Ruby Textile Mills LimitedPSX: RUBY

Tansmission of Half Yearly Account for the period ended December 31, 2023

Mar 4, 2024 at 9:54 AM UTC · Issued by Ruby Textile Mills Limited

35-Industrial Area, Gulberg-III,Lahore-54660, Pakistan

Phone: (+92-42)3571-4601,3576-1243-4

Fax: (+92-42)3571-1400,3576-1222

Email: info@rubytextile.com.pk

Ruby Textile Mills Limited

DIRECTOR'S REPORT TO THE MEMBERS

The Board of Directors of your Company are pleased to present the Un-audited Financial Statements for the Half Year ended 31 December, 2023.

INDUSTRY OVERVIEW:

The textile industry is a crucial contributor to the economy of Pakistan, and its significance is amplified by the country's reliance on foreign exchange. The recent devaluation of the Pakistani Rupee against US dollar has given textile exporters a competitive edge in terms of pricing. However, in the long run. Devaluation has become a growing concern for textile exporters as it raises input costs, making exports less competitive.

Looking towards the future, the economy is facing severe challenges. These challenges will not only impede the already feeble economic growth, but they will also lead to spiraling prices of food items due to supply disruptions. As a result, inflation is likely to remain high throughout the year. The textile industry is expected to remain under stress due to all time high markup rates and increasing energy costs.

COMPANY PERFORMANCE

Half yearly brief financial performance of the Company is presented here under:

	R U	P E E S
	31-12-2023	31-12-2022
Revenue	-	-
Cost of Sales	(14,717,792)	(5,404,495)
Gross Loss	(14,717,792)	(5,404,495)
Distribution Cost	-	-
Administrative and general expenses	(17,493,858)	(14,813,155)
Other income	5,571,520	11,785,262
Finance cost	(1,741,940)	(1,249,482)
Loss before taxation	(28,382,070)	(9,681,870)
Taxation	4,180,605	-
Loss for the period	(24,201,465)	(9,681,870)
Loss per share - basic and diluted	(0.46)	(0.19)

We regret to inform that our Company's financial performance during the current period has been unsatisfactory. We have incurred a significant loss of 24.201 million. The auditor's has issued adverse report on the matter of Going concern assumption in the preparation of the condensed interim financial statement. Although the company had closed its operation but your directors have firm believe and commitment to contribute funds to meet the financial requirement of the company, We do believe that with favorable market conditions, the company would be operational to achieve to optimum productivity and generate the sufficient funds to meet the commitment.

The directors have full confidence in the company and they are committed to make it a profitable venture. The Directors and Associated Companies have made fresh injection of Rs.20.897 million to meet the financial commitment.

ACKNOWLEDGEMENT

The Board records its profound appreciation for all our colleagues, customers, banks, management and staff who are strongly committed to their work as the success of your Company is built around their efforts. The Company acknowledges and thanks all stakeholders for the confidence reposed in it.

		on behalf of the Board
Lahore		Noor Elahi	Imtiaz Ahmad
February 26, 2024	Chief Executive Officer	Director

