33rd Annual Report 2011-2012.pdf

7/29/2019 33rd Annual Report 2011-2012.pdf

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JUTE SPINNERS LIMITED


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1. 1

2. 2

3. 3-4

4. 5-6

5. 7

6. 8

7. 9

8. 10

9. 11

10. 1211. 13

12. 14

13. 15

14. 17-29

15. 31

JUTE SPINN ERS LIMITEDHead Office : House No. 67/A (New), Road No. 9A(New), Dhanmondi R/A, Dhaka-1209

Telephone : 880-02-8113202,8116337, Web : www.jsl.shamsbd.com

CONTENTS : PAGE NO.

Notice of 33rd Annual General Meeting

Corporate Information

Speech of the Chief Executive Officer

Director's Report

Five Years Statistics

Corporate Governance Compliance Status Report

Audit Committee Report

Value Added Statement

Auditor's Report

Statement of Financial Position as at 30th June,2012Statement of Comprehensive Income for the year ended 30th June,2012

Statement of Changes in Equity for the year ended 30th June,2012

Statement of Cash Flow for the year ended 30th June,2012

Notes to the Financial Statements

Form of Proxy

REPORT AND ACCOUNTS 2009-2010REPORT AND ACCOUNTS 2011-2012


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01. To confirm the proceedings of the Thirty second Annual General Meeting of the company held on 10th

December,2011.

02.

03.

04.

05.

06.

07.

01.

02.

JUTE SPINN ERS LIMITEDHead Office : House No. 67/A, Road No. 9A (New)

Dhanmondi R/A, Dhaka-1209

Notice is hereby given that the Thirty Third Annual General Meeting of the Shareholders ofJUTE SPINNERS LIMITED will be held

at CIRDAP AUDITORIUM, 17 Topkhana Road, Dhaka-1000 on Monday the 10th December, 2012 at 10-00 a.m. to transact the

following business :

AGENDA :

To receive, consider and adopt the Audited Financial Statement for the year ended June 30, 2012 together with the reports of

Auditors and Directors thereon.

To elect Directors.

To accord post facto approval of granting increased remuneration to Mr. Muhammad Shams-ul Kadir, Director retrospectively

w.e.f 1st

July2011 and all Directors w.e.f July, 2012.

To consider the declaration of Dividend @ Tk. 2.00 per share of Tk. 10/= each.

To appoint auditors for the year 2012-2013 and to fix their remuneration.

To transact any other business of the Company with the permission of the Chair.

By order of the Board

Dated : October 17, 2012 A.T.M. Mostafa

Company Secretary

NOTES :

The Registers of Members and the share Transfer book/CDBL transaction of the Company will remain closed on November 11,

2012 and no share transfer will be effected on the day.

A member entitled to attend and vote at the General Meeting may appoint a proxy to attend and vote on his/her behalf. The

proxy form duly stamped must be deposited at the registered Office of the Company not later than 48 hours before the time

fixed for the meeting.

THIRTIETH ANNUAL GENERAL MEETING

N O T I C E

THIRTY THIRD ANNUAL GENERAL MEETING

N O T I C E


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Mr. Muhammad Shams-Ul Huda - Chief Executive Officer

Mr. Muhammad Shams-Uz Zoha - Director

Mr. Muhammad Shams-Ul Kadir - Director

Mrs. Shahida Hossain - Director

Mr. A.K.M Shahjahan - Independent Director

JUTE SPINN ERS LIMITEDHead Office : House No. 67/A, Road No. 9A (New)


CORPORATE INFORMATION

Chief Financial Officer

Mr. Md. Tofazzal Hossain Bhuiyan

Company Secretary

Mr. A.T.M. Mostafa

Bankers

Janata Bank Ltd., Local Office

1, Dilkusha C/A, Dhaka-1000

Auditors

M.J. ABEDIN & CO

CHARTERED ACCOUNTANTS

National Plaza (3rd Floor)109, Bir Uttam C.R. Datta Road

Dhaka - 1205, Bangladesh

Head Office

House No. 67/A (New), Road No. 9A (New)


Factory

BSCIC Industrial Estate

Shiromoni, Khulna

BOARD OF DIRECTORS

OTHER INFORMATION


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Telephone : 8113202,8116337, E-mail : [email protected]

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DIRECTOR

(in million taka)

(a)

Deferred Tax (Income)/Expenses (b)

(d)

JUTE SPINN ERS LIMITEDHead Office : House No. 67/A (New), Road No. 9A (New)


REPORT OF TH E DIRECTORS

for the year ended 30th June 2012

Respected Shareholders,

The Directors have the pleasure in submitting their report

and the audited accounts of the Company for the year ended

30th June 2012 together with the Auditor's Report thereon.

Mr. Muhammad Shams-ul Huda, CEO & Mr. Muhammad

Shams-Ul Kadir, Director retires by rotation as per

Articles 126 and 127 of the Articles of Association of the

company and being el igible offer themselves for re-

election.

