TARIQ GLASS INDUSTRIES LIMITED
1st Quarterly Report
30th September, 2024 (Unaudited)
An ISO 9001 : 2015 Certified Company
FSSC 22000 Certified Company
CONTENTS
COMPANY INFORMATION | 2 |
VISION & MISSION STATEMENT | 3 |
DIRECTORS' REVIEW (English) | 4 |
DIRECTORS' REVIEW (Urdu) | 5 |
CONDENSED INTERIM STATEMENT OF FINANCIAL POSITION | 7 |
CONDENSED INTERIM STATEMENT OF PROFIT OR LOSS | 8 |
CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME | 9 |
CONDENSED INTERIM STATEMENT OF CHANGES IN EQUITY | 10 |
CONDENSED INTERIM STATEMENT OF CASH FLOWS | 11 |
NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS | 12 |
1st Quarterly Report 2024-25
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COMPANY INFORMATION
BOARD OF DIRECTORS
MR. MANSOOR IRFANI | CHAIRMAN |
MR. OMER BAIG | MANAGING DIRECTOR / CEO |
MR. MOHAMMAD BAIG | EXECUTIVE DIRECTOR |
MR. SAAD IQBAL | NON-EXECUTIVE DIRECTOR |
MS. RUBINA NAYYAR | NON-EXECUTIVE / FEMALE DIRECTOR |
MR. ADNAN AFTAB | INDEPENDENT DIRECTOR |
MR. FAIZ MUHAMMAD | INDEPENDENT DIRECTOR |
AUDIT COMMITTEE
MR. FAIZ MUHAMMAD | CHAIRMAN |
MR. MANSOOR IRFANI | MEMBER |
MR. SAAD IQBAL | MEMBER |
LEGAL ADVISOR
KASURI AND ASSOCIATES, LAHORE
BANKERS
HUMAN RESOURCE &
REMUNERATION COMMITTEE
MR. FAIZ MUHAMMAD | CHAIRMAN | |
MR. OMER BAIG | MEMBER | |
MS. RUBINA NAYYAR | MEMBER | |
CHIEF FINANCIAL OFFICER | ||
MR. WAQAR ULLAH | ||
COMPANY SECRETARY | ||
MR. MOHSIN ALI | ||
EXTERNAL AUDITORS
CROWE HUSSAIN CHAUDHURY & CO.
CHARTERED ACCOUNTANTS, LAHORE
CORPORATE CONSULTANTS
MR. RASHID SADIQ
M/S R.S. CORPORATE ADVISORY , LAHORE
TAX CONSULTANTS
GRANT THORNTON ANJUM RAHMAN, CHARTERED ACCOUNTANTS, LAHORE
AL-BARAKA BANK (PAK) LIMITED ALLIED BANK LIMITED ASKARI BANK LIMITED
BANK ALFALAH LIMITED
BANK ALHABIB LIMITED
FAYSAL BANK LIMITED
HABIB BANK LIMITED
HABIB METROPOLITAN BANK LIMITED
INDUSTRIAL AND COMMERCIAL BANK OF CHINA LIMITED MCB BANK LIMITED
MEEZAN BANK LIMITED NATIONAL BANK OF PAKISTAN
PAKISTAN KUWAIT INVESTMENT CO., (PVT) LIMITED SAMBA BANK LIMITED
SONERI BANK LIMITED
THE BANK OF KHYBER
THE BANK OF PUNJAB
UNITED BANK LIMITED
SHARES REGISTRAR
SHEMAS INTERNATIONAL (PVT) LIMITED 533-Main Boulevard, Imperial Garden Block, Paragon City, Barki Road, Lahore.
TEL: +92-42-37191262
E-MAIL: info@shemasinternational.com
COMPANY RATING
LONG TERM: A+ | SHORT TERM: A1 |
OUTLOOK: STABLE | RATING AGENCY: PACRA |
RATING DATE: DECEMBER 22, 2023
REGISTERED OFFICE
128-J, MODEL TOWN, LAHORE. UAN: 042-111-34-34-34
FAX: 042-35857692 - 35857693
E-MAIL: info@tariqglass.com
WEBSITE: www.tariqglass.com
WORKS
33-KM, LAHORE / SHEIKHUPURA ROAD,
DISTRICT SHEIKHUPURA.
