samin interim march 2017 - samin textiles · pdf filecompany information legal advisor imtiaz...

Interim Financial Report

for the nine months ended

March 31, 2017

Samin Textiles Limited

Company Information

Legal Advisor

Imtiaz Saddiqui & Associates

Leading Banks

National Bank of Pakistan

Askari Bank Limited

Bank Alfalah Limited

Summit bank Limited

NIB Bank Limited

Allied Bank Limited

Pak Libya Holding Company (Private) Limited

Pak Oman Investment Company Limited

Soneri Bank Limited

Shares Registrar

Corplink (Pvt) Limited

Wings Arcade,

1-K, Commercial Model Town,

Lahore, Pakistan.

Tel: 92 - 42 -35839182

Fax: 92 - 42 - 35869037

Registered/Head Office

50-C, Main Gulberg,

Lahore, Pakistan.

Tel: 92 - 42 - 35753761

Fax: 92 - 42 - 35753688

th8 Kilometer,

Manga - Raiwaind Road,

District Kasur, Pakistan.

Board of Directors

Non-Executive Directors

Mr. Sarmad Amin Chairman

Mr. Shehryar Amin

Mr. Tariq Jilani

Mr. Jamil Masud

Executive Directors

Mr. Jehanzeb Amin Cheif Executive

Mr. Safder Hussain Tariq

Independent Director

Mr. Qamber Hamid

Audit Committee

Mr. Qamber Hamid Chairman

Mr. Jamil Masud Member

Mr. Tariq Jilani Member

Human Resource & Remuneration Committee

Mr. Jamil Masud Chairman

Mr. Shehryar Amin Member

Chief Financial Officer

Company Secretary

Mr. Muhammad Tayyab

Chief Internal Auditor

Ms. Nayab Ayaz

Auditors

Grant Thornton Anjum Rahman

Chartered Accountants

Contents

Company Information

Directors’ Review

Directors’ Review (Urdu)

Condensed Interim Balance Sheet

Condensed Interim Profit and Loss Account

Condensed Interim Statement of Comprehensive Income

Condensed Interim Statement of Cash Flows

Condensed Interim Statement of Changes in Equity

Notes to the Condensed Interim Financial Information

Company Information

Legal Advisor

Imtiaz Saddiqui & Associates

Leading Banks

National Bank of Pakistan

Askari Bank Limited

Bank Alfalah Limited

Summit bank Limited

NIB Bank Limited

Allied Bank Limited

Pak Libya Holding Company (Private) Limited

Pak Oman Investment Company Limited

Soneri Bank Limited

Shares Registrar

Corplink (Pvt) Limited

Wings Arcade,

1-K, Commercial Model Town,

Lahore, Pakistan.

Tel: 92 - 42 -35839182

Fax: 92 - 42 - 35869037

Registered/Head Office

50-C, Main Gulberg,

Lahore, Pakistan.

Tel: 92 - 42 - 35753761

Fax: 92 - 42 - 35753688

th8 Kilometer,

Manga - Raiwaind Road,

District Kasur, Pakistan.

Board of Directors

Non-Executive Directors

Mr. Sarmad Amin Chairman

Mr. Shehryar Amin

Mr. Tariq Jilani

Mr. Jamil Masud

Executive Directors

Mr. Jehanzeb Amin Cheif Executive

Independent Director

Mr. Qamber Hamid

Audit Committee

Mr. Qamber Hamid Chairman

Mr. Jamil Masud Member

Human Resource & Remuneration Committee

Mr. Jamil Masud Chairman

Mr. Shehryar Amin Member

Chief Financial Officer

Company Secretary

Mr. Muhammad Tayyab

Chief Internal Auditor

Ms. Nayab Ayaz

Auditors

Grant Thornton Anjum Rahman

Chartered Accountants

Contents

Company Information

Directors’ Review

Directors’ Review (Urdu)

Condensed Interim Balance Sheet

Condensed Interim Profit and Loss Account

Condensed Interim Statement of Comprehensive Income

Condensed Interim Statement of Cash Flows

Condensed Interim Statement of Changes in Equity

Notes to the Condensed Interim Financial Information

02 Samin Textiles Limited

Directors’ Review

The board of directors of your company is pleased to present before you the un-audited financial statements for

the 3rd Quarter ended March 31, 2017. These financial statements have been prepared in compliance with IAS – 34

“Interim Financial Reporting” and are submitted under section 245 of the companies ordinance 1984.

Financial Highlights

The aforementioned chart shows that during the period under review company posted net sales amounting to Rs.

784.019 million and a net loss of Rs. (141.195) million as compared to net sales of Rs. 992.075 million and net loss of

Rs. (63.744) million for the corresponding period of last financial year.

During the period under review the demand of grey fabric and selling price remained under pressure.

Consequently, the total plant capacity couldn't be achieved resulting in lower sales volume, high fixed cost and

increased red bottom line.

