Downloaded

from:
www.OpenDoors.Pk
Yousaf Weaving
Mills Ltd
- 2003

Page 1 of 8

Yousaf Weaving Mills Ltd - 2003

===================================================================================

BALANCE SHEET AS AT SEPTEMBER 30, 2003

===================================================================================
2003
2002
Notes
(Rupees)
(Rupees)
===================================================================================
CAPITAL AND RESERVES
Share capital
3
181,680,000
181,680,000
Accumulated loss
4
(108,083,306)
(44,112,827)
73,596,694
137,567,173
LONG-TERM LOANS
5
212,625,000
139,117,225
LONG-TERM LOANS FROM DIRECTORS
6
120,000,000
OBLIGATIONS UNDER FINANCE LEASE
7
20,599,574
37,128,238
DEFERRED LIABILITY
8
28,439,876
8,196,251
CURRENT LIABILITIES
Short-term finances
9
132,437,568
257,020,539
Due to associated undertakings Unsecured
163,881
Due to directors - Unsecured
16,600,408
54,935,032
Current portion of long term liabilities
10
78,926,295
39,061,954
Creditors & accrued liabilities
11
215,568,440
154,195,747
Provision for taxation
29
32,236,810
34,850,000
475,769,521
540,226,853
CONTINGENCIES AND COMMITMENTS
12
931,030,665
862,235,740
FIXED CAPITAL EXPENDITURE
Operating assets
13
490,909,695
448,359,296
Assets subject to finance lease
14
46,980,000
52,200,000
537,889,695
500,559,296
LONG-TERM INVESTMENTS
15
3,655,000
LONG-TERM LOANS AND DEPOSITS
16
8,651,193
7,100,833
CURRENT ASSETS
Stores and spares
17
16,278,439
15,904,255
Stock-in-trade
18
60,117,982
68,870,857
Trade debts
19
45,991,482
18,565,159
Advances, deposits, prepayments
and other receivables
20
101,678,607
93,925,207
Short term investment
21
8,032,750
Cash and bank balances
22
152,390,517
153,655,133
384,489,777
350,920,611
931,030,665
862,235,740
===================================================================================
===================================================================================

PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED SEPTEMBER 30, 2003
===================================================================================
2003
2002
Notes
(Rupees)
(Rupees)
===================================================================================
SALES
23
1,248,573,342
1,169,024,190
COST OF SALES
24
1,186,961,320
1,096,623,124
61,612,022
72,401,066
GROSS PROFIT
OPERATING EXPENSES
Administrative
25
35,264,193
36,248,546
Selling
26
26,855,710
27,496,539
62,119,903
63,745,085
OPERATING (LOSS)/PROFIT
(507,881)
8,655,981
OTHER INCOME
27
14,902,813
8,481,576
14,394,932
17,137,557
OTHER CHARGES
Financial
28
56,855,884
84,002,504
(42,460,952)
(66,864,947)
(LOSS) BEFORE TAXATION
TAXATION
Current
29
7,367,915
17,095,034
Deferred
8.2
18,804,952
26,172,867
17,095,034
(LOSS) AFTER TAXATION
(68,633,819)
(83,959,981)
ACCUMULATED LOSS BROUGHT FORWARD
(47,044,327)
36,915,654
ACCUMULATED LOSS CARRIED FORWARD
(115,678,146)
(47,044,327)
EARNING PER SHARE
30
(3.78)
(4.62)
===================================================================================
===================================================================================

CASH FLOW STATEMENT FOR THE YEAR ENDED SEPTEMBER 30, 2003
===================================================================================
2003
2002
Notes
(Rupees)
(Rupees)
===================================================================================
CASH GENERATED FROM OPERATIONS
Cash generated from operations
31
96,189,776
142,912,967
Gratuity paid
(1,847,230)
(2,877,515)
Financial charges paid
(58,888,263)
(132,999,337)
Income tax paid
(11,412,977)
(12,167,618)
Net cash used in operating activities
24,041,306
(5,131,503)
CASH FLOW FROM INVESTING ACTIVITIES
Fixed capital expenditure
(94,880,737)
(50,634,915)
Long term loans
(1,424,430)
(1,011,500)
Long term deposits
(150,000)
(673,810)
Sale proceeds of operating assets
5,162,500
58,392,000
Sale proceeds from investments
4,495,165
Dividend received
505,000
550,000
Interest received on bank accounts
7,061,485
681,804
Net cash used in investing activities
(79,231,017)
7,303,579

