board of directors - ghaniautomobiles.comghaniautomobiles.com/financials/gail 1st quarter...

01

BOARD OF DIRECTORS

AUDIT COMMITTEE

COMPANY SECRETARY

CHIEF FINANCIAL OFFICER

AUDITORS

LEGAL ADVISORS

SHARE REGISTRAR

BANKERS

REGISTERED OFFICE

Mr. Obaid Ghani ChairmanMr. Aftab Ahmad Khan Chief Executive Officer

ChairmanMemberMember

ChairmanMemberMember

Hafiz Mohammad Imran Sabir

Mr. Umer Farooq Khan

Hassan Farooq & CompanyChartered Accountants

Ally Law Associates

Corplink (Pvt) Ltd.Wings Arcade, 1-K Commercial Model Town Lahore, PakistanPhones : (042) 35916714, 35916719 Fax : (042) 35869037

Albaraka Islamic BankAllied Bank LimitedSoneri Bank Limited, Islamic BankingHabib Metropolitan Bank Limited (IBD)Habib Bank LimitedMeezan Bank LimitedUBL Ameen LimitedBank Alfalah LimitedBank Al-HabibFaysal Bank LimitedBank of Punjab (Taqwa)MCB Limited (Islamic Banking)

274-B, N Block, Model Town Extension, LahorePhones : (042) 3516 8873, 3517 2205Fax : (042) 3517 2263E-mail : i [email protected]://www.ghaniautomobiles.com

AUTOMOBILE PLANT 49-KM, Multan Road, (from Lahore)

HR & R COMMITTEE Mr. Obaid GhaniMrs. Ayesha AftabMr. Junaid Ghani

Mr. Jubair GhaniMrs. Ayesha AftabMr. Sarfaraz Anwar

Mrs. Ayesha AftabMrs. Maryam JunaidMrs. Musfira jubairMs. Afifa AnwaarMs. Zahra AftabMr. Junaid GhaniMr. Jubair GhaniHafiz Muhammad SaadMr. Muhammad AyubMr. Nauman ShaukatMr. Sarfraz AnwarDr. Amjad Aqeel

02

FINANCIAL INDICATORS

Dear Shareholders,

Assala-mo-Alaikum wa Rahmatullah wa Barakatohu.

The Board of Directors of Ghani Automobile Industries Limited is pleased to present financial statements of the company for the first quarter ended September 30, 2017.

The results for the first quarter ended September 30, 2017 are as follow:

On behalf of the Board of Directors

Aftab Ahmed Khan Chief Executive Officer

During the first quarter ended September 30, 2017, the net sale of the Company has increased to Rupees 38 million as compared to Rupees 26 million for the corresponding period of last year. Gross Profit has increased significantly to Rupees 2.7 million as compared to Gross Loss of Rupees 81 thousand for the corresponding period of the last year. Net Loss has also reduced to Rupees 2.6 million as compared to Rupees 3.4 million for the corresponding period of the last year. Loss per shares also reduced to Rupees 0.05 as compared to Rupees 0.07 for the same period of the last year. During the period under review, the performance of the Company has started improving. We hope for further improvement in future.

On behalf of the Directors, we are pleased to record our appreciation for our customers, employees, suppliers, shareholders and financial institutions for their trust in the management of the company.

We thank Allah Subhanatallah for blessing all of us and your company. We all should continue our endeavors to fully obey the commandments of Almighty Allah and Sunnah of our Prophet Muhammad (Sallallaho-Alaihe-Wasallum).

Sept. 30, 2017 Sept. 30, 2016

Rupees ‘000’

Sales-Net

Gross profit / (loss)

Net profit / (loss)

Earning / (loss) per share (Rupees)

25,586

(81)

(3,383)

(0.07)

38,203

2,693

(2,457)

(0.05)

Lahore: Octoberr 27, 2017

Junaid Ghani Director

03

30 Sep 2017 30 June 2017

Rupees Rupees

EQUITY & LIABILITIES

Share capital and reserves

Authorized Share Capital

50,000,000 (Jun 2017: 50,000,000) ordinary

shares of Rs.10 each 500,000,000 500,000,000

Issued, subscribed and paid up capital 500,000,000 500,000,000

Accumulated Reserves (263,270,917) (260,814,212)

Discount On Right Share (150,000,000) (150,000,000)

86,729,083 89,185,788

Current Liabilities

Loan from Directors’/Share holders 102,105,000 112,105,000

Creditors, accrued and other liabilities 145,236,618 127,288,200

247,341,618 239,393,200

334,070,701 328,578,988ASSETS

Non-current assets

Property, Plant and Equipment 51,966,802 52,882,175Security Deposits 520,700 535,700

52,487,502 53,417,875

Current Assets

Stores, Spares and Loose Tools 1,260,918 1,260,918

Stock In Trade 49,839,313 41,993,070

Trade Debts - Secured and Considered Good 144,535,349 149,999,483

Advances And Other Receivables 82,595,567 79,852,370

Cash And Bank Balances 3,352,052 2,055,272

281,583,199 275,161,113

334,070,701 328,578,988

For the Quarter Ended September 30, 2017 (Unaudited)

____________________________

CHIEF EXECUTIVE OFFICER____________________________

DIRECTOR CHIEF FINANCIAL OFFICER____________________________

04

30 Sep 2017 30 Sep 2016

Rupees Rupees

Sales-Net 38,203,192 25,585,509

Cost of sales 35,509,878 25,666,265

2,693,314 (80,756)

Administrative expenses 4,760,148 3,217,031

Distribution and marketing expenses 3,035,727 2,696,258

7,795,875 5,913,289

Operating (loss)/profit (5,102,561) (5,994,045)

