https://www.chenabgroup.com
FINANCIAL STATEMENTS 1stQuarter Ended September, 30 (Un-audited) 2025CONTENTS
Company Information 2
Directors' Report to the Shareholders 3
Directors' Report in Urdu 4
Statement of Financial Position 5
Statement of Profit or Loss 6
Statement of Comprehensive Income 7
Statement of Cash Flows 8
Statement of Changes in Equity 10
Notes to the Financial Statements 11
COMPANY INFORMATION
BOARD OF DIRECTORS | BANKS | |
Mian Muhammad Javed Iqbal (Chairman) Mian Muhammad L a t i f (Chief Executive Officer) Mr. Muhammad Naeem Mr. Muhammad Farhan Latif Mr. Tariq Ayub Khan Mr. Maqsood UI Hassan Mr. Muhammad Hashim Mr. Muhammad Salman Javed | Allied Bank Limited. Askari Bank Limited. Al Baraka Bank (Pakistan) Limited. Bank Islami Limited. Citibank, N.A. Faysal Bank Limited. First Credit & Investment Bank Limited. First National Bank Modaraba. First Punjab Modaraba. Habib Bank Limited. Habib Metropolitan Bank Limited. MCB Bank Limited. National Bank of Pakistan. Orix Leasing (Pakistan) Limited. Pak Oman Investment Company Limited. Pak Kuwait Investment Company (Pvt.) Limited. Pak Libya Holding Company (Pvt.) Limited. Saudi Pak Industrial & Agricultural Investment Company (Pvt.) Ltd. Standard Chartered Bank (Pakistan) Limited. The Bank of Punjab. United Bank Limited. | |
Mrs. Sobia Chughtai (Nominee Director) | ||
CHIEF FINANCIAL OFFICER Mr. Sadaquat Hussain | ||
COMPANY SECRETARY Mr. Muhammad Arshad | ||
LEGAL ADVISOR Mian Masroor Akbar (Advocate) | ||
SHARE REGISTRAR F.D. Registrar Services (Pvt.) Limited, Office # 1705, 17th Floor, Saima Trade Tower-A, I.I. Chundrigar Road, Karachi. Tel :021-32271905-6/021-354 78192-3 | AUDIT COMMITTEE Mr. Tariq Ayub Khab Mr. Muhammad Hashim |
|
Mr. Muhammad Salman Javed - Member | ||
REGISTERED OFFICE Nishatabad, Faisalabad. Tel:+92 41 8754472-8 | HUMAN RESOURCE & REMUNERATION COMMITTEE Mr. Maqsood ul Hassan - Chairman Mr. Muhammad Naeem - Member Mr. Muhammad Salman Javed - Member | |
WEBSITE | ||
Email:- chenab@chenabgroup.com Website:-https://www.chenabgroup.com | ||
WORKS - Processing & Stitching Units - Nishatabad, Fsd. | AUDITORS RSM Avais Hyder Liaquat Nauman Chartered Accountants. | |
DIRECTORS' REPORT TO THE SHAREHOLDERS
The Directors are placing before you the un-audited financial statements of the company for the first quarter of financial year 2025-2026 ended on September 30, 2025.
SALES REVENUE
Sales and services revenue of Rs.447.705 million has been earned during the period.
FINANCIAL RESULTS
In view of unfavorable business circumstances, the Company sustained a financial loss of
Rs.163.174 million before levies and income tax during the period under report.
FUTURE PROSPECTS
The US tariffs imposed by the Trump administration on imports from China and, more recently on India have made Pakistani textiles exports more price-competitive in the American Market as US buyers seek alternatives to highly-taxed Indian and Chinese goods, Pakistan is positioned as one of the potential beneficiaries for sourcing textiles specially home textiles for which the company has significant capacity.
The banks of the company should provide sufficient financial limits for exports to allow the company to take advantage of this opportunity. The sponsors are already committed to inject funds in the company to meet the working capital requirements.