C:\Users\Dr.Attaullah\OneDrive\Data\ALL ANNUAL REPORTS\ANNUAL REPORTS 2003\YOUW 2003.htm

7/5/2015

Downloaded
from:
www.OpenDoors.Pk
Yousaf Weaving
Mills Ltd
- 2003

Page 2 of 8

CASH FLOW FROM FINANCING ACTIVITIES

(Repayment)/proceeds from:
Long term loans
110,151,725
(76,553,223)
Borrowings from directors
81,665,376
54,719,936
Obligations under finance lease
(13,307,973)
(6,310,108)
Short term borrowing
(124,582,971)
90,434,803
Dividend paid
(1,062)
Associated undertakings
2,933,829
Net cash used in financing activities
53,925,095
65,225,237
NET INCREASE/(DECREASE) IN CASH AND
CASH EQUIVALENTS
(1,264,616)
67,397,313
CASH AND CASH EQUIVALENTS AT THE
BEGINNING OF THE YEAR
153,655,133
86,257,820
CASH AND CASH EQUIVALENTS AT THE
END OF THE YEAR
152,390,517
153,655,133
===================================================================================

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 2003
3. SHARE CAPITAL
===================================================================================
2003
2002
Notes
(Rupees)
(Rupees)
===================================================================================
Authorized
40,000,000 Ordinary shares of Rupees 10/- each
400,000,000
400,000,000
Issued, subscribed and paid up
18,168,000 Ordinary shares of Rupees 10/- each,
issued for cash
3.1
181,680,000
181,680,000
===================================================================================
3.1.

===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
18,168,000(2002 - 18,168,000) Ordinary shares
of Rupees 10/- each, issued for cash
181,680,000
181,680,000
181,680,000
181,680,000
===================================================================================

4. ACCUMULATED LOSS
===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
Accumulated loss
(115,678,146)
(47,044,327)
Unrealized gain on short term investment
7,594,840
2,931,500
(108,083,306)
(44,112,827)
===================================================================================

5. LONG-TERM LOANS- SECURED

===================================================================================
2003
2002
Note
(Rupees)
(Rupees)
===================================================================================
Term Finance I
5.1
5,528,950
13,617,225
Term Finance II
5.2
150,000,000
150,000,000
Term Finance III
5.3
58,390,000
Term Finance IV
5.4
59,850,000
273,768,950
163,617,225
Current portion
(61,143,950)
(24,500,000)
212,625,000
139,117,225
===================================================================================
5.1. This term finance facility is repayable in equal monthly installments of Rupees 0.50 million from October 2003 and carries markup at the rate of Rupees 0.44 per thousand per day.
This is secured against hypothecation of book debts and stock in trade, second charge over fixed assets of the company and personal guarantees of the directors.
5.2. This facility is repayable in 48 equal monthly installments of Rupees 3.125 million from November, 2003 and carries markup at a rate of 1% above the FDR held by the bank. The rate of markup varied from 8% to
3.25% during the year.
This is secured against first parri passu charge over the fixed assets of the weaving unit of the company, registered hypothecation charge over stocks and lien over deposit account grouped in cash and bank balances
(Note 21).
5.3. This facility is repayable in 36 equal monthly installments of Rupees 1.723 million each along with markup from July, 2003 and carries markup at the rate of 12%.
This is secured against first charge over the fixed assets of the weaving unit of the company, registered hypothecation charge over stocks and personal guarantees of the directors.
5.4. This represents re-scheduling of short term loan obtained from Metropolitan Bank Limited.
This is re-payable in full by December 2004. The rate of markup during the year varied from 14% to 8%.
This is secured against hypothecation of stocks of the weaving unit of the company, export letter of credits and personal guarantees of the directors.

6. LONG TERM LOANS FROM DIRECTORS UNSECURED

These loans will be repaid after the repayment of loans referred to in Note No 5 or improvement in the financial position of the company whichever is earlier. These loans are unsecured and free of interest.