Ruby Textile Mills Limited

COMPANY'S PROFILE

BOARD OF DIRECTORS	MR. NOOR ELAHI	- CHIEF EXECUTIVE
	MRS. PARVEEN ELAHI	- CHAIR PERSON
	Directors:
	MRS. NAHEED JAVED
	MR. IMTIAZ AHAMD
	MR. MUHAMMAD ASLAM ANSARI
	MR. AMJAD SHAHID
	MR. MANSOOB AHMED KHAN
CHIEF FINANCIAL OFFICER	MR. ADREES AZAM
COMPANY SECRETARY	MR. ADREES AZAM
AUDIT COMMITTEE	MR. MANSOOB AHMED KHAN	- CHAIRMAN
	MRS. NAHEED JAVED	- MEMBER
	MR. MUHAMMAD ASLAM ANSARI	- MEMBER
HUMAN RESOURCE &	MR. MANSOOB AHMED KHAN	- CHAIRMAN
REMUNERATION	MR. IMTIAZ AHMAD	- MEMBER
COMMITTEE	MR. MUHAMMAD ASLAM ANSARI - MEMBER
BANKERS	M/S. MEEZAN BANK LIMITED
	M/S. BANK AL-HABIB LIMITED
	M/S. HABIB METROPOLITAN BANK LTD
	M/S. NATIONAL BANK OF PAKISTAN
	M/S. SILK BANK LTD
	M/S. FAYSAL BANK LIMITED
	M/S. MUSLIM COMMERCIAL BANK LTD
	M/S. HABIB BANK LTD
	M/S. BANK ALFALAH LTD
AUDITORS	M/S. Sarwars
	Chartered Accountants,
	Office # 12-14, 2nd Floor, Lahore Centre,
	77-D, Main Boulevard, Gulberg-III, Lahore
	email: sarwarsca@sarwarsca.com
	Tel: 35782920-22, Fax: 35773825
INTERNAL AUDITOR	MR. TAHIR ALI
LEGAL ADVISOR	M/S. MOHSIN & WAHEED LAW ASSOCIATES
	Office # S-3, 2nd Floor, West End Plaza,
	72-The Mall Road, Lahore.
HEAD OFFICE	35-Industrial Area, Gulberg -III,
	Lahore - 54660, Pakistan
	Phone: (+92-42)3571-4601,3576-1243-4
	Fax: (+92-42)3571-1400,3576-1222
	Email: info@rubytextile.com.pk
REGISTERED OFFICE	35-Industrial Area, Gulberg -III,
	Lahore - 54660, Pakistan
	Phone: (+92-42)3571-4601,3576-1243-4
	Fax: (+92-42)3571-1400,3576-1222
	Email: info@rubytextile.com.pk
MILLS	Raiwind-Manga Road,
	Raiwind, District Kasur. -55050. Pakistan.
	Phone: (+92-42)3539-1031,3539-2651-2
	Fax: (+92-42)3539-1032
	Email: wasim@rubytextile.com.pk
SHARE REGISTRAR	M/S. CORPLINK (PRIVATE) LIMITED
	1-K, (Commercial) Wings Arcade,

Model Town, Lahore. 54700

Phone: (+92-42) 35916714, 35839182

Fax: (+92-42)3586-9037

Email: corplink786@gmail.com/shares@corplink.com.pk

Ruby Textile Mills Limited

CONDENSED INTERIM STATEMENT OF FINANCIAL POSITION (UN-AUDITED)

AS AT DECEMBER 31, 2023

		(Un-audited)	(Audited)
		December 31,	June 30,
	Notes	2023		2023
ASSETS	--------------Rupees-------------

NON-CURRENT ASSETS
Property, plant and equipment & CWIP	4	917,780,268		931,131,964
Long term deposits		1,303,945		1,303,945
		919,084,213		932,435,909
CURRENT ASSETS

Stores, spare parts and loose tools

Stock-in-trade5 Trade debts

Advances and prepayments

Due from Government

Cash and bank balances

TOTAL ASSETS

EQUITY AND LIABILITIES

SHARE CAPITAL AND RESERVES

15,762,426

6,226,123

10,025,920

223,129

32,237,598

951,321,811

17,737,426

6,310,764

8,296,745

638,678

32,983,612

965,419,521

Authorized share capital
Issued, subscribed and paid up share capital
Accumulated losses
Surplus on revaluation of property, plant and equipment
Loan from sponsors and other related parties	6
NON-CURRENT LIABILITIES
Long term financing from others	7
Long term security deposits	8
Deferred liabilities

CURRENT LIABILITIES

Trade and other payables

Accrued markup

Unclaimed dividend

Current & overdue portion of long term loans

Provision for taxation

TOTAL LIABILITIES

700,000,000

522,144,000

(905,925,543)

419,867,311

674,207,209

710,292,977

68,054,916

4,231,660

24,666,654

96,953,230

81,991,053

12,587,314

402,570

49,094,667

144,075,604

241,028,834

700,000,000

522,144,000

(887,128,572)

425,271,805

653,309,709

713,596,942

79,477,250

7,731,660

29,404,308

116,613,218

78,088,715

11,755,993

402,570

44,962,083

135,209,361

251,822,579

CONTINGENCIES AND COMMITMENTS	9	-		-
TOTAL EQUITY AND LIABILITIES		951,321,811		965,419,521

The annexd notes from 1 to 13 form an integral part of these financial statements.

