Company Information
Board of Directors | |
Sheikh Amar Hameed | - Chairman |
Mr. Zafar Mahmood | - Chief Executive Officer |
Mr. Khalid Mumtaz Qazi | |
Mr. Muhammad Yahya Khan | |
Mr. Osman Hameed | |
Mr. Khalid Siddiq Tirmizey | |
Mr. Pervaiz Ahmad Khan | |
Mrs. Nazia Qureshi | |
Chief Financial Officer | |
Syed Sajid Nasim |
Company Secretary
Mr. Muhammad Inam-ur-Rahim
Head of Internal Audit
Mr. Umair Tahir
Auditors
Crowe Hussain Chaudhury & Co.
Chartered Accountants
Audit Committee | |
Mr. Pervaiz Ahmad Khan | - Chairman |
Mrs. Nazia Qureshi | - Member |
Mr. Osman Hameed | - Member |
Human Resources & | |
Remuneration Committee | |
Mr. Khalid Siddiq Tirmizey | - Chairman |
Sheikh Amar Hameed | - Member |
Mr. Zafar Mahmood | - Member |
Share Registrar
Corplink (Pvt.) Limited
Wings Arcade, 1-K Commercial,
Model Town, Lahore. Pakistan.
Tel: +92 42 35916714 & 19
Fax: +92 42 35869037
www.corplink.com.pk
Legal Advisors
M/s Hassan & Hassan
Advocates
Bankers
Al Baraka Bank (Pakistan) Limited
Askari Bank Limited
Bank Alfalah Limited
Bank Islami Pakistan Limited
Habib Bank Limited
Habib Metropolitan Bank Limited
JS Bank Limited
MCB Bank Limited
Meezan Bank Limited
Pak Brunei Investment Company Limited
Soneri Bank Limited
The Bank of Punjab
The Bank of Khyber
Registered Office / Plant - 1
14.5 Km, Lahore-Sheikhupura Road, Lahore, Pakistan.
Tel : +92 42 37971512-14
Fax: +92 42 37970229
Plant - 2
14.8 Km, Sheikhupura-Faisalabad Road, Bhikhi, Dist. Sheikhupura. Pakistan.
Tel : +92 56 3883001 - 7
Fax: +92 56 3883010
Head Office
122-B, New Muslim Town,
Lahore, Pakistan.
Tel : +92 42 35926090-93
Fax: +92 42 35926099
Karachi Office
607, Progressive Centre, Block-6,
PECHS, Shahrah-e-Faisal, Karachi.
Tel : +92 21 34327661-62
Web Site
www.nimir.com.pk
Quarterly Report September 2024
1
DIRECTORS' REVIEW REPORT
The Directors are pleased to present their review report, together with the unaudited financial statements of Nimir Resins Limited (the "Company") for the first quarter ended September 30, 2024.
An analysis of the financial results for the quarter is as follows:
September | September | |
2024 | 2023 | |
Rupees '000 | Rupees '000 | |
Revenue from Sales | 2,589,244 | 3,141,629 |
Gross Profit | 242,130 | 299,452 |
Operating Profit | 173,673 | 231,339 |
Profit after Taxation | 37,207 | 81,182 |
Earning per Share - Basic and Diluted (Re) | 0.26 | 0.57 |
During the quarter under review, the Company's revenue contracted by 17%, largely due to subdued demand across sectors, reflecting the general slowdown in economic activity. While gross profit was similarly affected, the decline was slightly higher due to persistent pressure from lower international feedstock prices. Consequently, the bottom line followed suit, reflecting the overall contraction in revenue and profitability during the quarter.
However, it is encouraging to note that the country's economic indicators are showing signs of stabilization. Inflation has come down significantly, reaching a single-digit figure after months of pressure. This, combined with the easing of interest rates by the State Bank of Pakistan, offers optimism for the coming quarters. With international feedstock prices stabilizing, we expect improved performance in the remaining period of the financial year, as the macroeconomic environment becomes more favourable, Insha Allah.
On behalf of the Board, we would like to extend our gratitude to all our stakeholders for their continued trust, support, and confidence in Nimir Resins Limited. We remain confident in our ability to overcome challenges and capitalize on opportunities ahead.
