Transmission of Quarterly Report for teh period ended 31-03-2025

Board of Directors

1. Mr. Raza Mustafa

2. Mian Abdullah Ilyas

3. Mian Waqas Riaz

4. Mrs. Yasmin Riaz

5. Ms. Zainab Waqas

6. Mrs. Shahzadi Ilyas

7. Ms. Zakia Ilyas

8. Mian Abubakar Ijaz

Audit Committee

1. Mian Waqas Riaz (Chairman)

2. Ms. Zakia Ilyas (Member)

3. Mrs. Yasmin Riaz (Member)

Company Secretary Mr. Ansar Ahmed, FCA Tel: 042-35917313

Email: cs@hwgc.com.pk

Auditors

M/s Saeed Ul Hassan & Co. Chartered Accountants

66-H Block Gulberg-III

Lahore

Mills

Mouza Jagmal, Tehsil Jattoi District. Muzaffargarh

Bankers

National Bank of Pakistan Sindh Bank Limited

The Bank of Punjab

Chairman Director/Chief Executive Director

Director Director Director Director Director

Human Resource & Remuneration Committee

1. Mian Waqas Riaz (Chairman)

2. Mrs. Zainab Waqas (Member)

3. Ms. Zakia Ilyas (Membr)

Chief Financial Ofcer

Syed Mubashar Hussain Bukhari Tel: 042-35917313

Email: hwgc@hwgc.com.pk

Registrar

Hameed Majeed Associates (Pvt.) Limited

H.M. House, 7-Bank Square, Lahore

Registered Ofce

06-F, Model Town, Lahore Tel: 042-35917321-23

Fax: 042-35917317

Website: https://www.hwgc.com.pk

Legal Advisor Muhammad Ahsan Khan (Advocate)

1

DIRECTORS' REVIEW

FOR THE HALF YEAR ENDED 31 MARCH 2025

Dear Members

On behalf of the Board of Directors, it is my privilege to present you the Half Yearly condensed financial statements duly reviewed by the statutory auditors and their report is attached to the financial statements.

FINANCIAL RESULTS

The financial results of the company for the period under review are summarized as follows:

During the period under review, the Company posted gross loss of Rs. (140,774,440) as compared to last periods of Rs.172,009,937. Further, there has been no production activity in the company over the past few years.

FUTURE OUTLOOK

The management of the company is hopeful of catching the crushing season 2025-26 and optimistic of doing the crushing at maximum level.

ACKNOWLEDGEMENT

The Board of Directors deeply express their appreciation and pay their gratitude to sugarcane growers, valuable customers, shareholders, banks and Government Departments for their continued support, trust, persistent co-operation and patronage which gives strength to pursue our corporate objectives with renewed vigor. The Board also acknowledges the valuable teamwork, devotion and dedication by the executives, employees and workers of the Company.

On behalf of the Board

Place: Lahore: (ABDULLAH ILYAS)

Dated: 29 May 2025 Chief Executive

GAfiEDUI

HAG€AN fif CO.

Chartered Accountants

IHDEPEHDENT AUDITOR'S REVIEW REPORT

TO THE MEMBERS OF HASEEB WAQAS SUGAR MILLS LIMITED REPORT ON REVIEW OF INTERIM FINANCIAL STATE/ EHTS

Introduction

We have reviewed the accompanying condensed interim financial position of Haseeb Waqas Sugar Mills Limited as at March 31, 2025 and the related condensed interim financial statement of profit or loss, the condensed interim statement of other comprehensive income, condensed interim statement of changes in equity, and condensed interim statement of cash flows, and condensed notes to the financial statements for the six-months period then ended (here-in-after referred to as the "condensed interim financial statements"). Management is responsible for the preparation and presentation of these condensed interim financial statement in accordance with approved accounting and reporting standards as applicable in Pakistan for interim financial reporting. Our responsibility is to express a conclusion on these condensed interim financial statements based on our review. The figures of the condensed interim statement of profit or loss, the condensed interim statement of other comprehensive income for the quarters ended March 31, 2025 and March 31, 2024 have not been reviewed, as we are required to review only the cumulatiye figures for the half year ended March 31, 2025.

Scope of Review

We conducted our review in accordance with international Standard on Review Engagements 2410, "Review of Interim Financial Information performed by the Independent Auditor of the Entity." A review of Interim financial statements consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantia(ly less in scope than an audit conducted in accordance with International Standards on Auditing and consequently does not enable us to obtain assurance that we woud become aware of al significant matters that might be identified in an audit. Accordingly, we do not express an audit conclusion.