7. OBLIGATION UNDER FINANCE LEASE

===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
Net principal liability
38,381,919
51,689,892
Current portion
(17,782,345)
(14,561,654)
20,599,574
37,128,238
===================================================================================
7.1. The aggregate total lease rentals due under the lease agreements amounts to Rupees 46,689,598 (2002 - Rupees 64,049,035) and are payable after a grace period of six months in equal monthly installments
under the lease agreements latest by August 23, 2005.
Overdue rental payments are subject to additional charge of 5% over SBP rate for providing short term accommodation to commercial banks for the entire period of default.
Taxes, repairs, replacement and insurance costs are to be borne by the lessee. In case of termination of agreement the lessee has to pay the entire rent for the unexpired period. The grace period carries markup at the
rate of approximately 17.24% per annum. Financing rates approximately of 18.70% per annum has been used as discounting factor.
7.2. The lease liabilities are secured against charge on leased assets, personal guarantees of the directors and security deposits amounting to Rupees 2,900,000 grouped under long term loans and deposits (Note
No.15).
7.3. The future lease payments to which the company is committed under the lease agreement and the years in which they will become due are as follows:

===================================================================================
2003
2002

C:\Users\Dr.Attaullah\OneDrive\Data\ALL ANNUAL REPORTS\ANNUAL REPORTS 2003\YOUW 2003.htm

7/5/2015

Downloaded
from:
www.OpenDoors.Pk
Yousaf Weaving
Mills Ltd
- 2003

Page 3 of 8

(Rupees)
(Rupees)
===================================================================================
Year ended September 30, 2003
22,101,204
Year ended September 30, 2004
22,101,204
22,101,204
Year ended September 30, 2005
22,746,627
22,746,627
44,847,831
66,949,035
Financial charges allocated to future periods
(7,719,593)
(16,068,476)
37,128,238
50,880,559
===================================================================================

8. DEFERRED LIABILITY
===================================================================================
2003
2002
Note
(Rupees)
(Rupees)
===================================================================================
Staff Gratuity
8.1
9,634,924
8,196,251
Deferred Taxation
8.2
18,804,952
28,439,876
8,196,251
===================================================================================
8.1. STAFF GRATUITY
The amounts recognized in balance sheet are determined as follows:

===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
Present value of unfunded defined benefit obligation 10,448,688
8,689,187
Less: Actuarial losses to be recognized in later
periods
(813,764)
(492,936)
Add: Actuarial gains charged to current profit and loss
Liability in the balance sheet
9,634,924
8,196,251
The amounts recognized in the profit and loss account are as follows:
Current service cost / provision for the year
2,416,984
2,455,449
Interest cost
868,919
757,393
Less: Actuarial gains charged to current profit and loss
(300,247)
Total included in salaries and benefits
3,285,903
2,912,595
Movement in liability recognized in the balance sheet:
At the beginning of the year
8,196,251
7,573,927
Amount recognized during the year - as shown above
3,285,903
2,912,595
Benefit payments
(1,847,230)
(2,590,518)
Actuarial gains charged to current profit and loss - as above 300,247
At the end of the year
9,634,924
8,196,251
The principal actuarial assumptions used were as follows:
Discount rate
8%
10%
Expected rate of increase in salary
7%
9%
Average expected remaining working life of employees
5 years
4 years
===================================================================================
8.2. DEFERRED TAXATION

===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
Credit/(Debit) balance arising in respect of Local Sales:
- Accelerated tax depreciation
47,799,330
- Liability subject to finance lease
(432,688)
- Staff retirement benefits
(1,854,723)
- Available assessed tax losses
(26,706,967)
18,804,952
===================================================================================

9. SHORT-TERM FINANCES- FROM BANKS

===================================================================================
2003
2002
Note
(Rupees)
(Rupees)
===================================================================================
Secured
Running/Exporter-finance
9.1
122,859,300
247,317,581
Unsecured
9.2
9,578,268
9,702,958
132,437,568
257,020,539
===================================================================================
9.1. Short-term finances from banks, other than post-shipment finance, against aggregate facilities of Rupees 135 million (2002 - Rupees 228 million) are secured against first pari passu and second charge by way of
equitable mortgage of all present and future fixed assets of the company, first floating charge on all the assets, hypothecation of stocks, pledge of raw material stocks of Rupees 30 million and personal guarantees of the
directors of the company. Post-shipment finance is secured against lien on export bills drawn under letters of credit. Mark-up on the above facilities ranges from approximately Rupees 0.27 to Rupees 0.44 per thousand
per day.
9.2. This includes Rupees 103,756 (2002 - Rupees 216,731) due to cheques issued but not presented on the balance sheet date.