Future Outlook / Strategy

Subsequent to announcement of Textile Revival Package from the Government, the only hurdle in kick-off for bull-

run is the strong parity of Pak rupee verses US dollar. This situation has significantly adversely affected the export

volumes of the textile industry resulting in price war among the local players. The said unhealthy price war scene

has badly damaged the survival efforts of the company. Company is holding back its further investment in the

proposed BMR plan till clarity of overall situation of the textile industry.

However, cost cutting measures under all heads of account and financial support from the sponsors is helping the

company to survive till crossing the rough patch.

Acknowledgement

We are grateful to all our stakeholders exclusively the bankers for their ongoing support and the employees of the

company for their commitment and hard work.

For and on behalf of the Board

Jehanzeb AminChief Executive

Lahore :

Dated : April 21, 2017

784.019

(22.100)

(141.195)

54.231

(86.964)

Rupees in million

Sales - Net

Gross Profit / (Loss)

Other Operating Income

Profit / (Loss) After Tax

Depreciation

Cash Profit / (Loss)

Nine months endedMarch 31, 2017

992.075

43.593

(63.744)

53.826

(9.918)

Nine months ended

March 31, 2016

199.289

(25.243)

(62.074)

18.109

(43.966)

Quarter endedMarch 31, 2017

308.854

14.876

(24.448)

18.047

(6.401)

Quarter ended

March 31, 2016

Directors’ Review

The board of directors of your company is pleased to present before you the un-audited financial statements for

the 3rd Quarter ended March 31, 2017. These financial statements have been prepared in compliance with IAS – 34

“Interim Financial Reporting” and are submitted under section 245 of the companies ordinance 1984.

Financial Highlights

The aforementioned chart shows that during the period under review company posted net sales amounting to Rs.

784.019 million and a net loss of Rs. (141.195) million as compared to net sales of Rs. 992.075 million and net loss of

Rs. (63.744) million for the corresponding period of last financial year.

During the period under review the demand of grey fabric and selling price remained under pressure.

Consequently, the total plant capacity couldn't be achieved resulting in lower sales volume, high fixed cost and

increased red bottom line.

Future Outlook / Strategy

Subsequent to announcement of Textile Revival Package from the Government, the only hurdle in kick-off for bull-

run is the strong parity of Pak rupee verses US dollar. This situation has significantly adversely affected the export

volumes of the textile industry resulting in price war among the local players. The said unhealthy price war scene

has badly damaged the survival efforts of the company. Company is holding back its further investment in the

proposed BMR plan till clarity of overall situation of the textile industry.

However, cost cutting measures under all heads of account and financial support from the sponsors is helping the

company to survive till crossing the rough patch.

Acknowledgement

We are grateful to all our stakeholders exclusively the bankers for their ongoing support and the employees of the

company for their commitment and hard work.

For and on behalf of the Board

Jehanzeb AminChief Executive

Lahore :

Dated : April 21, 2017

784.019

(22.100)

(141.195)

54.231

(86.964)

Rupees in million

Sales - Net

Gross Profit / (Loss)

Other Operating Income

Profit / (Loss) After Tax

Depreciation

Cash Profit / (Loss)

Nine months endedMarch 31, 2017

992.075

43.593

(63.744)

53.826

(9.918)

Nine months ended

March 31, 2016

199.289

(25.243)

(62.074)

18.109

(43.966)

Quarter endedMarch 31, 2017

308.854

14.876

(24.448)

18.047

(6.401)

Quarter ended

March 31, 2016

Condensed Interim Profit and Loss Account (Un-audited)for the nine months ended March 31, 2017

JEHANZEB AMIN

Chief Executive

SAFDAR HUSSAIN TARIQ

Director

JEHANZEB AMIN

Chief Executive

Director

Condensed Interim Balance Sheet (Un-audited)as at March 31, 2017

Equity and liabilities

Share capital and reserves

Share capital

Reserves

Total share capital and reserves

Surplus on revaluation of property, plant and equipment

Liabilities

Non-current

Subordinated loan-related party

Long term financing-secured

Deferred tax and other liabilities

Total non-current liabilities

Current

Trade and other payables

Interest /markup accrued on borrowings

Short term borrowings

Current portion of long term borrowings

Total current liabilities

Total liabilities

Total equity and liabilities

Contingencies and commitments

Assets

Non-current

Property, plant and equipment

Intangible assets

Long term investments

Long term deposits

Total Non-current assets

Current

Stores, spare parts and loose tools

Stock in trade

Trade debts

Loans and advances

Trade deposits and prepayments

Tax refunds due from government

Interest accrued

Cash and bank balances

Current assets

Total assets

The annexed notes from 1 to 17 form an integral part of this interim financial information.

