Ittefaq Iron Industries : Transmission of Quarterly Report for the Period Ended. 31.03.2022

1

ITTEFAQ IRON INDUSTRIES LIMITED

CONDENSED INTERIM STATEMENT OF FINANCIAL POSITION AS AT 31 March 2022 (UNAUDITED)

Unaudited	Audited
311 Marchi 2022	30/ Jun / 2021
EQUITY AND LIABILmES	Rupees	Rupees
Share capital and reserves
Share capital	1,443,433,640	1,443,433,640
Share premium	774,507,925	774,507,925
Director's Loan	316,329,215	316,329,215
Surplus on revaluation of property, plant and equipment	558,309,460	575,392,456
Un-appropriated profit	1,574,945,619	1,331,694,966
4,667,525,860	i	4,441,358,202
NON-CURRENT LIABILITIES
Long-term finances	189,202,089	189,202,089
Liabilities against asset subject to finance lease	36,589,945	36,589,947
Deferred taxation	216,419,812	263,719,717
Deferred Liabilities	76,098,783	68,326,851
518,310,629	557,838,604
i
CURRENT LIABILmES
Trade and other payables	3,171,412,087	1,014,398,702
Unclaimed dividends	3,690,200	3,730,079
Mark-up accrued on borrowings	69,476,891	72,533,323
Short-term borrowings	1,463,211,633	1,353,170,672
Current portion of against asset subject to finance lease	7436745	12,028,406
4,715,227,556	2,455,861,182
CONTINGENCIESAND COMMITMENTS
9,901,064,044	7,455,057,988
ASSETS
NON-CURRENT ASSETS
Property, plant and equipment	1,915,669,977	1,980,221,679
Right to use assets	65,115,615	70,373,830
Long-term deposits	18972 226	18,972,226
1,999,757,818	2,069,567,735
CURRENT ASSETS
Stores, spare parts and loose tools	4t~,373,675	375,799,706
Stock in trade	3,082,396,433	2,418,538,554
Trade debts	2,996,205,468	1,566,514,762
Loans and advances	561,334,804	424,509,169
Trade deposits and prepayments	491,729,987	141,125,374
Tax refunds due from government	289,415,745	425,002,284
cash and bank balances	55,850,115	34,000,404
7,901,306,227	5,385,490,253
9,901,064,044	7,455,057,988

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The annexed notes form an integral part of this condensed interim financial information .

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fEFAO IRON INDUSTRIES LIMITED

JNDENSED INTERIM PROFIT AND LOSS ACCOUNT I fATEMENT OF COMPREHENSIVE INCOME (UN-AUDITED) :OR THE NINE MONTHS PERIOD ENDED 31 March 2022

Sales - net Cost of sales

Gross (Loss) / Profit

Other income

Operating expenses Distribution and selling cost Administrative and general expenses Other operating cost

Finance cost

(Loss) / Profit before taxation Taxation

(Loss) / Profit after taxation

Total comprehensive (Loss) / Profit

9 Months ended

Earning/Loss per share - basic and diluted

31/March/2022 ! Rupees 8,677,026,486 (8,150,579,651) 526,446,835 7,124,822 (76,422,100) (72,900,713) (28,249,149) (58,361,212) (235,933,174) 297,638,483 (71,470,825) 226,167,658 226,167,658 1.57

31{March{2021 Rupees· 4,338,708,852 (3,915,507,444) 423,201,408 1,904,345 (66,820,409) (50,889,449) (19,700,490) (25,374,778' (162,785,126) 262,320,627 (70,572,175) 191,748,452 191,748,452 1.33

31/March/2022 Rupees 2,939,398,827 (2,822,332,932) 117,065,895 6,712,072 (33,802,396) (20,099,474) (2,262,085) (20,612,592) (76,776,547) 47,001,420 (8,162,874)j 38,838,546 I 38,838,546 0.27

31{March{2021 Rupees 1,782,343,542 (1,622,532,135) 159,811,407 - 537,314 - (22,555,914) (15,610,102) (9,772,719) (7,697,829 (55,636,564) 104,712,157 - (25,267,563) - 79,444,594 - 79,444,594 0.55

The annexed notes form an integral part of this condensed interim financial information.

Quarter ended

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ITTEFAQ IRON INDUSTRIES LIMITED

CONDENSED INTERIM STATEMENT OF CHANGES IN EQUITY FOR THE NINE MONTHS PERIOD ENDED 31 March 2022

Share capitalCapitalShare premium

Surplus on revaluation of operating asset

-------------------------------Balance as at 30 June 2021

Profit after taxation for the year Other comprehensive income

1,443,433,640 -774,507,925 -575,392,456 -

Employee retirement benefits plan

ReservesRupees -----------._------------------

Less: Related deferred taxAmortization of unwinding of interest on loan from directors Transfer from revaluation surplus (net of deferred tax)

(17,082,996)

