CONTENTS
Company Information | 3 |
Directors' Report | 4-7 |
Condensed Interim Statement of Financial Position | 8-9 |
Condensed Interim Statement of Profit or Loss | 10 |
Condensed Interim Statement of Comprehensive Income | 11 |
Condensed Interim Statement of Changes in Equity | 12 |
Condensed Interim Statement of Cash Flows | 13-14 |
Notes to and Forming Part of the Condensed Interim Financial Statements ... | 15-21 |
2 |
COMPANY INFORMATION
Board of Directors
Mr. Javaid Shafiq Siddiqi | Chairman / Non-Executive Director |
Mr. Usman Haq | Managing Director / Executive Director |
Mr. Salem Rehman | Chief Executive / Executive Director |
Mr. Tariq Rehman | Executive Director |
Mr. Ahsan Suhail Mannan | Company Secretary / Executive Director |
Mr. Pervaiz Shafiq Siddiqi | Non-Executive Director |
Mr. Salman Javaid Siddiqi | Non-Executive Director |
Mr. Umair Noorani | Non-Executive Director |
Mrs. Ayesha Mussadaque Hamid | Independent Director |
Ch. Imran Ali | Independent Director |
Syed Muhammad Mohsin | Independent Director |
Mr. Osman Hameed Chaudhri | Independent Director |
Chief Financial Officer | |
Mr. Riaz Ahmad | |
Company Secretary | |
Mr. Ahsan Suhail Mannan | |
Audit Committee | |
Mr. Osman Hameed Chaudhri | Chairman |
Syed Muhammad Mohsin | Member |
Mr. Javaid Shafiq Siddiqi | Member |
Mr. Umair Noorani | Member |
Mr. Ahsan Suhail Mannan |
"Is the Committee Secretary as required by the Chapter IX, 27 (1) (iv) of Code of Corporate Governance, Regulations 2019."
HR Committee | |
Mrs. Ayesha Mussadaque Hamid | Chairman |
Mr. Pervaiz Shafiq Siddiqi | Member |
Mr. Salman Javaid Siddiqi | Member |
Mr. Ahsan Suhail Mannan | Member / Committee Secretary |
Risk Management Committee | |
Syed Muhammad Mohsin | Chairman |
Mr. Tariq Rehman | Member |
Ch. Imran Ali | Member |
Mr. Salem Rehman | Member / Committee Secretary |
Nomination Committee | |
Ch. Imran Ali | Chairman |
Mr. Javaid Shafiq Siddiqi | Member |
Mr. Usman Haq | Member |
Mr. Ahsan Suhail Mannan | Member / Committee Secretary |
External Auditors
M/s. Crowe Hussain Chaudhury & Co.,
Chartered Accountants, Lahore.
Internal Auditors
M/s. Muhammad Ali Hussain & Co.
Chartered Accountants, Lahore.
Legal Advisers
Cornelious Lane & Mufti
Chaudhary Associates Law Inn
Rizvi & Company
Asad Ullah Khan
Bankers
Habib Bank Limited
National Bank of Pakistan
The Bank of Punjab
The Bank of Khyber
Al Baraka Bank (Pakistan) Limited
Askari Bank Limited
Soneri Bank Limited
BUSINESS ITEMS
Porcelain Insulators
- Tension Insulator
- Suspension Insulator
- Pin Insulator
- Line Post Insulator
- Cap and pin Insulator
- Station Post Insulator
- Long Road Insulator
- Insulator for Railway Electrification
- Telephone Insulator
- Low Voltage Insulator
- Dropout Cutout Insulator
- HT & LT Bushings
Switchgear
- Disconnect Switch upto 245 kv
- Metal Oxide Surge Arresters upto 245 kv
RTV Coating
- Room Temperature Vulcanised
- Silicone Rubber Coating
Chemical Porcelain
- Acid Proof Tiles
- Acid Proof Cement
Special Porcelain
- High Alumina Porcelain
- Lining Special Refractories & Grinding Media
Metal Components
- Cross Arms for Distribution Poles
- Steel Pins for Pin Insulators/ Cross Arms
- D-ShakleAssembly
Share Registrar
Corplink (Pvt) Limited
Wings Arcade. I-K , Commercial,
Model Town, Lahore.
Registered Office
4th Floor, National Tower, 28-Egerton Road, Lahore.
Factory
19-Kilometre,
Lahore Sheikhupura Road, Lahore.
NINE MONTHS ENDED REPORT 2025| 3
DIRECTORS' REPORT
Dear Shareholders
On behalf of the Board of Directors we are pleased to present the performance review of your Company together with the reviewed financial statements for the nine months ended March 31, 2025.