267,280,000

51,256,016

318,536,016

355,895,066

10,411,566 192,775,780

1,562,100

204,749,446

214,442,875

30,471,290

472,413,104

60,437,762

777,765,031

982,514,477

1,656,945,559

948,921,557

469,280

1,000,000

14,211,750

964,602,587

53,511,629

413,733,133

56,499,138

16,974,106

3,059,050

121,792,303

657,369

26,116,244

692,342,972

1,656,945,559

Audited

Jun 30, 2016

Rupees

Un-audited

Mar 31, 2017

Rupees

267,280,000

(81,605,713)

185,674,287

347,561,350

40,411,566

168,999,996

1,287,100

210,698,662

211,375,441

41,477,165

460,727,481

62,570,378

776,150,465

986,849,127

1,520,084,764

898,274,669

117,320

1,000,000

14,420,790

913,812,779

55,257,869

358,119,858

27,338,950

6,907,942

2,793,663

145,346,511

766,907

9,740,285

606,271,985

1,520,084,764

Sales - net

Cost of sales 12

Gross profit / (Loss)

Other operating income

Distribution cost

Administrative expenses Other operating expenses

Operating (loss)/ profit

Finance cost

Profit / (Loss) before taxation

Taxation

Profit / (Loss) for the period

Earning / (Loss) per share - basic & diluted

308,854,125

(293,977,672)

14,876,453

148,607

(5,551,329)

(14,022,224)

(54,655)

(4,603,148)

(16,731,154)

(21,334,302)

(3,113,527)

(24,447,829)

(0.91)

For the quarter

ended March 31,

Rupees

199,289,318

(224,532,499)

(25,243,181)

400,917

(4,723,522)

(13,649,964)

(43,215,750)

(18,105,522)

(61,321,272)

(753,702)

(62,074,974)

(2.32)

For the quarter

ended March 31,

Rupees

992,075,518

(948,482,499)

43,593,019

6,855,019

(22,256,031)

(44,351,943) (387,450)

(16,547,386)

(58,973,558)

(75,520,944)

11,776,502

(63,744,442)

(2.38)

For the nine

month ended

March 31, 2016

Rupees

784,019,650

(806,120,647)

(22,100,997)

568,805

(13,965,872)

(44,169,286)

(15,500)

(79,682,850)

(57,370,313)

(137,053,163)

(4,142,282)

(141,195,445)

(5.28)

For the nine

month ended

March 31, 2017

Rupees

Condensed Interim Profit and Loss Account (Un-audited)for the nine months ended March 31, 2017

JEHANZEB AMIN

Chief Executive

Director

JEHANZEB AMIN

Chief Executive

Director

Condensed Interim Balance Sheet (Un-audited)as at March 31, 2017

Equity and liabilities

Share capital and reserves

Share capital

Reserves

Total share capital and reserves

Surplus on revaluation of property, plant and equipment

Liabilities

Non-current

Subordinated loan-related party

Long term financing-secured

Deferred tax and other liabilities

Total non-current liabilities

Current

Trade and other payables

Interest /markup accrued on borrowings

Short term borrowings

Current portion of long term borrowings

Total current liabilities

Total liabilities

Total equity and liabilities

Contingencies and commitments

Assets

Non-current

Property, plant and equipment

Intangible assets

Long term investments

Long term deposits

Total Non-current assets

Current

Stores, spare parts and loose tools

Stock in trade

Trade debts

Loans and advances

Trade deposits and prepayments

Tax refunds due from government

Interest accrued

Cash and bank balances

Current assets

Total assets

267,280,000

51,256,016

318,536,016

355,895,066

10,411,566 192,775,780

1,562,100

204,749,446

214,442,875

30,471,290

472,413,104

60,437,762

777,765,031

982,514,477

1,656,945,559

948,921,557

469,280

1,000,000

14,211,750

964,602,587

53,511,629

413,733,133

56,499,138

16,974,106

3,059,050

121,792,303

657,369

26,116,244

692,342,972

1,656,945,559

Audited

Jun 30, 2016

Rupees

Un-audited

Mar 31, 2017

Rupees

267,280,000

(81,605,713)

185,674,287

347,561,350

40,411,566

168,999,996

1,287,100

210,698,662

211,375,441

41,477,165

460,727,481

62,570,378

776,150,465

986,849,127

1,520,084,764

898,274,669

117,320

1,000,000

14,420,790

913,812,779

55,257,869

358,119,858

27,338,950

6,907,942

2,793,663

145,346,511

766,907

9,740,285

606,271,985

1,520,084,764

Sales - net

Cost of sales 12

Gross profit / (Loss)

Other operating income

Distribution cost

Administrative expenses Other operating expenses

Operating (loss)/ profit

Finance cost

Profit / (Loss) before taxation

Taxation

Profit / (Loss) for the period

Earning / (Loss) per share - basic & diluted

308,854,125

(293,977,672)

14,876,453

148,607

(5,551,329)

(14,022,224)

(54,655)

(4,603,148)

(16,731,154)

(21,334,302)

(3,113,527)

(24,447,829)

(0.91)

For the quarter

ended March 31,

Rupees

199,289,318

(224,532,499)

(25,243,181)

400,917

(4,723,522)

(13,649,964)

(43,215,750)

(18,105,522)

(61,321,272)

(753,702)

(62,074,974)

(2.32)

For the quarter

ended March 31,

Rupees

992,075,518

(948,482,499)

43,593,019

6,855,019

(22,256,031)

(44,351,943) (387,450)

(16,547,386)

(58,973,558)

(75,520,944)

11,776,502

(63,744,442)

(2.38)

For the nine

month ended

March 31, 2016

Rupees

784,019,650

(806,120,647)