ACKNOWLEDGEMENT
The directors are thankful to its financial institutions for supporting the Company for revival of the Company and its employees who have rendered their dedicated services for the Company.
For and on behalf BOARD OF DIRECTORS
FAISALABAD | (MUHAMMAD FARHAN LATIF) | (MIAN MUHAMMAD LATIF) |
27-11-2025 | DIRECTOR | CHIEF EXECUTIVE OFFICER |
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CONDENSED INTERIM STATEMENT OF FINANCIAL POSITION (UN-AUDITED) AS AT SEPTEMBER 30, 2025
SHARE CAPITAL AND RESERVES
Authorised capital
120,000,000 ordinary shares of Rs.10/- each
80,000,000 cumulative preference shares of Rs.10/- each
Issued, subscribed and paid up capital Cumulative preference shares Directors' loan
Surplus on revaluation of
property, plant and equipment Capital reserves
Revenue reserves
Note
Jun-30, 2025
(Audited)
Jun-30, 2025
(Audited)
10,270,170,548
10,270,170,548
-
Non current assets held for sale
-
842,930,874
2,192,593,737
CURRENT ASSETS
Stores, spares and loose tools Stock in trade
Trade debts 9
Loans and advances Deposits and prepayments Other receivables
Tax refunds due from Government
Cash and bank balances
8,630,208,880
(552,632,069)
800,000,000
9,427,239,674
1,200,000,000
7
8
NON-CURRENT ASSETS
Property, plant and equipments Investment property
Long term deposits
Rupees
Note
Rupees
1,378,669,987
366,071
3,795,077
182,200,000
627,562,602
-
7,468,611,421
53,638,778
744,656,836
300,000,000
63,301,845
1,150,000,000
500,000,000
1,071,913,086
4,814,039,268
526,409,752
(8,614,994,175)
114,948,800
174,841,332
223,095,067
168,622,533
33,058,433
18,830,431
52,830,274
56,704,004
8,932,371,161
481,450,363
13,418,150
Sep-30, 2025 (Un-Audited) |
Rupees 1,200,000,000 800,000,000 |
1,150,000,000 500,000,000 1,173,284,086 4,800,442,061 526,409,752 (8,771,593,809) |
(621,457,910) |
7,278,554,518 53,283,820 786,303,652 300,000,000 65,300,113 |
8,483,442,103 |
1,383,022,607 366,071 8,202,959 160,500,000 764,790,658 - |
2,316,882,295 - |
10,178,866,488 |
Sep-30, 2025 (Un-Audited) |
Rupees |
8,891,909,695 478,982,377 13,418,150 |
9,384,310,222 |
132,674,521 166,919,843 159,880,340 187,804,460 33,397,369 13,306,608 47,671,666 52,901,460 |
794,556,266 - |
10,178,866,488 |
NON-CURRENT LIABILITIES
Long term financing 5
Deferred revenue Deferred markup
Liability against redemption
of preference shares Deferred liabilities
CURRENT LIABILITIES
Trade and other payables Unclaimed dividend Interest / markup payable Short term bank borrowings Current portion of:
Long term financing 5
Provision for taxation - income tax
CONTINGENCIES AND COMMITMENTS 6
The annexed notes from 1 to 16 are an integral part of these financial statements.