FINANCIAL RESULTS AND APPROPRIATION CORPORATE & FINANCIAL REPORTING

The Company has complied with all the requirements of

Corporate Governance as required by the Securities

and Exchange Commission. Accordingly the Directorsare pleased to confirm the followings :

2012 2011

Revenue 776.62 876.73

Less : Cost of Goods Sold 675.77 788.01

Gross Profit 100.85 88.72

Less: Expenses 93.86 78.88The financial statements together with the

notes thereon have been drawn up in

conformity with the Companies Act 1994 and

Securities and Exchange Rules 1987. These

statements present fairly the Company's state

of affairs, the result of its operations, cash flow

and changes in equity.

Profit from Operation 6.99 9.84

Other Income 0.36 0.39

7.35 10.23

Less: Contribution to Workers

Profit Participation/Welfare Funds 0.35 0.49

Net Profit before tax 7.00 9.74

Less: Income tax 4.35 1.61

(0.85) (0.15) Proper books of accounts of the Company have

been maintained.Net Profit after tax 3.50 8.28

The Directors recommended the

following appropriations: Approprite Accounting policies have been

consistently applied in preparation of the

financial statements and that the accounting

estimates are based on reasonable and

prudent judgment.

Proposed dividend

For 2012 20% (in 2011 : 20%) 3.40 3.40Retained earnings 0.10 4.88

The International Accounting Standards, as

applicable in Bangladesh, have been followed

in the preparation of the financial statements.


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(e) CORPORATE GOVERNANCE COMPLIANCE

(f)

(g)

(h)

(i)

On behalf of the Board,

(j)

Chief Executive Officer

21st October 2012

Mr. Muhammad Shams-ul Huda 8 Dhaka.

Mr. Muhammad Shams-uz Zoha 8

Mr. Muhammad Shams-ul Kadir 7

Mrs. Shahida Hossain 1

8

(k)

Share held

(i) Parent/Subsidiary/Associate companies and other related parties :

(ii)

Ex. Chairman

Director

Director

Director

Chief Financial officer, spouse and minor childrenCompany Secretary, spouse and minor children

(iii)

(iv)

Mrs. Hasina Begum

ICB Dhaka

The systems of internal control are sound and have

been effectively implemented and monitored.REPORT

In accordance with the requirement of the

Securities and Exchange Commission, "Corporate

Governance Status Compliance Report" is

annexed.

There are no significant doubts upon the Company's

ability to continue as a going concern.

AUDITORSThere are no significant deviation in operating result

of the Company compared to last year. M/S M.J. Abedin & Co., Chartered Accountants,

National Plaza (3rd floor), 109 Bir Uttam C.R.

Datta Road, Dhaka- 1205, will retire at this

Annual General Meeting, being eligible offer

themselves for re-appointment as Auditors of the

Comapny for the year 2012-2013.

The key operating and financial data for the last five

years is Annexed.

DIVIDEND

The Board of Directors is pleased to recommend

Final Dividend @ Tk. 2/= (two) only per share of Tk.

10/= each on paid-up capital.

BOARD MEETING AND ATTENDANCE

During the year, Eight Board Meetings were held. The

attendance record of the Directors is as follows :Muhammad Shams-ul Huda

Name of Directors Meeting attended

Mr. A.K.M. Shahjahan

The pattern of shareholding is as follows :

Namewise details

Nil

Directors, Chief Executive Officer, Company Secretary,

Chief Financial Officer, Head of Internal Audit and their

their spouses and minor children :

Late Mr. Muhammad Shams-ul Haque 424,150

Mr. Muhammad Shams-ul Huda Chief Executive Officer 80,300

Mr. Muhammad Shams-uz Zoha 104,800

Mr. Muhammad Shams-ul Kadir 34,000

Mrs. Shahida Hossain 34,000

NilNil

Executives Nil

Shareholders holding ten percent

(10%) or more voting in interest in the company

298,200

343,130


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2012 2010

Revenue 6,568.37

Gross Profit 757.56

Operating Profit 370.25

Net Profit After Tax 63.47

Basic Earning per Share (inTaka)2.06 3.73

Dividend Paid/Recommended 34.00 34.00

Income Tax Paid 47.01 28.57

Total Assets 3,283.10

Fixed Assets-Gross 1,812.56

Fixed Assets-Net 724.15

Financial Assets 420.69

Reserve & Surplus -30.22

Gross Working Capital 2,558.95

Net Working Capital 197.21

Authorized Capital 350.00

Share Holders' Equity 139.78Paid up Capital 170.00

Total Long Term Debt 793.46

Deferred Tax Assets/(Liability) 11.88

Key Financial Ratio, Figures and Market Data :

Current Ratio 1.10 1.08

Debt Equity Ratio 25.10 22.57

Return on Investment 3.47% 6.80%

Shareholders Equity per Share (in Tk.) 10.25 8.22

Market Value per Share (in Tk.) 80.10 121.80

Price Earning Ratio

38.88 32.63

1,700,000

799 357

10,256 9,784

9,917 8,959

70 52 55 59

112 128 112 112

1,284 1,275 1301

Five Years Statist icsFigures in Lac Taka

Revenue Particulars 2011 2009 2008

Result of Operations :