Basis of Qualified Conclusion

Based on the information provided by management, the previous auditor's report contained a qualified conclusion due to the folowing matters:

1. The financial statements include a gratuity payable amount of Rs. 21.404 million, as in deferred liabiities. However, management did not provide the required actuarial valuation. Additionally, we were not given the necessary information and explanations to assess whether any actuarial adjustments should be recognized for this gratuity payable. Without the actuarial valuation or alternative satisfactory audit procedures, we could not determine whether adjustments to the financial statements were necessary. Any such adjustments could affect the company's net assets as of September 30, 2023, and the related disclosures.

   
   
   

   27 C, TAMC builoing. tsf Floor, IBM Alam hood, Gulberg III, Lahore Te!: 042 - 3s/722d6/d8 Email ucl If r yahoo com

   S $AEED UL HASSAH H CO.

   C'av.ered Accountants

   COXTIXUED

2. The company's sales tax status has been blacklisted by the Federal Board of Revenue due to the non-payment of an outstanding net (iabi(ity of Rs. 209 mi((ion, as mentioned in Notes 1 J.02 of the financial statements.

3. As noted in the trade and other payables section of the financial statements, these liabilities include aged outstanding balances. We were unable to obtain sufficient appropriate audit evidence to yerify the existence and accuracy of these balances through direct confirmation procedures or alternative audit methods. Consequently, we could not assess the potential impact of any adjustments that might have been required had these liabilities been confirmed.

4. An unclaimed dividend amounting to Rs. 1.444 million, disclosed in financial statements and pertaining to previous years, has not been deposited into the government treasury as required under Section 244 of the Companies Act, 2017. Furthermore, no notification has been issued to shareholders regarding this matter.

5. The financial statements report advances, deposits, prepayments, and other receivables totaling Rs. 59.427 million, which have been outstanding for an extended period. We were unable to obtain direct confirmations for these balances, and based on our assessment, a significant portion appears to be impaired. However, no impairment provisions have been recognized. Due to insufficient evidence, we could not quantify the financial impact of such provisions had they been recorded.

Qualified Conclusion

Based on our review, except for the issues outlined above, nothing has come to our attention indicating that the accompanying interim financial statements are not prepared, in all material respects, in accordance with the accounting and reporting standards applicable in Pakistan for interim financial reporting.

The engagement partner on the review resulting in this independent auditor's report is Mr. Saeed UI Hassan,

AEED UL HASSAH b Co.

Chartered Accountants

Place: Lahore Date: May 16, 2025

UDIN: RR202510617X8aVdnDzY

EQUITY AND LIABILITIES

Share Capital and Reserves

Authorized capital

35,000,000 (Sept. 30, 2022: 35,000,000) ordinary

Note

Un-audited Audited

March 31, 2025 Sep 30, 2024

Rupees

The annexed notes from 1 to 19 are form an integral part of these condensed interim financial information

ABDULLAH ILYAS

CHIEF EXECUTIVE

RAZA MUSTAFA SYED MUBASHIR HUSSAIN BUKHARI

DIRECTOR CHIEF FINANCIAL OFFICER

CONDENSED INTERIM STATEMENT OF PROFIT OR LOSS (UN-AUDITED)

FOR THE HALF YEAR AND 2ND QUARTER ENDED MARCH 31, 2025

The annexed notes from 1 to 19 are form an integral part of these condensed interim financial information

ABDULLAH ILYAS

RAZA MUSTAFA

SYED MUBASHIR HUSSAIN BUKHARI

CHIEF EXECUTIVE DIRECTOR CHIEF FINANCIAL OFFICER

CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME (UN-AUDITED)

FOR THE HALF YEAR AND 2ND QUARTER ENDED MARCH 31, 2025

Half year ended Quarter ended

March 31, 2025 March 31, 2024 March 31, 2025 March 31, 2024

Rupees Rupees

(Loss/Profit) after taxation (112,872,514) (223,721,645) (138,648,979) (150,730,861)

Other comprehensive income for the period - - - -

Total comprehensive (loss) for the period (112,872,514) (223,721,645) (138,648,979) (150,730,861)

The annexed notes from 1 to 19 are form an integral part of these condensed interim financial information

ABDULLAH ILYAS

RAZA MUSTAFA

SYED MUBASHIR HUSSAIN BUKHARI

CHIEF EXECUTIVE DIRECTOR CHIEF FINANCIAL OFFICER

CONDENSED INTERIM STATEMENT OF CASH FLOWS (UN-AUDITED)

FOR THE HALF YEAR ENDED MARCH 31, 2025

March 31, 2025 March 31, 2024

The annexed notes from 1 to 19 are form an integral part of these condensed interim financial information

ABDULLAH ILYAS

RAZA MUSTAFA

SYED MUBASHIR HUSSAIN BUKHARI

CHIEF EXECUTIVE DIRECTOR CHIEF FINANCIAL OFFICER

HASEEB WAQAS SUGAR MILLS LIMITED

CONDENSED INTERIM STATEMENT OF CHANGES IN EQUITY (UN-AUDITED)

