Chashma Sugar Mills : Half Year Ended March 31,2023

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Ifundeliveredpleasereturnto: CHASHMA SUGARMILLSLIMITED KING'S ARCADE,20-A,MARKAZF-7, ISLAMABAD-PAKISTAN TEL:[phone]

CHASHMA SUGARMILLSLIMITED

CONDENSEDINTERIMFINANCIAL INFORMATION

FORTHEHALF YEARENDED

MARCH 31,2023

CHASHMA SUGARMILLSLIMITED

COMPANY INFORMATION

BoardofDirectors
BegumLailaSarfaraz	ChiefExecutive
Mr. AbbasSarfarazKhan	Chairman
Ms.ZarmineSarfaraz	Director
Mr.IskanderM.Khan	Director
Mr. AbdulQadarKhattak	Director
Ms.Mariam AliKhan	IndependentDirector
Mr.FeisalKemalKhan	IndependentDirector
CompanySecretary
Mr.MujahidBashir
ChiefFinancialOfficer
Mr.RizwanUllahKhan
HeadofInternal Audit
Mr.ZaheerMir
Auditors

M/s. A.FFerguson&Co.

Chartered Accountants

TaxConsultants

M/s.ShineWingHameedChaudhri&Co.,

Chartered Accountants

Legal Advisor

Mr. TariqMehmoodKhokhar

Barrister-at-Law, Advocate

SharesRegistrar

M/s.HameedMajeed Associates(Pvt.)Limited,

H.M.House,7-BankSquare,Lahore.

PhoneNo.:042-37235081FaxNo.:042-37235083

Bankers

Bank Al-HabibLimited	HabibBankLimited
TheBankofKhyber	NationalBankofPakistan
MCBBankLimited	SoneriBankLimited
TheBankofPunjab	AskariBankLimited
Bank Al-FalahLimited	UnitedBankLimited
DubaiIslamicBankLimited	MeezanBankLimited
Al-BarakaBank(Pakistan)Limited	AlliedBankLimited
HabibMetropolitanBankLimited	SambaBankLimited

CHASHMA SUGARMILLSLIMITED

DIRECTORS' REVIEWREPORT

The Board of Directors are pleased to present the un-audited condensed interim financial information of the Company for the six months' period ended on March 31, 2023. This condensed financial information is presented to the shareholders of the Company in compliance with the International Accounting Standard No. 34 "Interim Financial Reporting", the Code of Corporate Governance, under Section 237 of the Companies Act, 2017 and Listed Companies (Code of Corporate Governance) Regulations, 2019. The enclosed financial information is un-audited and have been reviewed by the external auditors as required by the Code of Corporate Governance.

OPERATIONAL PERFORMANCE

The sugarcane crushing season commenced on November 28, 2022 continued till March 14, 2023. The mills have crushed 1,963,169 tons (2022: 1,885,437 tons) of sugarcane to produce

211,871 tons (2022: 195,219.05 tons) of sugar having an average recovery of 10.8% (2022: 10.35%). The Provincial Government of Khyber Pakhtunkhwa (KPK) fixed sugarcane price @ Rs. 300/- per 40KG.

SUGAR PRICES

The Country produced 6.6 million tons of sugar, and we foresee stable sugar prices.

ETHANOL FUEL PLANT AT UNIT-II

The Ethanol Fuel Plant produced 17,499 MT of Ethanol during the half year ended on March 31, 2023.

FINANCIAL PERFORMANCE

The Company earned Rs. 585.897 million profit after taxation (2022: 209.925) during the half year ended March 31, 2023.

ACCOUNTING POLICIES

The accounting policies adopted in the preparation of this quarterly condensed interim financial information are the same as applied in the preparation of the preceding annual financial statements of the Company.

ACKNOWLEDGEMENT

The Directors appreciate the spirit of good work done by the Company's staff at all levels.

ONBEHALFOF THEBOARD

		-Sd-
Mardan:	(BEGUMLAILA SARFARAZ)	(ISKANDERM.KHAN)
May26,2023	ChiefExecutive	Director

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INDEPENDENT AUDITOR'SREVIEWREPORT

TOTHEMEMBERSOFCHASHMA SUGARMILLSLIMITED

REPORTONREVIEWOFINTERIMFINANCIAL STATEMENTS

Introduction

We have reviewed the accompanying condensed interim statement of financial position of Chashma Sugar Mills Limited (the Company) as at March 31, 2023 and the related condensed interim statement of profit or loss, condensed interim statement of comprehensive income, condensed interim statement of changes in equity, condensed interim statement of cash flows, and notes to the financial statements for the six-month period then ended (here-in-after referred to as the "interim financial statements"). Management is responsible for the preparation and presentation of these interim financial statements in accordance with accounting and reporting standards as applicable in Pakistan for interim financial reporting. Our responsibility is to express a conclusion on these interim financial statements based on our review. The figures of the condensed interim statement of profit or loss and condensed interim statement of comprehensive income for the three-month period ended March 31, 2023 and 2022 have not been reviewed, as we are required to review only the cumulative figures for the six-month period ended March 31, 2023.

Scope of Review

We conducted our review in accordance with International Standard on Review Engagements 2410, "Review of Interim Financial Information Performed by the Independent Auditor of the Entity". A review of interim financial statements consists of making inquiries, primarily of persons responsible for financial and accounting matters and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Conclusion

Based on our review, nothing has come to our attention that causes us to believe that the accompanying interim financial statements are not prepared, in all material respects, in accordance with the accounting and reporting standards as applicable in Pakistan for interim financial reporting.

The engagement partner on the audit resulting in this independent auditor's report is Asim Masood Iqbal.