7,766.24 8,767.26 5,308.39 4,817.05

1,008.48 887.17 612.84 754.27

69.87 408.14 330.55 276.75

35.00 82.83 37.20 55.73

4.87 2.19 3.28

34.00 34.00 34.00

40.77 48.43 28.25

Financial Position :

4,523.11 4,181.72 3,300.42 2,270.43

1,636.48

Gross profit 631.31 697.58 680.21 698.20

1,892.03 1,870.17 1,688.87

346.26

4.17 3.17 -54.01 -63.65

590.33 405.15 439.09

3,891.81 3,484.14 2,620.21 1,572.24

356.15 251.07 234.03 307.54

350.00 350.00 350.00 350.00

174.17 173.17 115.99 106.35170.00 170.00 170.00 170.00

835.13 788.85 810.41 914.14

21.85 13.37 12.17 14.76

1.08 1.10 1.17

23.23 27.55 20.49

8.61% 4.02% 5.93%

Profit After Tax 10.19 6.83 6.26

149.30 73.30 86.00

(Based on DSE Price) (Time) 30.65 33.50 24.04

Other :

Number of shares 1,700,000 1,700,000 1,700,000 1,700,000

Number of shareholders 357 304 294

Production (Qnty in MT) 9,929 9,190 9,582

Export (Qnty in MT) 9,753 9,452 10,211

Total Employees :

Officers 64

Staff 119

Workers 1,293 1,295

Shareholders' Equity Earnings Per Share

07

0

100

20 0

30 0

40 0

50 0

60 0

70 0

80 0

90 0

100 0

110 0

2008

2009

2010

2011

2012

0

100 0

2 0 0 0

3 0 0 0

4 0 0 0

5000

6 0 0 0

7000

8 0 0 0

9 0 0 0

2008

2009

2010

2011

2012

106.3

5

115.9

9139.7

81

73.17

174.1

7

20

2008

2009

2010

2011

2012

3.2

8

2.1

9

3.7

3

4.

87

2.0

6

0

1

2

3

4

5

2008

2009

2010

2011

2012

0

10

2 0

3 0

4 0

50

6 0

70

8 0

9 0

100

2008

2009

2010

2011

2012


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for non-compliance

Corporate Governance Compliance Status Report

Status of compliance with the conditions imposed by theCommission's Notification No. SEC/CMRRCD/2006/158/Admin/02-08 dated 20th February 2007 issued

under section 2CC of the Securities and Exchange Ordinance, 1969. (Report under Condition No. 5.00)

Condition

Title

Compliance status Explanation

No. complied Not complied

1.2(I) Independent Directors

1.1 Board's Size

1.3 Chairman & Chief Executive officer

1.4(a) Directors Report on financial Statements

1.4(b) Books of Accounts

1.4 Accounting Policies

1.4(d) IAS Applicable in Bangladesh

1.4(e) System of Internal Control

1.4(f) Going Concern

1.4(g) Deviation in Operating Results

1.4(h) Key Operating and Financial Data

1.4(i) Declaration of Dividend

1.4(j) Number of Board Meetings

1.4(k) Pattern of Shareholdings

2.1 CFO & CS Appointment

2.2 Board Meeting Attendance

3.00 Audit Committee

4.00 External / Statutory Auditors


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01. Mr. Muhammad Shams-Uz Zoha -

02. Mr. Muhammad Shams-Ul Kadir -

03. Mr. A.K.M Shahjahan -

01. Review of the annu al financial statement of 2011-2012.

02. Review of the half-yearly report of half year ended on 31st December 2011.

03 .

04. Review of internal audit reports.

AUDIT COMMITTEE REPORT

Constituted as under :

Chairman

Member

Member

Altogether 4 meetin gs of the Audit Committ ee were held in 2011-2012.

The fol lowing matters were discussed in the meet ings and decisions taken were communicated to

th e Board of Dir ectors.

Review of the 1st & 3rd Quar ter repor t for the per iod ended 30th September , 2011 and

31st M arch,2012 respectively.

Dated, Dhaka Chairman

21st October,2012. Audit Commit tee


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Value Added StatementFor the year ended 30th June 2012

PARTICULARS2011-2012 2010-2011

Taka % Taka %

VALUE ADDED

Turnover 827,868,674 929,880,015

Bought-in materials and services (667,184,055) (794,296,947)

Other Income 366,351 391,716

161,050,970 100.00% 135,974,784 100.00%

APPLICATIONS

1.57%

To Employees-as Salaries,Wages & Benefit 103,579,257 64.32% 85,629,179 62.97%

To Directors as Remunaration 2,100,000 1.30% 2,130,968

22.78%

To Govt. Fund as Income Tax 4,350,952 2.70% 1,610,381 1.18%

To Providers of Loan-as interest & Charges 39,554,959 24.56% 30,973,994

2.50%

152,985,168 94.99% 123,744,522 91.00%

To Providers of Capital as Dividend 3,400,000 2.11% 3,400,000

9.00%161,050,970 100.00% 135,974,784 100.00%

Retained for Business & Depreciation 8,065,802 5.01% 12,230,262


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: National Plaza (3rd Floor)