Chief Executive

Director

Chief Financial Officer

- Current

- Deferred

Loss for the period

Loss per share - basic and diluted

Ruby Textile Mills Limited

CONDENSED INTERIM STATEMENT OF PROFIT OR LOSS

FOR THE HALF YEAR ENDED DECEMBER 31, 2023

		HALF YEAR ENDED

		December 31,		December 31,
		2023	2022

		------------Rupees------------
Sales	-	-
Less: Sales tax	-	-
Sales- net
	-	-
Cost of sales	(14,717,792)	(5,404,495)
Gross loss
	(14,717,792)	(5,404,495)
Distribution cost	-	-
Administrative and
general expenses	(17,493,858)	(14,813,155)
Other income / (Loss)	5,571,520	11,785,262
Finance cost	(1,741,940)	(1,249,482)
Loss before taxation
	(28,382,070)	(9,681,870)
Taxation

QUARTER ENDED

December 31,			December 31,
2023		2022

------------Rupees------------
-	-
-	-

-	-
(7,358,896)	(2,724,277)

(7,358,896)	(2,724,277)
-	-
(10,687,279)	(9,259,818)
3,878,640	3,483,602
(1,741,940)	(604,802)

(15,909,475)	(9,105,295)

4,180,605

(24,201,465)

(9,681,870)

4,180,605

(11,728,871)

(9,105,295)

(0.46)(0.19)(0.22)(0.17)

The annexed notes from 1 to 13 form an integral part of these condensed interim financial statements.

Chief Executive

Director

Chief Financial Officer

CONDENSED INTERIM STATEMENT OF PROFIT OR LOSS

AND OTHER COMPREHENSIVE INCOME

FOR THE HALF YEAR ENDED DECEMBER 31, 2023

	HALF YEAR ENDED

	December 31,		December 31,
	2023		2022
	---------------Rupees-------------
Loss for the period	(24,201,465)	(9,681,870)
Other comprehensive income
for the period	-	-
Total comprehensive loss
for the period	(24,201,465)	(9,681,870)

QUARTER ENDED

December 31,		December 31,
2023		2022
---------------	Rupees-------------

(11,728,871)(9,105,295)

The annexed notes from 1 to 13 form an integral part of these condensed interim financial statements.

Chief Executive

Director

Chief Financial Officer

Balance as at June 30, 2021

Loss for the year

Surplus on revaluation of property, plant and equipment -net of deferred tax

Remeasurement of staff retirement benefits -net of deferred tax

Loan received during the year

Loan from associates

Incremental depreciation - net of deferred tax

Balance as at June 30, 2022

Effect of restatement (see note 3.29) Effect of restatement (see note 3.29) Balance as at July 01, 2023

Loss for the year

Surplus on revaluation of property, plant and equipment -net of deferred tax

Remeasurement of staff retirement benefits -net of deferred tax Loan received during the year Loan from associates

Incremental depreciation - net of deferred tax

Balance as at June 30, 2023

Loss for the year

Surplus on revaluation of property, plant and equipment -net of deferred tax

Remeasurement of staff retirement benefits -net of deferred tax Loan received during the year Loan from associates

Incremental depreciation - net of deferred tax

Balance as at December 31, 2023

		Revenue reserve	Revaluation		Long term loan
			surplus on	Sub
Share capital	Capital reserves		property, plant	from	Total
	Total
		Accumulated losses	and	chief executive

			equipment		and directors
-----------------------------------------------------------------------------			Rupees-----------------------------------------------------------------------------