(MIAN MUHAMMAD LATIF) CHIEF EXECUTIVE OFFICER
(MUHAMMAD FARHAN LATIF) DIRECTOR
(SADAQUAT HUSSAIN) CHIEF FINANCIAL OFFICER
CONDENSED INTERIM STATEMENT OF PROFIT OR LOSS (UN-AUDITED)
FOR THE QUARTER ENDED SEPTEMBER 30, 2025
30-Sep-2025 | 30-Sep-2024 |
Rupees | Rupees |
447,705,838 | 917,245,431 |
(481,837,321) | (904,622,105) |
(34,131,484) | 12,623,326 |
(6,209,987) | (60,150,437) |
(78,151,344) | (69,757,117) |
(84,361,330) | (129,907,554) |
(118,492,814) | (117,284,229) |
9,587,596 | 74,322,851 |
(54,269,210) | (58,270,293) |
(163,174,428) | (101,231,671) |
(7,022,412) | (10,585,963) |
(170,196,841) | (111,817,634) |
- | - |
(170,196,841) | (111,817,634) |
(1.48) | (0.97) |
QUARTER ENDED
Note
Sales 10
Cost of sales 11
Gross profit / (loss)
Operating Expenses
Selling and distribution expenses Administrative expenses
Operating (loss)
Other income 12
Finance cost
(Loss) for the period before levies and income tax Levies
(Loss) for the period before income tax Provision for taxation
(Loss) for the period
(Loss) per share- Basic and diluted
The annexed notes from 1 to 16 are an integral part of these financial statements.
(MIAN MUHAMMAD LATIF) CHIEF EXECUTIVE OFFICER
(MUHAMMAD FARHAN LATIF) DIRECTOR
(SADAQUAT HUSSAIN) CHIEF FINANCIAL OFFICER
CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME (UN-AUDITED)
FOR THE QUARTER ENDED SEPTEMBER 30, 2025
30-Sep-2024
Rupees
(111,817,634)
-
-
(111,817,634)
(170,196,841)
-
-
-
-
(170,196,841)
30-Sep-2025
Rupees
-
-
QUARTER ENDED
(loss) after Taxation
Other comprehensive income / (loss) for the period
Items that will not be subsequently reclassified to profit or loss Surplus on revaluation of property, plant
and equipment arisen during the period- net Remesurement of defined benefit liability
Total comprehensive (loss) / profit for the period
The annexed notes from 1 to 16 are an integral part of these financial statements.
(MIAN MUHAMMAD LATIF) CHIEF EXECUTIVE OFFICER
(MUHAMMAD FARHAN LATIF) DIRECTOR
(SADAQUAT HUSSAIN) CHIEF FINANCIAL OFFICER
CONDENSED INTERIM STATEMENT OF CASH FLOWS (UN-AUDITED)
FOR THE QUARTER ENDED SEPTEMBER 30, 2025
QUARTER ENDED
30-Sep-2025 | 30-Sep-2024 | ||
a) CASH FLOWS FROM OPERATING ACTIVITIES | Rupees | Rupees | |
(Loss) for the period before levies and income tax | (163,174,428) | (101,231,671) | |
Adjustments for: | |||
Depreciation | 42,929,452 | 45,675,986 | |
Provision for staff retirement gratuity | 1,998,268 | 2,160,295 | |
Balances written back - net | - | (64,609,185) | |
Gain on disposal of asset | - | (907,577) | |
Finance cost | 54,269,210 | 58,270,293 | |
Fair value adjustment of deferred revenue | (354,958) | (267,476) | |
Operating cash flows before working capital changes | (64,332,456) | (60,909,334) | |
Changes in working capital: | |||
(Increase) / decrease in current assets: | |||
Stores, spares and loose tools | (17,725,721) | (3,569,247) | |
Stock in trade | 7,921,489 | 5,239,076 | |
Trade debts | 63,214,727 | 179,910,906 | |
Loans and advances | (19,614,483) | (61,087,542) | |
Deposits and prepayments | (338,936) | 19,141,617 | |
Other receivables | 5,523,823 | (1,743,944) | |
Tax refunds due from Government | 5,158,608 | (36,245,516) | |
Increase / (Decrease) in current liabilities: | |||
Trade and other payables | 4,352,620 | 20,286,880 | |
48,492,128 | 121,932,229 | ||
Cash generated from / (used in) operations | (15,840,328) | 61,022,895 | |
Income tax paid | (6,589,858) | (2,334,317) | |
Finance cost paid | (7,859,554) | (15,362,312) | |
Net cash generated from / (used in) operating activities | (30,289,740) | 43,326,266 |
QUARTER ENDED
30-Sep-2025 | 30-Sep-2024 Rupees (3,434,577) 920,000 (2,514,577) - (31,803,409) (27,700,000) (59,503,409) (18,691,720) 81,416,688 | |
b) CASH FLOWS FROM INVESTING ACTIVITIES | Rupees | |
Additions in operating assets | - | |
Proceeds from disposal of assets | - | |
Net cash (used in) investing activities | - | |
c) CASH FLOWS FROM FINANCING ACTIVITIES | ||
Receipt of loan from directors Repayment of: | 101,371,000 | |
Long term financing | (53,183,805) | |
(Decrease) in short term bank borrowings | (21,700,000) | |
Net cash generated / (used in) from financing activities | 26,487,195 | |
Net (decrease) in cash and cash equivalents (a+b+c) | (3,802,545) | |
Cash and cash equivalents at the beginning of the period | 56,704,004 | |
Cash and cash equivalents at the end of the period | 52,901,460 | 62,724,968 |
The annexed notes from 1 to 16 are an integral part of these financial statements.