(22,100,997)

568,805

(13,965,872)

(44,169,286)

(15,500)

(79,682,850)

(57,370,313)

(137,053,163)

(4,142,282)

(141,195,445)

(5.28)

For the nine

month ended

March 31, 2017

Rupees

JEHANZEB AMIN

Chief Executive

Director

Condensed Interim Statement of Comprehensive Income (Un-audited)

for the nine months ended March 31, 2017For the nine For the nine For the quarter For the quarter

month ended month ended ended ended

March 31, 2017 March 31, 2016 March 31, 2017 March 31, 2016

Rupees Rupees Rupees Rupees

Profit / (Loss) after taxation (141,195,445) (63,744,442) (62,074,974) (24,447,829)

Other comprehensive income for the period -

Total comprehensive (loss) / income for the period (141,195,445)

(63,744,442)

(62,074,974)

(24,447,829)

for the nine months ended March 31, 2017

Cash generated from operations

Cash (used in) / generated from operations 13

Taxes paid

Net cash (used in) / from operating activities

Cash flows from investing activities

Proceeds from disposal of long term investment

Additions in property, plant and equipment

Dividend received

Net cash (used in)/ from investing activities

Cash flows from financing activities

(Decrease) / increase in short term borrowings

(Decrease) in long term financing - net

(Decrease) / increase in sub-ordinated loan

Repayment of liabilities against assets subject to finance lease

Finance cost paid

Net cash (used in) / from financing activities

Net change 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

For the nine For the nine

month ended month ended

March 31, 2017 March 31, 2016

Rupees Rupees

50,464,585

(226,515,293)

(13,354,312)

(21,673,963)

37,110,273

(248,189,256)

(209,040)

620,350,000

(3,583,963)

(3,244,227)

(3,793,003) 617,105,773

(11,685,623)

(235,344,308)

(21,643,168)

(35,247,628)

30,000,000

(46,364,438)

(66,503,969)

(49,693,229)

(337,095,905)

(16,375,959)

31,820,612

26,116,244

18,932,261

9,740,285

50,752,874

Condensed Interim Statement of Cash Flows (Un-audited)

JEHANZEB AMIN

Chief Executive

Director

JEHANZEB AMIN

Chief Executive

Director

Condensed Interim Statement of Comprehensive Income (Un-audited)

for the nine months ended March 31, 2017For the nine For the nine For the quarter For the quarter

month ended month ended ended ended

March 31, 2017 March 31, 2016 March 31, 2017 March 31, 2016

Profit / (Loss) after taxation (141,195,445) (63,744,442) (62,074,974) (24,447,829)

Total comprehensive (loss) / income for the period (141,195,445)

(63,744,442)

(62,074,974)

(24,447,829)

for the nine months ended March 31, 2017

Cash generated from operations

Cash (used in) / generated from operations 13

Taxes paid

Net cash (used in) / from operating activities

Cash flows from investing activities

Proceeds from disposal of long term investment

Additions in property, plant and equipment

Dividend received

Net cash (used in)/ from investing activities

Cash flows from financing activities

(Decrease) / increase in short term borrowings

(Decrease) in long term financing - net

(Decrease) / increase in sub-ordinated loan

Repayment of liabilities against assets subject to finance lease

Finance cost paid

Net cash (used in) / from financing activities

Net change 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

For the nine For the nine

month ended month ended

March 31, 2017 March 31, 2016

Rupees Rupees

50,464,585

(226,515,293)

(13,354,312)

(21,673,963)

37,110,273

(248,189,256)

(209,040)

620,350,000

(3,583,963)

(3,244,227)

(3,793,003) 617,105,773

(11,685,623)

(235,344,308)

(21,643,168)

(35,247,628)

30,000,000

(46,364,438)

(66,503,969)

(49,693,229)

(337,095,905)

(16,375,959)

31,820,612

26,116,244

18,932,261

9,740,285

50,752,874

Condensed Interim Statement of Cash Flows (Un-audited)

JEHANZEB AMIN

Chief Executive

Director

Condensed Interim Statement of Changes in Equity (Un-audited)for the nine months ended March 31, 2017

Balance as at July 01, 2015 267,280,000

137,304,455

404,584,455

Loss for the period -

(63,744,442)

6,991,376

Balance as at March 31, 2016 267,280,000

80,551,389

347,831,389

(14,955,970)

Other comprehensive income for the period - - - - -

(14,955,970)

2,467,544

Balance as at June 30, 2016 267,280,000

51,256,016

318,536,016

(141,195,445)

Total comprehensive loss for the period -

(141,195,445)

8,333,716

(81,605,713)

185,674,287

Total Equity

Revenue reserve-

Accumulated

Profits/(Loss) Sub-total

Transfer from surplus on revaluation of property,

plant and equipment -net of tax

Particulars Issued, subscribed

and paid up share

capital

Reserves

Other comprehensive income for the period

Total comprehensive loss for the period

plant and equipment-net of tax

Notes to the Condensed Interim Financial Information (Un-audited)for the nine months ended March 31, 2017

Un-audited Audited

Mar 31, 2017 Jun 30, 2016

Note Rupees Rupees

6 Long term financing - secured

From financial institutions 230,189,009 251,832,177

230,189,009 251,832,177

Payable within in next twelve months (61,189,013)

(59,056,397)

Non-current portion 168,999,996

192,775,780

7 Defered Liabilities

Defered tax 7.1

Staff gratuity 1,287,100

1,562,100

Total 1,287,100

1,562,100

JEHANZEB AMIN

Chief Executive

Director

1 General information and nature of operations

Samin Textiles Limited (the "Company") is a public limited company incorporated in Pakistan on November 27,

1989 under the Companies Ordinance, 1984. The shares of the Company are listed on Pakistan Stock Exchange.

