3'd QUARTERLY REPORT
UN-AUDITED PERIOD ENDED MARCH 31, 2026
YOUSAF WEAVING MILLS
LIfñITED
YOUSAF WEAVING MILLS LIMITED
A Proj ect of C hakwaI Group
7f1 - E-3, Muin Bout cvard Gulbery II I, Lahore, Pakislan
Tel: +92 4? 35757 108 & 357 17510 - 17
Faz: +92 42 35764036, 35764043 & 35757 05
Web: https://www.yousafweaving.com
DIRECTORS' REPORT TO THE SHAREHOLDERS
The Directors are pleased to present the unaudited condensed interim financial statements of the Company for the nine months ended March 31, 2026.
Despite a challenging economic environment, the Company remained focused on operational efficiency and disciplined financial management. During the period under review, sales revenue increased; however, due to a corresponding rlse in the cost of sales, gross profit stood at Rs.
13.203 million, reflecting a modest increase of 3â over the corresponding period. Operating expenses increased by 12%, primarily due to higher depreciation on newly capitalized assets. Encouragingly, finance costs decreased by 45a, driven by the Company's continued efforts to reduce its long-term borrowings.
During the period, the Company successfully repaid the principal amount of its outstanding liabilities to National Bank of Pakistan and Bank of Punjab. Negotiations with the remaining lending bank for restructuring of outstanding obligations are at an advanced stage,' and management is confident of finalizing the rescheduling arrangements in the near term.
As part of the Company's Balancing, Modernization, and Replacement (BMR) program, new compressors, dryers, and looms were imported, installed, and are now fully operational. These investments are expected to improve production efficiency and reduce operating costs in future periods.
To support working capital requirements, the Directors extended an additional long-term loan of Rs. 232.917 million, reaffirming their continued commitment to the Company's sustainability. Furthermore, the Company has initiated the process of converting directors' long-term loan amounting to Rs. 363.525 million into equity through the issuance of shares. The necessary approval from members has been obtained in an Extraordinary General Meeting (EOGM), and the application hds been submitted to the Securities and Exchange Commission of Pakistan (SECP). Approval is anticipated in the upcoming quarter, following which the shares will be issued accordingly.
The management is committed to strengthening its operational and financial position through continued modernization, rationalization of banking arrangements, and expansion of its customer base.
For and on behalf of the Board
Lahore
April 30, 2026
Alia Khanum
Director
Khawaja Muhammad Nadeem Chief Executive Officer
YOUSAF WEAVING MILLS LIMITED
CONDENSED INTERIM STATEMENT OF FINANCIAL POSITION AS AT MARCH 31, 2026
Page 1 of 9
CAPITAL AND LTABlLfTIES
Share Capital and Reserves Authorized share capital
Note "
(Un-audited) (Audited)
Rupees Rupees
140,000,000 (2025: 140,000,000) ordinary shares of Rs. 10 each
Issued, subscribed and paid up share capital Loan from directors
Accumulated loss
Surplus on revaluation of land
Non Current Liabilities Long term toan
Lease liabilities Deferred liabilities
Current Liabilities
Trade and other payables Unclamed dividend Accrued mark up
Short term borrowings
Current portion of long term loan Current portion of lease liabilities Provision for taxation
Contingencies and Commitments
ASSETS
Non Current Assets
Property, ptant and equipment 6
Right-of-use assets Intangible assets Long term loans Long term deposits
Current Assets
Stores and spares Stock in trade Trade debts
Loans and advances
Trade deposits and other receivables Tax refunds due from government Cash and bank balances
1,400, 000,000
1,360,000,000 | 1,360,000,000 |
363,524,500 | 130,607,264 |
(1,878, 130,556 | (1,851,780,752j |
631,5Z3,327 | 631,523,327 |
13,356,922 | |
49,926,044 | 56,364, 291 |
32,354,885 | 31,4d4,850 |
476,917,271
489,371,113 | szs,ssa,82o |
3,247,016 | 3,247,016 |
1Z8,4P8,732 | 129,558,452 |
530,098,683 | 517,916,Z43 |
SP, 151,358 | |
8,711,503 | 9,4d9,026 |
19,922, 149 | 20,555,407 |
82,280,929
1,179,849, 196
1,1Z2,679,018 | 1,105,120,138 |
75,969,601 | 81,229,035 |
64,814 | 76,253 |
11,723,050 | 11,403,050 |
60,348,192 | 60,348,192 |
1,739,047,396
13,288,122 | 12,612,311 |
307,250,351 | 319,075,139 |
106,267,250 | 11,679,760 |
25,449,211 | 31,527,512 |
185,000 | 185,000 |
8,948,176 | 6,508,221 |
6,874,61 t | 7,585,613 |
1,Z70,784,675
468,262,721
1,739,047,396
1,400,000,000
270,349,839
101,166,063
1,275, 834,322
1,647,350,224
1,258,176,668
389,173,556
1,647,350,224
The annexed notes form an integral part of these condensed interim financial information (Unaudited).