Other income 2,677,500 2,902,671 Profit on Saving Accounts 17,649 - Other Operating Income 2,695,149 2,902,671

Operating (loss)/profit before finance costs (2,407,412) (3,091,374)

Finance Cost (49,293) (36,146)

(Loss) / profit before taxation (2,456,705) (3,127,520)

Taxation - (255,855)

(Loss) / profit after taxation (2,456,705) (3,383,375)

Earning (loss) Per Share - Basic and diluted (0.07)

July To September


Gross profit/(loss)

(0.05)

____________________________



05


(Loss) For the Year

Total Comprehensive (Loss)

SEP SEP

2017 2016

Rupees Rupees

(2,456,705) (3,383,375)

(2,456,705) (3,383,375)

July To September

____________________________



06

Sep June

2017 2017

Rupees Rupees

CASH FLOWS FROM OPERATING ACTIVITIES

Profit / (loss) for the period before tax (2,456,705) (24,723,347)

Adjustment for:

Depreciation 959,973 4,147,611

Financial charges 49,293 172,284

1,009,266 4,319,895

Operating (loss) before working capital changes (1,447,439) (20,403,452)

(Increase) / decrease in current assets

Store, spares and loose tools - 3,224

Stock in trade (7,846,243) 4,334,618

Trade debtors 5,464,134 13,421,497

Advances and other receivables (2,743,197) (14,388,176)

(5,125,306) 3,371,163

Increase / (decrease) in current liabilities

Trade & other payable 17,948,418 28,553,568 11,375,673 11,521,279

Financial charges paid (49,293) (172,284)

Taxes paid - (5,708,103) (49,293) (5,880,387)

Security Deposit 15,000 (76,000)

Acquisition of Fixed Assets (44,600) (1,813,731)

NET CASH FLOWS FROM INVESTING ACTIVITIES (29,600) (1,889,731)

Loan from sponsors (10,000,000) (3,000,000)

NET CASH FLOWS FROM FINANCING ACTIVITIES (10,000,000) (3,000,000)

Net increase / (decrease) in cash 1,296,780 751,161

Cash and cash equivalents at the beginning of the period 2,055,272 1,304,111

Cash and cash equivalents at the end of the period 3,352,052 2,055,272


____________________________



07

Share Capital Discount on Accumulated

LossCapital right shares profit/(loss)Rupees Rupees Rupees

Balance as on June 30, 2016 Restated 500,000,000 (150,000,000) (207,660,382) 142,339,618

(Loss) for the year - (53,153,830) (53,153,830)

Balance as on June 30, 2017 500,000,000 (150,000,000) (260,814,212) 89,185,788

(Loss) for the period (2,456,705) (2,456,705)

Balance as on Sep 30, 2017 500,000,000 (150,000,000) (263,270,917) 86,729,083

Total


____________________________



08


1 COMPANY AND ITS OPERATIONS

2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

2.1 Basis of Preparation of Financial Statements

2.2 Accounting Conventions

SEP JUNE

2017 2017

Rupees Rupees3 ISSUED, SUBSCRIBED AND PAID UP CAPITAL

19,250,000 (Jun 2014: 19,250,000) ordinary shares of

Rupees 10 each fully paid in cash 192,500,000 192,500,000 250,000 (Jun 2014: 250,000) ordinary shares of Rupees

10 each fully paid other than cash 2,500,000 2,500,000 500,000 (Jun 2014: 500,000) ordinary shares of Rupees 10

each issued as bonus shares 5,000,000 5,000,000

30,000,000 (Jun 2014: Nil) ordinary shares of Rupees 10

each issued as bonus shares 300,000,000 300,000,000

500,000,000 500,000,000

The accounting policies and method of computation adopted for the preparation of these interim financial statements are

the same as applied in the preparation of the preceding annual published financial statements of the company for the year

ended June 30, 2017.

The company is a public listed company incorporated in Pakistan under the Companies Ordinance, 1984 in September 1987.

The registered office of the company is situated at 274-B N block Model Town, Extension Lahore. The shares of the company

are quoted on Pakistan Stock Exchange in Pakistan. The name of the company has been changed from Ghani Textile Limited to

Ghani Automobile Industries Limited with effect from March 31, 2004. The principal activity of company has been changed

during year 2004 from manufacture and trade of grey cloth to manufacture, assemble and trade of Automotive Vehicles of all

kinds and sorts.

These financial statements are unaudited and are being submitted to the shareholders as required under Section 245 of the

Companies Ordinance, 1984. These have been prepared in accordance with International Accounting Standard No. 34, Interim

Financial Reporting as applicable in Pakistan and notified by Securities and Exchange Commission of Pakistan. The interim

condensed financial statements do not include all the information and disclosure required in the annual financial statements,

and should be read in conjunction with the company's annual financial statement for the year ended June 30, 2017.

09

4 LOAN FROM SPONSORS

5 CONTINGENCIES AND COMMITMENTS

Contingencies

5.1

6 Commitments

7 DATE OF AUTHORIZAITON FOR ISSUE

These financial information was authorized for issue by the Board of Directors of the company on October 27, 2017.

There were no commitments as at September 30, 2017 (June 2017: Nil).

This is interest free loan from directors/shareholders. This is unsecured and terms of repayment of this loan havenot yet been decided.

There is no significant change in the contingencies and commitments status since the last annual balance sheet date.

____________________________



10

38,203

2,693

(2,457)

(0.05)

7

25,586

(81)

(3,383)

(0.07)

board of directors - ghaniautomobiles.comghaniautomobiles.com/financials/gail 1st quarter...

Documents