Balance as at 31 March 2022 un- audited

Equity portionRevenue Un-approprlftt ed profit

~ 1,331,694,966 226,167,658

of loan from directors

316,329,215

Total equity

4,441,358,202 226,167,658

17,082,996 J

316,329,215

4,667,525,860

tTEFAQ IRON INDUSTRIES LIMITED

,ONDENSED INTERIM CASH FLOW STATEMENT (UN-AUDITED) lOR THE NINE MONTHS PERIOD ENDED 31 March 2022

CASH FLOWS FROM OPERATING ACTIVITIES

(Loss) / profit before taxation

Adjustments for non-cash charges / items:

Depreciation of property, plant and equipment Provision for gratuity

WWF and WPPF

Gain on sale of fixed asset Finance cost

Loss before working capital changes Working capital changes

(Increase) / Decrease in current assets

Stores, spare parts and loose tools Stock in trade

Trade debts

Loans and advances

Trade deposits and prepayments Tax refunds due from government Increase in trade and other payables

Cash (used in) / generated from operations Income tax paid

Finance cost paid Gratuity paid

Net cash (used in) I generated from operating activities

CASH FLOWS FROM INVESTING ACTIVITIES

Purchase of property, plant and equipment

Capital work in progress

Proceeds from disposal of fixed assets

Net cash in I (out) flow from investing activities

CASH FLOWS FROM FINANCING ACTIVITIES

Dividend Paid

Short term borrowings Repayment of lease liabilities

Net cash in I (out) flow from financing activities

NET INCREASE I (DECREASE) IN CASH AND CASH EQUIVALENTS CASH AND CASH EQUIVALENTS AT BEGINNING OF THE PERIOD CASH AND CASH EQUIVALENTS AT END OF THE PERIOD

297,638,483 107,331,601 13,070,466 28,249,149 259,129 58,361,212 207,271,557 504,910,041 (48,573,969) (663,857,879) (1,429,690,706) (136,825,635) (350,604,613) 64,873,482 2,128,764,236 (435,915,084) 68,994,956 (48,057,673) (61,417,644) (5,298,534) (45,778,895) (526,700) (37,295,655) 41,540 (37,780,815) , -$., (39,879) I 110,040,961 (4,591,661) 105,409,421 21,849,711 34,000,404 55,850,115

262,320,627 101,742,897 7,854,316 19,700,490 481,001 25,374,778 155,153,482 417,474,109 (13,163,470) (599,501,602) (84,931,107) (88,802,938) (110,396,604) (53,510,250) 561,138,196 (389,167,775) 28,306,334 (92,515,642) (24,390,908) (1,550,820) (90,151,036) (61,675,969) (58,084,768) 32,000 (119,728,737) (2,044,772) 235,672,511 (7,224,620) 226,403,119 16,523,346 77,214,464 93,737,810

The annexed notes form an integral part of this condensed interim financial information.

Chief Ef.& ~cer

rEFAO IRON INDUSTRIES LIMITED

~LECTED EXPLANATORY NOTES TO THE CONDENSED INTERIM FINANCIAL JlFORMATION (UN-AUDITED)

:OR THE NINE MONTHS PERIOD ENDED 31 March 2022

• 1 STATUS AND ACTIVITES

  Ittefaq Iron Industries Limited ("the Company") was incorporated on 13 April 2007 as a private limited company under the repealed Companies Ordinance, 1984 (now Companies Act, 2017) on 20 February 2004. On 5 January 2017 the Company is converted into an unquoted public company. The Company was listed on Pakistan Stock Exchange on 3 July 2017.

  The principal business of the Company is the manufacturing of iron bars, girders and related products.

  The reaistered office of the Comoanv is situated at 40 B / II. Gulbera III. M. M. Alam Road. Lahore.

• 2 STATEMENT OF COMPLIANCE

  This condensed interim financial information is unaudited and has been prepared in accordance with the requirements of the International Accounting Standard 34 - Interim Financial Reporting' issued by the International Accounting Standards Board (lASB) 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 differ from the IAS 34 and IFRSs, the provisions of and directives issued under the Companies Act, 2017 have been followed.

  This condensed interim financial information has, however, been subjected to limited scope review by the auditors, as required by the Code of Corporate Governance, and should be read in conjunction with the audited annual financial statements of the Company for the year ended 30 June 2021.

• 3 BASIS OF MEASUREMENT

  This condensed interim financail information has been prepared unnder the historical cost convention modified by adjustment of revaluation of certain assets. In this condensed interim financial information, except for the cash flow statements, all the transactions have been accounted for on accrual basis.

• 4 SIGNIFICANT ACCOUNTING POLICIES

  The accounting policies and method for computation adopted for the preparation of this condensed interim financial information is the same as those appplied in preparation of the financial statements for the year ended June 30, 2021.

• 5 AUTHORIZATION FOR ISSUE

• These financial statements have been approved by the board of directors of the Company and authorized for issue on 25

  April 2022.

• 6 CORRESPONDING FIGURES

  • 6.1 Correspondig figures have been re-arranged, wherever necessary to the facilitation of comparison.

  • 6.2 Figures have been rounded off to the nearest of rupees.

Chief~&e

Officer

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