(MIAN MUHAMMAD LATIF) CHIEF EXECUTIVE OFFICER
(MUHAMMAD FARHAN LATIF) DIRECTOR
(SADAQUAT HUSSAIN) CHIEF FINANCIAL OFFICER
10
CONDENSED INTERIM STATEMENT OF CHANGES IN EQUITY (UN-AUDITED)
FOR THE QUARTER ENDED SEPTEMBER 30, 2025
Issued, subscribed and paid up capital | Cumulative preference shares | Loan from Directors | Surplus on revaluation of property, plant and equipment | Capital reserves | Revenue reserves | Total | |||||
Premium on issue of ordinary shares | Book difference of capital under scheme of arrangement for amalgamation | Preference shares redemption reserve | Sub total | General reserve | Accumulated loss | Sub total | |||||
- | - - - - | (111,817,634) - - | (111,817,634) - - - - | (111,817,634) - - - - |
Balance as at June 30, 2024 (audited) 1,150,000,000 500,000,000 1,053,213,086 4,881,532,753 120,000,000 63,552,610 342,857,142 526,409,752 76,432,834 (8,144,851,991) (8,068,419,157) 42,736,434
(loss) for the period
Other comprehensive income Items that will not be subsequently reclassified to profit or loss:
Surplus on revaluation of property, plant and equipment arisen during the period- net Remeasurement of defined benefit liability
Incremental depreciation on revalued assets for the period
Transactions with owner - Loan from directors
- - - - - - - - - (111,817,634) (111,817,634) (111,817,634)
- | - - - | (511,076,948) -8,826,079 | (511,076,948) - -8,826,079 | (511,076,948) - - -8,826,079 |
(14,302,479) - | 14,302,479 | 14,302,479 - - | |||||
213,086 4,867,230,274 | 120,000,000 | 63,552,610 | 342,857,142 | 526,409,752 | 76,432,834 | (8,242,367,147) | (8,165,934,313) (69,081,200) |
Balance as at Sep-30, 2024 (un-audited) 1,150,000,000 500,000,000 1,053,
(Loss) for the period
Other comprehensive income Items that will not be subsequently reclassified to profit or loss:
Surplus on revaluation of property, plant and equipment arisen during the period - net Remeasurement of defined benefit liability
Incremental depreciation on revalued assets for the period
- - - -
(53,191,006)
(502,250,869)
-
- | - | - | - | - | (502,250,869) | (502,250,869) |
- | 53,191,006 | 53,191,006 |
Transactions with owner - Loan from directors 18,700,000 18,700,000
- - | (170,196,841) - | (170,196,841) - - | (170,196,841) - - - - |
Balance as at June 30, 2025 (audited) 1,150,000,000 500,000,000 1,071,913,086 4,814,039,268 120,000,000 63,552,610 342,857,142 526,409,752 76,432,834 (8,691,427,009) (8,614,994,175) (552,632,069)
(loss) for the period
Other comprehensive income Items that may be subsequently reclassified to profit or loss:
Surplus on revaluation of property plant and equipment arisen during the period - net Remeasurement of defined benefit liability
Incremental depreciation on revalued assets for the period
- - - - - - - - - (170,196,841) (170,196,841) (170,196,841) (13,597,207) - 13,597,207 13,597,207 -
Transactions with owner - Loan from directors 101,371,000 101,371,000
Balance as at Sep-30, 2025 (un-audited) 1,150,000,000 500,000,000 1,173,284,086 4,800,442,061 120,000,000 63,552,610 342,857,142 526,409,752 76,432,834 (8,848,026,643) (8,771,593,809) (621,457,910)
The annexed notes from 1 to 16 are an integral part of these financial statements.
