FIRST EQUITY MODARABA | ||
Quarter and Nine Months Reports | ||
For the period ended | ||
March 31, 2025 | ||
Managed by | PREMIER FINANCIAL SERVICES (PVT) LTD | |
Page 1 | |
FIRST EQUITY MODARABA | |
CORPORATE INFORMATION | |
Modaraba Company : PREMIER FINANCIAL SERVICES (PVT) LTD | |
BOARD OF DIRECTORS | |
Mr Nadeem Maqbool | Mr Qaiser Ahmed Magoon |
Ms Alizeh Bashir | Mr Adil A Ghaffar - Chief Executive Officer |
AUDIT COMMITTEE | HUNAM RESOURSE COMMITTEE |
Mr Qaiser Ahmed Magoon | Mr Qaiser Ahmed Magoon |
Ms Alizeh Bashir | Mr Nadeem Maqbool |
Mr Nadeem Maqbool | Mr Adil A Ghaffar |
REGISTERD AND BUSINESS ADDRESS | |
B-1004 Lakson Square Building # 3 | Room No 503-504 |
Sarwar Shaheed Road | Karachi Stock Exchange Building |
Karachi | Karachi |
Tel : 021-35672815-18 | Tel : 021-32446020-3 |
Fax : 021-35686116 | Fax : 021-32446024 |
e-mail: info@firstequitymodaraba.com.pk | |
website: firstequitymodaraba.com.pk | |
Contents | |
Corporate information | 1 |
Report of the Directors | 2 |
Balance sheet | 4 |
Profit and loss account | 6 |
Statement of comprehensive income | 7 |
Cash flow statement | 8 |
Statement of changes in equity | 9 |
Notes to the financial statements | 10 |
Equity Textile Ltd-Balance Sheet | 12 |
Equity Textile Ltd-Profit & Loss A/c | 13 |
Page 2 | |
FIRST EQUITY MODARABA | |
DIRECTORS REPORT | |
The Directors of Premier Financial Services (Private) Ltd, the management company of FIRST EQUITY MODARABA, are pleased to present their report and the un-audited financial statements of the Modaraba for the nine months and quarter ended March 31, 2025 | |
Financial Results | |
Loss for the nine months ended March 31, 2025 amounted to Rupees 2.64 million as compared to loss of Rupees 9.056 million for the same period last year. The loss per certificate as at March 31, 2025 was Rs 0.051 as against loss of Rs. 0.173 per certificate last year. The break up value, per modaraba certificate, stands at Rs 11.49 at the end of the period. | |
Prospects | |
Further to our views expressed in our previous reports for the current financial year on the state of economy, trade, finance and industry. During the review period, the stock market performed well, on one or the other pretext. We anticipate that once the political and economic indecisiveness is settled, the capital market will again show a bullish trend. | |
For and on behalf of Board | |
Karachi | Adil A Ghaffar |
April 28, 2025 | Chief Executive Officer |
Page 3
FIRST EQUITY MODARABA | Page 4 | ||
CONDENSED INTERIM BALANCE SHEET (UN-AUDITED) | |||
AS AT MARCH 31, 2025 | |||
Audited | |||
March 31 | June 30, | ||
2025 | 2024 | ||
Note | Rupees | Rupees | |
EQUITY AND LIABILITIES | |||
Capital & Reserves | |||
Authorised capital | |||
60,000,000 (June 30, 2024: 60,000,000) modaraba | |||
certificates of Rs. 10 each | 600,000,000 | 600,000,000 | |
Certificate capital | 524,400,000 | 524,400,000 | |
Reserves | 3 | 56,530,793 | 59,180,043 |
Remeasurement of define benefit liability - Actuarial gain | 2,873,713 | 2,873,713 | |
Unrealised loss on re-measurement of investments | 18,925,539 | (24,749,991) | |
Certificate holders' equity | 602,730,045 | 561,703,765 | |
Non-current liabilities | |||
Deferred liabilities | 7,170,120 | 7,170,120 | |
Security deposit | 575,000 | 200,000 | |
Total non-current liabilities | 7,745,120 | 7,370,120 | |
Current liabilities | |||
Creditors, accrued and other liabilities | 13,670,906 | 19,473,557 | |