522,144,000	-	(780,213,844)	340,374,422	82,304,578	589,833,409	672,137,987
-	-	(27,919,627)	-	(27,919,627)	-	(27,919,627)
-	-	(141,024)	-	(141,024)	-	(141,024)
-	-	-	-	-	23,725,000	23,725,000
-	-	-	-	-	11,035,500	11,035,500
-	-	8,662,245	(8,662,245)	-	-	-
522,144,000	-	(799,612,250)	331,712,177	54,243,927	624,593,909	678,837,836
-	-	(36,101,494)	-	(36,101,494)	-	(36,101,494)
-	-	(275,701)	-	(275,701)	-	(275,701)
522,144,000	-	(835,989,446)	331,712,177	17,866,732	624,593,909	642,460,641
-	-	(60,271,380)	-	(60,271,381)	-	(60,271,381)
-	-	-	101,922,314	101,922,314	-	101,922,314
-	-	769,568	-	769,568	-	769,568
-	-	-	-	-	25,629,800	25,629,800
-	-	-	-	-	3,086,000	3,086,000
-	-	8,362,686	(8,362,686)	-	-	-
522,144,000	-	(887,128,572)	425,271,805	60,287,233	653,309,709	713,596,942
-	-	(24,201,465)	-	(24,201,466)	-	(24,201,466)
-	-	-	-	-	-	-
-	-	-	-	-	290,000	290,000
-	-	-	-	-	20,607,500	20,607,500
-	-	5,404,495	(5,404,495)	-	-	-
522,144,000	-	(905,925,543)	419,867,311	36,085,768	674,207,209	710,292,977

Ruby Textile Mills Limited

The annexd notes from 1 to 13 form an integral part of these financial statements.

Chief Executive

Director

Chief Financial Officer

Ruby Textile Mills Limited

CONDENSED INTERIM STATEMENT OF CASH FLOWS

FOR THE HALF YEAR ENDED DECEMBER 31, 2023

	December 31,		December 31,
	2023	2022
Note	Rupees		Rupees

a) CASH FLOWS FROM OPERATING ACTIVITIES

Loss before taxation

Adjustments for non cash and other items:

Depreciation

Provision for staff retirement benefit-gratuity

Liability written back

Provision for obsolete stores and spares & written down to NRV Reversal of Provision

Finance cost

Operating cash flow before working capital changes Changes in working capital

(Increase) / decrease in current assets

Stores and spares

Stock in trade

Trade debts

Advances and prepayments

Balance with statutory authorities

Increase in current liabilities

Trade and other payables

Cash used in from operations

Finance cost paid

Taxes paid

Staff retirement gratuity paid

Net cash used in from operating activities

(28,382,070)

14,972,928

1,741,940

16,714,868

(11,667,202)

1,975,000

84,641

(1,658,284)

3,902,338

4,303,695

(7,363,507)

(910,618)

(70,891)

(557,050)

(1,538,559)

(8,902,066)

(9,681,870)

5,459,086

1,249,482

6,708,568

(2,973,302)

1,720,390

1,960,323

3,845,580

(12,316,972)

(4,790,679)

(7,763,981)

(1,400,082)

(150,000)

(1,550,082)

(9,314,063)

b) CASH FLOWS FROM INVESTING ACTIVITIES

Addition in property, plant and equipment

Long term deposits

Net cash (used in)/generated from investing activities

CASH FLOWS FROM FINANCING ACTIVITIES

Long term financing from banking companies Short term financing
Long term financing from others Long term security deposuts
Long term financing from directors and associates
Net increase in cash and cash equivalents
Cash and cash equivalents at the beginning of the year Cash and cash equivalents at the end of the year

(1,621,233)

(7,289,750)

(3,500,000)

20,897,500

10,107,750

(415,549)

638,678

223,129

(4,859,829)

(5,940,000)

10,692,800

(107,029)

(9,363,961)

9,676,755

312,794

The annexd notes from 1 to 13 form an integral part of these financial statements.

