Biafo Industries : Transmission of Quarterly Report for the Period Ended 31 March 2024

BIAFO

INDUSTRIES

LIMITED

Manufacturer of Tovex® Explosives

& Blasting Accessories

QUARTERLY REPORT

FOR THE PERIOD ENDED

31ST MARCH

2024

TABLE OF CONTENTS

CORPORATE INFORMATION	01
DIRECTORS' REPORT	02-03
STATEMENT OF FINANCIAL POSITION	04
STATEMENT OF PROFIT OR LOSS	05
STATEMENT OF COMPREHENSIVE INCOME	06
STATEMENT OF CHANGES IN EQUITY	07
STATEMENT OF CASH FLOWS	08
NOTES TO THE FINANCIAL STATEMENTS	09-16

CORPORATE INFORMATION

BOARD OF DIRECTORS

EXECUTIVE DIRECTORS

M. Afzal Khan	Deputy Chairman
Anwar Moin	Chief Executive Ocer

NON EXECUTIVE DIRECTORS

Ms. Ayesha Humayun Khan	Director
Ms. Mehreen Hosain	Director
Ms. Syeda Shahbano Abbas	Director
M. Zafar Khan	Director
Khwaja Ahmad Hosain	Director
Muhammad Waheed	Director

INDEPENDENT DIRECTORS

Ehsan Mani	Chairman
Syed Zomma Mohiuddin	Director
Adnan Afridi	Director
Himayat Ullah	Director

COMPANY SECRETARY

Khawaja Shaiq Tanveer

CHIEF FINANCIAL OFFICER

Syed Sajid Hussain Shah

AUDIT & RISK MANAGEMENT COMMITTEE	HR & REMUNERATION COMMITTEE
Adnan Afridi	Chairman	Ehsan Mani	Chairman
Ms. Ayesha Humayun Khan	Member	Ms. Mehreen Hosain	Member
Ehsan Mani	Member	Ms. Syeda Shahbano Abbas	Member
Muhammad Waheed	Member	Anwar Moin (CEO)	Member
Himayat Ullah	Member	Khwaja Ahmad Hosain	Member

AUDITORS

Yousuf Adil Chartered Accountants

LEGAL ADVISORS

Chima & Ibrahim, Ali Raza & Partners LLP

BANKERS

Allied Bank Limited	Bank of Khyber
National Bank of Pakistan	United Bank Limited

REGISTERED OFFICE	FACTORY
BIAFO INDUSTRIES LIMITED	BIAFO INDUSTRIES LIMITED
1st Floor, Biafo House, Plot No. 23, St No. 38-40,	Plot No: 70, Phase III, Industrial Estate, Hattar, Distt Haripur,
I&T Centre, G-10/4, Islamabad. Pakistan	Khyber Pakhtunkhwa. Pakistan
Tel: [phone] Fax: [phone]	Tel: [phone] Fax: [phone]

Website: www.biafo.com, E-mail: [e-mail] Website: www.biafo.com, E-mail: [e-mail]

SHARES REGISTRAR

F.D. REGISTRAR SERVICES (PVT.) LTD.

17th Floor, Saima Trade Tower-A, I.I.Chundigar Road, Karachi. Tel: [phone] Fax: [phone]

E-mail: [e-mail] | [e-mail]

QUARTERLY REPORT | 01

DIRECTORS'

REPORT

DIRECTORS' REPORT

DIRECTORS' REPORT FOR THE

QUARTER/NINE MONTHS ENDED 31 MARCH 2024

Your Directors are pleased to present the un-audited accounts for the quarter/nine months ended March 31, 2024.

Net sales volume of the Company in the nine months increased by 11.90% to Rs. 2,102.59 M (Mar 23: Rs. 1,878.96 M) while net sales value for the quarter to March, 2024 increased marginally by 0.49% to Rs. 726.71 M (Mar 23: 723.14 M).

For the period under review, supplies to large projects and SEZ export sector increased, whereas supplies to Oil and Gas sector decreased due to lesser seismic exploration activity as compared to the period ended March 2023.

Gross profit to sales ratio increased by 26.34% to Rs. 953.70 M as compared to previous year's comparable period (31 March 2023: Rs. 754.85 M), whereas net profit after taxation decreased by 5.86% to Rs. 403.63 M. as compared to the period ended March 2023. This resulted in an EPS of Rs. 8.70 (EPS March 2023: Rs. 9.24). Expected export proceeds from one of our customers in Africa are overdue, due to the circumstances in that country. We have been assured by the customer that these funds shall be released soon.

Expenses were within the budget as approved by the Board of Directors.