(MIAN MUHAMMAD LATIF) CHIEF EXECUTIVE OFFICER
(MUHAMMAD FARHAN LATIF) DIRECTOR
(SADAQUAT HUSSAIN) CHIEF FINANCIAL OFFICER
SELECTED EXPLANATORY NOTES TO THE
CONDENSED INTERIM FINANCIAL STATEMENTS (UN-AUDITED)
For the quarter ended September 30, 2025
GENERAL INFORMATION
Chenab Limited (the Company) is incorporated as a public limited company under the Companies Ordinance, 1984 (Now Companies Act 2017) and is listed on Pakistan Stock Exchange. The registered office of the Company is situated at Nishatabad, Faisalabad, in the province of Punjab. The principal business of the Company is export of all kinds of value added fabrics, textile made-ups, casual and fashion garments duly processed. Geographical location and address of business units/plants are following:
Description
Location
Address
Registered Office / Head Office
Faisalabad
Nishatabad, Faisalabad.
Weaving Unit
Nankana Sahib
7 K.M Main Faisalabad Lahore Road, Kotla Kalo Shahkot, Nankana Sahib.
Processing & Stitching Units
Faisalabad
Main Faisalabad Lahore Road, Nishatabad, Faisalabad.
Stitching Unit
Faisalabad
Jhumra road Gatti, Faisalabad.
Pursuant to schemes of arrangement approved by the Honorable Lahore High Court, Lahore, assets, liabilities and reserves of Faisal Weaving (Private) Limited, Latif Weaving (Private) Limited and Chenab Finishing (Private) Limited were merged with the Company with effect from December 31, 1998 and assets, liabilities and reserves of Chenab Fibers Limited were merged with the Company with effect from April 01, 2003.
As at September 30, 2025 the accumulated loss of the Company is Rs. 8,848.03 million (June 30, 2025: Rs.8,691.43 million), and the current liabilities of the company exceed its current assets by Rs.1522.33 million (June 30, 2025: Rs.1,349.66 million). The Company has not redeemed preference shares on exercise of put options for three consecutive years by holders of preference shares due to tight cash flow situation. The Company was wound up by order of the Honorable Lahore High Court on July 13, 2017, following a creditor's application due to non-compliance with loan covenants. The Company preferred an appeal before the Honorable Supreme Court against this order but leave of appeal was not granted and dismissed vide order dated January 08, 2019 and official liquidator was appointed under the winding up order. SECP has initiated proceedings for investigations under section 257 of Companies Act 2017, (Section 265 of the repealed Companies Ordinance,1984.) The company has challenged the order and the Honorable Lahore High Court has stayed the proceedings.
To reverse the winding-up proceedings, the Company's sponsors filed a Scheme of Arrangement u/s 279 to 283 of Companies Act, 2017 before the Lahore High Court on January 20, 2021. A meeting of shareholders and secured creditors was held on February 22, 2021, under court-appointed chairmanship, where the scheme was approved by 100% of shareholders and 90.40% of secured creditors. The Court approved the scheme on September 14, 2021, and issued the reversal order on October 29, 2021, handing over the control to the management of the Company.