Chief Executive

Director

Chief Financial Officer

January 01,2021

January 01,2022

January 01,2023

January 01,2022

Ruby Textile Mills Limited

CONDENSED INTERIM NOTES TO THE FINANCIAL STATEMENTS

FOR THE HALF YEAR ENDED DECEMBER 31, 2023

1 STATUS AND NATURE OF BUSINESS

The company was incorporated in Pakistan on October 18, 1980 as a private limited company and was subsequently converted into public limited company. The registered office and head office of the company is located at 35-Industrial area, Gulberg III, Lahore. The shares of the company are quoted on the Pakistan stock exchange limited. The principal business of the company is manufacturing and sale of yarn. The manufacturing units are located at 3-km, Manga Road, Raiwind in the province of Punjab.

1.1 Going concern assumption

The company has been incurring gross losses for the last eight years due to under utilization of production capacity and during the period ended December 31, 2023, the company has incurred a net loss after taxation amounting Rs. 24.172 million, accumulated loss of Rs. 905.897 million and current liabilities exceeds current asset by Rs. 111.824 million of that date. The unit-I and unit-II remain closed during the whole financial year. The company financial limits from bank are rescheduled, whereas the company operation is mainly relient on the financial contribution from sponsoring director's of the company.

These conditions indicate the existence of material uncertainty which may cast significant doubt about the company's ability to continue as a going concern and therefore, it may be unable to realize its assets and discharge its liabilities in the normal course of business. These financial statements, however, have been prepared under the going concern assumptions based on the following mitigating factors narrated below;

Sponsoring Director's of the company has contributed funds amounting to Rs. 20.897 million during the current year and directors has ability and committed to contribute further funds as and when required by the company. Due to the financial constrainsts faced by the company, the management has been working on alternate option by seeking a party to lease out Unit-II to third party or make the unit operative on the conversion basis, whereby, the unit-I will be operated by the company itself. The management expects that lease option or conversion option will be excercised in the forseeable future or make the unit operative on coversion basis.

The total assets of the company exceeds total liability by Rs. 710.321 million and the company entered into restructuring agreement in the year 2020 with M/s Messi Capital for converting the foreign currency loan repayable into Pak rupee with fixation of exchange rate of USD$ partity at Rs.105 with markup on LIBOR plus 1.5%. The company's overall assets are sufficient to meet its liabilities and with directors continous financial supports to meet the financial commitments, the company would be able to revive the business operation at normal trends in upcoming months.

2 BASIS OF PREPARATION

2.1 Statement of compliance

These financial statements 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.

2.2 Basis of measurement

These financial statements have been prepared under the historical cost convention, except for Property plant and equipment's and recognition of certain staff retirement benefits at present value.
These financial statements have been prepared following accrual basis of accounting except for cash flow.
The preparation of these financial statements in conformity with approved accounting standards requires the management to make estimates, assumptions and use judgments that affect the application of policies and reported amounts of assets and liabilities and income and expenses. Estimates, assumptions and judgments are continually evaluated and are based on historic experience and other factors including reasonable expectations of future events. Revisions to accounting estimates are recognized prospectively commencing from the period of revision.
Judgments and estimates made by the management that may have a significant risk of material adjustments to the financial statements in subsequent years.
Functional and presentation currency
Items included in the financial statements of the Company are measured using the currency of the primary economic environment in which the Company operates (the functional currency). The financial statements are presented in Pak Rupees, which is the Company's functional and presentation currency.

2.3 NEW STANDARDS, INTERPRETATIONS AND AMENDMENTS TO PUBLISHED APPROVED ACCOUNTING STANDARDS

2.3.1 Standards, interpretations and amendments to approved accounting standards which became effective during the year

The following amendments to existing standards and interpretations have been published and are mandatory for the year ended June 30, 2022 and are considered to be relevant to the Company's financial statements:

IFRS 3	"Business Combinations" - Definition of business	January 01, 2020
IFRS 7	Financial Instruments Disclosure' - Interest rate benchmark reform	January 01, 2020
IFRS 9	Financial instruments	January 01, 2020
IFRS 16	Leases- Amendment to provide lessees with an exemption from assessing whether a Covid-19 related	June 01, 2020
	rent concession is a lease modification.
IAS 1	Amendments to IAS 1 'Presentation of Financial Statements' - Definition of material	January 01, 2020
IAS 8	IAS 8 'Accounting Policies, Changes in Accounting Estimates and Errors	January 01, 2020
IAS 39	Financial Instruments Recognition and Measurement	January 01, 2020
	Certain annual improvements have also been made to a number of IFRSs.

