This condensed interim financial information is unaudited. This condensed interim financial information is presented in Pak Rupees which is the Company's functional and presentation currency and has been rounded off to the nearest thousand rupees. The comparative balance sheet presented in this condensed interim financial information has been extracted from the audited financial statements of the Company for the year ended 30 June 2008, whereas the comparative profit and loss account, statement of changes in equity and cash flow statement are stated from the unaudited condensed interim financial statements for the nine months period ended 31 March 2008.
3.
SIGNIFICANT ACCOUNTING POLICIES The accounting policies applied for the preparation of these condensed interim financial information are the same as those applied in preparation of the annual audited financial statements of the Company for the year ended 30 June 2008.
4.
ESTIMATES The preparation of condensed interim financial information requires management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets and liabilities, income and expense. Actual results may differ from these estimates . The significant judgments made by management in applying the Companys accounting polices and the key sources of estimation and uncertainty were the same as those that were applied to the financial statements for the year ended 30 June 2008.
5.
RISK MANAGEMENT POLICIES Risk management policies are consistent with those disclosed in the financial statements for the year ended 30 June 2008.
6.
PROPERTY, PLANT AND EQUIPMENT
31 March 2009 Additions Disposals (Rupees in '000)
Following are the additions and disposals made during the period: Plant and machinery Vehicle 7. STOCK-IN-TRADE
24,978 -
450
31 March 30 June 2009 2008 (Rupees in '000)
Raw and packing materials [including items in-transit Rs. 73.52 million (30 June 2008: Rs. Nil)] Work-in-process Finished goods
192,560 4,829 17,139 214,528
314,851 31,802 336,530 683,183
8. 8.1
CONTINGENCIES AND COMMITMENTS Contingencies During the period 1994 to 1995 the company paid sales tax amounting to Rs. 1,538,946 on import of spare parts for plant and machinery. The Company claimed such input tax in its sales tax return of June 1996 under section 66-A of the Sales Tax Act, 1990. However, the superintendent of sales tax rejected the Company's claim, reduced the amount of refund claimed by the Company at that time by an amount of Rs.1,538,946 and levied additional tax @ 10% along with penalty of Rs. 25,000. The Company has filed an appeal with the Collector of Sales Tax (Appeals) for refund of said amount of reduction of refund claim as well as penalty amounting in total to Rs. 1,722,840. The management is confident of favourable outcome in appeal.
8.2
Commitments
Unaudited Audited 31 March 30 June 2009 2008 (Rupees in '000) 25,667 71,840 25,667 521,115
a)
Bank guarantees issued in favour of Sui Southern Gas Company Limited, on behalf of the Company Inland bills discounted
b)
9.
CASH FLOWS FROM OPERATING ACTIVITIES
31 March 31 March 2009 2008 (Rupees in '000) 18,803 76,048 4,110 (59) (4,639) 9,998 (1,000) 84,458 103,261 7,669 76,581 3,450 (105) (556) 18,006 6,000 4,651 108,027 115,696
Profit before taxation Adjustments for non cash charges and other items - Depreciation - Charge for staff gratuity - Profit on disposal of property, plant and equipment - Profit on saving and deposit accounts - Finance cost - Provision for slow moving and obsolete stores and spares - Provision for doubtful debts-net Profit before working capital changes Working capital changes Decrease / (increase) in current assets - Stores and spares - Stock in trade - Trade debts - Loans and advances - Trade deposits and short term prepayments - Other receivables (Decrease) / increase in current liabilities - Trade and other payables Cash generated from operations 10 RELATED PARTIES
(20,965) 468,655 (19,152) (489) (646) 67,504 494,907 (214,692) 383,476
(5,133) (222,866) (35,583) (6,824) (908) 15,857 (255,457) 108,354 (31,407)
All transactions involving related parties arising in the normal course of business are conducted at commercial terms and conditions, and at prices agreed based on inter company prices using admissible valuation modes, i.e. comparable uncontrolled price method. The related parties and associated undertaking comprise local associated companies, staff retirement fund, directors and key management personnel. Transactions with related parties and associated undertakings are as follows: Nine months ended 31 March. 31 March. 2009 2008 (Rupees in '000) Associate Sale of goods Key management compensation Managerial remuneration Others
183,275
188,965
13,350 4,190
12,464 3,369
Period end balances arising from transactions
Unaudited Audited 31 March 30 June 2009 2008 (Rupees in '000)
Associate Receivable Current and saving account balance with a bank Liabilities against assets subject to finance lease
62,114 13,526 -
14,145 11,160 67,213
11
DATE OF AUTHORISATION This condensed interim financial information were authorized for issue by the Board of Directors in their meeting held on 29 April, 2009.

Pakistan Synthetics Limited Condensed Interim Balance Sheet Analysis

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Pakistan Synthetics Limited Condensed Interim Balance Sheet Analysis

Uploaded by

Copyright:

Available Formats

Pakistan Synthetics Limited

Condensed Interim Balance Sheet (Unaudited)

________________________ EBRAHIM HAJI KARIM CHAIRMAN

____________________ UMER HAJI KARIM CHIEF EXECUTIVE

____________________ SHOAIB BATVIA CHIEF FINANCIAL OFFICER