TEL: (042) 37925652, (056) 3500635-7
FAX: (056) 3500633
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VISION AND MISSION
STATEMENTS
OUR VISION
To be a premier glass manufacturing organization of International standards and repute, offering innovative value- added products, tailored respectively to the customer's needs and satisfaction. Optimizing the shareholder's value through meeting their expectations, making Tariq Glass Industries Limited an "Investor Preferred Institution" is one of our prime policies. We are a "glassware supermarket" by catering all household and industrial needs of the customers under one roof.
OUR MISSION
To be a world class and leading company continuously providing quality glass tableware, containers and float by utilizing best blend of state of the art technologies, highly professional staff, excellent business processes and synergistic organizational culture.
1st Quarterly Report 2024-25
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Directors' Review
The Directors of the Company present before you their review together with the un-audited interim financial statements of the Company for the first quarter ended September 30, 2024.
Financial and Operational Performance:
Amid diminishing inflationary pressures, improved inflation expectations and business confidence, the Monetary Policy Committee (MPC) reduced the policy rate by 200 basis points to 17.5 percent in its recent decision held on September 12, 2024. The external account position has strengthened due to improved exports and foreign remittances. The KSE-100 index has shown a significant increase, rising to approximately 86,000 points, highlighting investors' confidence in the market. Despite these positive developments, imports have increased and the outlook for the construction sector remains concerning. Construction sector is experiencing a downturn with declining sales of key materials such as cement and steel. The construction sector's slowdown has impacted on the sale of float glass which is directly linked to construction activity in the country. These challenges highlight the need for stringent policy measures to support the vital sectors and foster sustainable economic growth.
In the midst of these challenging economic and political conditions, the Company has performed satisfactorily by registering net sales of Rs. 6,888 million which reflects a slight decrease compared to the same period of last year. However, there was a significant improvement in the gross profit margin which rose to 27% for the quarter under review, up from 22% in the same period of the previous year. This improvement is attributed to effective strategies for controlling power and fuel costs as well as the commissioning of an additional 2.5 MWh of Solar Power that brings the total solar generation capacity to 3.5 MWh. Despite this progress the bottom line has been slightly impacted by the recording of share of loss from an associate and increased taxation resulting in a profit after tax of Rs. 705 million and earnings per share (EPS) of Rs. 4.10 for the quarter as compared to Rs. 759 million and Rs. 4.41 respectively for the same period in the previous year.
A brief summary of the financial results for the first quarter ended September 30, 2024 is as under:
(Million Rupees) | ||
Three Months Ended September 30 | ||
FY-2024-2025 | FY-2023-2024 | |
Sales - net | 6,888 | 6,919 |
Gross profit | 1,841 | 1,533 |
Operating profit | 1,575 | 1,276 |
Profit before tax | 1,221 | 1,110 |
Profit after tax | 705 | 759 |
Earnings per share - basic and diluted - Rupees | 4.10 | 4.41 |
Alhamdulillah, one plant each of the Company's Tableware and the Float Glass were fully operational during the year under report. While the other plant of Float Glass (Unit-1) after repair is ready for production but has been on hold considering the market conditions and low demand for the float glass products. While, one of the Tableware Plants completed the useful campaign life was closed for rebuild.
Future Outlook:
The glass industry is grappling with significant challenges due to inflation-driven escalating costs, political unrest and law and order issues. These predicaments have significantly constrained the industry's performance and growth causing liquidity constraints and increased leverage. A critical concern is the industry's limited ability to pass on the rising costs of power and fuel to consumers due to severe competition which places downward pressure on pricing. Moreover, the impact of excessive taxation such as Super Tax combined with stagnation in the construction sector is creating headwinds like disrupting sales strategies and straining liquidity. Consequently, the industry is facing financial strain and a complex landscape to maintain stability and growth. Strategic interventions by policymakers are essential to support all industries particularly those linked to construction and household sectors for the assurance of long-term economic stability and growth.
Despite these challenges, management remains optimistic about future economic prospects and is committed to improving the Company's performance.