For and on the behalf of the Board | |||
Lahore | Khalid Mumtaz Qazi | Zafar Mahmood | |
October 29, 2024 | Director | Chief Executive Officer |
2
Nimir Resins Limited
202429
Quarterly Report September 2024
3
CONDENSED INTERIM STATEMENT OF FINANCIAL POSITION
AS AT SEPTEMBER 30, 2024
(Un-audited) | ||
Note | Sept. 2024 | |
(Rs. '000') | ||
EQUITY AND LIABILITIES | ||
Share Capital and Reserves | ||
Authorized share capital | ||
150,000,000 (June 30, 2024: 150,000,000) Ordinary | ||
shares of Rs. 10 each (June 30, 2024: Rs.10 each) | 1,500,000 | |
Issued, subscribed and paid up share capital | ||
141,321,064 (June 30, 2024: 141,321,064) Ordinary | ||
shares of Rs. 10 each (June 30, 2024: Rs.10 each) | 1,413,211 | |
Sponsors' interest free loans | 6,886 | |
Reserves | 982,405 | |
Surplus on revaluation of property, plant and equipment- net | 791,603 | |
3,194,105 | ||
Non Current Liabilities | ||
Long term financing | 5 | 2,500 |
Loan from related parties - unsecured | 21,569 | |
Lease liabilities | 38,456 | |
Post employment benefits obligation | 64,440 | |
Deferred tax liability | 44,008 | |
170,973 | ||
Current Liabilities | ||
Trade and other payables | 709,018 | |
Unclaimed dividends | 293 | |
Dividend payables | 6 | 141,321 |
Accrued mark up | 95,595 | |
Short term borrowings | 1,807,887 | |
Current portion of long term financing | 10,000 | |
Current portion of lease liabilities | 10,695 | |
Provision for taxation | 7 | 300,555 |
3,075,364 | ||
Liabilities related to asset classified as held for sale | 36,000 | |
Contingencies and Commitments | - | |
Total Equity and Liabilities | 8 | |
6,476,442 | ||
ASSETS | ||
Non Current Assets | ||
Property, plant and equipment | 1,210,633 | |
Right-of-use assets | 45,058 | |
Long term deposits | 54,271 | |
1,309,962 | ||
Current Assets | ||
Stores and spares | 28,977 | |
Stock in trade | 2,150,984 | |
Trade debts | 2,244,127 | |
Loans and advances | 46,929 | |
Prepayments and other receivables | 21,325 | |
Tax refunds due from government | 392,541 | |
Cash and bank balances | 52,442 | |
4,937,325 | ||
Asset classified as held for sale | 229,155 | |
Total Assets | ||
6,476,442 |
(Audited)
June 2024
(Rs. '000')
1,500,000
1,413,211
6,886
1,084,861
793,261
3,298,219
5,000
21,569
36,856
59,636
50,229
173,290
732,572
293
-
69,326
1,887,701
10,000
10,122
269,788
2,979,802
36,000
-
6,487,311
1,229,864
43,883
46,195
1,319,942
31,795
2,473,142
1,929,140
58,106
4,163
363,397
78,471
4,938,214
229,155
6,487,311
The annexed notes from 1 to 14 form an integral part of this condensed interim financial information (un-audited).
CHIEF EXECUTIVE OFFICER | DIRECTOR | CHIEF FINANCIAL OFFICER |
4
Nimir Resins Limited
CONDENSED INTERIM STATEMENT OF PROFIT OR LOSS
FOR THE QUARTER ENDED SEPTEMBER 30, 2024 (UN-AUDITED)
Quarter Ended | ||||
Note | Sept. 2024 | Sept. 2023 | ||
Rs. "000" | Rs. "000" | |||
Revenue from Sales | 2,589,244 | 3,141,629 | ||
Less: Sales tax | (407,456) | (474,471) | ||
Sales - net | 2,181,788 | 2,667,158 | ||
Cost of sales | 9 | (1,939,658) | (2,367,706) | |
Gross Profit | 242,130 | 299,452 | ||
Operating expenses: |
Distribution costs
Administrative expenses
Operating Profit
Other operating charges
Finance cost
Other income
Profit before Taxation
Taxation
Current
Super tax
Deferred
Net profit for the Period
Earning per Share - Basic and Diluted | 10 |
(34,659)
(33,798)
(68,457)
173,673
(4,745)
(109,911)
2,735
(111,921)
61,752
(27,441)
(3,326)
6,222
(24,545)
37,207
0.26
(32,055)
(36,058)
(68,113)
231,339
(10,757)
(90,277)
6,492
(94,542)
136,797
(44,757)
(15,433)
4,575
(55,615)
81,182
0.57
The annexed notes from 1 to 14 form an integral part of this condensed interim financial information (un-audited).
