Transmission of quarterly report for the quarter/period ended march 31, 2025

THIRD QUARTER REPORT MARCH 2025

Moneened

PAGE

Corporate Information 2

Directors' Review 3-4

Directors' Review - Urdu 5-6

Condensed Interim Statement of Financial Position 7

Condensed Interim Statement of Profit or Loss 8

Condensed Interim Statement of Comprehensive Income 9

Condensed Interim Statement of Cash Flows 10

Condensed Interim Statement of Changes in Equity 11

Notes to the Condensed Interim Financial Statements 12-26

CENTURY PAPER & BOARD MILLS LIMITED

1

Morporaee Ðnformaeåon

Board of Directors

Iqbal Ali Lakhani - Chairman

Amin Mohammed Lakhani Babar Ali Lakhani Anushka Lakhani

Asif Qadir Ali Aamir

Aftab Ahmad - Chief Executive Officer

Advisor

Sultan Ali Lakhani

Audit Committee

Ali Aamir - Chairman

Amin Mohammed Lakhani Babar Ali Lakhani

Human Resource & Remuneration Committee

Asif Qadir - Chairman

Amin Mohammed Lakhani Anushka Lakhani

Aftab Ahmad

Chief Financial Officer

Muhammad Rashid Dastagir

Email: rashid-dastagir@centurypaper.com.pk

Company Secretary

Mansoor Ahmed

Email: mansoor-ahmed@centurypaper.com.pk

External Auditors

BDO Ebrahim & Co. Chartered Accountants

Email: info@bdoebrahim.com.pk

Shares Registrar

FAMCO Share Registration Services (Private) Limited

8-F, Near Hotel Faran, Nursery, Block-6, P.E.C.H.S. Shahra-e-Faisal, Karachi. Phone: (021) 34380101-5, 34384621-3 Fax: (021) 34380106

Email: info.shares@famcosrs.com Website: https://www.famcosrs.com

Head Office and Registered Office

Lakson Square, Building No.2, Sarwar Shaheed Road, Karachi-74200, Pakistan. Phone: (021) 38400000

Fax: (021) 35684336, 35683410

Email: info@centurypaper.com.pk Website: https://www.centurypaper.com.pk

Lahore Office

14-Ali Block, New Garden Town, Lahore-54600, Pakistan. Phone: (042) 35886801-4 Fax: (042) 35830338

Mills

62 KM, Lahore-Multan Highway, N-5, District Kasur, Pakistan. Phone: (049) 4388161-5 Fax: (049) 4388160

THIRD QUARTER REPORT MARCH 2025

2

Oåreвeordª Reơåew

On behalf of the Board of Directors, we are pleased to present the performance review of your Company together with the unaudited financial statements for the period under review (July 2024-March 2025) that ended on March 31, 2025.

OPERATIONS AND SALES REVIEW

During the period under review, the Company produced 124,788 metric tons (L.Y. 144,811 metric tons). The sales volumes for the period under review stood at 130,559 metric tons (L.Y. 143,135 metric tons). In terms of value, the net sales were recorded at Rs. 28,981 million (L.Y. Rs. 32,885 million).

The Company's sales volumes declined during the period, primarily due to subdued market demand and persistent pressure from unfair competition, particularly from low-cost imports of Coated Bleached Board (CBB). While anti-dumping duties remain in effect, traders have been circumventing it by misclassifying product descriptions. In collaboration with the domestic industry, the Company filed an application for the imposition of anti-circumvention duty (ACD). However, the determination has been delayed due to ongoing legal proceedings. Moreover, a 10% regulatory duty introduced on July 1, 2024 as an interim measure, stood expired on December 31, 2024.

Despite these setbacks, the Company remains committed to pursuing all necessary measures-individually and through industry platforms-to ensure that the domestic sector receives fair protection and policy support in the face of continuing external challenges.