10. CURRENT PORTION OF LONG-TERM LIABILITIES

===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
Long-term loans
61,143,950
24,500,000
Obligation under finance lease
17,782,345
14,561,654
78,926,295
39,061,654
===================================================================================

11. CREDITORS AND ACCRUED LIABILITIES

===================================================================================
2003
2002
Note
(Rupees)
(Rupees)
===================================================================================
Secured
Creditors
11.1
106,581,999
49,930,836
Financial charges accrued on:
Long-term loans
3,551,500
2,095,890
Obligations under finance lease
204,069
165,233
Short-term finances from banks
2,547,296
6,074,121
Unsecured
Creditors
11.2
50,529,279
43,462,845
Accrued expenses
15,226,676
17,087,075
Unclaimed dividend
2,473,499
2,474,561
Workers profit participation fund
11.3
20,433,523
19,627,237
Income tax payable of suppliers, contractors
& employees
5,966,220
5,309,476
Other liabilities
8,054,379
7,968,473
215,568,440
154,195,747
===================================================================================

C:\Users\Dr.Attaullah\OneDrive\Data\ALL ANNUAL REPORTS\ANNUAL REPORTS 2003\YOUW 2003.htm

7/5/2015

Downloaded
from:
www.OpenDoors.Pk
Yousaf Weaving
Mills Ltd
- 2003

Page 4 of 8

11.1. These are secured against letters of credit issued by the bankers of the company.
11.2. This includes Rupees 2,101,314 (2002 - Rupees Nil) payable to associated undertaking Kohinoor Spinning Mills Limited as on balance sheet date.
11.3. WORKERS PROFIT PARTICIPATION FUND

===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
Opening balance
19,627,237
19,359,357
For the year
Interest
1,806,286
2,325,632
1,806,286
2,325,632
21,433,523
21,684,989
Paid during the year
(1,000,000)
(2,057,752)
20,433,523
19,627,237
===================================================================================

12. CONTINGENCIES AND COMMITMENTS

CONTINGENCIES
(i) The Company is contingently liable for Indemnity Bonds issued, amounting to Rupees 17.482 million (2002 - Rupees 0.628 million), in favour of the Collector of Customs to avail exemptions under SRO 439(1)/2001

dated 18-06-2001 and SRO 987(1)199 dated 30-8-1999 in respect of custom duty and sales tax on imported plant and machinery.
(ii) Demand of Income Tax amounting to Rupees 12.37 million for the assessment year 2000-2001 under section 62 of the Repealed Income Tax Ordinance, 1979 was created by the Income Tax Department.

Pending the outcome of appeals filed by the company no provision has been made in these accounts since in the managements view the outcome of the appeals will be in favour of the company.

===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
Commitments
(i) Commitments for import of plant and machinery 33.74 Million.
70.50 Million
(ii) Commitments other than plant and machinery
15.05 Million
Nil
===================================================================================

13. OPERATING ASSETS

=====================================================================================================================================================
COST
R
DEPRECIATION
Written
A
Down
as on
as on
T
as on
as on
Value as on
PARTICULARS
October
Additions/
September
E
October
For the
September
September
01, 2002 (Deletions)
30, 2003
%
01, 2002 Adjustment
Year
30, 2003
30, 2003
Rupees
Rupees
Rupees
Rupees
Rupees
Rupees
Rupees
Rupees
=====================================================================================================================================================
FREE HOLD LAND
7,536,673
7,536,673
7,536,673
FACTORY BUILDING ON
FREE HOLD LAND
125,230,696
183.031
125,413,727
10
61,627,007
- 6,378,672
68,005,679
57,408,048
COLONY BUILDING ON
FREE HOLD LAND
29,818,530
29,819,530
10
15,743,889
- 1,407,464
17,151,353
12,667,177
PLANT AND MACHINERY
746,087,484 90,167,047
832,689,149
10
399,373,223
- 39,651,541
436,605,299
396,083,850
(3,565,382)
(2,419,465)
TOOLS AND EQUIPMENTS
8,874,264
206,500
9.080,764
10
4,400,276
471,139
4.871,415
4,209,349
OFFICE EQUIPMENTS
6,209,734
144,200
6,353,934
10
2,441,380
388,165
2,829,545
3,524,389
FURNITURE AND FIXTURE
3,318,698
59,500
3,378,198
10
1,800,784
157,742
1,958,526
1,419,672
VEHICLES
12,349,361
4,120,459
12,936,470
20
5,679,585
- 1,808,755
4,875,933
8,060,537
(3,533,350)
(2,612,407)
2003 - Rupees
939,428,440 94,880,737 1,027,207,445
491,066,144
- 50,263,478
536.297,750
490,909,695
(7,098,732)
(5,031,872)
2002 - Rupees
937,372,836 186,230,478
939,425,440
568,057,953
- 47,860,106
491,066,144
448,359,296
(184,177,874)
(124,851,915)
=====================================================================================================================================================
13.1. DEPRECIATION HAS BEEN APPORTIONED AS UNDER:

===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
Cost of sales
47,908,001
45,605,299
Administrative expenses
2,355,477
2,254,807
50,263,478
47,860,106
===================================================================================
13.2. Additions in plant and machinery includes major repairs and renewal of Rupees 8.51 million (2002 - Rupees 0.617 million) capitalised during the year.
13.3. DETAILS OF DISPOSALS IN FIXED ASSETS

==============================================================================================================================================
Accumulated
written
Sale
Gain/
Mode of
Particulars of
PARTICULARS
Cost Depreciation
Down
Proceeds
(Loss)
Disposal
Purchasers
Rupees
Rupees
Rupees
Rupees
Rupees
Value
==============================================================================================================================================
Plant and Machinery
1 Warp tying Machine
969,903
702,822
267,081
475,000
207,919
Negotiations
H A Industries (Private)
Limited, Room # 2, 2nd Floor
Ahmed Plaza, Tikka Gali # 1,
Montgomery Bazar,
Faisalabad.
1 Warp tying Machine
969,903
702,822
267,081
500,000
232,919
Negotiations
Zephyer Textile (Private)
Limited, 3rd Floor, EP
Building 97/B/D-1,
Gulberg-III, Lahore.
2 Knotting Machines
1,625,576
1,013,820
611,756
950,000
338,244
Negotiations
Kamal Fabrics (Private)
Limited, Jhang Road,
Faisalabad.
Vehicles
Toyota Land Cruiser CH 7000
1,875,000
1,713,939
161,061
1,920,000
1,758,939
Negotiation
Mr. Solit Akbar,
House No. 196, Main Walton
Road, Lahore.
Honda Civic LXF 8940
789,000
530,461
258,539
565,000
306,461
Negotiation
Mr. Waseem But,
House No. 248, Huma Block,
Allama Iqbal Town, Lahore.
Suzuki Alto PRN 22
162,000
150,867
11,133
50,000
38,867
Negotiation
Mohammad Jahangir,
P66, Muraghzar Colony.
Multan Road, Lahore.
Suzuki CultusLXV8696
499,850
179,946
319,904
495,000
175,096
Negotiation
Mr. Muhammad Rafiq,
House No. 115, Punjab Govt.

C:\Users\Dr.Attaullah\OneDrive\Data\ALL ANNUAL REPORTS\ANNUAL REPORTS 2003\YOUW 2003.htm

7/5/2015

Downloaded
from:
www.OpenDoors.Pk
Yousaf Weaving
Mills Ltd
- 2003

Page 5 of 8

Honda CD-70 LXL 1560

63,000

37,195

25,805

63,000

37,195

Honda CD-70 LRG 6383

67,500

67,500

67,500

Honda CD-70 LRG 1010

77,000

77,000

77,000

Employees Society Ward173

A-III Township, Lahore.
Company policy
Ajab Khan,
Company Employee
Insurance Claim
Premier Insurance Co.
Shara-e-Quaid-e-Azam, Lahore.
Company Policy
Mohammad Tariq
Ex-employee

7,098,732
5,031,872
2,066,860
5,162,500
3,095,640
==============================================================================================================================================

14. ASSETS SUBJECT TO FINANCE LEASE

=====================================================================================================================================================
COST
R
AMORTISATION
Written
A
Down
as on
as on
T
as on
as on
Value as on
PARTICULARS
October
Additions
September
E
October
For the
September
September
01, 2002
30, 2003
%
01, 2002 Adjustment
Year
30, 2003
30, 2003
=====================================================================================================================================================
PLANT AND MACHINERY
58,000,000
58,000,000
10
5,800,000
- 5,220,000
11,020,000
46,980,000
2003 - Rupees
58,000,000
58,000,000
5,800,000
- 5,220,000
11,020,000
46,980,000
2002 - Rupees
- 58,000,000
58,000,000
- 5,800,000
5,800,000
52,200,000
=====================================================================================================================================================
14.1. AMORTIZATION HAS BEEN APPORTIONED TO COST OF SALES - NOTE NO. 23

15. LONG-TERM INVESTMENTS - HELD AS AVAILABLE FOR SALE

===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
Quoted
E.F.U. General Insurance Limited
170,000 fully paid ordinary shares of Rupees 10/- each
3,655,000
===================================================================================
The market value of quoted investments is Rupees Nill (2002 - Rupees 3.655 million).
Investments have been classified under current assets during the year as management is in process of disposing off the same.