CHIEF E C IVE FICER
DIRECTOR CHIEF FANA IA OFFICER .
YOUSAF WEAVING MILLS LIMITED
STATEMENT OF PROFIT OR LOSS
Nine Months Ended
Quarter Ended
FOR THE NINE MONTHS ENDED MARCH 31, 2026
March 31, 20Z6 | March 31, 2025 | March 31, 2026 | March 31, 2025 | |
Un-audited Rupees | Un-audited Rupees | Un-audited Rupees | Un-audited Rupees | |
Sales - net | g69,997,020 | 405, 168,242 | 119,600, 407 | 153,030,614 |
Cost of sales | (456,793,584) | (392,319,898} | (113,939,025) | (147,108,0841 |
Gross profit | 13,203, 436 | 12,B48,34d | 5,661,382 | 5,922,530 |
Distribution cost Administrative expenses | 27 o z | 24 45 92 | o s 517 | 8 7 9 |
(32,407, 114) | (28,983,242) | (8,40Z,572) | (9,#17,041) | |
Operating loss | (19,203,678) | (16,134,898) | (2,741, 190) | (3,494,511) |
Finance cosC Other operating income | ||||
Loss before Levies 6 Taxation | (20,474,841) | (18,410,901 ) | (2,988,536) | (4,271, 188) |
Levies | (5,87d,963) | (5,064,603) | {1,495,005) | (1,912,883) |
Loss before Taxation | (26,349,804) | (4,483,541) | (6,164,071) | |
Taxation | ||||
Loss for the period (26,349,804) (23,475,504) (4,483,541) (6,184,071) | ||||
Loss per share - basic 6 diluted | (0.19} | (0.17) | (0.03) | (0.05) |
The annexed notes form an integral part of these condensed interim financial information (Unaudited).
CHIEF EX CUTI
FICER
DIRECTOR CHIEF FI FFIKR
YOUSAF WEAVING MILLS LIMITED STATEMENT OF OTHER COMPREHENSIVE INCOyE FOR THE NINE MONTHS ENDED MARCH 31, 2026
Nine Months Ended
Quarter Ended
March 31, 2026 March 31, 2025 March 3t, 2026 March 31, 2025
Rupees Rupees
Loss for the period
(26,349,804}
t23, 475, 504)
(4,483,541 I
(6,184, 071 )
(6, 184,071 }
Other comprehensive income for the period
Total comprehensive loss for the period
(26,349,804)
(23,475,50d)
The annexed notes form an integral part of these condensed interim financial information (Unaudited).