According to Scheme of Arrangement the breakup of Principal Debt owed to each of the Lenders individually is bifurcated in the Tier 1 Debt consisting of Rs. 4,737,486,364/- and Tier 2 debt of Rs.4,737,486,364/- aggregated to Rs.9,474,972,728/-. Tier 1 debt shall be repaid in seven and half (7.5) years from the effective Date. The Tier 2 debt shall be repaid in six and a half (6.5) years from the earlier of (i) the date on which the Tier 1 Debt is repaid, and (ii) the date by which Tier 1 Debt is required to be repaid as per repayment schedule agreed under scheme of arrangement.
The steps mentioned below, pursuant to the scheme of arrangement, have positively impacted the company's financial and operational condition in past years;
The management successfully disposed of non-core assets within one year from the effective date of the approval of scheme. All required non-core assets were sold for Rs. 1.6 billion exceeding the estimated proceeds of Rs. 1.4 billion and used for servicing loan repayments and to support the company's working capital needs.
Principal repayments to lenders are rescheduled over 14 years from the effective date, improving financial health and resolving all disputes with lenders.
To ensure smooth operations, the company applied for additional working capital, from banks as per their agreed share (lead bank and other bank).
The sponsors injected Rs. 350 million through the sale of personal shares. Additionally, the sponsors injected Rs.578.97 million as a subordinated loan since its revival.
Reason for non meeting of financial results
The company was unable to meet key assumptions of the financial model under the scheme of arrangement due to a sharp rise in overheads, energy costs, and significant PKR depreciation against the USD. The scheme was approved two years after its initial court submission. Additionally, banks did not fully disburse the agreed Rs. 500 million in working capital support, forcing the company to manage the shortfall through internal sources. These factors hindered the achievement of the projected cash flows and operating results.
Management of upcoming loan installments
Despite the aforementioned factors that hampered achieving the expected results, management is actively working to ensure payment of the upcoming 2026 installments. The company is negotiating with banks for a No Objection Certificate (NOC) to sell non-operational assets expected to generate upto PKR 800 million. Proceeds will be used to pay the upcoming quarterly installments maturing upto June 30, 2026 on a pro-rata basis to all lenders.
Basis for anticipated business improvement
For sustainable operational profitability, the management is confident for the company's improved prospects, driven by the sponsors' confirmed commitment to inject over Rs. 1.5 billion as directors' loans in coming years. This will strengthen liquidity and support working capital needs. Additionally, the company is negotiating injection of Rs. 1 billion as export-based working capital from banks. These measures are expected to boost revenue and profitability, enabling timely repayment of long-term loans. Additionally, U.S. tariffs on Chinese and Indian imports have made Pakistani textile exports more price-competitive in the American market. As U.S. buyers seek alternatives, including Pakistan-especially in home textiles. The company has significant capacity and well-positioned to take benefit. Major U.S. buyers have reportedly shown interest in Pakistani products. The management expect better marketing conditions in future.
The above mentioned actions such as, arrangement of proceeds for upcoming installment-payments and anticipated business improvement will help to overcome the financial and operational problems of the Company. Therefore, management is confident that the Company will be able to continue as a going concern.
These financial statements are presented in Pak Rupee, which is the company's functional and presentation currency.
BASIS OF PREPARATION
These condensed interim financial statements 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 Standards 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 with 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 in annual financial statements and should be read in conjunction with the annual audited financial statements of the Company. These condensed interim financial statements are un-audited and are being submitted to the shareholders as required by the Listed Companies (Code of Corporate Governance) Regulations, 2019 and Section 237 of the Companies Act, 2017.
ACCOUNTING POLICIES
The accounting policies and methods of computations adopted for the preparation of these condensed interim financial statements are the same as applied in the preparation of the published audited financial statements for the year ended June 30, 2025.