Fax : 109, Bir Uttam C.R. Datta Road,

E-mail : Dhaka - 1205, Bangladesh

Web Site :

a)

b)

c)

d)

21 October 2012

Telephone Off +880-2-8629771, 9666508

+880-2-9675340

[email protected]

[email protected]

www.mjabedin.com

Introduction

Management's responsibility for the financial statement

M . J. ABEDIN & CO

the statement of financial position (balance sheet) and statement of comprehensive income (profit and loss account) dealt with by

the report are in agreement with the books of account; and

In our opinion, proper books of account as required by law have been kept by the company so far as it appeared from our

examination of those books;

Management is responsible for the preparation and fair presentation of these financial statements in accordance with International

Financial Reporting Standards (IFRSs), Bangladesh Financial Reporting Standards (BFRSs), the Companies Act 1994, the Securities andExchange Rules 1987 and other applicable laws and regulations. This responsibility includes designing, implementing and maintaining

internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatements,

whether due to fraud or error; selecting and applying appropriate accounting policies and making accounting estimates that are

reasonable in the circumstances.

Auditors' responsibility

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The

procedures selected depend on the auditors judgment, including the assessment of the risks of material misstatement of the financial

statements, whether due to fraud or error. In making those risk assessment, we consider internal control relevant to the entityspreparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances,

but not for the purpose of expressing an opinion on the effectiveness of the entitys internal control. An audit also indicates evaluating

the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as

evaluating the overall presentation of the financial statements.

We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for thepurpose of our audit and made due verification thereof;

AUDITORS' REPORT

TO THE SHAREHOLDERS

OF

We have audited the accompanying financial statements ofJute Spinners Limited which comprise the statement of financial position as

at 30 June, 2012, and the statement of comprehensive income, statement of changes in equity and statement of cash flows for the year

then ended and a summary of significant accounting policies and other explanatory notes.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Opinion

Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with

International Standards on Auditing (ISA) and Bangladesh Standards on Auditing (BSA). Those standards require that we comply with

relevant ethical requirements and plan and perform the audit to obtain reasonable assurance whether the financial statements are free

from material misstatement.

We also report that:

the expenditure incurred was for the purposes of the companys business.

Dated, Dhaka

Chartered Accountants

In our opinion, the financial statements prepared in accordance with International Financial Reporting Standards (IFRSs) and Bangladesh

Financial Reporting Standards (BFRSs), give a true and fair view of the state of the companys affairs as at 30th June,2012, and of the

results of its operations and cash flows for the year then ended and comply with the Companies Act 1994, the Securities and Exchange

Rules 1987 and other applicable laws and regulations.

JUTE SPINNERS LIMITED

PvUvWGKvDUUm&M.J. ABEDI N & CO

CHARTERED ACCOUNTANTS

Gg, R, Ave` xb G Kvs


14/25

30-Jun-12

63,130,643

2,185,117

389,180,715

301,124,682

29,023,113

54,662,697

4,370,223

454,496,475

EQUITY AN D LIABILITI ES

17,416,980

17,000,000

416,980

Non-Current Liabilities 83,513,254-

83,513,254

Current Liabilities 353,566,241

Short term loans (Secured) 207,554,850

Liabilities for other finance 2,385,429

Liabilities for expenses 17,590,083

Liabilities for goods 115,902,086

Unclaimed Dividend 1,172,460

Provision for taxation 8,961,333

Total shareholders' Equity and Liabilities 454,496,475

21 October 2012

7.00

8.00

Long Term Loan

ASSETS:

Deferred liabilities

11.00

12.00

14,037,447

2,382,301

The annexed accounti ng pol icies and other notes form an integral part of the financial statements.

253,329

Amount in Taka

65,315,760Non Current Assets: 71,094,872

Deferred Tax Assets

9.00

10.00

Shareholders' Equity

Cash in hand and at bank

Advances, Deposits and Pre-payments

Total Assets

Share Capital

6.00

Property, plant and equipment at cost less depreciation

M . J. ABEDIN & CO

Inventories

Current Assets

5.00


Notes30-Jun-11

JUTE SPINNERS LIM ITED

as at 30 June 2012

Statement of Financial Position

4.00

Sundry Debtors

Dated, Dhaka

Director

Approved and authorised for issue by theboard of directors on 21 October 2012 and signed for and on behalf

of the Board :

As per ou r separate repor t of even

date annexed.