FINANCIAL PERFORMANCE

The Company posted a gross profit of Rs. 2,183 million (L.Y. Rs. 3,286 million) for the period under review. Reduced sales volumes and lower selling prices for the Company's products compared to the corresponding period impacted gross profit; however, decreased raw material and energy costs helped to partially offset this decline. The net operating profit for the period under review was recorded at Rs. 1,455 million (L.Y. Rs. 2,482 million). The finance cost for the period under review (July 2024-March 2025) stood at Rs. 1,317 million (L.Y. Rs. 1,386 million). Interest rates gradually declined during the period due to policy rate cuts; however, the benefit was offset by elevated working capital requirements. The Company reported profit before and after tax for the period at Rs. 138 million (L.Y. 1,096 million) and Rs. 70 million (L.Y. Rs. 669 million) respectively.

EARNINGS PER SHARE

The basic earnings per share for the period under review is reported at Rs. 0.17 (L.Y. Rs. 1.66). There is no dilution effect on the earnings per share for the period under review.

CENTURY PAPER & BOARD MILLS LIMITED

3

Oåreвeordª Reơåew

NEAR TERM OUTLOOK

Pakistan's macroeconomic indicators have shown signs of overall stabilization, driven by improved fiscal discipline, a strengthened external account, and easing inflationary pressures. However, the Large-Scale Manufacturing (LSM) sector remains under strain, registering a 1.9% contraction during Jul-Feb FY2025, compared to a 0.4% decline during the same period last year. While LSM performance is still subdued, the recent moderation in inflation and reduction in interest rates may support a gradual recovery in the coming months.

Within this context, demand for paper and board products has remained relatively flat. Additionally, the influx of low-cost imports continues to challenge the domestic industry, impacting market share for local manufacturers. Your Company, in collaboration with other industry stakeholders, has actively engaged with relevant Government departments to advocate for a level playing field.

On the cost side, there has been some relief with a recent softening in local raw material (waste paper) and imported coal prices. Combined with the downward trend in inflation, this is expected to ease overall cost pressures moving forward. Management remains focused on optimizing operational efficiency, maintaining a favorable sales mix, and making necessary price adjustments in response to market dynamics. Furthermore, ongoing reductions in the policy rate and improved management of working capital are expected to reduce finance costs. Given these developments, management is cautiously optimistic that the Company's operating results will reflect improvement in the forthcoming quarter.

ACKNOWLEDGMENTS

The Directors wish to acknowledge the devotion of the employees of all cadres and are appreciative of their dedication and commitment. They also extend heartfelt appreciation to the Company's suppliers, customers and bankers for their continued confidence and support.

On behalf of the Board of Directors

IQBAL ALI LAKHANI

Chairman

Karachi: April 25, 2025

AFTAB AHMAD

Chief Executive Officer

THIRD QUARTER REPORT MARCH 2025

4

2025

124,788

2025

2024

130,559

2025

2024

28,981

2025

2024

2,183

2025

2024

1,455

2025

2024

1,317

2025

2024

2025

2024

1,096

138

CENTURY PAPER & BOARD MILLS LIMITED

5

70 2025

2024

0.17

2025

2024

2025 25

THIRD QUARTER REPORT MARCH 2024

6

Mondended Ðneeråm deaeemene of DånanвåaA Podåeåon

as at March 31, 2025

March 31,

2025

(Un-audited)

June 30,

2024

(Audited)

ASSETS

NON - CURRENT ASSETS

Note (Rupees in thousands)

1,000,000,000 (June 30, 2024: 1,000,000,000)

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

Issued, subscribed and paid-up capital 401,712,926 (June 30, 2024: 401,712,926)

ordinary shares of Rs. 10 each 4,017,129 4,017,129 Reserves 9,734,492 9,664,757

13,751,621 13,681,886

NON - CURRENT LIABILITIES

Long-term financing 15

Lease liabilities against right of use assets Deferred taxation

Deferred capital grant 16

CURRENT LIABILITIES

Trade and other payables 17

Short-term borrowings 18

Interest and mark-up accrued 19

Taxation - net Unclaimed dividend Current portion of :

Long-term lease liabilities against right of use assets Deferred capital grant 16

Long-term financing 15

3,344,777 4,729,589

14,381,324 11,125,456

TOTAL EQUITY AND LIABILITIES 31,477,722 29,536,931

CONTINGENCIES AND COMMITMENTS 20

The annexed notes from 1 to 33 form an integral part of these condensed interim financial statements.

