Shadab Textile Mills : Transmission of Half Yearly Accounts for the Period Ended December 31, 2022

( U n - A u d i t e d )

Shadab Textile Mills Limited

CONTENTS
Company Information		3
Directors' Report		4
Directors' Report (Urdu)		5
Independent Auditors' Report to the		6
Members on Review of Condensed Interim
Financial Statements
Condensed Interim Statement of		7
Financial Position
Condensed Interim Statement of		8
Profit or Loss
Condensed Interim Statement of		9
Comprehensive Income
Condensed Interim Statement of		10
Changes in Equity
Condensed Interim Statement of		11-12
Cash Flows
Selected Notes to the Condensed
Interim Financial Information	13-16

Shadab Textile Mills Limited

COMPANY INFORMATION

CHIEF EXECUTIVE	Mian Aamir Naseem
BOARD OF DIRECTORS	Mian Farrukh Naseem	Chairman/Non Executive Director
	Mr. Saad Naseem	Non Executive Director
	Mr. Yasir Naseem	Executive Director
	Mr. Hamza Naseem	Non Executive Director
	Mrs. Fatima Aamir	Female - Non Executive Director
	Mr. Fahad Shafiq	Independent Director
	Mr. Ghazanfer Feroz	Independent Director
AUDIT COMMITTEE	Mr. Fahad Shafiq	Chairman
	Mian Farrukh Naseem	Member
	Mr. Hamza Naseem	Member
HUMAN RESOURCE &	Mr. Fahad Shafiq	Chairman
REMUNERATION	Mr. Ghazanfer Feroz	Member
COMMITTEE	Mr. Saad Naseem	Member
CHIEF FINANCIAL OFFICER	Mr. Muhammad Aslam
COMPANY SECRETARY	Mr. Muhammad Adeel Anwar Khan
AUDITORS	M/s. Fazal Mehmood & Company,
	Chartered Accountants
SHARE REGISTRAR	Corplink (Pvt) Limited
	Wings Arcade, 1-K, Commercial,
	Model Town, Lahore.
	Ph: 042-35887262, 35839182
	Fax: [phone]
BANKERS	Bank Al-falah Limited
	Bank Al- Habib Limited
REGISTERED OFFICE	A-601/A, City Towers,
	6-K Main Boulevard,
	Gulberg-II,Lahore
	Ph: No. 042-35788714-16
WEBSITE ADDRESS	www.shadabtextile.com
MILLS	Unit # 1: Nasimabad, Shahkot,
	District Nankana Sahib.

Unit # 2: Habibabad, Pattoki,

District Kasur

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Shadab Textile Mills Limited

DIRECTORS' REPORT

Dear Shareholders,

We are pleased to present un-audited financial statements of the Company for the half year ended December 31, 2022 reviewed by the auditors of the Company.

During the period under review, the Company sustained loss after tax of Rs.27.647 million as compared to profit after tax of Rs.142.682 million of the corresponding period of previous year. Total sales were made amounting to Rs.2822.510 million as compared to corresponding period of previous year sales of Rs.2487.721 million showing increase of Rs.334.789 million i.e 13.46% against previous year period. Earning per share is Rs.(1.67) as compared to Rs.8.60 per share.

The textile industry has probably never been in such a dire situation. Many units are closed during the period being no longer economically viable under the prevailing circumstances. Performance of textile sector overall remain depressed. During the period under review, the financial results of the company mainly affected due to the market conditions is very slow down because of unfortunately heavy flood came in Pakistan and overall recession period in the world. In this situation the company reduced its production capacity by 10% and operated at 90% of its production capacity and sustained all fixed cost of the company. During the period the prices of raw material remained on higher side due to huge devaluation in Pak Rupees, increase in energy cost, very higher mark-up rates and other input costs.

The textile industry has probably never faced such a depressing operating environment and still passing through severe crises. At present time due to decline in foreign reserve with State Bank of Pakistan and Commercial Bank, we are facing too much problems for opening of Letters of Credit & retirements of documents for raw materials. Besides, according to IMF conditions the Government has decided to withdraw subsidy in energy for export oriented sectors w.e.f 01.03.2023. In these circumstances, it is very difficult task to compete with the other countries. The above stated factors have negative impacts on the textile sector along with other businesses. The government should have to take further well planned concrete steps to uplift the economy and textile industry especially for spinning sector which is the core industry of Pakistan. Despite adverse factors your management is making best efforts to improve the financial results of the company.

The board avails the opportunity to appreciate the devoted work done by the executives, officers, staff and workers of the company.

For and on behalf of the Board

MIAN AAMIR NASEEM	MIAN FARRUKH NASEEM
(Chief Executive)	(Chairman/Director)
Lahore: February 22, 2023

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Shadab Textile Mills Limited

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