Anmol Textile Mills Ltd 2013-14

EXECUTIVE SUMMARY

The Textile Industry:When Pakistan came into being there were only 16 textile mills out of which only 12 were

in operation. It grew to 70 in 1957 as industrial development takes place. Now a day there

are 596 textile mills out of which 442 are in operation. Over the years, Pakistan is said to

be the single crop economy i.e. cotton and textile that claims the lion's share in terms of

the contribution in the national economy of Pakistan.

Despite efforts to bring in diversification in country's overall economic get-up the textile

sector continues to be the most important segment of the national economy. Its share in

the economy, in terms of GDP, exports, employment, foreign exchange earnings,

investment and revenue generation altogether placed the textile industry as the single

largest determinant of the economic growth of the country. Despite harsh and hard

international economic conditions, Pakistan's textile industry has weathered the storm

by coming out of the international crisis in a very positive manner.

Textiles Exports from Pakistan:

Textiles constitute a major exporting sector for Pakistan, which accounts for about 60% of

the country’s total foreign exchange earnings. The major export items are yarn; gray Cloth,

finished cloth, towels and bed sheets and their major customers are the USA, Europe,

Japan and Hong Kong. Many textile exports take place under quota arrangements With the

Europe and the United States. Gray cloth constitutes roughly 16-18% of total cloth.

At present, the export competitiveness of the textile industry can be improved by

aggressive marketing techniques and quality improvements which have to be taken care

of micro-level that is each textile unit should make its own independent efforts to sell its

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products in different international markets.

ANMOL has grown from a cotton export house into the premier business group of

Pakistan concentrating on 4 core businesses; Textiles, Cement, Banking and Power

Generation. Today, ANMOL is considered to be at par with multinationals operating locally

in terms of its quality products and management skills.

The company is free from the energy crisis because it has set up its own power generation

units that are not even fulfilling the energy requirement of ANMOL mills but they are also

selling this to Government. The company is holding the position with the spinning,

weaving and dying units with the extraordinary production capacity.

ANMOL is running different business with different famous products like ANMOL Linen

that has opened its outlets in major cities of Pakistan.

Different departments are working well to achieve the strategic aims of the company.

They are adopting the latest Management information system to access data that

results in producing timely results for different departments

The financial ratio analysis shows that the company is enjoying good profits and is

consistently running its operations even in the conditions when the country is passing

through critical conditions.

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ANMOL MILLS LIMITEDANMOL MILLS LIMITED (ANMOL) commenced business in 1951 as a partnership

concern, which was converted into private limited company in 1959. In 1961, the

company went public and was listed on the Karachi stock exchange, the only stock

exchange in the country at that time. In 1989 the Company was listed on Lahore Stock

Exchange and in 1992 The Company was listed on Islamabad Stock Exchange.

It is one of the most modern, largest vertically integrated textile companies in Pakistan.

ANMOL started out as a weaving unit with 500 semi-automatic looms; later 10000 spindles

were added, laying the foundation on nation’s biggest textiles composite project. The

Company also has the most modern textile dyeing and processing units, 2 stitching

units and Power Generation facilities with a capacity of 89 MW.

The Company’s total export for the year 2012 was Rs. 35.610 billion (US$ 416 million). Due

to the application of cautious management policies, consolidation of operations, a strong

balance sheet and an effective marketing strategy, the growth trend is expected to

continue in the years to come. The Company's production facilities comprise of spinning,

weaving, processing, stitching and power generation. Its sales are 48,565,144,000 Rs.

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COMPANY INFORMATIONBOARD OF DIRECTORS:

Chief Executive Mr. Sheikh Niaz Anjum

Rana Muhammad Mushtaq Ms. Nabiha Shahnawaz Cheema Mr. Muhammad Azam

AUDIT COMMITTEE:

Mr. Khalid Qadeer Qureshi Chairman/Member Mr. Muhammad Azam Member Ms. Nabiha Shahnawaz Cheema Member

CHIEF FINANCIAL OFFICER:

Mr. Badar-ul-Hassan

COMPANY SECRETARY:

Mr. Khalid Mahmood Chohan

AUDITORS:

Riaz Ahmad & Company Chartered Accountants

LEGAL ADVISOR:

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Mr. M. Aurangzeb Khan, Advocate, Chamber No. 6, District Court, Faisalabad.

MILLS:

Mill Site: 120 Km GT Road Okara

Phone: +92-442-545430

Fax: +92-442-5423234

HEAD OFFICE: Office: Suit #1, 2nd Floor, 15 Shah Jamal, Lahore

Phone: +92-42-7541540, 7532344

Fax: +92-42-7543342

Email: [email protected]

[email protected]

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Mission Statement

To provide quality products to customers and explore new markets to

promote/expand sales of the Company through good governance and foster a

sound and dynamic team, so as to achieve optimum prices of products of the

Company for sustainable and equitable growth and prosperity of the

Company.

VISION STATEMENT

To transform the Company into a modern and dynamic yarn, cloth and

processed cloth and finished product manufacturing Company that is fully

equipped to play a meaningful role on sustainable basis in the economy of

Pakistan.

To transform the Company into a modern and dynamic power generating

Company that is fully equipped to play a meaningful role on sustainable basis

in the economy of Pakistan.