IQBAL ALI LAKHANI

Chairman / Director

AFTAB AHMAD

Chief Executive Officer

MUHAMMAD RASHID DASTAGIR

Chief Financial Officer

CENTURY PAPER & BOARD MILLS LIMITED

7

Mondended Ðneeråm deaeemene of Profåe or Lodd

for the period ended March 31, 2025 (Un-audited)

Nine months ended Quarter ended

March 31,

2025

March 31,

2024

March 31,

2025

March 31,

2024

Note

(Rupees in thousands) Restated

Restated

The annexed notes from 1 to 33 form an integral part of these condensed interim financial statements.

IQBAL ALI LAKHANI

Chairman / Director

AFTAB AHMAD

Chief Executive Officer

MUHAMMAD RASHID DASTAGIR

Chief Financial Officer

THIRD QUARTER REPORT MARCH 2025

8

Mondended Ðneeråm deaeemene of Momprehendåơe Ðnвome

for the period ended March 31, 2025 (Un-audited)

Nine months ended Quarter ended

March 31,

2025

March 31,

2024

March 31,

2025

March 31,

2024

(Rupees in thousands)

The annexed notes from 1 to 33 form an integral part of these condensed interim financial statements.

IQBAL ALI LAKHANI

Chairman / Director

AFTAB AHMAD

Chief Executive Officer

MUHAMMAD RASHID DASTAGIR

Chief Financial Officer

CENTURY PAPER & BOARD MILLS LIMITED

9

Mondended Ðneeråm deaeemene of Madh DAowd

for the period ended March 31, 2025 (Un-audited)

Nine months ended

March 31,

2025

March 31,

2024

Note (Rupees in thousands) Restated

CASH FLOWS FROM OPERATING ACTIVITIES

Cash generated from operations 26 71,398 4,828,927

Finance cost paid (1,231,775) (1,667,743)

Taxes paid (882,371) (721,727)

Gratuity paid (58,235) (60,294)

Workers' Profit Participation Fund paid (62,774) (75,999)

Long-term advances (3,400) 11,809

Long-term deposits (4,920) (173,010)

Net cash (used in) / generated from operating activities (2,172,078) 2,141,963

CASH FLOWS FROM INVESTING ACTIVITIES

Purchases of property, plant and equipment (223,099) (736,194) Proceeds from sale of property, plant and equipment 42,537 8,161

Net cash used in investing activities (180,563) (728,033)

CASH FLOWS FROM FINANCING ACTIVITIES

Repayment of long-term financing from banking companies (1,156,475) (828,778) Principle paid on lease liability (11,153) (10,051) Net cash used in financing activities (1,167,627) (838,829)

Net (Decrease) / increase in cash and cash equivalents (3,520,268) 575,101 Cash and cash equivalents at the beginning of the period (3,515,668) (3,270,127) Cash and cash equivalents at the end of the period (7,035,936) (2,695,026)

CASH AND CASH EQUIVALENTS

Cash and bank balances 14 677,691 1,007,598

Short term highly liquid investment 13 312,066 -

Short-term borrowings 18 (8,025,693) (3,702,624)

(7,035,936) (2,695,026)

The annexed notes from 1 to 33 form an integral part of these condensed interim financial statements.