FOR THE HALF YEAR ENDED MARCH 31, 2025

Issued Subscribed and Paid up Capital

Loan from Directors

Surplus on Revaluation of Property, Plant & Reequipments

Accumulated (Loss) / Profit

Total

R u p p e e s

Balance as at September 30, 2023 324,000,000 1,225,190,739 4,713,414,891 (5,496,427,007) 766,178,623

-

-

-

-

-

-

(223,721,645)

-

(223,721,645)

-

Loss for the period

Other comprehensive Income / (Loss) for the Period

Total comprehensive income / (loss) for the period - - - (223,721,645) (223,721,645)

Transaction with Owners:

Increase / (Decrease) in Director's Laon during the Period - - - - -

Surplus on revaluation of fixed assets transferred to

retained earnings in respect of incremental depreciation - net of Tax - - (83,266,945) 83,266,945 -

Balance as at March 31, 2024 324,000,000 1,225,190,739 4,630,147,946 (5,636,881,707) 542,456,978

Total comprehensive loss for the period

Net (loss) for the period - - - (73,124,482) (73,124,482)

Other comprehensive income - - - - -Total comprehensive income / (loss) for the period - - - (73,124,482) (73,124,482) Increase in director's loan during the year - 33,254,380 - - 33,254,380

Revaluation Surplus arise during the year - -

The annexed notes from 1 to 19 are form an integral part of these condensed interim financial information

ABDULLAH ILYAS

RAZA MUSTAFA

SYED MUBASHIR HUSSAIN BUKHARI

CHIEF EXECUTIVE DIRECTOR CHIEF FINANCIAL OFFICER

NOTES TO THE CONDENSED INTERIM FINANCIAL INFORMATION

FOR THE HALF YEAR ENDED MARCH 31, 2025

1. STATUS AND ACTIVITIES

   Haseeb Waqas Sugar Mills Limited ("the Company") was incorporated on 13 January 1992 as a Public Limited Company under the Companies Ordinance, 1984 ( Now the Companies Act 2017). The Company's registered office is situated at 6 F Model Town, Lahore. The mill is situated at Tehsil Jattoi Distt. Muzafargarh. The Company is listed on Pakistan Stock Exchange. The principal activity of the Company is manufacture and sale of refined sugar and its by-products.

2. STATEMENT OF COMPLIANCE

   1. These condensed interim financial statements have been prepared in accordance with the accounting and reporting standards as applicable in Pakistan for interim financial reporting which 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 (the Act) and provisions of and directives issued under the Act. Where the provisions of and directives issued under the Act differ with the requirements of IAS 34, the provisions of and directives issued under the Act have been followed.

      These condensed interim financial statements do not include all the information and disclosures required in an annual audited financial statements, and should be read in conjunction with the Company's annual audited financial statements for the year ended September 30, 2022.

   2. This condensed interim financial report comprises of the condensed interim statement of financial position as at March 31, 2025, the condensed interim profit or loss account, the condensed interim profit or loss account and other comprehensive income, condensed interim statement of changes in equity and the condensed interim statement of cash flows for the six months period then ended which have been subjected to a review but not audited. This condensed interim financial report also includes the condensed interim profit or loss account for the quarter ended March 31, 2024 which is not subject to a review.

   3. The comparative Statement of financial position, presented in this condensed interim financial statement, as at March 31, 2025 has been extracted from the annual audited financial statements of the Company for the year ended September 30, 2024 whereas the comparative condensed interim profit or loss account, the condensed interim profit or loss account and other comprehensive income, condensed interim statement of changes in equity and condensed interim statement of cash flows for the six months period ended March 31, 2025 were subjected to review but not audited. The comparative condensed profit or loss account for the quarter ended March 31, 2024 included in this condensed interim financial report was not subject to a review.

3. BASIS OF MEASUREMENT

   This condensed interim financial information has been prepared under the historical cost convention modified by adjustment of revaluation of certain assets. In this condensed interim financial information, except for the statement of cash flows, all the transactions have been accounted for on accrual basis.

4. SIGNIFICANT ACCOUNTING POLICIES

   The accounting policies and the methods for computation adopted for the preparation of this condensed interim financial information is the same as those applied in preparation of the financial statements for the year ended September 30, 2024.

5. GOING CONCERN ASSUMPTION

   During the period under review, the Company posted gross loss of Rs. 141,418,666/- as compared to last period's of Rs. 172,009,937/-. Further, the Company remain non operational during the crushing season and resultantly have zero production and sales during the period.