CHIEF EXECUTIVE OFFICER | DIRECTOR | CHIEF FINANCIAL OFFICER |
Quarterly Report September 2024
5
Condensed Interim Statement of Other Comprehensive Income
FOR THE QUARTER ENDED SEPTEMBER 30, 2024 (UN-AUDITED)
Quarter Ended | ||||
Sept. 2024 | Sept. 2023 | |||
Rs. "000" | Rs. "000" | |||
Net Profit for the Period | 37,207 | 81,182 | ||
Other comprehensive income | - | - | ||
Total Comprehensive Income for the Period | 37,207 | 81,182 |
The annexed notes from 1 to 14 form an integral part of this condensed interim financial information (un-audited).
CHIEF EXECUTIVE OFFICER | DIRECTOR | CHIEF FINANCIAL OFFICER |
6
Nimir Resins Limited
Quarterly Report September 2024
CONDENSED INTERIM STATEMENT OF CHANGES IN EQUITY
FOR THE QUARTER ENDED SEPTEMBER 30, 2024 (UN-AUDITED)
Share | Share | Sponsors' | Reserves | Revaluation | Total | ||
Particulars | |||||||
Capital | Deposit | Loan | Share | Accumulated | Surplus | Equity | |
Money | Interest Free | Premium | Profit | ||||
-------------------------------------------------------- | Rs. '000' -------------------------------------------------------- | ||||||
Balance as at June 30, 2023 | 1,413,211 | 9,391 | 107,000 | 1,281 | 807,070 | 797,574 | 3,135,527 |
Net profit for the period | - | - | - | - | 81,182 | - | 81,182 |
Incremental depreciation for the period on | |||||||
surplus on revaluation of property, plant | |||||||
and equipment - net of deferred tax | - | - | - | - | 2,327 | (2,327) | - |
Balance as at September 30, 2023 | 1,413,211 | 9,391 | 107,000 | 1,281 | 890,579 | 795,247 | 3,216,709 |
Balance as at June 30, 2024 | 1,413,211 | - | 6,886 | 1,281 | 1,083,580 | 793,261 | 3,298,219 |
Net profit for the period | - | - | - | - | 37,207 | - | 37,207 |
Final dividend for 2024 @ Rs. 1 per share | - | - | - | - | (141,321) | - | (141,321) |
Incremental depreciation for the period on | |||||||
surplus on revaluation of property, plant | |||||||
and equipment - net of deferred tax | - | - | - | - | 1,658 | (1,658) | - |
Balance as at September 30, 2024 | 1,413,211 | - | 6,886 | 1,281 | 981,124 | 791,603 | 3,194,105 |
The annexed notes from 1 to 14 form an integral part of this condensed interim financial information (un-audited).
CHIEF EXECUTIVE OFFICER | DIRECTOR | CHIEF FINANCIAL OFFICER |
7
Condensed Interim Statement of Cash Flow
FOR THE QUARTER ENDED SEPTEMBER 30, 2024 (UN-AUDITED)
CASH FLOW FROM OPERATING ACTIVITIES
Profit before taxation
Adjustments:
Depreciation
Depreciation on right of use asset
Provision for gratuity
Workers' profit participation fund
Worker welfare fund
Exchange (gain)/loss - net
Finance cost
Operating profit before working capital changes
(Increase) / decrease in current assets: Stores and spares
Stock in trade Trade debts Loans and advances
Prepayments and other receivables Sales Tax Refundable
Increase / (decrease) in current liabilities: Trade and other payables
Cash generated from / (used in) operations
Finance cost paid
Income tax paid
Gratuity paid
Net Cash Generated From / (Used In) Operating Activities
CASH FLOW FROM INVESTING ACTIVITIES
Property, plant and equipment purchased
Capital work in progress
Long term deposits
Net Cash Used In Investing Activities
CASH FLOW FROM FINANCING ACTIVITIES
Payments against long term financing
Payments against lease liabilities
Short term borrowings - net
Net Cash Generated From / (Used In) Financing Activities
Net Decrease in Cash and Cash Equivalents
Cash and cash equivalents at the beginning of the period
Cash and Cash Equivalents at the End of the Period
Quarter Ended
Sept. 2024 | Sept. 2023 | |
Rs. "000" | Rs. "000" | |
61,752 | 136,797 | |
20,918 | 22,416 | |
3,543 | 2,805 | |
5,214 | 4,576 | |
3,437 | 7,323 | |
1,306 | 2,783 |
- 652
108,19388,753
142,129 129,308
203,881 266,105
2,818 | (4,405) | ||
322,157 | 55,298 | ||
(314,987) | (469,869) | ||
11,177 | (14,148) | ||
(17,162) | (99,514) | ||
79,759 | 35,317 | ||
(99,835) | (308,166) | ||
(16,073) | (805,487) | ||
187,808 | (539,382) |
(80,058) (74,919)
(36,880) (36,048)
-
-
70,460 (650,349)
- (88)
(1,259) (18,232)
(8,076) | - |
(9,763) (18,320)
(2,500) (122,143)
(4,412)(1,706)
(79,814) 719,623
(86,726) 595,774
(26,029) (72,895)
78,471 134,023
52,44261,128
The annexed notes from 1 to 14 form an integral part of this condensed interim financial information (un-audited).