IQBAL ALI LAKHANI

Chairman / Director

AFTAB AHMAD

Chief Executive Officer

MUHAMMAD RASHID DASTAGIR

Chief Financial Officer

THIRD QUARTER REPORT MARCH 2025

10

Mondended Ðneeråm deaeemene of Mhanged ån Eqœåey

for the period ended March 31, 2025

(Rupees in thousands)

Profit for the period - - - - - - 668,536 - 668,536 668,536 668,536

Profit for the period - - - - - - 69,735 - 69,735 69,735 69,735

The annexed notes from 1 to 33 form an integral part of these condensed interim financial statements.

IQBAL ALI LAKHANI

Chairman / Director

AFTAB AHMAD

Chief Executive Officer

MUHAMMAD RASHID DASTAGIR

Chief Financial Officer

CENTURY PAPER & BOARD MILLS LIMITED 11

ℾoeed eo ehe Mondended Ðneeråm DånanвåaA deaeemened

for the period ended March 31, 2025 (Un-audited)

1. STATUS AND NATURE OF BUSINESS

   Century Paper & Board Mills Limited ("the Company") was incorporated in Pakistan as a public limited company on August 2, 1984 under the repealed Companies Ordinance, 1984 (now Companies Act 2017) and its ordinary shares are listed on Pakistan Stock Exchange (PSX). The Company is engaged in manufacturing and marketing of paper, board and related products.

2. GEOGRAPHICAL LOCATION AND ADDRESSES OF BUSINESS UNITS

   The geographical Location and addresses of the Company's business units / immovable assets including Mills / Plant are as under:

   Business Unit Address

   • Registered office Lakson Square Building No. 2, Sarwar Shaheed Road, Karachi, Pakistan.

   • Mills (Plant) 62 KM, Lahore-Multan Highway, N-5, District Kasur, Pakistan.

   • Regional office 14-Ali Block, New Garden Town, Lahore, Pakistan.

3. BASIS OF PREPARATION

   1. Statement of compliance

      These condensed interim financial statements are unaudited and are being submitted to the shareholders as required under Section 237 of the Companies Act, 2017.

      These condensed interim financial statements of the Company for the nine months ended March 31, 2025 have been prepared in accordance with the accounting and reporting standards as applicable in Pakistan for interim financial reporting. The accounting and reporting standards as applicable in Pakistan for interim financial reporting comprise of:

      • International Accounting Standard (IAS) 34, Interim Financial Reporting, issued by the International Accounting Standard Board (IASB) as notified under the Companies Act, 2017 and

      • Provisions of and directives issued under the Companies Act, 2017.

      Where the provisions of and directives issued under the Companies Act , 2017 differ from the requirements of IAS 34, the provisions of and directives issued under the Companies Act, 2017 have been followed.

      These condensed interim financial statements do not include all the information and disclosures required for the complete set of annual financial statements and should be read in conjunction with the annual financial statements of the Company as at and for the year ended June 30, 2024 which have been prepared in accordance with approved accounting standards as applicable in Pakistan. However, selected explanatory notes are included to explain events and transactions that are significant to an understanding of the changes in the Company's financial position and performance since the last annual financial statements.

      The comparative of statement of financial position presented in these condensed interim financial statements, together with the notes thereto have been extracted from the annual audited financial statements of the Company for the year ended June 30, 2024, whereas the comparative of the condensed interim statement of profit or loss, condensed interim statement of comprehensive income, condensed interim statement of cash flows and condensed interim statement of changes in equity together with the notes thereto are extracted from the unaudited condensed interim financial statements for the nine months ended March 31, 2024.

   2. Basis of measurement

      These condensed interim financial statements have been prepared under the historical cost convention, except for the recognition of certain staff retirement benefits at present value.

      THIRD QUARTER REPORT MARCH 2025

      12

      ℾoeed eo ehe Mondended Ðneeråm DånanвåaA deaeemened

      for the period ended March 31, 2025 (Un-audited)

   3. Functional and presentation currency

      These condensed interim financial statements have been presented in Pak Rupees (PKR), which is the functional and presentation currency of the Company.