CHIEF EXECU IHE 0 FICER DIRECTOR CHIEF FIFA FFICER
YOUSAF WEAVING MILLS LIMITED
STATEMENT OF CASH FLOWS
FOR THE NINE MONTHS ENDED /\ARCH 31, 2026
CASH FLOWS FROM OPERATING ACTIVITIES
Loss before taxation
Adjustments for:
Depreciation
Amortization of intangible assets Levies
Provision for gratuiy
(67fi,811 | (1,959,963 j |
11,824,788 | 20,817,838 |
(94,587,490 | (3,305,194) |
6,078,301 | {805,463) |
(6,2Z9,300 | 102,662 |
(46,170,829 | 12,089,384 |
- Gain on disposal of property, plant and equipment Finance cost
i e h En ed
3 2 2 h 3 2 2
Rupees Rupees
{23, 475,50 1)
35,985, 611 | 27,693,091 |
11,438 | 14,298 |
5,874,963 | 5,064,603 |
3,760,134 | 4,169,130 |
(55,171 j | |
1,271,163 | 2,331,174 |
Operatjng profJt before working capital changes
(Increase) / Decrease in current assets: Stores and spares
Stock in trade Trade debts
Loan and advances
Tax refundable due from government increase / (Decrease) in current liabilities:
Trade and other payables
20,553,50515,741,621
(129,760,341) | 26,939, 264 |
CASH (USED IN) / GENERATED FROM OPERATIONS (109,206,836) | 42,680,885 |
Finance cost paid (1,931,938} | (3146,733) |
Gratuity paid (2,850,099} Income tax paid (7,133,753) | 191,586) |
Net cash (used in) / generated from operating activities {1 Z1,12Z,626) | 39,342,566 |
CASH KLOWS FROM IM/ESTING ACTIVTTTES | |
Property, plant and equipment purchased Long term loans to employees z o o | 60 0 |
Net cash used in investing activities (48,605,057) | (280,000) |
CASH FLOWS FROM FINANCING ACTIVITIES | |
Long term loans | |
Short term borrowings - net | |
Repayment of lease liabilities | |
Net cash generated from / (used in) financing activities 169,016,681 | (41,457,170) |
Net decrease in cash and cash equivalents (711, 002) | (2,394,6Q4) |
Cash and cash equivalents at the beginning of the per1od 7,583, 613 | 9,622, 693 |
Cash and cash equivalents at the end of the period 6,874,611 | 7,228,089 |
164,408,956 | 2,620,847 |
12,182,440 | (36,677,236) |
(7,574,715 | (7,400,781) |
The annexed not
CHIEF EXECUT OFFICER
tegral part of these condensed interim financial information (Unaudited).
DIRECTOR CHIEF FINAN
YOUSAF WEAVING MILLS LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE NINE MONTHS ENDED ARCH 31, 2026
Particulars | Issued, Subscribed and Paid up Share Capital | Accumulated Loss | Loan from Directors | Revaluation Surplus | Total |
Rupees Rupees Rupees Rupees Rupees
Balance as at July 1, 2024 1,360, 000,000 (1,541,662,149) 48,652,264 631,3Z3,3Z7 498,$13, 44Z
Net loss for the period
Loan from directors during the year
(23,475,504)
13,400,000
(23,475,504) 13,4OO,OOO
Balance as at March 31, 2025 1,360,000,000 (1,565,137, 653) 62,052,264 631,5Z3,327 488,437,938
Balance as at JuIy I , 2025 | 1,360,000,000 | (1,851,780,752} | 130,607,264 | 631,523,327 | 270,3d9,839 |
Net loss for the period Loan from directors during the year | (26,3g9,804} | 232,917,236 | (26,349,8041 23Z,917,236 |
Balance as at March 31, 2026 1,360,000,000 (1,878,130,556) 363,524,500 631,523,327 476,917,271
The annexed notes form an integral part of these condensed interim financial informalaon (Unaudited).
CHiEF EXEC TIVE OFFICER DIRECTOR CHIEF FINANCIAL 0
Page 6 of 9
YOUSAF WEAVING MILLS LIMITED
SELECTED NOTES TO THE CONDENSED INTERIM FINANCIAL INFORMATION FOR THE NINE MONTHS ENDED MARCH 31, 2026
Note I
The Company and its Operations
Yousaf Weaving bills Limited was incorporated on January 17, 1988 as a publfc limited company in Pakistan under the Companies Ordinance, 1984 and is quoted on Pakistan Stock Exchange. The Company is engaged in the business of textile weaving, spinning, safe of processed fabric and home textile products. The registered office of the Company is situated at 7/1- E-3, Main Boulevard Gutberg III, Lahore.