13.00 205,557,019

323,307,448

Retained Earnings


20,920,466

316,929

1,336,848

280,656,746

27,242,164

69,758,024

348,414,332

17,316,929

17,000,000

19,594,956

78,884,827

419,509,204

8,204,163

70,680,664

96,466,971

419,509,204


4,610,381


15/25

Operating Expense

Net profit before tax

Provision for income tax

Deferred t ax incomeProfit after tax for the year

Other Comprehensive Income -

Total Comprehensive I ncome for the year

Earning per share ( par value Tk 10/- ) 19.00

21 October 2012

Dated, Dhaka

15.00100,847,808

3,500,051

Approved and authorised for issue by the board of directors on 21 October 2012 and signed for and on behalf of the

Board :

Director


7,002,734

8,282,938

Revenue

Cost of Goods Sold

Notes

876,725,792776,623,91314.00

93,861,289

Adminstrative Expenses

78,876,625

Gross Profit

(4,350,952)

848,269

2.06


date annexed.


18.00

M . J. ABEDIN & CO

Profit before Contribution to WPPF


Contribut ion to work ers Profi t Parti cipation & Welfare fund (487,232)(350,137)

6,986,519

-

3,500,051

366,351

7,352,871

FOR THE YEAR ENDED 30 JUNE, 2012

2011

STATEMENT OF COMPREHENSIVE INCOME

(675,776,105)

2012

JUTE SPINN ERS LIM ITED

Amount in Taka

30,973,994

4.87

19,040,637

(1,610,381)

9,840,148

391,716

9,744,632

10,231,864

148,687

34,588,053

(788,009,019)

28,861,994

Financial Expenses

17.00

Other Income

Operating Profit

16.00

88,716,773

19,718,277Selling Expenses

39,554,959


8,282,938


16/25

Retained

Earning

21 October 2012

M . J. ABEDIN & CO


JUTE SPINN ERS LIM ITED

Dividend for 2009- 2010

Weighted Average number of share

Short provisoin of income tax 30 June 2009

Profit for the year 2010-2011

Dividend for 2010- 2011

Restated Balance as on 30 June 2011

Total Balance as on 30 June 2012


3,500,051

Dated, Dhaka


13,916,929

(3,400,000)

(1,543,540)

Total

(1,543,540)


date annexed.

Director Chief Financial Officer

17,000,000 416,980 17,416,980

8,282,938

Amount in Taka

Share Capital

Net Asset Value ( NRV ) per share

Total comprehensive income for t he year 2011- 2012

17,000,000 (3,022,469) 13,977,531

for the year ended 30 June 2012

Particulars

As on 30 June 2010

8,282,938

(3,400,000)

10.25

(3,400,000) (3,400,000)

3,500,051

1,700,000

17,000,000

Approved and authorised for issue by the board of directors on 21 October 2012 and signed for and on behalf of the

Board :

Statement of Changes in Equity

(3,083,071)


17/25

Cash Flow from Operating Activities

Cash received f rom customer and others

Cash paid to supp li ers and empl oyees

Cash Generated from operation

Interest and Bank charge paid

Income tax paid and deducted at source

Net Cash ( used in ) / Generated from operating activities

Cash Flow from Investing Activities

Acquisiti on of property , plant and equipment

Disposal of assets

Net Cash used in investing activities

Cash Flow from financing Activities

Decrease in Bank loan

Dividend Paid

Liabil it ies for other fi nance

Net Cash used in Financing activities

Decrease in cash and cash Equivalents

Cash and Cash Equivalents at Beginning of year

Cash and Cash Equivalents at End of year

21 October 2012

Net operation cash f low per share


Approved and authorised for issueby theboard of directors on 21 October 2012 and signed for and on behalf of the

Board :

JUTE SPINNERS LIM ITED

Statement of Cash Flow

For the year ended 30 June 2012

4,370,223 20,920,466

(3.34) 9.32

(8,684,073) (11,075,965)

(16,550,243)

20,920,466

(1,562,927)

22,483,393

(2,480,869) (3,444,920)

3,128 527,459

44,010,082

(24,097,456)

(4,076,718)

(6,206,332) (8,158,504)

(6,382,870)

15,835,908(5,680,531)

(2,185,639)

-

792,800,933 930,202,357

2012

(886,192,275)

2011

Amount in Taka

Chief Financial OfficerDirector


date annexed.

M . J. ABEDIN & CODated, Dhaka



(761,702,042)

31,098,891

32,078,470

(4,700,952)

(2,185,639)

(6,382,870)

-


18/25

5.00 DEFERRED TAX ASSET

(a) Deferred tax assets are arrived at as follows :

Taxable Temporary Difference

Book Value of Depreciable Fixed Assets Less Land

Less : Tax Base

Net Taxable Temporary Difference

(b) Deferred Tax Income / (Expenses) is arrived at as follows :

Tk.

(c) Deferred Tax Income of 2011 Tk. 148,687

This represents decrease in deferred tax asset in 2011 in comparison to 2010.

(d)

6.00

Finished Goods

Work-in Process

Stores and Spares (6.01)

Basis of valuation i s stated in N ote - 3.04.

STORES & SPARES

This is made up as fol low s :

Amount in Taka

Ball Bearing & Bearing Block

301,124,682

Electric Equipment

78,973

774,350

Mechanical Spare Parts

Construction Materials

404,700

5,659,795

1,570,741

6.01

This represents increase in deferred tax asset in 2012 in comparison to 2011.