A.F. Ferguson & Co.

Chartered Accountants

Islamabad:

May 26, 2023

UDIN: RR202310053QAH9mPKek

CHASHMA SUGARMILLSLIMITED

CONDENSEDINTERIMSTATEMENTOF

FINANCIAL POSITION(UN-AUDITED) AS ATMARCH31,2023

		Un-audited		Audited
	Note	March31,	September30,
		2023	2022
		(Rupeesinthousand)
NONCURRENT ASSETS
Property,plantandequipment	5	18,229,454	18,016,724
Right-of-useassets	6	312,749	283,515
Longterminvestment	7	668,964	423,964
Longtermloansanddeposits	8	272,340	261,304
		19,483,507	18,985,507
CURRENT ASSETS
Storesandspares		771,230		509,428
Stock-in-trade	9	13,632,547		3,379,869
Tradedebts	10	1,745,636		44,157
Loansandadvances	11	1,935,078		1,474,655
Tradedepositsandotherreceivables	12	235,404		255,651
Incometaxrefundable		-		41,457
Cashandbankbalances		397,259		212,853
		18,717,154	5,918,070
TOTAL ASSETS
	38,200,661	24,903,577
SHARECAPITAL ANDRESERVES
Authorisedcapital		500,000		500,000
Issued,subscribedandpaid-upcapital	13	286,920	286,920
Capitalreserve
Generalreserve		327,000	327,000
Revenuereserve
Unappropriatedprofits		4,415,248	3,567,555
Surplusonrevaluationofproperty,plantandequipment		6,672,682		6,934,478
Shareholders'equity		11,701,850	11,115,953
NON-CURRENTLIABILITIES
Longtermfinances-secured	14	4,015,366	3,577,818
Loansfromrelatedparties-secured	15	147,471	163,089
Leaseliabilities	16	144,219	146,604
DeferredLiabilities
-Deferredtaxation		3,006,405		3,102,225
-Provisionforgratuity		17,375		14,843
-Deferredgovernmentgrant		90,093		417
		3,113,873	3,117,485
		7,420,929	7,004,996
CURRENTLIABILITIES
Tradeandotherpayables	17	4,290,012		1,225,998
Unclaimeddividend		14,597		14,607
Shorttermrunningfinance-secured	18	13,740,587		4,489,508
Currentmaturityofnon-currentliabilities	19	964,254		1,052,515
Provisionfortaxation-net		68,432		-
		19,077,882	6,782,628
		26,498,811	13,787,624
Contingenciesandcommitments	20
TOTAL EQUITY ANDLIABILITIES
	38,200,661		24,903,577

Theannexednotes1to27formanintegralpartofthesecondensedinterimfinancialstatements.

CHIEFFINANCIAL OFFICER CHIEFEXECUTIVE

DIRECTOR

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CHASHMA SUGARMILLSLIMITED

CONDENSEDINTERIMSTATEMENTOFPROFITORLOSS(UN-AUDITED)

FORTHESIXMONTHPERIODENDEDMARCH31,2023

		Threemonthperiodended		Sixmonthperiodended
	Note	March31,		March31,		March31,		March31,
		2023	2022	2023	2022
				(Rupeesinthousand)
Grosssales	21	8,747,651	4,974,205	12,561,591	7,960,107
Salestax,othergovernmentleviesand
discounts	22	(832,515)	(679,171)	(1,217,601)	(904,052)
Sales-net		7,915,136	4,295,034	11,343,990	7,056,055
Costofsales		(5,922,334)	(3,352,418)	(8,649,005)	(5,682,043)
Grossprofit		1,992,802	942,616	2,694,985	1,374,012
Sellinganddistributionexpenses		(340,128)	(98,950)	(474,788)	(226,254)
Administrativeandgeneralexpenses		(254,984)	(191,562)	(486,476)	(366,807)
Netimpairmentlossesonfinancialassets	(34,128)	-	(34,128)	-
Otherincome		69,762	8,902	76,249	24,528
Otherexpenses		(39,825)	(24,777)	(45,580)	(25,765)
Operatingprofit		1,393,499	636,229	1,730,262	779,714
Financecost		(703,687)	(365,409)	(1,015,823)	(489,368)
Profitbeforetaxation		689,812	270,820	714,439	290,346
Taxation(expense)/credit

CHASHMA SUGARMILLSLIMITED

CONDENSEDINTERIMSTATEMENTOFCOMPREHENSIVEINCOME(UN-AUDITED)

FORTHESIXMONTHPERIODENDEDMARCH31, 2023

	Threemonthperiodended	Sixmonthperiodended
	March31,		March31,	March31,	March31,
	2023	2022		2023		2022
			(Rupeesinthousand)
Profitfortheperiod	540,792	170,317		585,897		209,925
Othercomprehensiveincome/(loss)	-	-		-		-
Totalcomprehensiveincomefortheperiod	540,792		170,317		585,897		209,925

Theannexednotes1to27formanintegralpartofthesecondensedinterimfinancialstatements.

-Current

-Prioryear-Deferred

Profitfortheperiod

Earningspershare-basicanddiluted(Rs)

(140,708)

(41,938)

33,626

(149,020)

540,792

18.85

12,251

-

(112,754)

(100,503)

170,317

5.94

(182,424)

(41,938)

95,820

(128,542)

585,897

20.42

(18,769)

-

(61,652)

(80,421)

209,925

7.32

Theannexednotes1to27formanintegralpartofthesecondensedinterimfinancialstatements.

CHIEFFINANCIAL OFFICER CHIEFEXECUTIVE

DIRECTOR

CHIEFFINANCIAL OFFICER CHIEFEXECUTIVE

DIRECTOR

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