4. MATERIAL ACCOUNTING POLICIES AND CHANGES THEREIN

   The material accounting policies adopted and methods of computation followed in the preparation of these condensed interim financial statements are same as those for the preceding annual financial statements for the year ended June 30, 2024.

   1. Initial application of standards, amendments or an interpretation to existing standards

      1. Standards, amendments and interpretations to accounting standards that are effective in the current period

         Certain standards, amendments and interpretations to approved accounting standards are effective for accounting periods beginning on January 01, 2024, but are considered not to be relevant or did not have any significant effect on the Company's operations (although they may affect the accounting for future transactions and events) and are, therefore, not detailed in these condensed interim financial statements.

      2. Standards, amendments and interpretations to existing standards that are not yet effective and have not been early adopted by the Company

      There are certain standards, amendments to the accounting standards and interpretations that are mandatory for the Company's accounting periods beginning on or after January 1, 2025, but are considered not to be relevant or expected to have any significant effect on the Company's operations and are, therefore, not detailed in these condensed interim financial statements.

5. ESTIMATES AND JUDGMENTS

   In the preparation of the condensed interim financial statements in conformity with the accounting and reporting standards as applicable in Pakistan for interim reporting requires management to make certain judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these estimates. The significant judgments made by management in applying the Company's accounting policies and key sources of estimation of uncertainty are the same as those that were applied to the financial statements for the year ended June 30, 2024.

6. TAXATION

   The provisions of taxation for the nine months and quarter ended March 31, 2025, have been made using the best estimated effective tax rate applicable to expected total annual earnings. Amounts accrued for income tax expense in one interim period may have to be adjusted in a subsequent interim period of that financial year if the estimate of the annual income tax rate changes.

   Any tax charged under Income Tax Ordinance, 2001 which is not based on taxable income is classified as levy in the condensed interim statement of profit or loss as these levies fall under the scope of IFRIC 21/IAS 37.

   In the prior year, the Institute of Chartered Accountants of Pakistan (ICAP) has issued the 'IAS 12 Application Guidance on Accounting for Minimum Taxes and Final Taxes' (the Guidance). In accordance with the Guidance, the Company has recognized minimum and final taxes as 'Levy' under IAS 37 "Provisions, Contingent Liabilities and Contingent Assets" which were previously being recognized as 'Income tax', accordingly the comparative condensed interim statement of profit or loss has been restated and an amount of Rs.128.305 million has been reclassified from Taxation to levy.

   CENTURY PAPER & BOARD MILLS LIMITED

   13

   ℾoeed eo ehe Mondended Ðneeråm DånanвåaA deaeemened

   for the period ended March 31, 2025

   March 31,

   2025

   (Un-audited)

   June 30,

   2024

   (Audited)

7. OPERATING FIXED ASSETS

   Note

   (Rupees in thousands)

   Fixed assets 7.1 10,307,679 10,632,126

   Right-of-use assets 7.2 110,553 16,696

   10,418,232 10,648,822

   1. Fixed assets

      Opening net book value (NBV)		10,632,126		10,339,212
      Additions during the period / year at cost	7.1.1	547,764		1,404,768
      		11,179,890		11,743,980
      Disposals during the period / year at NBV	7.1.2	(17,540)		(12,482)
      Depreciation charge for the period / year		(854,670)		(1,099,372)
      		(872,210)		(1,111,854)
      Closing net book value (NBV)		10,307,679		10,632,126

      1. Detail of additions (at cost) during the period / year are as follows:

         Freehold land	71,250		-
         Buildings on freehold land	-		151,616
         Plant and machinery	415,480		1,089,636
         Furniture and fixtures	-		2,110
         Vehicles	55,401		95,268
         IT equipments	5,073		62,920
         Electrical and other equipments	559		3,218
         	547,764		1,404,768

