Hala
Enterprises
Limited
3rd Quarterly
REPORT
FOR THE PERIOD ENDED MARCH 31, 2023
3rd Quarterly Report |
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3rd Quarterly Report
COMPANY INFORMATION
Mr. Hassan Ahmad
Malik Haroon Shahid Safder & Co.
Chartered Accountants
3rd Quarterly Report
DIRECTOR'S REVIEW REPORT
The Board of Directors of Hala Enterprises Limited hereby present the interim financial report of the company for the 3rd quarter ended 31st March, 2023; together with the interim financial information.
The Pakistani Textile Industry's performance has been declining due to multiple reasons such as a sharp rise in local cotton prices, a slump in global demand for textile products due to a recession, and other reasons such as the regionally uncompetitive rates which our manufacturers were offering due to their increased costs of production. The increase in fuel/energy rates triggered by the Ukraine-Russian war have also affected the performance of the textile sector. During the last three quarters, we also witnessed a very high increase in freight costs world over; which also had an effect on the consumption patterns of non-essential goods. At the same time, the global hospitality industry which was coming out of a Pandemic struck market was also struggling with a cashflow crunch, due to which the demand for hospitality linens was lower than usual.
Despite the prevailing economic and financial challenges, the performance of the Company remained robust during the last nine months and we witnessed a consistent trend of growth and expansion. In comparison to the corresponding period last year March 31, 2022, the revenue increased from Rs. 385 M to Rs. 480 M; indicating a growth trend of 25% per annum in revenue. Gross profit increased from Rs. 67 M to Rs. 99 M, while the Operating profit increased from Rs. 17M to Rs. 28M. The Net margins saw an increase of about 90% for the period, which is highly encouraging.
Unfortunately the company was unable to fully optimize it's growth and earning potentials due to restricted cash flows. During this period we were hopeful to import additional machinery which would have greatly helped in increasing our productivity; however, due to the uncertain political and economic domestic situation this was not possible. The high interest rates are also discouraging to any expansionist policy at the moment.
We would like to take this opportunity to thank our customers, suppliers and bankers for their continued cooperation towards the progress of the company. We hope that this support continues in the future as well.
We would also like to thank our dedicated and talented team of executives, the Board, our staff and workers for the hard work put in towards the company's improvement in performance.
For & on behalf of the Board
DIRECTOR
LAHORE: 29-04-2023
3rd Quarterly Report
CONDENSED INTERIM STATEMENT OF FINANCIAL POSITION
AS AT MARCH 31, 2023 (UN-AUDITED)
CAPITAL AND LIABILITIES
Share capital and reserves
Authorized Share Capital
16,000,000 ordinary shares of Rs. 10 each
Issued, subscribed and paid up capital
Capital reserves
Surplus on revaluation of Property, Plant & equipment Fair value reserve of financial assets at FVOC
Other capital reserves
Revenue reserves
Other revenue reserves
Accumulated loss
Total Share Capotal And Reserve
Non Current Liabilities
Deferred liability
Long term borrowing
Total Non Current Liabilities
Current Liabilities
Trade and other payables Accrued mark up
Short term borrowings
Current portion of deferred Governement grant Current portion of long term borrowing
Due to related parties Provision for taxation
Total Current Liabilities
Liabilities directly associated with non-current assets classfied as held for sale
Mar 2023 | Jun 2022 |
Un-Audited | Audited |
Rupees | Rupees |
160,000,000 160,000,000
129,963,040 129,963,040
225,359,117 231,780,100
5,738,881 8,067,204
2,274,287 2,274,287
233,372,285 242,121,591
7,000,000 7,000,000
(40,226,589) (61,064,404)
(33,226,589) (54,064,404)
330,108,736 318,020,227
27,741,488 29,424,667
3,726,000 6,918,795
31,467,488 36,343,462
48,622,542 55,450,486
1,033,549 929,889
112,858,000 125,850,000
-
28,247
2,628,492 3,731,810
4,745,161 | 3,864,257 | |
- | - | |
169,887,744 | 189,854,689 | |
3,775,000 | 3,775,000 |
Contingencies and Commitments
TOTAL EQUITY AND LIABILITIES | 535,238,968 | 547,993,378 | |
The annexed notes form an integral part of this condensed interim financial information.
LAHORE: April 29, 2023
CHIEF EXECUTIVE | CHIEF FINANCIAL | DIRECTOR | |
OFFICER | OFFICER |
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Hala Enterprises Ltd. published this content on 02 May 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 02 May 2023 04:55:08 UTC.