For and on behalf of the Board
OMER BAIG | ||
Lahore, October 28, 2024 | Chairman | Managing Director / CEO |
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1st Quarterly Report 2024-25
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6
Condensed Interim Statement of Financial Position
As at September 30, 2024
(Un-audited) | (Audited) | |
September 30, | June 30, | |
2024 | 2024 | |
Note | Rupees | Rupees |
ASSETS
Non-current assets
Property, plant and equipment | 5 |
Intangible assets
Investment in associates
Long term advances and deposits
Loan to associate
Current assets
12,676,953,806
28,491
2,250,677,608
602,949,835
58,333,332
15,588,943,072
12,859,379,365
71,226
2,424,989,940
539,581,503
58,333,332
15,882,355,366
Stores and spare parts Stock in trade
Trade debts
Advances, deposits, prepayments and other receivables Cash and bank balances
Total assets
EQUITY AND LIABILITIES
Share capital and reserves
Authorized share capital
500,000,000 ordinary shares of Rs. 10 each
1,361,858,991
6,929,949,265
4,245,494,277
674,422,244
394,390,216
13,606,114,993
29,195,058,065
5,000,000,000
1,260,870,232
5,922,803,932
3,379,451,710
1,000,305,210
682,395,720
12,245,826,804
28,128,182,170
5,000,000,000
Issued, subscribed and paid-up capital 172,167,187 ordinary shares of Rs. 10 each Share premium
nappropriated profit
Surplus on revaluation of freehold land
Shareholders' equity
Non-current liabilities
Long term finances - secured
Deferred taxation
Long term payable
Current liabilities
Trade and other payables
Contract liabilities
Unclaimed dividend
Accrued mark-up
Current portion of long term liabilities
Short term borrowings
Taxation - net
Total equity and liabilities
Contingencies and commitments | 6 |
1,721,671,870
410,116,932
14,681,346,975
2,515,984,264
19,329,120,041
943,214,607
1,104,796,851
145,219,284
2,193,230,742
2,444,527,531
331,961,132
16,369,361
140,725,832
1,027,089,163
3,491,017,875
221,016,388
7,672,707,282
29,195,058,065
1,721,671,870
410,116,932
13,975,854,172
2,515,984,264
18,623,627,238
1,161,091,102
1,091,183,714
145,219,284
2,397,494,100
2,783,255,079
363,265,399
16,369,361
140,303,029
1,060,342,604
2,487,334,790
256,190,570
7,107,060,832
28,128,182,170
The annexed notes from 1 to 11 form an integral part of these condensed interim financial statements.
October 28, 2024 | IRFANI | OMER BAIG | WAQAR ULLAH |
Lahore | CHAIRMAN | MANAGING DIRECTOR / CEO | CHIEF FINANCIAL OFFICER |
1st Quarterly Report 2024-25
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Condensed Interim Statement of
Profit or Loss (Un-audited)
For the Quarter Ended September 30, 2024
September 30, | September 30, | |||
2024 | 2023 | |||
Note | Rupees | Rupees | ||
Revenue | 7 | 6,887,573,608 | 6,918,720,691 | |
Cost of sales | (5,046,758,581) | (5,385,915,019) | ||
Gross profit | 1,840,815,027 | 1,532,805,672 | ||
Administrative expenses | (147,010,313) | (127,721,438) | ||
Selling and distribution expenses | (118,497,039) | (129,076,807) | ||
(265,507,352) | (256,798,245) | |||
Operating profit | 1,575,307,675 | 1,276,007,427 | ||
Other income | 31,007,918 | 18,095,692 | ||
Share of loss from associates | (115,979,000) | - | ||
Other operating expenses | (99,434,400) | (95,293,350) | ||
Finance cost | (169,586,485) | (88,818,887) | ||
Profit before levy and taxation | 1,221,315,708 | 1,109,990,882 | ||
Levy final taxation | - | (6,962,310) | ||
Profit before taxation | 1,221,315,708 | 1,103,028,572 | ||
Taxation | (515,822,905) | (344,051,104) | ||
Net profit for the period | 705,492,803 | 758,977,468 | ||
Earnings per share - basic and diluted | 4.10 | 4.41 |
The annexed notes from 1 to 11 form an integral part of these condensed interim financial statements.
October 28, 2024 | IRFANI | OMER BAIG | WAQAR ULLAH |
Lahore | CHAIRMAN | MANAGING DIRECTOR / CEO | CHIEF FINANCIAL OFFICER |
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Condensed Interim Statement of
Comprehensive Income (Un-audited)
For the Quarter Ended September 30, 2024
September 30, | September 30, | |||
2024 | 2023 | |||
Rupees | Rupees | |||
Net profit for the period | 705,492,803 | 758,977,468 | ||
Other comprehensive income for the period | - | - | ||
Total comprehensive income for the period | 705,492,803 | 758,977,468 | ||
The annexed notes from 1 to 11 form an integral part of these condensed interim financial statements.
October 28, 2024 | IRFANI | OMER BAIG | WAQAR ULLAH | ||
Lahore | CHAIRMAN | MANAGING DIRECTOR / CEO | CHIEF FINANCIAL OFFICER | ||
1st Quarterly Report 2024-25 | |||||
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