16. LONG-TERM LOANS AND DEPOSITS

===================================================================================
2003
2002
Note
(Rupees)
(Rupees)
===================================================================================
Loan to executive
16.1
3,217,590
1,793,160
Current portion
(295,400)
(271,330)
2,922,190
1,521,830
Security Deposits - Utilities
2,829,003
2,679,003
- Finance Lease
2,900,000
2,900,000
8,651,193
7,100,833
===================================================================================
16.1. These represent long term loans given to employees as per policy of the company, as house building finance, against their respective gratuity balances and are free of interest. These are recoverable by way of
equal monthly installments.

===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
Aggregate maximum balance due at the end
of any month during the year
4,491,156
1,188,690
Outstanding for more than three years
1,889,829
239,100
Others
1,327,761
1,554,060
3,217,590
1,793,160
===================================================================================

17. STORES AND SPARES

===================================================================================
2003
2002
Note
(Rupees)
(Rupees)
===================================================================================
Stores
17.1
6,715,338
7,620,622
Spares
9,563,101
8,283,633
16,278,439
15,904,255
===================================================================================
17.1. This includes Rupees Nil (2002 Rupees 0.064 million) of stocks in transit as on the balance sheet date.

18. STOCK-IN-TRADE
===================================================================================
2003
2002
Note
(Rupees)
(Rupees)
===================================================================================
Raw material
18.1
22,888,914
27,080,106
Work-in-process
14,784,611
14,565,295
Finished goods
22,444,457
27,225,456
60,117,982
68,870,857
===================================================================================
18.1. This includes Rupees Nil (2002- Rupees 14.7 10 million) of stocks in transit on the balance sheet date.

19. TRADE DEBTS - CONSIDERED GOOD

===================================================================================
2003
2002
Note
(Rupees)
(Rupees)
===================================================================================
Secured - Letters of credits
1,658,282
3,440,654
Unsecured
19.1
44,333,200
15,124,505
45,991,482
18,565,159
===================================================================================
19.1. THIS INCLUDES AMOUNTS RECEIVABLE FROM THE FOLLOWING ASSOCIATED COMPANIES:

===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
Kohinoor Fibers Limited
53,448
53,448
===================================================================================

20. ADVANCES, DEPOSITS, PREPAYMENTS AND OTHER RECEIVABLES

===================================================================================
2003
2002
Note
(Rupees)
(Rupees)
===================================================================================
Advances - Considered good

C:\Users\Dr.Attaullah\OneDrive\Data\ALL ANNUAL REPORTS\ANNUAL REPORTS 2003\YOUW 2003.htm

7/5/2015

Downloaded
from:
www.OpenDoors.Pk
Yousaf Weaving
Mills Ltd
- 2003
Suppliers and contractors
Staff
Letters of credit
Deposits - Letter of credit/guarantee margin
- Others
Prepayments
Other receivables - Considered good
From Government:
Income tax
Sales tax
Export rebate
20.1
Associated companies
20.2
Interest receivable
Others

Page 6 of 8
1,748,930
2,078,907
3,221,438
19,357,455
100,000
248,658

2,595,583
1,842,969
2,628,772
12,310,589
100,000
398,619

51,142,579
49,710,707
19,696,383
15,539,191
2,127,463
5,366,625
520,827
477,735
2,509,125
1,479,059
402,200
101,678,607
93,925,207
===================================================================================
20.1. EXPORT REBATE

===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
Total receivables
2,714,635
5,366,625
Less: Provision for doubtful receivables
(587,172)
2,127,463
5,366,625
===================================================================================
20.2. THE PARTICULARS OF ASSOCIATED COMPANIES ARE AS FOLLOWS

===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
Chakwal Spinning Mills Limited
320,827
Kohinoor Fibers Limited
200,000
520,827
===================================================================================

21. SHORT-TERM INVESTMENTS - HELD AS AVAILABLE FOR SALE

===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
Quoted
E.F.U. General Insurance Limited
115,000 fully paid ordinary
shares of Rupees 10/- each
8,032,750
===================================================================================
The market value of quoted investments is Rupees 8.033 million.