Operations and Sales Review
During the reporting period (July 2024 - March 2025), the Company produced 2,260 tons of porcelain insulators, compared to 2,523 tons in the same period last year. In contrast, sales volumes increased to 3,201 Tons versus 2,726 Tons in the prior year. This sales growth was primarily driven by an intentional reduction in inventory levels to support cash flow improvements.
The domestic market, however, remained subdued due to the Government's ongoing reorganization of the power sector, which resulted in delays and reprioritization of budget allocations for both maintenance and new infrastructure projects.
We took this opportunity to aggressively pursue new international markets, resulting in export revenues reaching 204% of the full-year export figure from the previous year- within just nine months. Additionally, we successfully launched orders against our prequalification for metal hardware with DISCOs. While introductory pricing and early- stage product launches have placed temporary pressure on margins, we remain confident that these new initiatives will transition into profitability within the current fiscal year.
Net sales for the period stood at Rs. 2,928 million, compared to Rs. 3,202 million in the same period of the previous year. We anticipate a positive shift in domestic purchasing once the Government finalizes its national budget and reactivates energy sector allocations.
Financial Performance
For the nine months under review, gross profit stood at Rs. 552 million, down from Rs. 881 million for the same period last year. Net operating profit declined to Rs. 336 million from Rs. 687 million, largely reflecting the pressure from lower insulator sales and early- stage pricing of new product lines over the course of the current period. The fluctuation in profitability also bear witness to the product mix being sold and produced in a given quarterly period. However, we are confident that on an annualized basis, these fluctuations will settle and financials will remain reasonably consistent with short and medium term historical performance. Administrative and selling expenses for the period rose modestly to Rs. 216 million from Rs. 195 million.
Finance costs recorded at Rs. 259 million, slightly lower than Rs. 294 million last year, reflecting continued efforts to manage borrowing costs efficiently.
Consequently, the Company posted a Profit Before Tax of Rs. 46 million, compared to Rs. 341 million in the previous year. Net Profit after tax stood at Rs. 27 million, as compared to Rs. 222 million for the same period last year.
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It is important to note that all long-term loan repayments have been made as per schedule, with no outstanding overdues-a reflection of our disciplined financial management.
Earnings per Share
The basic earnings per share is reported at Rs. 0.77 as compared to basic earnings per share of Rs. 6.33 of the comparable period of last year. There is no dilution effect on the earnings per share for the period under review and corresponding period of last year.
Near Term Outlook
Pakistan's economy has recently been navigating through a volatile phase, with high inflation, fiscal pressures, and muted industrial growth. However, the Government's fiscal and monetary adjustments are beginning to bear fruit-evident from falling inflation, a narrowing deficit, and improved foreign inflows.
As economic stability returns, EMCO remains strongly positioned to capitalize on new growth opportunities. We are aligned with the national agenda of enhancing export capacity and encouraging private sector participation in the energy sector.
Ongoing energy reforms-focused on efficiency, localization, and private investment- present a timely opportunity for EMCO to further expand its presence. Our team is already making progress toward developing higher value-added insulator solutions and substation components to complement this national strategy.
Simultaneously, our efforts to grow the export business are yielding encouraging results, with expanded customer bases in North America and Latin America. We are confident that these markets will continue to drive growth and offset the current slowdown in domestic demand, Insh'Allah.
Acknowledgments
On behalf of the Board, I wish to express sincere appreciation to our dedicated employees across all levels, whose continued commitment remains the cornerstone of EMCO's success. We are equally grateful to our valued customers, suppliers, and banking partners for their enduring trust and support.
Together, we remain focused on building a stronger, more resilient EMCO Industries.
On behalf of board
Salem Rehman | Ahsan Suhail Mannan |
Chief Executive Officer | Director / Company Secretary |
April 18, 2025 | |
Lahore | NINE MONTHS ENDED REPORT 2025| 5 |
6 |
NINE MONTHS ENDED REPORT 2025| 7
CONDENSED INTERIM STATEMENT OF FINANCIAL
(Un-Audited) | (Audited) | |||
March 31, | June 30, | |||
Note | 2025 | 2024 | ||
Rupees | Rupees | |||
EQUITY AND LIABILITIES | ||||
Share Capital and Reserves | ||||
Authorized share capital: | ||||
120,000,000 (June 30, 2024: 120,000,000) | ||||
Ordinary shares of Rs. 10 each | 1,200,000,000 | 1,200,000,000 | ||
Issued, subscribed and paid up capital | ||||
35,000,000 (June 30, 2024: 35,000,000) | ||||
Ordinary shares of Rs. 10 each | 350,000,000 | 350,000,000 | ||
Reserves | 1,062,703,517 | 1,022,310,340 | ||
Sponsors' loan | 115,708,828 | 115,708,828 | ||
Surplus on Revaluation of Property, | ||||
Plant and Equipment | 4 | 1,495,697,025 | 1,458,112,397 | |
3,024,109,370 | 2,946,131,565 |
Non Current Liabilities
Long term financing5 Lease liabilities
Post employment benefits Deferred tax liability Long term security deposit
498,751,204
506,155
182,079,033
223,672,216
4,567,584
909,576,192
550,558,968
2,850,000
163,701,914
277,958,286
4,567,584
999,636,752
Current Liabilities | |
Trade and other payables | |
Unclaimed dividends | |
Accrued finance cost | |
Short term borrowings | 6 |
Current portion of non-current liabilities | |
Contingencies and Commitments | 7 |
543,238,142 514,373,092
768,578 768,578
62,268,178 90,446,234
1,129,476,106 1,054,965,902
172,999,556 162,669,833
1,908,750,560 1,823,223,639
--
5,842,436,122 5,768,991,956
The annexed notes 1 to 12 form an integral part of these financial statements.