2.3.2 Standards, interpretation and amendments to approved accounting standards that are not yet effective

The following standards, amendments and interpretations with respect to the approved accounting and reporting standards as applicable in Pakistan and relevant to the Company, would be effective from the dates mentioned below against the respective standard or interpretation:

Standard or Interpretation

Effective Date

IFRS 1

IFRS 3 IFRS 9

IFRS 16

IAS 1

IAS 8

IAS 12

IAS 16

IAS 37

IAS 41

(Period beginning on or after)

Interest Rate Benchmark Reform - Phase 2 (Amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 andJanuary 01,2021 IFRS 16)

Amendments to IFRS 1 'Simplifies the application of IFRS 1 for a subsidiary that become a first time adopter of IFRS later than its parent.

Amendments to IFRS 3 'Business Combinations' - Reference to the conceptual framework. Financial Instruments- For the purpose of performing the ' ten per cent test' for derecognition of financial liabilities.

Amendment to IFRS 16 'Leases' Illustrative Example 13, removes from the example the illustration of the reimbursement of leasehold improvements by the lessor in order to resolve any potential confusion regarding the treatment of lease incentives that might arise because of how lease incentives are illustrated in that example.

Presentation of financial Statements- Amendments regarding the definition of materiality - Disclosure of accounting policies.

Presentation of financial Statements- Amendments regarding the classification of liabilities. Amendments to IAS 8, 'Accounting Policies, Changes in Accounting Estimates and Errors' The IASB clarified how companies should distinguish changes in accounting policies from changes in accounting estimates, with a primary focus on the definition of and clarifications on accounting estimates.

Amendments to 'IAS 12 Income Taxes' - deferred tax related to assets and liabilities arising from a single transaction.

Property Plant and Equipment- Amendments prohibiting a company from deducting from the cost of Property Plant and Equipment amounts received from selling items produced while the company is preparing for its intended use.

Under IAS 37, a contract is 'onerous' when the unavoidable costs of meeting the contractual obligations - i.e. the lower of the costs of fulfilling the contract and the costs of terminating it - outweigh the economic benefits.

Amendment to IAS 41 'Agriculture', removes the requirement to exclude cash flows for taxation when measuring fair value, thereby aligning the fair value measurement requirements in IAS 41 with those in IFRS 13 'Fair Value Measurement'.

Certain annual improvements have also been made to a number of IFRSs.

Ruby Textile Mills Limited

2.3.3 Standards, Interpretations and amendments to approved accounting standards that are not yet effective

The following new standards and interpretation have been issued by the International Accounting Standards Board (IASB), which have not been adopted locally by Securities and Exchange Commission of Pakistan.

		Effective Date
		(Period beginning on or after)
IFRS 1	First time adoption of international financial reporting standards.	January 01,2018
IFRS 17	Insurance contracts.	January 01,2021

The management anticipates that the adoption of the above standards and amendments in future periods will have no material impact on the company's financial statements.

3 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The accounting policies and methods of computations adopted in preparation of these condensed interim financial statements are consistent with those applied in the preparation of the financial statements for the year ended June 30, 2023.