Unclaimed profit distributions | 31,116,073 | 31,116,073 | |
Total current liabilities | 44,786,979 | 50,589,630 | |
Total liabilities | 52,532,099 | 57,959,750 | |
Total equity and liabilities | 655,262,144 | 619,663,515 | |
FIRST EQUITY MODARABA | Page 5 | ||
CONDENSED INTERIM BALANCE SHEET (UN-AUDITED) | |||
AS AT MARCH 31, 2025 | |||
Audited | |||
March 31 | June 30, | ||
2025 | 2024 | ||
Note | Rupees | Rupees | |
ASSETS | |||
Non - current assets | |||
Fixed assets | |||
- tangible | 1,819,683 | 2,288,587 | |
- intangible | - | - | |
1,819,683 | 2,288,587 | ||
Long term investments | 4 | 420,481,356 | 418,239,233 |
Investment property | 781,667 | 871,667 | |
Advances | 2,510,000 | 2,510,000 | |
Deposits | 1,750,000 | 1,750,000 | |
Total non-current assets | 427,342,706 | 425,659,487 | |
Current assets | |||
Short term investments | 109,235,279 | 77,664,074 | |
Advances- Considered goods | 14,045,024 | 12,425,130 | |
Trade deposits and prepayments | 17,215,014 | 15,311,748 | |
Other receivables | 63,538,810 | 72,057,555 | |
Cash and bank balances | 23,885,312 | 16,545,521 | |
Total current assets | 227,919,438 | 194,004,028 | |
Total assets | 655,262,144 | 619,663,515 | |
The annexed notes from 1 to 5 form an integral part of the condensed interim financial information. | |||
Qazi Obaid Ullah Adil A Ghaffar Nadeem Maqbool Qaiser Ahmed Magoon | |||
Chief Financial Officer Chief Executive Officer Director Director | |||
Premier Financial Premier Financial Premier Financial | |||
Services (Private) Ltd. Services (Private) Ltd. Services (Private) Ltd. | |||
Page 6 | ||||
FIRST EQUITY MODARABA | ||||
CONDENSED INTERIM PROFIT AND LOSS ACCOUNT (UN-AUDITED) | ||||
FOR THE QUARTER AND NINE MONTHS ENDED MARCH 31, 2025 | ||||
Quarter ended | Nine months ended | |||
March 31 | March 31 | March 31 | March 31 | |
2025 | 2024 | 2025 | 2024 | |
Rupees | Rupees | Rupees | Rupees | |
Income | 1,959,114 | 603,776 | 16,198,189 | 7,234,169 |
Expenditure | ||||
Operating expenses | (7,162,601) | (4,676,199) | (18,040,224) | (15,713,904) |
Operating profit/(Loss) | (5,203,487) | (4,072,423) | (1,842,035) | (8,479,735) |
Taxation | (1,821) | - | (807,215) | (576,592) |
(Loss) /Profit for the period | (5,203,487) | (4,072,423) | (2,649,250) | (9,056,327) |
(Loss)/Earnings per certificate | (0.099) | (0.078) | (0.051) | (0.173) |
The annexed notes from 1 to 5 form an integral part of the condensed interim financial information. | ||||
Qazi Obaid Ullah Adil A Ghaffar Nadeem Maqbool Qaiser Ahmed Magoon | ||||
Chief Financial Officer Chief Executive Officer Director Director | ||||
Premier Financial Premier Financial Premier Financial | ||||
Services (Private) Ltd. Services (Private) Ltd. Services (Private) Ltd. | ||||
Page 7 | ||||
FIRST EQUITY MODARABA | ||||
CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME | ||||
FOR THE QUARTER AND NINE MONTH ENDED MARCH 31, 2025 | ||||
Quarter ended | Nine Months ended | |||
March 31 | March 31 | March 31 | March 31 | |
2025 | 2024 | 2025 | 2024 | |
Rupees | Rupees | Rupees | Rupees | |
Profit/ (Loss) for the period | (5,203,487) | (4,072,423) | (2,649,250) | (9,056,327) |
Other comprehensive income | ||||
Unrealised gain / (loss) on | ||||
re-measurement investments | (4,320,914) | (5,014,189) | 57,081,704 | 39,629,116 |
Gain / (loss) realised on disposal of investments | (4,709,114) | 2,267,450 | (15,657,959) | (5,319,894) |
(9,030,028) | (2,746,739) | 41,423,745 | 34,309,222 | |