Lahore | (Salem Rehman) |
April 18, 2025 | Chief Executive Officer |
8 |
POSITION AS AT MARCH 31, 2025
(Un-Audited) | (Audited) | |
March 31, | June 30, | |
Note | 2025 | 2024 |
Rupees | Rupees | |
ASSETS
Non Current Assets
Property, plant and equipment8 Investment properties
Intangible assets
Long term prepayments and other receivables Long term loans
Long term deposits
Current Assets
Stores, spares and loose tools Stock-in-trade
Trade receivables
Advances, deposits, prepayments and other receivables Income tax refundable from government
Cash and bank balances
2,888,378,825
92,382,891
3,606,880
60,107,377
1,160,165
4,091,616
3,049,727,754
142,709,665
1,283,942,717
1,073,594,299
78,434,304
187,588,698
26,438,686
2,792,708,368
2,897,920,987
91,138,800
3,746,254
58,156,456
1,135,282
4,091,616
3,056,189,395
106,992,488
1,175,579,958
1,242,405,524
92,631,271
85,113,389
10,079,931
2,712,802,561
5,842,436,122 5,768,991,956
(Ahsan Suhail Mannan) | (Riaz Ahmad) |
Director | Chief Financial Officer |
NINE MONTHS ENDED REPORT 2025| 9
CONDENSED INTERIM STATEMENT OF PROFIT
OR LOSS (Un-audited)
FOR THE NINE MONTHS AND QUARTER ENDED MARCH 31, 2025
Nine Months Ended March 31, | Quarter Ended March 31, | |||||||||||
Note | 2025 | 2024 | 2025 | 2024 | ||||||||
Rupees | Rupees | Rupees | Rupees | |||||||||
Gross revenue: | ||||||||||||
- Local | 3,043,974,396 | 3,617,406,612 | 1,114,783,809 | 887,679,091 | ||||||||
- Export | 345,079,700 | 136,985,813 | 141,037,456 | 33,400,240 | ||||||||
3,389,054,096 | 3,754,392,425 | 1,255,821,265 | 921,079,331 | |||||||||
Less: Sales tax | (461,291,620) | (552,535,535) | (166,710,675) | (135,420,294) | ||||||||
Net sales | 2,927,762,476 | 3,201,856,890 | 1,089,110,590 | 785,659,037 | ||||||||
Cost of revenue | 9 | (2,375,996,157) | (2,320,089,045) | (768,484,414) | (589,742,362) | |||||||
Gross Profit
Administrative expenses Selling and distribution expenses
Operating Profit
551,766,319 881,767,845
(129,673,623) (117,297,274)
(85,983,323) | (77,367,511) |
(215,656,946) (194,664,785)
336,109,373 687,103,060
320,626,176
(47,379,622)
(29,569,251)
(76,948,873)
243,677,303
195,916,675
(39,257,699)
(20,703,812)
(59,961,511)
135,955,164
Other Expenses
Finance cost
Other income
Profit before
Levy and Taxation
Levy / Final Taxation
Profit before Income Tax
Taxation
Net Profit for the Period
Earnings per Share
(47,235,023) (60,360,772)
(258,903,701) (293,753,633)
16,381,915 7,920,578
46,352,564 340,909,233
(19,043,954) (1,369,858)
27,308,610 339,539,374
(532,508) (117,948,373)
26,776,102 221,591,002
0.776.33
(26,082,709) (853,657)
(71,096,934) (101,343,519)
7,278,206 7,520,578
153,775,866 41,278,566
(1,410,375) (334,002)
152,365,492 40,944,563
(62,881,568) (15,123,424)
89,483,923 25,821,140
2.560.74
The annexed notes 1 to 12 form an integral part of these financial statements.
Lahore | (Salem Rehman) | (Ahsan Suhail Mannan) | (Riaz Ahmad) |
April 18, 2025 | Chief Executive Officer | Director | Chief Financial Officer |
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