The principal business of the Company is manufacturing and sale of cloth. The address of its registered/head office

is 50-C, Main Gulberg, Lahore. The mill is situated at Manga - Raiwind Road, District Kasur in the Province of Punjab.

2 Basis of preparation

This condensed interim financial information is unaudited and is being submitted to shareholders, as required by

section 245 of Companies Ordinance, 1984.

This condensed interim financial information of the Company for the nine month period ended 31 March2017 has

been prepared in accordance with the requirements of the International Accounting Standard (IAS) 34, "Interim

Financial Reporting" and provisions of and directives issued under the Companies Ordinance, 1984. In case where

requirements differ, the provisions of or directives issued under the Companies Ordinance, 1984 have been

followed. This condensed interim financial report does not include all the information required for full annual

financial statements and should be read in conjunction with the annual financial statements of the Company for

the year ended June 30, 2016.

3 Accounting policies

The accounting policies and methods of computation adopted for the preparation of this condensed interim

financial information are consistent with those applied in the preparation of the annual published financial

statements of the Company for the year ended June 30, 2016.

The new standards, amendments to the approved accounting standards and interpretations that are mandatory for

accounting periods beginning on or after July 1, 2016, were either considered not to be relevant to the Company's

operations or did not have significant effect on the accounting policies of the Company.

4 Critical accounting estimates and judgments

Judgments and estimates made by the management in the preparation of this condensed interim financial report

are the same as those applied to the preceding annual published financial statements of the Company for the year

ended June 30, 2016.

5 Financial risk management

The financial risk management objectives and policies adopted by the Company are consistent with those

disclosed in the financial statements of the Company for the year ended June 30, 2016.

Condensed Interim Statement of Changes in Equity (Un-audited)for the nine months ended March 31, 2017

Balance as at July 01, 2015 267,280,000

137,304,455

404,584,455

(63,744,442)

6,991,376

80,551,389

347,831,389

(14,955,970)

Other comprehensive income for the period - - - - -

(14,955,970)

2,467,544

Balance as at June 30, 2016 267,280,000

51,256,016

318,536,016

(141,195,445)

Total comprehensive loss for the period -

(141,195,445)

8,333,716

(81,605,713)

185,674,287

Total Equity

Revenue reserve-

Accumulated

Profits/(Loss) Sub-total

Particulars Issued, subscribed

and paid up share

capital

Reserves

Other comprehensive income for the period

plant and equipment-net of tax

Notes to the Condensed Interim Financial Information (Un-audited)for the nine months ended March 31, 2017

Un-audited Audited

Mar 31, 2017 Jun 30, 2016

Note Rupees Rupees

6 Long term financing - secured

From financial institutions 230,189,009 251,832,177

230,189,009 251,832,177

Payable within in next twelve months (61,189,013)

(59,056,397)

Non-current portion 168,999,996

192,775,780

7 Defered Liabilities

Defered tax 7.1

Staff gratuity 1,287,100

1,562,100

Total 1,287,100

1,562,100

JEHANZEB AMIN

Chief Executive

Director

1 General information and nature of operations

Samin Textiles Limited (the "Company") is a public limited company incorporated in Pakistan on November 27,

1989 under the Companies Ordinance, 1984. The shares of the Company are listed on Pakistan Stock Exchange.

The principal business of the Company is manufacturing and sale of cloth. The address of its registered/head office

is 50-C, Main Gulberg, Lahore. The mill is situated at Manga - Raiwind Road, District Kasur in the Province of Punjab.

2 Basis of preparation

This condensed interim financial information is unaudited and is being submitted to shareholders, as required by

section 245 of Companies Ordinance, 1984.

This condensed interim financial information of the Company for the nine month period ended 31 March2017 has

been prepared in accordance with the requirements of the International Accounting Standard (IAS) 34, "Interim

Financial Reporting" and provisions of and directives issued under the Companies Ordinance, 1984. In case where

requirements differ, the provisions of or directives issued under the Companies Ordinance, 1984 have been

followed. This condensed interim financial report does not include all the information required for full annual

financial statements and should be read in conjunction with the annual financial statements of the Company for

the year ended June 30, 2016.

3 Accounting policies

The accounting policies and methods of computation adopted for the preparation of this condensed interim

financial information are consistent with those applied in the preparation of the annual published financial

statements of the Company for the year ended June 30, 2016.