CRITICAL ACCOUNTING ESTIMATES AND JUDGEMENTS
The preparation of these condensed interim financial statements in conformity with the approved accounting standards requires the use of certain critical accounting estimates. It also requires the management to exercise its judgment in the process of applying the Company's accounting policies. Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
During preparation of these condensed interim financial statements, the significant judgments made by the management in applying the Company's accounting policies and the key sources of estimation and uncertainty were the same as those that applied in the published audited financial statements for the year ended June 30, 2025.
Sep-30, 2025 (Un-Audited) | Jun-30, 2025 (Audited) | ||
5 LONG TERM FINANCING Under mark up arrangements From banking companies/financial institutions Secured | Rupees | Rupees | |
Tier - I debt | 3,341,182,937 | 3,400,493,903 | |
Addition | - | - | |
Paid during the period / year | (53,183,805) | (59,310,966) | |
3,287,999,132 | 3,341,182,937 | ||
Tier - II debt | 4,744,899,864 | 4,744,899,864 | |
Addition | - | - | |
4,744,899,864 | 4,744,899,864 | ||
Less: Current portion | 8,032,898,996 | 8,086,082,801 | |
Installments over due | - | 45,869,438 | |
Payable within one year | 764,790,658 | 581,693,164 | |
764,790,658 | 627,562,602 | ||
7,268,108,338 | 7,458,520,199 | ||
Associates | 10,446,180 | 10,091,222 | |
7,278,554,518 | 7,468,611,421 | ||
6 CONTINGENCIES AND COMMITMENTS |
Contingencies
There was no significant change in contingencies since the date of published audited financial statements for the year ended June 30, 2025.
Commitments
There was no commitments as on 30 September 2025. (June 30, 2025: Nill)
Sep-30, 2025 (Un-Audited) | Jun-30, 2025 (Audited) | |||
Rupees | Rupees | |||
7 PROPERTY, PLANT AND EQUIPMENTS | ||||
Operating assets (Note: 7.1) | 8,891,909,695 | 8,932,371,161 | ||
7.1 Operating assets | ||||
Opening book value | 8,932,371,161 | 9,076,879,986 | ||
Add: Additions during the period / year | - | 36,579,582 | ||
Less: Book value of disposals during the period / year | - | (12,423) | ||
8,932,371,161 | 9,113,447,145 | |||
Less: Depreciation charged during the period / year | (40,461,466) | (181,075,984) | ||
8,891,909,695 | 8,932,371,161 | |||
8 INVESTMENT PROPERTY | ||||
Land | ||||
Closing net book value as at | 234,651,713 | 234,651,713 | ||
Building | ||||
Opening net book value | 246,798,650 | 257,081,927 | ||
Less: Depreciation charge during the period / year | (2,467,987) | (10,283,277) | ||
Closing net book value (Building) | 244,330,664 | 246,798,650 | ||
478,982,377 | 481,450,363 | |||
9 TRADE DEBTS | ||||
Considered good | ||||
Unsecured | ||||
Foreign | 21,625,247 | 96,358,783 | ||
Local | 138,255,093 | 126,736,284 | ||
159,880,340 | 223,095,067 | |||
QUARTER ENDED | ||||
30-Sep-2025 | 30-Sep-2024 | |||
Note | Rupees | Rupees | ||
10 | Sales | |||
Export Fabrics / made ups / garments | 127,658,936 | 629,049,803 | ||
Local | ||||
Fabrics / made ups | 20,733,734 | 14,849,978 | ||
148,392,670 | 643,899,781 | |||
Add: Export rebate / duty drawback | 669,804 | 5,546,763 | ||
149,062,474 | 649,446,544 | |||
Less: | ||||
Commission | (1,286,995) | (21,670,444) | ||
Discount | (2,145,743) | (3,073,343) | ||
(3,432,738) | (24,743,786) | |||
Processing and conversion income | 302,076,102 | 292,542,673 | ||
447,705,838 | 917,245,431 | |||
QUARTER ENDED
30-Sep-2025 | 30-Sep-2024 | |||
