AMTEX LIMITED
Half Yearly Report
December 31, 2023
A M T E X
CONTENTS
COMPANY INFORMATION
DIRECTOR'S REPORT
AUDITOR'S REVIEW REPORT
CONDENSED INTERIM STATEMENT OF FINANCIAL POSITION CONDENSED INTERIM STATEMENT OF PROFIT & LOSS ACCOUNT CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME CONDENSED INTERIM CASH FLOW STATEMENT
CONDENSED INTERIM STATEMENT OF CHANGES IN EQUITY NOTES TO THE CONDNSED INTERIM FINANCIAL STATEMENTS
Company Information
Board of Directors | |
Mr. Muhammad Ahsan | Chairman |
Mr. Khurram Iftikhar | Chief Executive Officer |
Mr. Shahzad Iftikhar | |
Mr. Nadeem Iftikhar | |
Mr. Suhail Maqsood Ahmed | |
Mr. Gul Muhammad Naz | |
Mrs.Bushra Bibi | |
Chief Financial Officer | |
Mr. Waheed Aslam | |
Company Secretary | |
Mr. Muhammad Raza Farooq | |
Audit Committee | |
Mr. Suhail Maqsood Ahmed | Chairman |
Mr. Muhammad Ahsan | |
Mrs.Bushra Bibi | |
Human Resource & Remuneration Committee | |
Mr. Gul Muhammad Naz | Chairman |
Mr. Suhail Maqsood Ahmed | |
Shahzad Iftikhar | |
Auditors | |
Zahid Jamil & Co. | |
Chartered Accountants | |
Legal Advisor | |
Mr. Aamir Nawaz Bhatti | |
Advocate High Court |
Share Registrar Office
Vision Consulting Limited
3-C, LDA Flats, Lawrance Road, Lahore
Registered Office
P-225 Tikka Gali # 2 Montgomery Bazar, Faisalabad
Projects Locations
Punj Pullian Daewoo Road Faisalabad | Processing & Stitching Unit |
Website
www.amtextile.com
DIRECTORS' REPORT
The Board of Directors of Amtex Limited presents herewith the Directors' Report together with the Company's un-audited financial information for the half year ended December 31, 2023.
Financial Results
The financial results for the period under review with comparative figures of previous period are presented hereunder to have a quick look on the performance of the Company.
Quarter ended | Half Year ended | ||||||||
December 31, | December 31, | ||||||||
2023 | 2022 | 2023 | 2022 | ||||||
Rupees | Rupees | Rupees | Rupees | ||||||
Sales | 701,451,660 | 323,711,635 | 1,427,189,368 | 679,068,236 | |||||
Cost of sales | 600,644,449 | 279,488,934 | 1,215,387,124 | 560,538,114 | |||||
Gross Profit | 100,807,211 | 44,222,701 | 211,802,244 | 118,530,122 | |||||
Other operating income | 20,042,980 | 6,648,727 | 23,906,980 | 276,887,540 | |||||
Net profit / (loss) for the period | 8,627,566 | (30,004,048) | 42,629,677 | 259,761,792 | |||||
Earnings per share - Basic and diluted | 0.03 | (0.12) | 0.16 | 1.00 |
During 1st half year under review company earned gross profit of Rs.211.80 million as compared to gross profit of Rs. 118.53 million in the corresponding period of last year and net profit of Rs. 42.62 million as compared to net profit of Rs. 259.76 million in the corresponding period of last year. Sales volume has significantly increased as compared to previous corresponding period and the company's total sales are Rs. 1,427.18 million in six months against sales of Rs. 679.06 million in the corresponding period of last year. Despite political instability, poor law and order situation, devaluation of currency and significantly increasing prices of utilities, fuel and energy, Company maintained its growth in terms of export volume and Company's sales significantly increased. Further the shareholders in Annual General Meeting held on October 28, 2023 have accorded approval for sale of Land & Building situated at 1 K.M. Khurrianwala Jaranwala Road Faisalabad. In said Annual General Meeting members unanimously approved aforementioned special business transaction. The entire sale proceeds of land and building will be utilized to settle liabilities of the banks.
Qualification in Auditors' Report to the Members
Regarding the "going concern" observation of auditors, directors of your company explain that the management is making all efforts to continue operations and to run the entity as a going concern. Company's continuity of operations and consistency in increasing sales volume since last couple of quarters clearly indicate that management's efforts and plans are effective and feasible. Moreover, the company is in process of selling certain properties mortgaged with the banks, the entire such sale proceeds will be paid to relevant charge holder banks to reduce the debt burden and to settle the litigation with these banks. The management of the company has already taken steps for extension and restructuring of loans from certain banks and negotiations with other banks of the company are in process. In view of steps mentioned above, the management is confident that it will be successful in its efforts and hence the company will be able to continue as a going concern.
Certain banks / financial institutions have filed suit against the Company for recovery of its financing and mark up so Company has not provided any mark up / cost of funds on the outstanding amount as also stated in notes to the accounts. Based on the legal opinion, the Company feels that, after institution of the suit, bank/financial institution is only entitled to cost of funds if so awarded by the Court in case the suit is awarded against the company. The levy of cost of funds and the quantum thereof shall be contingent on passing of the decree and rate prescribed by the State Bank of Pakistan during the period of pendency of the claim and discharge of decree, if passed by the Court.
Future outlook
Regardless of several barriers to trade, it is commendable that the Pakistan's textiles and apparel sector kept on endeavoring to sustain footprints in global markets and continued to explore new business avenues. Despite continually increasing prices of fuel and energy sales volume of company significantly improved as compared to last corresponding half year. The loans with certain banks have been restructured keeping in view the future cash flows and forecasts while negotiations with others banks are in progress. Management is confident that along with consistent increase in export volume company will be able to honor its commitments towards its financial partners and will successfully attain satisfactory level of viability.
Acknowledgement
The Directors of your Company would like to place on record their deep appreciation for the support of the customers, banks, financial institutions, regulators and shareholders and hope that this cooperation and support will also continue in future.
The Directors of your Company would also like to express their appreciation for the services, loyalty and efforts being continuously rendered by the executives, staff members and workers of the Company and hope that they will continue to do so in future.
For and on behalf of the Board
Khurram Iftikhar | Shahzad Iftikhar |
Faisalabad
February 29, 2024
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Amtex Ltd. published this content on 01 March 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 01 March 2024 04:25:40 UTC.