Unrealized gain on remeasurement of investment held at fair value through other comprehensive income | - | - | 2,251,785 | 9,862,460 |
Other comprehensive loss | (9,030,028) | (2,746,739) | 43,675,530 | 44,171,682 |
Total comprehensive income loss | (14,233,515) | (6,819,162) | 41,026,280 | 35,115,355 |
Qazi Obaid Ullah Adil A Ghaffar Nadeem Maqbool Qaiser Ahmed Magoon | ||||
Chief Financial Officer Chief Executive Officer Director Director | ||||
Premier Financial Premier Financial Premier Financial | ||||
Services (Private) Ltd. Services (Private) Ltd. Services (Private) Ltd. | ||||
Page 8 | ||
FIRST EQUITY MODARABA | ||
CONDENSED INTERIM STATEMENT OF CASH FLOWS STATEMENTS | ||
FOR THE NINE MONTHS ENDED MARCH 31, 2025 | ||
March 31 | March 31 | |
2025 | 2024 | |
Rupees | Rupees | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Profit/ (Loss) for the period | (1,842,035) | (9,056,327) |
Adjustments for non cash/non operating items: | ||
Depreciation | 673,427 | 645,421 |
Dividend income | (4,039,200) | (3,843,947) |
(3,365,773) | (3,198,526) | |
Operating profit/ (loss) before working capital changes | (5,207,808) | (12,254,853) |
(Increase) / decrease in current assets | ||
Advances | (666,801) | 474,312 |
Trade deposits and prepayments | (1,903,265) | 27,399 |
Other receivables | 8,417,995 | (14,448,595) |
5,847,929 | (13,946,884) | |
(Decrease) / increase in current liabilities | ||
Creditors, accrued and other liabilities | (5,701,903) | (945,868) |
Dividend paid | - | (11,799) |
(5,061,782) | (27,159,404) | |
Security deposit | 375,000 | - |
Advance tax paid | (1,760,330) | (906,021.00) |
Net cash used in operating activities | (6,447,112) | (28,065,425) |
CASH FLOW FROM INVESTING ACTIVITIES | ||
Investments | 9,862,201 | 32,907,873 |
Dividends received | 4,039,200 | 3,843,947 |
Purchases of tangible assets | (114,500) | (84,500) |
Net cash (use in)/generated from investing activities | 13,786,901 | 36,667,320 |
Net increase / (decrease) in cash and cash equivalents | 7,339,789 | 8,601,895 |
Cash and cash equivalents at the beginning of the period | 16,545,523 | 11,122,553 |
Cash and cash equivalents at the end of the period | 23,885,312 | 19,724,448 |
The annexed notes from 1 to 5 form an integral part of the condensed interim financial information. | ||
Qazi Obaid Ullah Adil A Ghaffar Nadeem Maqbool Qaiser Ahmed Magoon | ||
Chief Financial Officer Chief Executive Officer Director Director | ||
Premier Financial Premier Financial Premier Financial | ||
Services (Private) Ltd. Services (Private) Ltd. Services (Private) Ltd. | ||
Page 9 | ||||||||
FIRST EQUITY MODARABA | ||||||||
CONDENSED INTERIM STATEMENT OF CHANGES IN EQUITY | ||||||||
FOR THE NINE MONTHS ENDED MARCH 31, 2025 | ||||||||
Certificate | Special | Certificate | General | Remeasurem ent of define benefit liability | Unrealised gain / (loss) on re- measurement of available for sale | Un appropriated profit / accumulated loss | Total | |
Capital | reserve | premium | reserve | |||||
account | ||||||||
Rupees | Rupees | Rupees | Rupees | Rupees | Rupees | Rupees | ||
Balance as at July 1, 2023 | 524,400,000 | 164,334,210 | 131,100,000 | 17,321,036 | 1,688,143 | (74,207,492) | (234,139,225) | 530,496,672 |
- | - | |||||||
Total comprehensive income for the period | - | - | - | - | - | 44,171,685 | (9,056,327) | 35,115,358 |
Balance as at March 31, 2024 | 524,400,000 | 164,334,210 | 131,100,000 | 17,321,036 | 1,688,143 | (30,035,807) | (243,195,552) | 565,612,030 |