2011 - 2012

280,656,746

14,567,445

Book Value of Gratuity payable

Deferred Tax Asset

-

33,131,397

2011 - 2011

28,099,913

Less : Tax Base

Opening Deferred Tax Asset

Effective Tax Rate

848,269

Closing Deferred Tax Asset

15%

Deferred Tax Income / (Expenses)

13,834,880

15%

19,187,596

279,827

87,757

Work-shop materials

748,281

23,157Miscellaneous & General Stores

1,221,400

1,750,358

231,353

Packing Materials

1,188,161

Deferred Tax Income of 2012 Tk. 848,269

(28,941)

147,720,203

1,188,161

24,818,847

Fuel, Lubricants & Chemical

Tk.

11,037,784

1,336,848

1,336,848

28,099,913

2,185,117

8,912,317

1,336,848

-

INVENTORIES

1,188,1612,185,1171,217,102

148,687

Amount in Taka

-

(45,973,774)

15%

18,458,972

26,380,145

26,380,145

7,921,073

4,692,564

2010 - 2011

269,062

11,037,784

95,625,375

5,984,573

149,174,740

362,994

21,151,217

371,241

This is made up as follows :

Raw Jute

118,418,382

Printing & Stationery 361,539

Tk. 13,834,880

Deductible Temporary Difference

61,776,164

(36,584,831)

55,148,783

(42,588,568)

64,432,746

2009 - 20102010 - 2011

33,131,397

18,563,952


19/25

7.00 ADVANCES, DEPOSITS & PREPAYMENTS :

This is considered good and consists of as follows:

Advances

Deposits

Prepayments

(a) There are no coll ateral securi ti es against advances.

(b)

(c)

(d)

(e)

8.00


Trade Debtors (8.01)

Insurance claim receivable (Note - 8.02)

This is unsecured and considered good

9.00


1,176,045

3,194,178

Local office , CD A/ C No 8909 33,545

khul na Corporate Branch , CD A/ C No 0732 2,689,799

E. R. Q . A/ C No 22 112,594

Moti jheel Branch , Dhaka , CD A/ C No 0506 18,577Moti jheel Branch , Dhaka , CD A/ C No 0530 289,949

Dhanmondi Branch,Dhaka , CD A/ C No 33016735 49,714

#

Amount in Taka

Amount in Taka

This represents insurance claim receivable from United Insurance Co. Ltd in respect of loss of raw jute , Finished

Goods and Godown burnt by fire during theyear 1989 -90 . The Company filed a money suit against theinsurance

company for non payment of claim and thecase is finalized by thelearned 3rd sub jude court , Dhaka ( Case No .

63/ 91 ) favouring the company but the insurance company fi led an appeal w ith Hi gh court against the verdict .

4,370,223

Amount in Taka

-

2,662,744

17,385,252

20,078

8.01

8.02

With Bank in:

CASH IN HAND AND AT BANK

Cash In hand

Tk.

322,203

655,513

Prime Bank Ltd.

20,920,466

20,264,953

112,594

Janata Bank Ltd.

84,285

National Bank Ltd.

Tk. 19,594,956

3,243,167

1,154,068

359,678

Advances includes an agregate sum of Tk. 12,981,627 being payment of income tax against the assessment year

2006-2007 to 2012-2013.

2011 - 2012

54,662,697

38,310,908

16,351,789

2010 - 2011

16,351,789

444,262

Tk. 29,023,113

SUNDRY DEBTORS

Advances includes an aggregate sum of Tk. 3,937,774 (2011 - Tk. 3,933,875) lent out to the employees of the

company of which Tk. 2,417,700 (2011 - Tk. 2,133,200) was due from officers. Maximum amount due from officers

duri ng the year under aud it was Tk. 2,611,200 on 31-07-2011 (2011 - Tk . 2,133,200 on 30.06.2011).

No amount was due by the directors (including Chief Executive Officer) of the company severally or jointly with

any other person.

No amount was due by the associated undertaking.

27,242,164

25,728,41828,256,648


20/25

10.00

Authorized:

35,00,000 ordinary shares of Tk.10/- each

Issued, Subscribed and Paid-up:

17,00,000 ordinary shares of Tk.10/- each fully Paid-up in cash

10.01 The break-up of share holding is as follows:

Shares

615,550

245,490

402,650

436,310

1,700,000

10.02 The distribution showing the numbers of shareholders and their share holdings in percentage on 30 June 2012 is as follows:

Range of Holdings

25.26%

- 19.21%- 13.04%

- 17.54%

- -

- -

- 24.95%

100.00%

10.03

10.04 Option on un-issued shares:

11.00

12.00

This is made-up as follows : 2011 - 2012

WPP and WF

Gratuity Payable

Provident Fund

NumberPersons

SHARE CAPITAL

17,000,000

35,000,000

17,000,000

30.53%519,010

21.13%

1

-

500000

359,290

1

Financial Institutions

326,540221,700

5000

39.82%

Shareholdings

35,000,000

Directors 676,950

779

3,776

Tk.