CHIEF EXECUTIVE OFFICER | DIRECTOR | CHIEF FINANCIAL OFFICER |
8
Nimir Resins Limited
Notes to and Forming part of the Condensed Interim Financial Information
FOR THE QUARTER ENDED SEPTEMBER 30, 2024 (UN-AUDITED)
- THE COMPANY AND ITS OPERATIONS
- Nimir Resins Limited (the Company) was incorporated in Pakistan on December 17, 1964 as a private limited company under the Companies Act, 1913 (now the Companies Act, 2017) and was converted into public limited company on August 19, 1991.
- The principal activity of the Company is to manufacture coating resins, composite resins (UPR), optical brightener, textile auxiliaries and paper surface sizing agents.
- The shares of the Company are quoted on Pakistan Stock Exchange Limited. The Company is domiciled in Pakistan and its registered office is situated at 14.5 KM, Lahore-Sheikhupura Road, Lahore.
- Corporate office of the Company is located at 14.5 KM, Lahore-Sheikhupura Road, Lahore while the production plants of the Company are located at 14.5 KM, Lahore-Sheikhupura Road, Lahore and 14.8 KM, Sheikhupura Faisalabad Road, Sheikhupura.
- BASIS OF PREPARATION
- These condensed interim financial information have been prepared in accordance with the accounting and reporting standards as applicable in Pakistan. The accounting and reporting standards applicable in Pakistan comprise of:
- International Financial Reporting Standard (IFRS) 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 provisions of and directives issued under the Companies Act, 2017 differ from the IFRS, the provisions of and directives issued under the Companies Act, 2017 have been followed.
- The condensed interim financial information does not include all the information and disclosures required in the annual financial statements and should be read in conjunction with the financial statements of the Company for the year ended 30 June, 2024.
- This condensed interim financial information is presented in Pak rupees, which is the Company's functional and presentational currency. The financial statements have been prepared under the historical cost convention. Figures have been rounded off to the nearest thousand rupee, unless stated otherwise.
-
SIGNIFICANT ACCOUNTING POLICIES
The accounting policies and methods of computation of this condensed interim financial information are the same as those followed in the preparation of annual financial statements for the preceding financial year ended June 30, 2024. - ACCOUNTING ESTIMATES AND JUDGMENT
The accounting estimates and associated assumptions used in preparation of this condensed interim financial information are consistent with those applied in the preparation of annual financial statement for the year ended June 30, 2024.
5 LONG TERM FINANCING | (Un-audited) | (Audited) | |
Sept. 2024 | June 2024 | ||
Rs."000" | Rs."000" | ||
Long term financing | 12,500 | 15,000 | |
Less: Current portion | (10,000) | (10,000) | |
2,500 | 5,000 |
5.1 The Company had obtained a loan of Rs. 50 million from Bank Alfalah Limited for Solar Energy system of 578.76KW. This loan is repayable in 20 equal quarterly installments starting from March 31, 2021. Markup is charged at SBP rate plus 2% p.a payable quarterly in arrears. This loan is secured against joint pari passu charge over fixed assets of the Company.
6 SHORT TERM BORROWINGS | (Un-audited) | (Audited) | |
Sept. 2024 | June 2024 | ||
Rs."000" | Rs."000" | ||
Banking companies - Secured | |||
Running finance | 618,505 | 646,307 | |
Borrowings / finance against trust receipts | 1,189,382 | 1,241,394 | |
1,807,887 | 1,887,701 |
Quarterly Report September 2024
9
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