Note | Rupees | Rupees | ||
11 Cost of sales | ||||
Cost of goods manufactured | 11.1 | 465,394,822 | 884,092,362 | |
Finished goods | ||||
Opening stock | 48,635,171 | 62,725,567 | ||
Closing stock | (32,192,672) | (42,195,824) | ||
16,442,499 | 20,529,743 | |||
Cost of sales | 481,837,321 | 904,622,105 | ||
11.1 Cost of goods manufactured Raw material consumed | 11.1.1 | 108,191,250 | 311,503,876 | |
Salaries, wages and benefits | 67,896,168 | 121,994,939 | ||
Staff retirement benefits | 1,598,611 | 1,728,236 | ||
Processing charges | 5,364,762 | 25,595,639 | ||
Conversion charges | - | 7,662,193 | ||
Stores and spares | 9,084,308 | 20,667,658 | ||
Dyes and chemicals | 88,412,878 | 90,593,680 | ||
Packing material | 17,230,655 | 40,138,850 | ||
Repairs and maintenance | 107,500 | 970,473 | ||
Fuel and power | 140,855,762 | 232,623,299 | ||
Insurance | 4,173,737 | 4,165,670 | ||
Depreciation | 32,712,309 | 33,554,954 | ||
Other | 992,193 | 795,362 | ||
476,620,133 | 891,994,829 | |||
Work in process | ||||
Opening stock | 93,644,802 | 169,568,921 | ||
Closing stock | (104,870,113) | (177,471,388) | ||
(11,225,311) | (7,902,467) | |||
465,394,822 | 884,092,362 | |||
11.1.1 Raw material consumed | ||||
Opening stock | 30,165,692 | 18,645,973 | ||
Purchases including purchase expenses | 105,486,949 | 318,892,076 | ||
135,652,641 | 337,538,049 | |||
Closing stock | (27,461,391) | (26,034,173) | ||
108,191,250 | 311,503,876 | |||
12 OTHER INCOME | ||||
Income from assets other than financial assets: Sale of waste material | 729,568 | 2,605,924 | ||
Rental Income | 8,503,070 | 5,932,689 | ||
Gain on disposal of asset | - | 907,577 | ||
Balances written back - net | - | 64,609,185 | ||
Fair value adjustment of deferred revenue | 354,958 | 267,476 | ||
9,587,596 | 74,322,851 | |||
TRANSACTIONS WITH RELATED PARTIES
The Company in the normal course of business carries out transactions with various related parties which comprise of associated undertaking, directors and key management personnel. Amounts due to and due from related parties are shown under relevant notes to the financial statements, no other significant transactions with related parties.
CORRESPONDING FIGURES
In order to comply with the requirements of International Accounting Standard (IAS) 34 "Interim Financial Reporting", the condensed interim financial position and condensed interim statement of changes in equity have been compared with the balances of annual audited financial statements of preceding financial year, whereas, the condensed interim statement of profit or loss, condensed interim statement of comprehensive income and condensed interim statement of cash flows have been compared with the balances of comparable period of immediately preceding financial year. Corresponding figures have been re-arranged, wherever necessary, for the purpose of comparison. However, no significant re-arrangements / re-classification have been made during the period.
DATE OF AUTHORIZATION FOR ISSUE
These condensed interim financial statements were approved by the Board of Directors of the company and authorized for issue on
27-11-2025.
GENERAL
Figures have been rounded off to the nearest Rupee except where mentioned otherwise.
(MIAN MUHAMMAD LATIF) CHIEF EXECUTIVE OFFICER
(MUHAMMAD FARHAN LATIF) DIRECTOR
(SADAQUAT HUSSAIN) CHIEF FINANCIAL OFFICER
Book PostNishatabad, Faisalabad - Pakistan
Tel: +92 41 8754472-76
Fax: +92 41 8752400
Email: chenab@chenabgroup.com
Web: https://www.chenabgroup.com