1,700,000

3,776

28,099,914

There is no option regarding authorized capital not yet issued but can be issued to increase the issued, subscribed and paid-

up capital through the issuance of new shares against cash contribution and bonus.

DEFERRED LIABILITIES

50,378,081

33,131,397

Amount in Taka

298,200

100.00%

300001

200001

ICB

200000

210000016

400000

General Public & Others

-300000

2011 - 2012 2010 - 2011

Shares

36.21%

Percentage Percentage

25.67%

8.51%

2010 - 2011

LONG TERM LOAN

42,576,974

100.00%

-

100001

799

The shares are listed with Dhaka Stock Exchange Ltd. and quoted at Tk. 80.10 on 30 June 2012 (Face value Tk. 10.00)

(2011 - Tk.1,493.00 Face value Tk.100.00).

400001

-

23.69%

5000150000

144,750

1,700,000

Less than

5001

429,410

Percentage

14.44%

70,680,66483,513,254

424,150

The loan balance under this head is currently payableand accordingly has been transferred to current liabiliti es (

Note - 13.00)

Total :


21/25

13.00 SHORT TERM LOAN

This represents

Securied loan from janatha Bank Ltd in : 2011 - 2012

(a) Hypothecation Account No. 37001967

(b) Current Portion of Long Term Loans A/C. No. 37003815

207,554,850

(a)

14.00 REVENUE

This consists of as follows :

Foreign Sales

Less: Ocean Freight

Less : Sales Commission

Add: Subsidy Earned

15.00 COST OF GOODS SOLD


Particulars

Opening Work-in Process

Raw Jute Consumed (Note - 15.01)

Cost of Material

Less: Closing Work-in Process

Cost of Production

Add: Opening Finished Goods

Less: Closing Finished Goods

Tk.

RAW JUTE CONSUMED

Qnty/MT

Amount in Taka

(51,611,091)(48,095,060)

121,688,970

788,009,019

(1,613.920) (118,418,382)

67,163,575

816,470,81910,746.220 698,569,112

Other Direct Material Consumed (Note - 15.02)

Manufacturing expenses (Note - 15.03)

Cost of Goods Sold

719,720,329

1,273.780 95,625,375

12,020.000

672,037,733

29,993,898

719,600,69611,107.220

515,908,722

30,846,159-

2,983.490

(147,720,203)

148,146,601841,289,666

(361.000) (24,818,847)(21,151,217)

(149,174,740)

675,776,105

794,194,487

571,573,728

15.01

Consumption

Opening Balance

10,666.420

883,634,394

(1,543,132)

876,725,792

38,940,799 68,954,681

10,666.420

10,213.350

13,196.840

Closing Stock (2,530.42)

Purchase

2010 - 20112011 - 2012

24,818,847440.800

205,557,019

17,569,065

Qnty/MT

788,927,875

2011 - 20122011-2012

9,917.180

9,917.180Total :

860,925,334

199,390,069

8,128,0008,164,781

Qnty / MT

(3,149,701)

776,623,913

197,429,019

(95,625,375)

2010 - 2011

This loan is secured against hypothecation of Stock of raw jute , working in process, Finished Goods , Stores andspairs.

2010 - 2011

515,908,722

149,174,740

821,212,473663,628,925

514,454,185 718,444,412

672,037,733

102,768,061


22/25

OTHER DIRECT MATERIALS

MANUFACTURING OVERHEAD

This is made - up as follows :

Salary, wages and allowances includes the following :

Bonus

Gratuity

Category-wise information in respect of salary/wages of employees/workers:

Tk. 3,000 and above

15.03

15.04

15.05

Insurance

Power and fuel

Telephone, fax, postage & e-mail

Travelling and conveyanceWelfare expenses 344,409

15.02

Consumption

Handling and carrying

Depreciation

Salary, wages, allowances etc.

Spare's Consumed & repairs

Rent, rates and taxes

3,351,281

1,225 Nos

148,146,601

662,329

209 Nos1,418 Nos

Purchase

(1,141,661)

Opening Stock

(3,456,879)Closing Stock

34,303,038

1,141,661

Amount in Taka

33,161,377

Tk. 30,846,159

31,135,559

341,335

90,074

8,398,266

2,006,879

864,956

30,270,603

29,993,898

2010 - 2011

282,754

279,372

86,430

4,831,920

436,743

121,688,970

74,646,895

595,861

17,915,212

2,466,401

205,975

8,231,017

304,131234,981

688,247

615,373

15,607,224

434,269

Printing and stationery

Tk.

Stores carrying

Below Tk. 3,000 NIL Nos

5,235,253

279,522

4,623,211

Utilities

89,752,032

24,352,175

895,353

2011 - 2012

19,461,769

220,544

Entertainment


23/25

16.00


Directors' remuneration

Salary and allowances

Printing and stationery

Depreciation

Travelling and conveyance

Telephone, fax, postage & e-mailEntertainment

Car maintenance

Licence renewal fees etc.