PROPERTY, PLANT AND EQUIPMENT Operating fixed assets

Opening written down value Add: Deficit during the year Add: Addition during the year

Add: Revaluation surplus during the year Capital Work in Process

Less: Depreciation charged during the period / year Closing written down value

STOCK-IN-TRADERaw material Work-in-processFinished goods
LOAN FROM SPONSORS AND OTHER RELATED PARTIES Unsecured- from related parties
Mr. Noor Elahi Mrs. Parveen Elahi Mr. Nabeel Javed Mrs. Naheed Javed
Associated Companies: Naheed Noor (Pvt) Limited
Naheed Noor Enterprises (Pvt) Limited Pure Drinks (Pvt) Limited
Sunrise Bottling Co (Pvt) Ltd Aroma Drinks (Pvt) Limited

Total loan from sponsors and other related parties

	December		June
	2023	2023
NOTE	RUPEES		RUPEES
	917,780,268	931,131,964
	890,724,159	791,277,561
	-	-
	1,621,233	-
	-	126,412,942
	40,407,804	40,407,804
	932,753,196		958,098,306
	(14,972,928)	(26,966,342)
	917,780,268		931,131,964
	-	-
	-	-
	-	-
	-		-
	286,229,178	267,753,678
	139,378,121	137,246,121
	-	-
	150,024,598	150,024,598
	575,631,897		555,024,397
	3,848,844	3,848,844
	62,197,770	61,907,770
	877,656	877,656
	1,115,000	1,115,000
	30,536,042	30,536,042
	98,575,312		98,285,312
6.1
674,207,209	653,309,709

6.1 These interest free loans are repayable at the discretion of the Company. Company has no intention to repay these loan within next twelve months from the reporting date. Therefore, no portion has been classified under current liabilities. Therefore, these loans are not measured at amortized cost as per requirements of IFRS-09, rather these are treated as equity in accordance with the Technical Release - 32 "Accounting Directors' Loan" (TR-32) issued by the Institute of Chartered Accountants of Pakistan (ICAP).The lenders have been given an option to convert the loan into share capital but no option has been exercised yet.

7. LONG TERM FINANCING FROM OTHERS

Foreign Loan	65,625,000	72,187,500
Loan From Bank Al Habib	2,429,916	7,289,750
	68,054,916		79,477,250

8. DEFERRED LIABILITIES

Staff gratuity-Unfunded	12,067,543	12,624,593
Deferred taxation	12,599,111	16,779,715
	24,666,654		29,404,308

9. CONTINGENCIES AND COMMITMENTS

9.1 Contingencies

Mr. Khurram Shahzad Mughal, Mr. Muhammad Afzal and Mr. Muhammad Waseem, ex-employees of the company have filed suits against the company before the compensation Commissioner/ wages Authority Lahore for compensation amounting Rs. 510,000, Rs. 103,576 and Rs. 123,000 as damages against lost of eye-sight and pending wages claim respectively. Legal counsel of the company is hopeful that there is no scope of any fiscal loss to the company in this case.

9.2 Commitments

There are no commitments as at year end. (2023: Rs. Nil).

10. RELATED PARTY TRANSACTIONS

Disclosure of transactions between the Company and related parties have disclosed in the relevant notes to the financial statements except followings:

Name of Related Party	Basis of relationship	December 31, 2023	December 31, 2022
Loan obtained from;		RUPEES	RUPEES
Chief executive
Mr. Noor Elahi	19,545,500	6,682,800
Mrs. Parveen Elahi	Director	2,132,000	4,905,000
Mrs. Naheed Javed	Director	-	1,450,000
Naheed Noor Enterprises (Pvt) Limited	Common Directorship	290,000	-
Loan repaid to;

Mr. Nabeel Javed

Mr. Noor Elahi

Naheed Noor Enterprises (Pvt) Limited Aroma drinks (Pvt.) Limited

11. FINANCIAL RISK MANAGEMENT

Chief executive	-	2,345,000
1,070,000	-
Common Directorship	-	-
	-	-

The Company's financial risk management objectives and policies are consistent with those disclosed in the preceding audited annual published financial statements of the Company for the year ended 30 June 2023.

DATE OF AUTHORIZATION FOR ISSUE
The condensed interim financial statements were authorised for issued on February 26, 2024 by the Board of Directors of the Company .
GENERAL
Figures in this condensed interim financial information have been rounded off to the nearest of rupee.

Chief Executive

Director

Chief Financial Officer