Balance as at July 01, 2025 | 524,400,000 | 164,334,210 | 131,100,000 | 17,321,036 | 2,873,713 | (24,749,991) | (253,575,203) | 561,703,765 |
- | - | |||||||
Total comprehensive income for the period | - | - | - | - | - | 43,675,530 | (2,649,250) | 41,026,280 |
Balance as at March 31, 2025 | 524,400,000 | 164,334,210 | 131,100,000 | 17,321,036 | 2,873,713 | 18,925,539 | (256,224,453) | 602,730,045 |
The annexed notes from 1 to 5 form an integral part of the condensed interim financial information. | ||||||||
Qazi Obaid Ullah | Adil A Ghaffar | Nadeem Maqbool | Qaiser Ahmed Magoon | |||||
Chief Financial Officer | Chief Executive Officer | Director | Director | |||||
Premier Financial | Premier Financial | Premier Financial | ||||||
Services (Private) Ltd. | Services (Private) Ltd. | Services (Private) Ltd. | ||||||
Page 10 | ||||
FIRST EQUITY MODARABA | ||||
NOTES TO THE FINANCIAL STATEMENTS | ||||
FOR THE PERIOD ENDED MARCH 31, 2025 | ||||
1 | Legal Status and Nature of Business | |||
First Equity Modaraba (the Modaraba) was formed in 1991 under the Modaraba Companies and Modaraba (Floatation and Control) Ordinance, 1980 and the Rules framed thereunder and is managed by Premier Financial Services (Private) Limited (Modaraba Management Company), a Company incorporated in Pakistan. | ||||
The Modaraba is a perpetual, multi purpose modaraba and is able to undertake a variety of fund and fee based activities. These include trading, manufacturing, equity investment and their financing and facilitation. | ||||
The Modaraba is listed on Pakistan Stock Exchanges Ltd | ||||
The Modaraba is holding two Trading Right Entitlement certificates of Pakistan Stock Exchange Ltd and is currently operating its brokerage activities in Karachi. | ||||
The modaraba is holding Equity Textiles Ltd, Capital Financial Services (Pvt) Ltd and Apex Financial Services (Pvt) Ltd inancial Services (Pvt) Ltd as a wholly owned subsidiary companies | ||||
2 | General | |||
2.1 | These financial statements are unaudited and are being submitted to certificate holders as required by Rule 10 of the Modaraba Companies and Modaraba Rules, 1981. | |||
2.2 | The accounting policies adopted for the preparation of these unaudited financial statements are the same as those applied in preparation of the audited published financial statements of the Modaraba for the year ended June 30, 2024 | |||
2.3 | The Modaraba Company's management fee, statutory reserve @ 20% to 50 %, provisions and profit Distribution will be determined at the year end. | |||
2.4 | These financial statements are in compliance with the disclosure requirements of International Accounting Standard (IAS)-34 "Interim Financial Reporting". | |||
March | June | |||
2025 | 2024 | |||
Rupees | Rupees | |||
3 | Reserves | |||
Capital reserve | 295,434,210 | 295,434,210 | ||
Revenue reserve | (238,903,417) | (236,254,167) | ||
56,530,793 | 59,180,043 | |||
4 | Investments | |||
Unlisted Securities | 70,481,356 | 68,239,233 | ||
Wholly owned subsidiary | 350,000,000 | 350,000,000 | ||
420,481,356 | 418,239,233 | |||
5 | These financial statements were authorized for issue in accordance with a resolution of the Board of Directors on April 28, 2025 | |||
Qazi Obaid Ullah Adil A Ghaffar Nadeem Maqbool Qaiser Ahmed Magoon | ||||
Chief Financial Officer Chief Executive Officer Director Director | ||||
Premier Financial Premier Financial Premier Financial | ||||