      2. Detail of disposals (at NBV) during the period / year are as follows:

         Plant and machinery 4,036 -

         Vehicles 13,489 11,281

         IT equipments 15 731

         Electrical and other equipments - 470

         17,540 12,482

   2. Right-of-use assets

      Opening net book value (NBV) 16,696 27,954

      Additions during the period / year 104,640 -

      Depreciation charge for the period / year (10,783) (11,258)

      110,553 16,696

8. CAPITAL WORK IN PROGRESS

This comprises of:

Building 14,542 14,542

Plant and machinery 506,590 841,627

Advances to suppliers 189 189

8.1 521,321 856,358

THIRD QUARTER REPORT MARCH 2025

14

ℾoeed eo ehe Mondended Ðneeråm DånanвåaA deaeemened

for the period ended March 31, 2025

March 31,

2025

(Un-audited)

June 30,

2024

(Audited)

Note (Rupees in thousands)

CENTURY PAPER & BOARD MILLS LIMITED

15

ℾoeed eo ehe Mondended Ðneeråm DånanвåaA deaeemened

for the period ended March 31, 2025

March 31,

2025

(Un-audited)

June 30,

2024

(Audited)

1. SHORT-TERM INVESTMENT

   Note

   (Rupees in thousands)

   Treasury bills - at fair value through profit or loss 13.1 312,066 -

   1. This represents a three-months Treasury Bill investment made during the period, carrying a profit at the rate of 11.5% per annum. It is held as security for open-ended bank guarantee (refer to Note 20.1.1).

2. CASH AND BANK BALANCES

   Cash at bank - conventional mode

   Current account		37,442		151,914
   Term deposits	14.1	440,000		386,768
   		477,442		538,682
   Cheques in hand		197,117		245,653
   Cash in hand		3,132		4,158
   		677,691		788,493

   1. This represents term deposit carries profit at the rate of 8.50% to 10.15% (June 30, 2024 18.00% to 18.40%) per anum held under lien with the bank as security for bank guarantee (open-ended) as referred in note 20.1.1.

3. LONG TERM FINANCING

   From banking companies - secured

   Utilized under mark-up arrangements financed by: Islamic mode

   Faysal Bank Limited - Musharaka	15.1	277,444		359,274
   Bank Islami Pakistan Limited	15.1	179,542		189,207
   Meezan Bank Limited - Musharaka	15.2	2,500,000		3,250,000
   		2,956,986		3,798,481
   Conventional mode
   Syndicated - Consortium of Banks	15.3	765,883		952,928
   Habib Metropolitan Bank Limited	15.3	112,737		123,253
   JS Bank Iimited	15.3	308,217		327,614
   Allied Bank Limited - Term Loan	15.4	42,251		68,125
   		1,229,088		1,471,920
   		4,186,074		5,270,401
   Current portion:
   Islamic mode		(1,125,288)		(1,123,449)
   Conventional mode		(396,581)		(405,908)
   		(1,521,869)		(1,529,357)
   		2,664,205		3,741,044

   THIRD QUARTER REPORT MARCH 2025

   16

   ℾoeed eo ehe Mondended Ðneeråm DånanвåaA deaeemened

   for the period ended March 31, 2025

   Islamic mode:

   1. Islamic Temporary Economic Refinance Facility (ITERF) Schemes of the State Bank of Pakistan

      500	Faysal Bank Ltd.	Balancing, Modernization and Replacement (BMR) of plant and machinery	2.20%	7 Years	20 Quarterly
      250	Bank Islami Pak Ltd.		3.05%	10 Years	32 Quarterly

   2. Diminishing Musharakah Financing

      4000

      Meezan Bank Ltd.

      To rationalize use of short term working capital limits.

      3 months KIBOR + 0.15%

      5 Years

      16 Quarterly

      The finance facility is secured by way of First Pari Passu Hypothecation Charge over all present and future movable fixed assets (including Plant & Machinery) of the Company with 25% margin. The effective markup rate was 16.56% (June 30, 2024 : 22.43%).