The new standards, amendments to the approved accounting standards and interpretations that are mandatory for

accounting periods beginning on or after July 1, 2016, were either considered not to be relevant to the Company's

operations or did not have significant effect on the accounting policies of the Company.

4 Critical accounting estimates and judgments

Judgments and estimates made by the management in the preparation of this condensed interim financial report

are the same as those applied to the preceding annual published financial statements of the Company for the year

ended June 30, 2016.

5 Financial risk management

The financial risk management objectives and policies adopted by the Company are consistent with those

disclosed in the financial statements of the Company for the year ended June 30, 2016.

Un-audited Audited

Mar 31, 2017 Jun 30, 2016

Rupees Rupees

Commitments

Commitments against foreign bills 15,096,156

74,323,035

10 Property, plant and equipment

Operating fixed assets 10.1 898,274,669

948,921,557

Total 898,274,669

948,921,557

10.1 Operating fixed assets

Written down value - opening 948,921,557 881,130,005

Add: Cost of additions during the period / year 3,583,963 141,270,137

952,505,520 1,022,400,142

Disposals during the period / year (W.D.V) - (881,540)

Less: Depreciation (54,230,911) (72,597,045)

Written down value - closing 898,274,609 948,921,557

8 TRADE AND OTHER PAYABLES

Creditors

- for goods

- for supplies

- for services

Accrued liabilities

Advances from customers

Security deposits

Withholding tax payable

Payable to Workers' Welfare Fund 8.1

Provident fund payable

Unclaimed dividend

Un-audited

Mar 31, 2017

Rupees

64,317,078

40,537,553

38,189,792

143,044,423

26,989,238

26,923,948

513,630

5,918,467

1,891,540

2,628,031

3,466,164

211,375,441

Audited

Jun 30, 2016

Rupees

92,400,284

41,230,648

28,451,526

162,082,458

28,603,227

13,555,241

513,630

3,335,243

1,891,540

995,372

3,466,164

214,442,875

8.1 Workers’ Welfare Fund Ordinance, 1971 has been amended through Finance Acts 2006 and 2008. These

amendments were held unconstitutional and struck down by the Honorable Lahore High Court, Lahore (HLHC) on

August 05, 2011. The decision of the HLHC has been challenged in the august Supreme Court of Pakistan decision

of which is still pending. Therefore, the Company has not yet made payment of this amount. Further, the Company

has also not made any provision during the year as the management is confident of favorable outcome of such

litigation.

9 Contingencies and commitments

Contingencies

There is no material change in contingencies as disclosed in the notes to the financial statements for the year ended

June 30, 2016.

10.1.1 Cost of additions during the period

Free hold land

Building on freehold land

Plant and machinery

Furniture and fittings

Office equipment

Vehicles

11 CASH AND BANK BALANCES

Cash at bank:

- current accounts

- deposit accounts

- foreign currency accounts

Cash in hand

12 Cost of Sales

Raw materials consumed

Salaries, wages and other benefits

Factory overheads

(Increase)/decrease in work in process

Opening work in process

Closing work in process

Adjustment of work in process

Cost of goods manufactured

(Increase)/decrease in finished goods

Opening stock

Closing stock

Adjustment of finished goods

Less: Export Rebate

- 62,659,375

- 41,677,437

2,915,261 31,382,985

234,000

668,702 1,578,671

- 3,737,669

3,583,963 141,270,137

7,953,240

11,105,761

353,334

10,276,334

15,691 1,908,878

8,322,265 23,290,973

1,418,020

Un-audited

Mar 31, 2017

Rupees

Audited

Jun 30, 2016

Rupees

2,825,271

9,740,285

26,116,244

376,321,001

114,504,385

282,932,799

773,758,185

2,850,745 (526,874)

2,323,871

776,082,056

364,733,755

(334,623,240)

30,110,515

(71,924)

806,120,647

Un-auditedNine month ended

Mar 31, 2017

Rupees

(336,714,519)

(156,253,126)

(375,315)

664,946,365

84,843,605

357,066,923

1,106,856,893

4,532,107 (6,278,060)

(1,745,953)

1,105,110,940

180,461,393

948,857,814

Mar 31, 2016

Rupees

79,208,537

36,048,591

104,686,576

219,943,703

291,054 (526,874)

(235,820)

219,707,883

339,453,922

(334,623,240)

4,830,682

(6,067)

224,532,498

Un-auditedQuarter ended

Mar 31, 2017

Rupees

Mar 31, 2016

Rupees

220,040,726

25,271,552

106,324,518

351,636,796

2,647,685

(6,278,060)

(3,630,375)

348,006,421

282,693,038

(336,714,519)

(54,021,481)

(7,268)

293,984,940

Notes to the Condensed Interim Financial Information (Un-audited)Notes to the Condensed Interim Financial Information (Un-audited)for the nine months ended March 31, 2017for the nine months ended March 31, 2017

Un-audited Audited

Mar 31, 2017 Jun 30, 2016

Rupees Rupees

Commitments

Commitments against foreign bills 15,096,156

74,323,035

10 Property, plant and equipment

Operating fixed assets 10.1 898,274,669

948,921,557

Total 898,274,669

948,921,557

10.1 Operating fixed assets

Written down value - opening 948,921,557 881,130,005

Add: Cost of additions during the period / year 3,583,963 141,270,137

952,505,520 1,022,400,142

Disposals during the period / year (W.D.V) - (881,540)