Audit fees (Statutory) including VAT

Cost Audit Fees

Advertisement

AGM Expenses

Rent, rates and taxes

Group Insurance Premium

Computer expenses

Repairs and maintenance

Utilities

News Paper & Periodicals

Training ExpensesWelfare expenses

Salary and allowances include the following :

Bonus

Gratuity

Category-wise information in respect of Salary of employees:

NIL Nos.

48 Nos.

17.00


16.01

16.02

905,040

21,780

462,682

19,040,637

8,079,585

820,081

Amount in Taka

274,620

246,745

2,502,510

42 Nos

162,340

10,078

6,980

565,464

8,789

912,596

901,786

244,768

11,865

1,637,006

ADMINISTRATIVE EXPENSES

340,536

83,600

694,473

582,003

1,265,375

2,100,000

643,390

305,165

104,500

361,240

305,710

13,477,088

7,476,212

50,000

2,130,968

652,879

10,982,284

1,027,061

376,147

55,000

18,444

4,250,733

Tk.

530,838

208,696

313,860

8,785,153

Govt. Revenue on export

Tk.

SELLING & DISTRIBUTION EXPENSES

Marine Insurance

723,431

9,578,907

Inland freight

Truck hire on export of finished goods

C&F expenses

Below Tk. 3,000

Tk. 3,000 and above

Overdue interest

Custom & Excise 46,470

19,718,277

3,319,932

34,588,053

1,349,298

1,166,537

939,980

2011 - 2012

784,860

28,861,994

1,140,614

2,393,260

2,032,359 2,110,718

FCC and collection expenses

NIL Nos

2010 - 2011

786,407

466,226

641,285

217,725

812,618

2,598,682


24/25

18.00


19.00 EARNINGS PER SHARE (EPS)

EPS and it's components have been defined in note 3.10

The computation of EPS is given below:

a) Earning attributable to the ordinary shares

b) Weighted average number of ordinary shares

outstanding during the year

c) EPS (a / b)

20.00 PAYMENT/PERQUISITES TO DIRECTORS & OFFICERS

a)

Basic

Bonus

House Rent allowance

Conveyance allowanceMedical allowance

Allowance

b)

21.00 PRODUCTION CAPACITY & ACTUAL PRODUCTION

Reason of short fall i) Power failure.

ii) Light Count production

-

613,395

23,479,966

67,508

4,095

1,319,064

5,489,966

487,000

30,973,994

Interest on Cash Credit (Hypo) A/C.

-

Interest on LTR A/C.

ParticularsOfficers'

Int.on Profit Part icipation Fund

-708,000

FINANCIAL EXPENSES

540,000

--

622,742

425,24760,000

-

2,480,100

180,000

The rate of Board meeting attendance fees is Tk.100/- per Director per meeting but no such amount was drawn by any

director of the company during the year under review.

207,581

300,525

-15,000

510,099

1,799,833

321,742

Actual Production 9,928.99 MT

Particulars

2011 - 2012

Production Capacity 11,209.84 MT 10,946.20 MT

2010 - 2011

MTMT

10,257.32 MT

8,282,938

1,700,000

Tk.

1,700,000

4.872.06

3,500,051

Bank & other charges

39,554,959

7,450,970

Tk.

Tk.

25,519VAT on P.O. commission

1,320,000 5,500,198 3,773,6671,300,645

The aggregate amount paid/provided during the year in respect of Directors and Officers are disclosed below:

Officers'Directors'Directors'

2011 - 2012 2010 - 2011

1,473,204

30,224,696

Interest on Cash Credit (Blocked) A/C. 380,570


25/25

22.00 CAPITAL EXPENDITURE COMMITMENT

a) There is no capital expenditure contracted but not incurred or provided for at 30th June, 2012.

b)

23.00 There was no sum for which the company is contingently liable as on 30th June, 2012.

24.00

25.00

26.00 There were no non-resident shareholders.

27.00 FOREIGN EXCHANGE EARNING

The company earned Tk. 788,927,875 in foreign currency through export.

28.00 PROPOSED DIVIDEND

29.00

Opening working process

Closing working Process

Raw Jute Purchases

Opening Raw jute

Closing Raw Jute

Raw jute Consumed

Opening finished goods

Closing finished goods

Sales

There was no material capital expenditure authorized by the Board but not contracted for at 30th June, 2012.

No payments have been made in foreign currency for royalty, technical experts and professional advisory fee, interest etc.

There were no credit facilities available to the company under any contract, other than trade credit available in the ordinary

course of business and not availed of as on 30 June 2012.

This represents dividend of Tk. 2 (two) per share of Tk. 10 each recommended by the Board of Directors subject to the

approval of the Shareholders in the annual general meeting.

514,454,185

2,983.49

ADDITIONAL DISCLOSURE :

30 June 2012

Qty / M. Ton

1,273.78

149,174,740

2,530.42


Amount in Taka

440.80 24,818,847

10,213.35

147,720,203

788,927,875

10,666.42 515,908,722

1,613.92 118,418,382

9,917.18

361.00 21,151,217

95,625,375

21 October, 2012

Dated, Dhaka

Chief Executive Officer Director

Documents

33rd Annual Report 2011-2012.pdf