22. CASH AND BANK BALANCES

===================================================================================
2003
2002
Note
(Rupees)
(Rupees)
===================================================================================
Cash in hand
188,336
423,235
Imperest with staff
144,081
5,000
Cash with banks
In current accounts
1,775,968
3,156,085
Cash with banks and financial institutions
In deposit accounts
22.1
150,282,132
150,070,813
152,390,517
153,655,133
===================================================================================
22.1. This includes deposits amounting to Rupees 150 million (2002 - Rupee 150 million) which are under lien against liabilities mentioned in Note No. 5.

23. SALES
===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
Weaving: Exports
553,660,540
560,610,783
Export rebate
2,638,959
4,877,629
Local
387,871,019
293,233,392
Spinning: Local
402,889,572
401,988,475
Waste sales
2,160,143
5,340,135
Processing charges
11,963,961
2,532,075
1,361,184,194
1,268,582,489
Sales tax
(105,516,246)
(91,215,696)
Commission
(7,094,606)
(8,342,603)
(112,610,852)
(99,558,299)
1,248,573,342
1,169,024,190
===================================================================================

24. COST OF SALES

===================================================================================
2003
2002
Note
(Rupees)
(Rupees)
===================================================================================
Raw material consumed
24.1
888,589,116
814,311,912
Chemicals consumed
34,840,029
29,204,582
Salaries, wages and benefits
65,716,759
63,327,938
Fuel and power
101,032,227
88,476,186
Insurance
1,967,881
2,347,596
Packing material
6,711,214
7,192,538
Repairs and maintenance
4,235,954
6,886,338
Stores and spares consumed
24,179,543
18,145,696
Miscellaneous
1,221,361
1,610,918
Depreciation/Amortization
53,128,001
51,405,299
1,181,622,085
1,082,909,003
Opening work-in-process
14,565,295
14,500,415
Closing work-in-process
(14,784,611)
(14,565,295)
1,181,402,769
1,082,844,123
Opening stock of finished goods
27,225,456
35,882,741
Cloth purchased
777,552
5,121,716
1,209,405,777
1,123,848,580
Closing stock of finished goods
(22,444,457)
(27,225,456)
1,186,961,320
1,096,623,124
===================================================================================
24.1. RAW MATERIAL CONSUMED

===================================================================================

C:\Users\Dr.Attaullah\OneDrive\Data\ALL ANNUAL REPORTS\ANNUAL REPORTS 2003\YOUW 2003.htm

7/5/2015

Downloaded
from:
www.OpenDoors.Pk
Yousaf Weaving
Mills Ltd
- 2003

Page 7 of 8

2003
2002
(Rupees)
(Rupees)
===================================================================================
Opening stock
27,080,106
10,674,703
Purchases
887,692,380
843,040,314
914,772,486
853,715,017
Cost of raw material sold
(3,294,456)
(12,322,999)
911,478,030
841,392,018
Closing stock
(22,888,914)
(27,080,106)
888,589,116
814,311,912
===================================================================================

25. ADMINISTRATIVE
===================================================================================
2003
2002
Note
(Rupees)
(Rupees)
===================================================================================
Salaries, wages and benefits
13,572,766
12,105,986
Traveling and conveyance
2,087,477
4,790,330
Rent, rates and taxes
1,501,083
1,580,819
Printing and stationery
664,102
538,138
Communications
3,491,201
4,140,556
Entertainment
702,395
629,371
Electricity and gas
2,788,652
3,038,068
Vehicles running
2,773,363
3,135,979
Auditors remuneration
25.1
205,000
100,000
- Legal and professional
521,100
210,500
Fees and subscriptions
619,583
479,847
Repairs and maintenance
1,022,288
691,174
Insurance
900,271
653,417
Guest house expenses
99,583
124,794
Donations
25.2
619,355
323,236
Advertisement
73,730
121,732
Miscellaneous
679,595
395,833
Provision against doubtful receivables
587,172
Loss on sale of plant and machinery
933,959
Depreciation
2,355,477
2,254,807
35,264,193
36,248,546
===================================================================================
25.1. AUDITORS REMUNERATION

===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
Audit fee
150,000
100,000
Tax services
55,000
205,000
100,000
===================================================================================
25.2. NONE OF THE DIRECTORS OR THEIR SPOUSES HAD ANY INTEREST IN ANY OF THE DONEES

26. SELLING
===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
Local expenses including freight and octroi
2,779,419
1,493,901
Export expenses including freight
24,076,291
26,002,638
26,855,710
27,496,539
===================================================================================