1.1 The Company incurred a loss after tax of Rs. 26.350 million (20Z5• Rs. Z3.176 million) and, as at the reporting date, accumulated losses amounted to Rs. 1,878.131 million (2025: Rs. 1,851.781 million). As of that date, the Company's current liabilities exceeded its current assets by Rs. 711.586 million {2025: Rs. 886.661 million). In the pre?ous annuat financial statements, the auditors had included an emphasis of matter paragraph regarding the Company's ability to continue as a going concern. However, management believes that the underlying factors giving rise to such uncertainty have been substantially addressed during the period. The continuation of the Company as a going concern is dependent upon the successful implementation of management's remedial measures and improvement In cash flows. In this regard, management has taken the following steps:
During the period, the directors provided a long-term loan amounfing to Rs. 232.917 million to support the Company's operational and financial obligations as they fall due. This financial assistance has helped the Company maintain liquidiy amid prevailing financial constraints.
Furthermore, the management has initiated the process for conversion of directors' long-term loan amounting to Rs.
363.525 million into equip. The requisite approval from the members has been obtained in an EOGM during the reporting quarter, and an application In this regard has been duty submitted to the Securities and Exchange Commission of Pakistan (SECP). The approval is expected to be received In che last quarter of the financial year, subsequent to which shares will be issued to be directors In accordance with applicable regulatory requirements. This proposed conversion is expected to strengthen the Company's equity base, improve its capital structure, and enhance stakeholders' confidence.
The Company has fully repaid the principal amounts of financing obtained from National Bank of Pakistan and Bank of Punjab and Is currently negotiating Cth these banks for concession in respect of related mark-up / cost of funds. The management is also In active discussions with Habib Metropolitan Bank Limited for restructuring of be outstanding loan facility and 1s confident of reaching an amicable settlement.
To improve operational efficiency and cash flows, the Company has imported and installed compressor/dryers and new looms before the reporting date, which are expected to enhance production capacity and reduce energy costs.
Based on the above measures and financial projections, management believes that the Company will be able to continue its operations and meet its obligations as they fall due. Accordingly, these condensed intedm financial statements have been prepared on a going concern basis.
Note 2
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 dfffer 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, 1025.
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.
Note 3
S'gn1ficant Accounting Policies
The accounting policies and methods of computation of the Interim financial information are the same as those followed in the preparation of annual financial information for the preceding year ended June 30, 2025.
YOUSAF WEAVING MILLS LIMITED
Notes to the Financial information
Note 4
Accounting Estimates and Judgments
#QgeZo/9
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 of the Company Limited for the year ended June 30, 2025.
Note 5
Contingencies and Commitments
There is no significant change in the contingencies and commitments as disclosed in the last published audited financial statements of the Company for the year ended June 30, 2025, except that during be period the Company has fully settled the principal amount of Its outstanding liabilities towards National Bank of Pakistan, which was previously under litigation. The accrued markup / cost of funds has nod yet been finalized and is currently under negotiation with the bank for a possible concession. The financial impact, if any, will be determined upon final settlement.
Note 6
Property, Plant and Equipment
Nfne Months Ended Mr 31, 2026
(Un-audited) Rupees
Year Ended June 30, 20Z5
(Audited) Rupees
Operating fixed assets 1,12Z, 679,018 1,105,120,138
Opening written doom value
Addition dur1ng the period / year (at cost)
1,105,120,138
48,285,057
1/08,252054
29,884,325
Disposal during the period / year (written down value) §48Z9)
Depreciation charge for the period / year Closing written down value
Note 7
Transactions with Related Parties
1,153,d05, 195
(30,726, 177)
1,122,679,018
1,138,114 ,550
(3Z,991,412)
1,105,120,138
Nine Months Ended
Mar 31, 2026 Mar 31 2025
The related parties and associated undertakings comprise related group companies, associated companies, directors and key management personnel. Transactions with related paKies and associated undenakings, other than remuneration and benefits to key management personnel under the term of their employment are as follows:
Significant transaction with related parties are as follows: | (Un-audited) Rs. '000' | (Un-audited) Rs. '000" |
Loan term loan received from directors | 232,917 | 13,400 |
Short term loan received/(paid) from / to directors - net | 12,18Z | 2,057 |
Note 8
Segment Information
For management purposes, the activities of the Company are organized into two operating segment: Weaving: Production of grey and processed cloth.
Spinning: Production of different qualities of yarn using natural and artificial fibers.
The Company operates in the sald reportable operating segments bases on the nature of products, risks and returns, organizational and management structure and internal financial reporting systems. Accordingly, the figures reported in these condensed financial statements related to the Company's reportable segment.