Based on the performance, your Board of Directors have decided to declare the 1st interim cash dividend of Rs. 2.30 per share (23%) for the period under review.

Your Board takes this opportunity to express its appreciation to all its employees for their hard work and continuing efforts in meeting business challenges, growth of the Company, and the cooperation of all its stakeholders.

For and on behalf of the Board.

Anwar Moin	M. Afzal Khan
Chief Executive Officer	Deputy Chairman

Islamabad

25 April, 2024

QUARTERLY REPORT | 02

QUARTERLY REPORT | 03

CONDENSED INTERIM STATEMENT OF FINANCIAL POSITION AS AT 31 MARCH 2024

NON- CURRENT ASSETS

Property, plant and equipment

Intangibles

Investment property

Long-term deposits

CURRENT ASSETS

Inventories Trade debts

Short-term advances

Trade deposits, short- term prepayments and other receivables

Short-term investments Cash and bank balances

CURRENT LIABILITIES

Trade, other payables and accrued liabilities Current portion of long-term loan

Current portion of lease liabilities Short-term borrowings

Provision for taxation Unclaimed dividend Unpaid dividend

NET CURRENT ASSETS

NON- CURRENT LIABILITIES

	Unaudited		Audited
Note	31 Mar 2024		30 June 2023
Rupees		Rupees
4	2,193,185,504	2,239,860,635
	5,672,072	1,696,906
	66,348,851	66,861,509
	1,782,900	1,782,900
	2,266,989,327		2,310,201,950
	731,695,651
	663,347,877
	24,671,252
	56,996,474

5258,501,760

87,746,550

1,822,959,564

1. 236,605,765
   63,031,884
   2,707,578
2. 344,233,663
   25,433,280
   41,268,984
   23,839,921

737,121,075

1,085,838,489891,062,634

Long-term loan		76,626,939
Employee benefit		19,696,061
Lease liabilities		301,205
Deferred tax liability - net	8	60,065,663
		156,689,869		269,612,947
NET ASSETS		3,196,137,947	2,931,651,637
REPRESENTEDBY:
SHARE CAPITAL AND RESERVES
Share capital		463,826,880	463,826,880
Revenue reserve - unappropriated profit		1,229,082,069	945,568,206
Capital reserve - revaluation surplus on property, plant	1,503,228,998
and equipment - net of tax			1,522,256,551
		3,196,137,947	2,931,651,637
CONTINGENCIESAND COMMITMENTS	9

The annexed notes 1 to 16 form an integral part of these financial statements.

Chief Financial Officer

Chief Executive Officer

Director

QUARTERLY REPORT | 04

CONDENSED INTERIM STATEMENT OF PROFIT OR LOSS (UN-AUDITED)

FOR THE NINE MONTHS PERIOD ENDED 31 MARCH 2024

		Three Months Ended
		31 Mar 2024		31 Mar 2023
Note	Rupees		Rupees

Nine Months Ended

31 Mar 2024		31 Mar 2023
Rupees		Rupees

Revenue - net10

Cost of sales

Gross profit

Other income

Distribution expenses

Administrative expenses

Net impairment losses on financial assets

Operating profit

Finance costs

Finance income

Net finance cost

Workers' profit participation fund Workers' welfare fund

Profit before tax

Income tax expense

Profit for the year

Earnings per share

726,710,972

(399,834,499)

326,876,473

1,275,000

(18,911,044)

(48,883,391)

(84,523,980)

175,833,058

(32,142,691)

10,884,871

(21,257,82)

(7,728,762)

(3,030,887)

143,815,589

(48,973,651)

94,841,938

723,141,150

(407,988,311)

315,152,839

1,275,000

(13,891,969)

(40,196,064)

-

262,339,806

(13,127,861)

61,275,564

48,147,703

(15,524,376)

(6,087,991)

288,875,142

(73,218,170)

215,656,972

2,102,586,118

(1,148,882,008)

953,704,110

8,722,969

(55,557,662)

(158,075,816)

(174,748,618)

574,044,983

(94,314,317)

25,347,038

(68,967,279)

(25,253,885)

(9,903,484)

469,920,335

(66,285,961)

403,634,374

1,878,963,998

(1,124,113,242)

754,850,756

7,339,405

(49,720,082)

(123,786,880)

(15,049,062)

573,634,137

(58,533,388)

98,928,222

40,394,834

(30,701,449)

(12,039,784)

571,287,738

(142,541,625)

428,746,113

Basic and diluted

2.04

4.65

The annexed notes 1 to 16 form an integral part of these financial statements.

8.709.24

Chief Financial Officer

Chief Executive Officer

Director

QUARTERLY REPORT | 05