Contents
PAGE | ||
Corporate Information | 2 | |
Directors' Review | 3-4 | |
Directors' Review - Urdu | 5-6 | |
Independent Auditor's Report on Review of Condensed Interim | ||
Financial Statements to the Members | 7 | |
Condensed Interim Statement of Financial Position | 8 | |
Condensed Interim Statement of Profit or Loss | 9 | |
Condensed Interim Statement of Comprehensive Income | 10 | |
Condensed Interim Statement of Cash Flows | 11 | |
Condensed Interim Statement of Changes in Equity | 12 | |
Notes to the Condensed Interim Financial Statements | 13-28 | |
CENTURY PAPER & BOARD MILLS LIMITED
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Corporate Information | |
Board of Directors | |
Iqbal Ali Lakhani | - Chairman |
Amin Mohammed Lakhani | |
Babar Ali Lakhani | |
Anushka Lakhani | |
Asif Qadir | |
Ali Aamir | |
Aftab Ahmad | - Chief Executive Officer |
Advisor | |
Sultan Ali Lakhani | |
Audit Committee | |
Ali Aamir | - Chairman |
Amin Mohammed Lakhani | |
Babar Ali Lakhani | |
Human Resource & Remuneration Committee | |
Asif Qadir | - Chairman |
Amin Mohammed Lakhani | |
Anushka Lakhani | |
Aftab Ahmad | |
Chief Financial Officer | |
Muhammad Rashid Dastagir | |
Email: rashid-dastagir@centurypaper.com.pk | |
Company Secretary | |
Mansoor Ahmed | |
Email: mansoor-ahmed@centurypaper.com.pk | |
External Auditors | |
BDO Ebrahim & Co. | |
Chartered Accountants | |
Email: info@bdoebrahim.com.pk | |
Shares Registrar | |
FAMCO Associates (Private) Limited | |
8-F, Near Hotel Faran, Nursery, Block-6, P.E.C.H.S. Shahra-e-Faisal, Karachi. | |
Phone: (021) 34380101-5 | Fax: (021) 34380106 |
Email: info.shares@famco.com.pk | |
Website: www.famco.com.pk | |
Head Office and Registered Office | |
Lakson Square, Building No.2, Sarwar Shaheed Road, Karachi-74200, Pakistan. | |
Phone: (021) 38400000 | |
Fax: (021) 35681163, 35683410 | |
Email: info@centurypaper.com.pk | |
Website: www.centurypaper.com.pk | |
Lahore Office | |
14-Ali Block, New Garden Town, Lahore-54600, Pakistan. | |
Phone: (042) 35886801-4 | Fax: (042) 35830338 |
Mills | |
62 KM, Lahore-Multan Highway, N-5, District Kasur, Pakistan. | |
Phone: (049) 4511464-5,4510061-2 Fax: (049) 4510063 | |
HALF YEARLY REPORT DECEMBER 2022 | |
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Directors' Review
On behalf of the Board of Directors, we are pleased to present the performance review of your Company together with the un-audited financial statements for the period ended December 31, 2022.
Operations and Sales Review
The Company produced 117,836 metric tons during the period under review (July - December 2022) as compared to 127,073 metric tons for the corresponding period of last year.
The Company sold 117,034 metric tons during the period under review (July - December 2022) as compared to 121,524 metric tons for the corresponding period of last year.
In terms of value, the net sales of the Company for the period under review (July - December 2022) recorded at Rs. 24,925 million as compared to Rs.17,915 million for the corresponding period of last year.
Financial Performance
The Company posted a gross profit of Rs. 1,724 million for the period under review (July - December 2022) as compared to Rs. 2,297 million for the corresponding period of last year. The decline in gross profit margin for the period under review was on the backdrop of elevated raw material and fuel prices coupled with upward movement of the exchange rate resulting in a significant increase in the cost of production which could only be recouped partially through necessary adjustments in selling prices in line with market conditions.
The net operating profit for the period under review (July - December 2022) was recorded at Rs. 1,247 million as compared to Rs.1,791 million for the corresponding period of last year.
Finance cost for the period under review (July - December 2022) stood at Rs. 978 million as compared to Rs. 259 million for the corresponding period of last year. The increase in finance cost was the combined impact of higher effective interest rates and working capital needs.
After taking into account financial charges, profit before tax for the period was Rs. 269 million as compared to Rs. 1,532 million in the corresponding period of last year.
Accordingly, net profit for the period under review was Rs. 191 million as compared to Rs. 1,083 million for the corresponding period of last year.
Earnings Per Share
The basic earnings per share is reported at Re. 0.85 as compared to Rs. 4.85 for the corresponding period of last year.
During the period, shareholders approved the issuance of 20,288,532 bonus shares being the 10% bonus issue declared by the Board of Directors for the year ended June 30, 2022. Accordingly, the weighted average number of shares for the current and corresponding periods includes the impact of bonus shares for the calculation of EPS as per the requirement of International Financial Reporting Standards.
CENTURY PAPER & BOARD MILLS LIMITED
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Directors' Review
There is no dilution effect on the earnings per share for the period under review and the corresponding period of last year.
Balancing, Modernization & Replacement (BMR) and Digitization
As on the balance sheet date, Your Company has fully utilized SBP's Temporary Economic Refinance (TERF) loan facility availed through the different banks for the up-gradation of Paper & Board Machines, Cogeneration Plants and auxiliaries relating thereto. A few BMR projects were completed during the period and work on most of the remaining projects will be completed by the end of this year. Furthermore, work on upsizing of the GRID station is nearing completion and hopefully, an extended load of 16MW will be available for use in the last quarter of the ongoing year. Moreover, significant progress has been made toward the digitization of machine processes in collaboration with foreign consultants.
Corporate Social Responsibility (CSR)
The Company's different CSR initiatives for the welfare of the surrounding communities continued during the period. The Company has collaborated with reputable NGOs to extend schooling facilities in the vicinity of the Mills and has also adopted a school in the far-flung areas of Kashmir. Moreover, Company has also distributed food hampers in flood-affected areas in collaboration with the local administration.
Near Term Outlook
The continuous rise in key input costs has already been putting pressure on product margins, and with consequential adjustments in products' pricing, the market for quality products has already started contracting, thus making it challenging to operate the Mills at the optimal capacity. The recent State Bank measures to manage the Current Account Deficit will make the situation harder for the Company, like any other industrial unit of the Country, for securing the supply of essential raw materials.
Management is closely monitoring these developments and modifying its strategy to ensure continuous operations for the longest possible time with available raw materials in hand and incoming shipments against letters of credit already established. The objective is to ensure an uninterrupted supply of packaging materials to its valued customers including most of the FMCGs, Pharmaceuticals, Food, Confectionery, Biscuits, Tea, and numerous Household Items serving the daily needs of the Masses. All necessary price adjustments are being made to recover the increases in the cost of production.
Acknowledgments
The Directors wish to acknowledge the devotion of the employees of all cadres and are appreciative of their dedication and commitment. They also extend heartfelt appreciation to the Company's suppliers, customers and bankers for their continued confidence and support.
On behalf of the Board of Directors
IQBAL ALI LAKHANI | AFTAB AHMAD |
Chairman | Chief Executive Officer |
Karachi: January 31, 2023
HALF YEARLY REPORT DECEMBER 2022
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Century Paper & Board Mills Ltd. published this content on 07 February 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 07 February 2023 09:41:40 UTC.