27. OTHER INCOME

===================================================================================
2003
2002
Note
(Rupees)
(Rupees)
===================================================================================
Gain on sale of raw material
27.1
89,816
313,060
Gain on sale of fixed assets
3,095,640
Dividend
505,000
550,000
Gain on sale of long term investments
4,209,575
Interest from associated companies
1,055,592
Profit on bank deposit accounts
7,061,485
2,500,297
Creditor balances (reinstated)dded back
(58,703)
2,175,452
Excess provision of Corporate Asset Tax added back
1,437,000
Actuarial gains recognized after change in accounting policy
300,247
Miscellaneous
149,928
14,902,813
8,481,576
===================================================================================
27.1. GAIN ON SALE OF RAW MATERIAL

===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
Sales
4,055,226
15,007,650
Less: Sales tax
(670,954)
(2,371,591)
3,384,272
12,636,059
Less: Cost of sales
3,294,456
12,322,999
89,816
313,060
===================================================================================

28. FINANCIAL
===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
Interest/mark-up on
Long-term loans
19,950,041
28,038,l44
Markup on finance lease
8,483,790
9,331,731
Short-term finances from banks
23,635,712
37,270,187
Workers profit participation fund
1,806,286
2,325,632
SBP fine and penalties
1,762,374
Sales tax/excise duty refundable written off
40,000
Sales tax arrears
7,500
262,484
Exchange loss
38,158
544,807
Bank charges and commissions
2,934,397
4,427,145
56,855,884
84,002,504
===================================================================================

29. TAXATION

C:\Users\Dr.Attaullah\OneDrive\Data\ALL ANNUAL REPORTS\ANNUAL REPORTS 2003\YOUW 2003.htm

7/5/2015

Downloaded
from:
www.OpenDoors.Pk
Yousaf Weaving
Mills Ltd
- 2003

Page 8 of 8

===================================================================================
2003
2002
Note
(Rupees)
(Rupees)
===================================================================================
Current
Opening balance
34,850,000
71,857,270
For the year
29.1
6,242,867
7,500,000
For prior years
1,125,048
9,595,034
7,367,915
17,095,034
42,217,915
88,952,304
Less: Paid/Adjusted
(9,981,105)
(54,102,304)
32,236,810
34,850,000
===================================================================================
29.1. In view of available tax losses, provision for current taxation represents minimum tax payable under section 113 of the Income Tax Ordinance, 2001 at the rate of one-half of one percent of the turnover of the
Company.
29.2. Since the company is in loss and provision for taxation has been made on the basis of section 113 of the Income Tax Ordinance, 2001, therefore it is impracticable to prepare the tax charge reconciliation.

30. EARNING PER SHARE

===================================================================================
2003
2002
===================================================================================
Loss after taxation for the year
(68,633,819)
(83,959,981)
Weighted average number of ordinary shares
18,168,000
18,168,000
Earning per share - Basic
(3.78)
(4.62)
===================================================================================
DILUTED EARNING PER SHARE

There is no dilution effect on the basic earning per share of the Company as the company has no such commitments.

31. CASH FLOW FROM OPERATING ACTIVITIES

===================================================================================
2003
2002
(Rupees)
(Rupees)
===================================================================================
(Loss) before taxation
(42,460,952)
(66,864,947)
Adjustment of non cash charges and other items:
Depreciation
55,483,478
53,660,106
Gratuity
3,285,903
3,199,592
Loss on sale of fixed assets
933,959
Gain on sale of fixed assets
(3,095,640)
Gain on sale of share
(4,209,575)
Receivables written off
40,000
Creditor balances reinstated/ (added back)
58,703
(2,175,452)
Profit on PLS bank account
(7,061,485)
(2,500,297)
Dividend income
(505,000)
(550,000)
Financial charges
56,855,884
84,002,504
Operating profit before working capital changes
58,351,316
69,745,465
(Increase)/decrease in current assets
Stores and spares
(374,184)
(1,859,605)
Stock in trade
8,752,875
(7,812,998)
Trade debtors
(25,037,987)
17,112,206
Advances, deposits & prepayments
(8,849,675)
22,189,242
(25,508,971)
29,628,845
Increase/(decrease) in current liabilities
Creditors and accrued liabilities
63,347,431
43,538,657
96,189,776
142,912,967
===================================================================================

Top

C:\Users\Dr.Attaullah\OneDrive\Data\ALL ANNUAL REPORTS\ANNUAL REPORTS 2003\YOUW 2003.htm

7/5/2015