   OPERATIONAL MEASURES

   In view of above issues Company has taken and / or in the process of taking following mitigating steps: Shifting of mill to Alipur Jatoi, Muzaffargarh done where sugar cane availability and sugar recovery are better. BMR done and we will see impact of this BMR in the financials of coming season.

   Our review petition (regarding shifting of mill to Alipur Jatoi) dismissed by Supreme Court and management considering alternate options available including but not limited to application to Ministry of Industries and Planning under Section 3 of the Punjab Industries (Control on Establishment and Enlargement) Ordinance, 1963.

   The management foresees positive cash flow from future operations in expectation of better availability of sugar cane and sugar prices in coming season, since sugar dynamics are good and rising.

   The projected financial statements prepared by the management to support its going concern assessment is based on following assumptions.

   	Year Ended September 30,
   	2027	2028	2029
   Sugar Cane Crushing M.T	780,000	800,000	800,000
   Sugar cane rate	300	320	330
   Sugar price per Kg	90	85	85

   However, it is believed that considering the mitigating factors set out in the preceding paragraphs, the going concern assumption is appropriate and has, as such, prepared these financial statements on a going concern basis.

6. ISSUED, SUBSCRIBED AND PAID UP CAPITAL

Note Mar. 31, 2025 Sept. 30, 2024

Rupees

This loan has been obtained from Sponsors of the Company, and is interest free. There is no fixed tenor or schedule for repayment of this loan. According to the loan agreement, the lenders shall not demand repayment and the same is entirely at the Company's option. Further, this loan is subordinated to National Bank of Pakistan, The Bank of Punjab, Sindh Bank Limited and Silk Bank Ltd.

These loans are accounted for under Technical Release - 32 "Accounting Directors' Loan" issued by the Institute of Chartered Accountants of Pakistan effective for the financial statements for the period beginning on or after January 01, 2016 with earlier application permitted.

8 LONG TERM FINANCING

Loan from banking companies and other financial institutions-secured

National Bank of Pakistan

Less: current portion shown under current liabilities

• NBP - Demand Finance - I

• NBP - Demand Finance - II

• Sindh Bank - Demand Finance

• Silk Bank Ltd

• Demand Finance - PAIR

(1,340,000,000) (1,340,000,000)

- -

Opening balance 220,000,000 220,000,000

Loan obtained during the period / year - -220,000,000 220,000,000

Less: payment made during the period / year - -220,000,000 220,000,000

This finance has been obtained from National Bank of Pakistan The finance is secured by 1st PP charge of Rs. 293.334 million on fixed assets of the Company and personal guarantees of sponsoring directors of the Company. It carries markup 3 months KIBOR +2.5% per annum. This loan is payable in ten bi-annual instalments.

Opening balance 70,000,000 70,000,000

Less: payment made during the period / year - -70,000,000 70,000,000

This finance has been obtained from PAIR Investment Company Limited. The finance is secured by parri passsu charges over the present and future fixed assets of the Company, with a margin of 33% above the financing amount. Parri passu charge by way of creation of mortgage over the land and building of the Company and personal guarantees of directors of the Company. It carries markup 3 months KIBOR +350 bps per annum. This loan is payable in eighteen equal monthly installments.

1. PROPERTY, PLANT AND EQUIPMENT

   Note Mar. 31, 2025 Sept. 30, 2024

   Rupees

   Opening written down value Addition / Deletion during the period	5,863,625,134 -		6,152,109,233 -
   	5,863,625,134		6,152,109,233
   Depreciation for the period / year	(135,459,428)		(288,484,099)
   	5,728,165,706		5,863,625,134

2. STOCK IN TRADE Note Mar. 31, 2025 Sept. 30, 2024

Rupees

Work in process

Sugar - -

By products stock - -

- -

Half year ended Quarter ended

March 31, 2025 March 31, 2024 March 31, 2025 March 31, 2024

OTHER INCOME - - - -

16

RELATED PARTY TRANSACTIONS

17

Related parties comprise holding company, subsidiaries and associated undertakings, other related group companies, key management personnel including Chief executive, Directors and Executives and Post employment benefit plans. The Company in the normal course of business carries out transactions with various related parties. Details of related party transactions and balances are as follows:

March 31, Sep 30, 2024 Rupees

AUTHORIZATION FOR ISSUE

18

This condensed interim financial information has been authorized for issue by the Board of Directors of the Company on May 29, 2025.

GENERAL

19 Compara

• Figures have been rounded off to the nearest of Pakistani rupees.

• Figures have been rounded off to the nearest of Pakistani rupees.

ABDULLAH ILYAS

RAZA MUSTAFA

SYED MUBASHIR HUSSAIN BUKHARI

CHIEF EXECUTIVE DIRECTOR CHIEF FINANCIAL OFFICER