      Conventional mode:

   3. Temporary Economic Refinance Facility (TERF) Schemes of the State Bank of Pakistan

      1500	Syndicated -Consortium of Banks	Balancing, Modernization	2.20%	7 Years	20 Quarterly
      200	Habib Metropolitan Bank Ltd.	and Replacement (BMR) of plant and machinery	4.50%	10 Years	32 Quarterly
      400	JS Bank Ltd.		5%	10 Years	32 Quarterly

      The finance facility is secured by way of mortgage of immovable properties and / or First Pari Passu Hypothecation Charge over the Fixed Assets of the Company along with 25% Margin.

   4. Renewable energy finance facility scheme of the State Bank of Pakistan

      400

      Allied Bank Ltd.

      Solar Grid Panels

      2.75% to 4.50%

      7 Years

      28 Quarterly

      This term loan is secured by way of first hypothecation charge over all assets belonging to the Company with 25% margin.

      March 31,

      2025

      (Un-audited)

      June 30,

      2024

      (Audited)

      Note (Rupees in thousands)

4. DEFERRED CAPITAL GRANT

   Capital grant	16.1	179,673		251,820
   Current portion shown under current liability		(75,539)		(93,211)
   		104,134		158,609

   CENTURY PAPER & BOARD MILLS LIMITED

   17

   Borrowed

   Rs. in Million

   Banks

   Purpose

   Rate of

   Mark-up

   Tenor

   Repayment

   Installments

   ℾoeed eo ehe Mondended Ðneeråm DånanвåaA deaeemened

   for the period ended March 31, 2025

   March 31,

   2025

   (Un-audited)

   June 30,

   2024

   (Audited)

   Note (Rupees in thousands)

   1. Following is the movement in government grant during the period / year:

      Opening balance		251,820		361,873
      Amortized during the period / year	16.1.1	(72,147)		(110,053)
      Closing balance		179,673		251,820

      1. This represents government grant recognized on long term financing facilities obtained under SBP Refinance Scheme from certain banks under "Islamic / Temporary Economic Refinance Facility (I/TERF)" (Refer note 15) and amortized on a systematic basis over the respective tenor of loans.

1. SHORT TERM BORROWINGS

   Conventional mode		3,669,805		971,774
   Islamic mode		2,455,888		332,387
   	18.1	6,125,693		1,304,161
   oney market Conventional mode 18.2 1,900,000 3,000,000
   		8,025,693		4,304,161

   From banking companies - secured Running finances

   M

   THIRD QUARTER REPORT MARCH 2025

   18

   ℾoeed eo ehe Mondended Ðneeråm DånanвåaA deaeemened

   for the period ended March 31, 2025

   1. The Company has available aggregate short term running finance facilities amounting to Rs. 14,900 million (June 30, 2024: Rs. 15,500 million). Markup rates are linked with KIBOR from one to three months plus spread ranging from 0.05% to 1.50% (June 30, 2024: from 0.05% to 1.40%) per annum.

      These arrangements are secured by way of pari-passu hypothecation charges created on stock-in-trade, stores and spares and trade debts of the Company.

   2. Short-term money market loans have been arranged as a sub-limit of the running finance facility.

      March 31,

      2025

      (Un-audited)

      June 30,

      2024

      (Audited)

2. INTEREST AND MARK-UP ACCRUED

Interest and mark-up accrued on: Long-term financing from Banks

(Rupees in thousands)

a) The Deputy Commissioner has adjudicated amounts of Rs. 299.99 million and Rs.230.611 million as inadmissible input tax adjustments on the ground of fake and flying invoices along with 100% penalty vide his order-in-original no. 14/07 and 15/07 dated February 26, 2024 and February 27, 2024 respectively. These orders were issued in response to show cause notices dated January 22, 2024 pertaining to input tax claimed on coal purchases from December 2021 to September 2023. This was despite the fact that the Company had provided all necessary information and evidence for the purchase, receipt, and consumption of coal during the period mentioned in the show cause notices.

CENTURY PAPER & BOARD MILLS LIMITED

19