Services (Private) Ltd. Services (Private) Ltd. Services (Private) Ltd. | ||||
EQUITY TEXTILES LIMITED |
Wholly Owned Subsidiary of |
First Equity Modaraba |
nine months ended |
March 31, 2025 |
Page 12 | |||
EQUITY TEXTILES LIMITED | |||
BALANCE SHEET AS AT MARCH 31, 2025 | |||
Un-Audited | Audited | ||
March 2025 | June 2024 | ||
Rupees | Rupees | ||
ASSETS | |||
NON CURRENT ASSETS | |||
Property, plant and equipment | |||
Operating fixed assets | 1,048,577,258 | 1,109,637,442 | |
Intangibles | 7,578,622 | 8,193,104 | |
Deferred Taxation | 49,859,769 | - | |
Long Term Investment | 8,672,822 | 9,320,554 | |
Long Term Deposit | 6,660,800 | 6,660,800 | |
1,121,349,271 | 1,133,811,900 | ||
CURRENT ASSETS | |||
Stores and spares | 46,846,327 | 63,849,439 | |
Stock in trade | 67,218,759 | 343,303,062 | |
Trade debts | 4,945,131 | 79,285,180 | |
Loans and advances | 1,539,234 | 4,625,533 | |
Trade deposits and short term prepayments | 104,158,592 | 102,710,100 | |
Other receivables | 28,469,021 | 178,358,383 | |
Tax refund due from government | 124,014,098 | 21,813,739 | |
Tax - net | 4,615,617 | 14,245,016 | |
Cash and bank balances | 7,903,791 | 2,858,597 | |
389,710,570 | 811,049,049 | ||
TOTAL ASSETS | 1,511,059,841 | 1,944,860,948 | |
EQUITY AND LIABILITIES | |||
SHARE CAPITAL AND RESERVES | |||
Authorized share capital | 250,000,000 | 250,000,000 | |
25,000,000 shares of Rs. 10/- each | |||
Issued, subscribed and paid-up share capital | 250,000,000 | 250,000,000 | |
Unrealized Loss on Remeasurement of investment | (3,570,234) | (2,922,502) | |
Unappropriated Profit | 4,523,499 | 114,340,502 | |
953,265 | 111,418,000 | ||
250,953,265 | 361,418,000 | ||
Surplus on revaluation of fixed assets | 384,193,852 | 416,785,158 | |
NON CURRENT LIABILITIES | |||
Liabilities against asset subject to finance lease | - | 7,304,667 | |
Deferred taxation | - | 12,774,144 | |
- | 20,078,811 | ||
CURRENT LIABILITIES | |||
Trade and other payables | 496,018,023 | 609,490,094 | |
Current portion of GIDC Payable | 294,911,570 | 294,173,782 | |
Accrued Markup | 11,835,446 | 17,092,518 | |
Short term borrowings | 60,865,621 | 210,530,033 | |
Current portion of lease liability | 12,282,064 | 15,292,552 | |
875,912,724 | 1,146,578,979 | ||
TOTAL EQUITY AND LIABILITIES | 1,511,059,841 | 1,944,860,948 | |
CHIEF EXECUTIVE | DIRECTOR | ||
Page 13 | ||||
EQUITY TEXTILES LIMITED | ||||
PROFIT AND LOSS ACCOUNT | ||||
FOR THE NINE MONTHS ENDED MARCH 31, 2025 | ||||
March 2025 | March 2024 | |||
Rupees | Rupees | |||
Sales | 369,803,353 | 4,544,093,252 | ||
Cost of Sales | (509,302,955) | (4,550,314,443) | ||
Gross profit | (139,499,602) | (6,221,191) | ||
Administrative and general expenses | ` | (47,187,892) | (55,860,851) | |
Distribution and selling expenses | (3,701,181) | (90,320,777) | ||
Operating Profit / (loss) | (190,388,675) | (152,402,819) | ||
Financial charges | (20,059,605) | (81,218,614) | ||
(20,059,605) | (81,218,614) | |||
(210,448,280) | (233,621,433) | |||
Other income | 10,024,205 | 6,602,373 | ||
Profit / (Loss) before taxation | (200,424,075) | (227,019,060) | ||
Provision for taxation | ||||
Current - Minimum tax differental | (4,618,148) | (55,728,892) | ||
Prior | - | (2,470,915) | ||
Deferred | 62,633,913 | 109,610,275 | ||
58,015,765 | 51,410,468 | |||
Profit / (Loss) after taxation | (142,408,309) | (175,608,591) | ||
Profit / (Loss) per share - basic and diluted | (5.696) | (7.024) | ||
CHIEF EXECUTIVE | DIRECTOR | |||