Less: Depreciation (54,230,911) (72,597,045)

Written down value - closing 898,274,609 948,921,557

8 TRADE AND OTHER PAYABLES

Creditors

- for goods

- for supplies

- for services

Accrued liabilities

Advances from customers

Security deposits

Withholding tax payable

Payable to Workers' Welfare Fund 8.1

Provident fund payable

Unclaimed dividend

Un-audited

Mar 31, 2017

Rupees

64,317,078

40,537,553

38,189,792

143,044,423

26,989,238

26,923,948

513,630

5,918,467

1,891,540

2,628,031

3,466,164

211,375,441

Audited

Jun 30, 2016

Rupees

92,400,284

41,230,648

28,451,526

162,082,458

28,603,227

13,555,241

513,630

3,335,243

1,891,540

995,372

3,466,164

214,442,875

8.1 Workers’ Welfare Fund Ordinance, 1971 has been amended through Finance Acts 2006 and 2008. These

amendments were held unconstitutional and struck down by the Honorable Lahore High Court, Lahore (HLHC) on

August 05, 2011. The decision of the HLHC has been challenged in the august Supreme Court of Pakistan decision

of which is still pending. Therefore, the Company has not yet made payment of this amount. Further, the Company

has also not made any provision during the year as the management is confident of favorable outcome of such

litigation.

9 Contingencies and commitments

Contingencies

There is no material change in contingencies as disclosed in the notes to the financial statements for the year ended

June 30, 2016.

10.1.1 Cost of additions during the period

Free hold land

Building on freehold land

Plant and machinery

Furniture and fittings

Office equipment

Vehicles

11 CASH AND BANK BALANCES

Cash at bank:

- current accounts

- deposit accounts

- foreign currency accounts

Cash in hand

12 Cost of Sales

Raw materials consumed

Salaries, wages and other benefits

Factory overheads

(Increase)/decrease in work in process

Opening work in process

Closing work in process

Adjustment of work in process

Cost of goods manufactured

(Increase)/decrease in finished goods

Opening stock

Closing stock

Adjustment of finished goods

Less: Export Rebate

- 62,659,375

- 41,677,437

2,915,261 31,382,985

234,000

668,702 1,578,671

- 3,737,669

3,583,963 141,270,137

7,953,240

11,105,761

353,334

10,276,334

15,691 1,908,878

8,322,265 23,290,973

1,418,020

Un-audited

Mar 31, 2017

Rupees

Audited

Jun 30, 2016

Rupees

2,825,271

9,740,285

26,116,244

376,321,001

114,504,385

282,932,799

773,758,185

2,850,745 (526,874)

2,323,871

776,082,056

364,733,755

(334,623,240)

30,110,515

(71,924)

806,120,647

Mar 31, 2017

Rupees

(336,714,519)

(156,253,126)

(375,315)

664,946,365

84,843,605

357,066,923

1,106,856,893

4,532,107 (6,278,060)

(1,745,953)

1,105,110,940

180,461,393

948,857,814

Mar 31, 2016

Rupees

79,208,537

36,048,591

104,686,576

219,943,703

291,054 (526,874)

(235,820)

219,707,883

339,453,922

(334,623,240)

4,830,682

(6,067)

224,532,498

Mar 31, 2017

Rupees

Mar 31, 2016

Rupees

220,040,726

25,271,552

106,324,518

351,636,796

2,647,685

(6,278,060)

(3,630,375)

348,006,421

282,693,038

(336,714,519)

(54,021,481)

(7,268)

293,984,940

Un-audited

Mar 31, 2017

Rupees

13 Cash (used in) generated from operations

Loss/(Profit) before taxation (137,053,163)

Adjustments for:

Depreciation on property, plant and equipment 54,230,911

Foreign currency translation difference -

Amortization 117,320

Gain on diposal of investment -

Interest Income (109,538)

Finance cost 20,666,118

Operating profit before changes in working capital (62,148,352)

Changes in working capital

(Increase) /decrease in current assets

Stores, spare parts and loose tools (1,746,240)

Stock in trade 55,613,275

Trade debts 29,160,188

Loans and advances 10,066,164

Trade deposits, prepayments and balances with statutory authorities (14,351,850)

(Decrease) /increase in current liabilities

Trade and other payables (3,067,435)

Total 13,525,750

Un-audited

Mar 31, 2016

Rupees

(75,520,944)

53,825,734

387,450

628,500

(6,530,000)

(109,538)

58,973,558

31,654,760

5,372,669

(164,987,013)

29,877,419

(37,421,907)

(7,875,646)

(83,135,575)

(226,515,293)

Member of the Company

900,000 600,000

2,198,715 1,176,647

Un-audited Un-audited

Mar 31, 2017 Mar 31, 2016

Relationship Rupees Rupees

Associated company

124,824

215,481

Associated company

109,538

Directors and executives

Transactions with related parties

Significant transactions with related parties during nine months are as follows:

Mrs. Mehvish Amin

Office rent

Mrs. Shehla Segal

Markup on subordinated loan

MCB Bank Limited

Profit received on PLS account

Onetel Pakistan (Pvt) Limited

Interest On Loan

Directors and other key management personnel

Remuneration and benefits 20,850,635

29,963,639

Mar 31, 2017 Mar 31, 2016

15 Significant balances with related parties as on balance sheet date are as follows:

Associate

1,000,000 1,000,000

1,150,000 1,150,000

766,907

620,857

Subsidiary

100,000

Associated company

1,219,245

Director 30,000,000 -

22,827,525 20,628,810

Onetel Pakistan (Private) Limited

Investment

Interest accrued on loan

Nimas Trading (Private) Limited

Investment

Security General Insurance Company Limited

Outstanding balance of Insurance premium

Payable to Sponsors

Payable to other related parties

Payable to Provident Fund Provident fund 1,632,659 1,660,972

16 General

16.1 Corresponding figures have been rearranged wherever necessary, for the purpose of comparison. However, there

were no material reclassification or rearrangement to report.

In order to comply with the requirements of International Accounting Standard 34 - ‘Interim Financial Reporting’,

the condensed interim balance sheet has been compared with the balances of annual audited financial statements

of preceding financial year, whereas, the condensed interim profit and loss account, condensed interim statement

of comprehensive income, condensed interim statement of changes in equity and condensed interim statement of

cash flows have been compared with the balances of condensed interim half yearly financial information of

comparable period.

16.2 Figures have been rounded off to the nearest rupees unless otherwise stated.

17 Date of authorization for issue

This financial information was authorized for issue on 21 April 2017 by the Board of Directors of the Company.

JEHANZEB AMIN

Chief Executive

Director

Un-audited

Mar 31, 2017

Rupees

13 Cash (used in) generated from operations

Loss/(Profit) before taxation (137,053,163)

Adjustments for:

Depreciation on property, plant and equipment 54,230,911

Foreign currency translation difference -

Amortization 117,320

Gain on diposal of investment -

Interest Income (109,538)

Finance cost 20,666,118

Operating profit before changes in working capital (62,148,352)

Changes in working capital

(Increase) /decrease in current assets

Stores, spare parts and loose tools (1,746,240)

Stock in trade 55,613,275

Trade debts 29,160,188

Loans and advances 10,066,164

Trade deposits, prepayments and balances with statutory authorities (14,351,850)

(Decrease) /increase in current liabilities

Trade and other payables (3,067,435)

Total 13,525,750

Un-audited

Mar 31, 2016

Rupees

(75,520,944)

53,825,734

387,450

628,500

(6,530,000)

(109,538)

58,973,558

31,654,760

5,372,669

(164,987,013)

29,877,419

(37,421,907)

(7,875,646)

(83,135,575)

(226,515,293)

900,000 600,000

2,198,715 1,176,647

Mar 31, 2017 Mar 31, 2016

Associated company

124,824

215,481

Associated company

109,538

Directors and executives

Transactions with related parties

Significant transactions with related parties during nine months are as follows:

Mrs. Mehvish Amin

Office rent

Mrs. Shehla Segal

Markup on subordinated loan

MCB Bank Limited

Profit received on PLS account

Onetel Pakistan (Pvt) Limited

Interest On Loan

Directors and other key management personnel

Remuneration and benefits 20,850,635

29,963,639

Mar 31, 2017 Mar 31, 2016

15 Significant balances with related parties as on balance sheet date are as follows:

Associate

1,000,000 1,000,000

1,150,000 1,150,000

766,907

620,857

Subsidiary

100,000

Associated company

1,219,245

Director 30,000,000 -

22,827,525 20,628,810

Onetel Pakistan (Private) Limited

Investment

Interest accrued on loan

Nimas Trading (Private) Limited

Investment

Security General Insurance Company Limited

Outstanding balance of Insurance premium

Payable to Sponsors

Payable to other related parties

Payable to Provident Fund Provident fund 1,632,659 1,660,972

16 General

16.1 Corresponding figures have been rearranged wherever necessary, for the purpose of comparison. However, there

were no material reclassification or rearrangement to report.

In order to comply with the requirements of International Accounting Standard 34 - ‘Interim Financial Reporting’,

the condensed interim balance sheet has been compared with the balances of annual audited financial statements

of preceding financial year, whereas, the condensed interim profit and loss account, condensed interim statement

of comprehensive income, condensed interim statement of changes in equity and condensed interim statement of

cash flows have been compared with the balances of condensed interim half yearly financial information of

comparable period.

16.2 Figures have been rounded off to the nearest rupees unless otherwise stated.

17 Date of authorization for issue

This financial information was authorized for issue on 21 April 2017 by the Board of Directors of the Company.

JEHANZEB AMIN

Chief Executive

Director

samintextile.com

SAMIN TEXTILES LIMITED

50-C, Main Gulberg,Lahore, Pakistan.Tel: +92 42 3575 3761Fax: +92 42 3575 3688

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