Information regarding the Company's reportabte segment for the nine months ended March 3 , 2026 are as follows:
Segment revenues and results
There were no transactions with key management personnel other Chan undertaken as per terms of their employment.
YOUSAF WEAVIN6 HU LIMITED
I4otes to the Financial fn/ormotion
Rage 8 a/ 9
Note 8 - Segmenf Information ... Contd
Rupees
Rupees
Rupees
Sales - net
g69,?97020
469,997,020
Cost of sales
@5 277,136)
(4,516,4d8)
(456,793,584)
Gross profit / (loss)
17,719,884
(4,516,448)
13,203,436
Distribution cost Adminstmtive expenses
For t.be lane onths Ended arch 31, zoz6 tUn-audited)
Weawng Segment
SpJnnJng Segment
Total
(4,556,850
(13,50•4
(4,556,850
(27,836,760
(27,850,264
(32,393,610)
(13,50d) {32,d07, 114)
Operating toss
(14,673,Z26)
(4,529,9SZ)
(19,203,678)
Finance cost
Other operating income
(1,271,163)
(1, 271,163)
Loss before Levies 6 Taxation Levies
For the Nine Months Ended March 31, 202fi tUn-audited)
Weaving Segment
Spanning Segment
Total
Loss before Taxation
(15,944,889) {4,529,952
(20,474,&41 )
(5,874,963)
(26,3d9,804)Taxation
Loss after taxation
(26,349,804)
Rupees
Rupees
Rupees
Sales - net
405,168,242
405,168,242
Cost of sales
(389,404,825)
(2,91 $,073)
(392,319,898)
Gross profit / (toss)
15,763,417
(2,915,073)
12,&48,344
Distribution cost Administrative expenses
(4,0J8,150)
(24,928,633)
(1+,459)
(4,038,150)
(24,9#5,092)
28,966,783)
(16,459)
(28,983,242)
Operating toss
(13,203,366)
(2,931,532)
{16,134,898)
Finance cost
(2,331, 174)
(2,331,174)
Other operating income
55,171
55,171
As at Arch 31 , Z0Zfi (Un-audited)
Weaving Segment
I pnn ng Segment
I Total
As at June 30, z025 {Audited)
Weaving Segment
I P'•n ng Segment
Total
Loss before Levies 6 Taxation Levies
Loss before Taxation Taxation
(15,479,369) (2,931,532)
(18,#10,901)
(5,064, 603 T
(Z3,475,504)
Loss after taxation
(23475,50 }
Segment assets and liabilities
Segment assets for reportable segments | Rupees | Rupees 499,702,058 | Rupees ,730,099,220 |
Unattocated assets | 8,948,176 | ||
Total assets as per balance sheet | 1,739,047,396 | ||
Segment Stabilities for reportable segment | 1,14Z,710,107 | 231,374,300 | 1,374,0B4, 407 |
Unallocated liabilities | (111,954,282) | ||
Total liabilities as per balance sheet | 1,262,130,125 | ||
Rupees | Rupees | Rupees | |
Segment asset for reportable segments | 1,433,959,580 | 206, 882,A23 | 1,640,842,003 |
Unallocated assets | 6,508,221 | ||
Total assets as per balance sheet | 1,647,350,224 | ||
Segment liabilities for reportable segments | 1,033,597,022 | 229,574,713 | 1,Z63,171,735 |
Unallocated liabilities | 113,828,650 | ||
Total liabilities as per balance sheeE | 1,377,000,385 |
YOUSAF WEAVING MILLS LIMITED
Notes to the Financial /n/ormotion
Note 9
Financial Risk Management
Page 9 o( 9
The Company's financial risk management objectives and policies are consistent with those disclosed in the audited annual published financial statements of the Company for the year ended June 30, Z025.
Note 10 General
10.1 This interim financial information is authorized for issue on April 30 2026 by the Board of Oirectors of the Company.
10.Z Corresponding figures have been re-arranged wherever necessary to facilitate comparison. No macerial rearrangement has been made during the period.
CHIEF EX VE OFFICER DIRECTOR CHIEF FINA OFFICER