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Company ProfileSponsors:

Since last four decades, the members of this group have made tremendous contribution in boosting the textile trading sector in Pakistan. The members of the group are widely recognized as pioneer of textile yarn traders in the country. This achievement and recognition is the result of group’s efforts in adopting advanced techniques of trading, remarkable organization culture and on time honoring its commitments.

Indoor Management:

The company today derives its strength from a unique blend of entrepreneurial ownership added with unparalleled skill of professionals.

Today, the company is managed by highly qualified team of professionals with vast experience in their respective fields. Every department is headed by a professional, qualified and experienced executive.

Employees Welfare & Addition in Building:

Anmol Textile Mills Ltd believes in admirable work environment. The management staff relationship which exists within Anmol bears witness to this principle. Various social welfare schemes and programs like social security, provident fund, free medical services, regular and performance bonuses, easy loan facilities have been implemented for the benefit of the employees. In order to provide ideal residential

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to workers and officers Workers Colony, Bachelor Hostel and G.M. Bungalow are constructed at site.

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Marketing Profile

Anmol Textile Mills Ltd has special edge to have its own sales outlets in Lahore so it’s a great support that we are directly linked with market nervous system that support us instantaneously to evaluate market demand and cater customer requirements more efficiently than any other unit so we have strong marketing profile.

Company Objectives:

1- Anmol Textile Mills Ltd, strives to establish a long terms relationship with customers by providing them on time delivery of Quality products.

2- Anmol Textile Mills Ltd, give importance to get quality through best yarn .

3- Anmol Textile Mills Ltd, System requirements are aimed at achieving customer satisfaction by providing conforming product and meeting or exceeding customer and applicable regulatory requirements through application of Quality Management system , continuous improvement and prevention of non conformity.

4- Anmol Textile Mills Ltd, ensures that the company adequately identifies customer requirements, through all Quality Management System processes, to achieve customer satisfactions.

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ANMOL BUSINESS & PRODUCTS

Sp i n n i n g

W e avi n g

P r o ce ss in g

Ho m e T e xtile

G a r me n ts

P o w e r G e ne r ation

ANMOL Li n e n

ANMOL Hospitality (Private) Limited

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http://www.nishatmillsltd.com/nishat/product-1.htm

http://www.nishatmillsltd.com/nishat/nishat-linen.htm

http://www.nishatmillsltd.com/nishat/power-generation.htm

http://www.nishatmillsltd.com/nishat/new-page-2.htm

http://www.nishatmillsltd.com/nishat/home-textile-2.htm



FUNCTIONS OF VARIOUS DEPARTMENTSThe organization is divided into following departments:

1. Human Resources

2. Finance

3. Marketing

4. Export

5. Administration

6. MIS

7. Production


FINANCE DEPARTMENT:Finance department has following sections:

Accounts Section

Banking Section

Purchase Section

Sales Section

Accounts SectionI managed to understand about the flow of transaction, preparation of vouchers and

ledger posting.

Preparation of vouchers:

In account department under the supervision of concerned officers, I came to know

different type of vouchers being prepared and their process of preparation. Vouchers

are written evidence of any business transaction. The different types of vouchers being

prepared by the account department of ANMOL Mills are as under,

Cash payment vouchers

Cash receipts vouchers

Bank payment vouchers

Bank receipt vouchers

Journal voucher or adjustment vouchers

Petty cash vouchers

These vouchers are now discussed below in detail:


Cash Payment Vouchers:

Being a public limited company cash payment vouchers are used for recording the

expense of less than five thousand. These types of vouchers are prepared when cash

payments are made against small expenses i.e. repair, entertainment etc. In order to

record the expenses following entry is passed:

Account code name of expense (debit) Amount

Cash account (credit) Amount

Evidence of expense is attached with the cash payment vouchers.

Cash Receipt Vouchers:

These types of vouchers are prepared when the cashier on behalf of the ANMOL mills

limited is receiving cash. However, these types of vouchers are small in quantity because

majority of transactions are done by bank. On receipt of cash, cashier prepared the

cash received slip. Account officer prepares voucher on the basis of cash receipt prepared

by the cashier. In order to book the transaction the following entry is passed in the books.

Account code cash account (debit) Amount

Income A/C or receivable A/C (credit) Amount

Bank Payment Vouchers:

Being a public limited company the majority of payment transactions of the ANMOL mill

limited are carried out through banks. Bills and invoices being approved by the

competent authority reach at the table of accounts officer for payment. Account officer

checks the approval and mathematical accuracy of the bill and prepares the bank payment

voucher. Accounts officer first confirms the nature of expense i.e. capital or revenue and


deduction of tax if applicable then pass the following entry;

Account code Asset name or expense (debit) amount

Bank account (credit) amount

Deduction of tax at source (credit) amount

Evidence of expense/asset is attached with the cash payment voucher.

Bank Receipt Vouchers:

Account code cheques clearing A/C (debit) amount Account receivable A/C (credit) amount

Advance against sale A/C (credit) amount

On clearing of above referred cheques following entry passed in the books of account

officers. Account code Bank A/C (debit) Amount

Cheques clearing A/C (credit) Amount

Adjustment Voucher or Journal Vouchers:

These types of vouchers are generally prepared in the following circumstances;

Purchase on credit

Sales on credit

Writing off assets i.e. depreciation store consumption etc.

Rectification of mistakes or omissions

These are discussed below in detail,


Purchase on credit:

Generally raw material, stores and spares are purchased on credit. In order to account

them for the journal voucher are prepared by the concerned account officer

Account code Purchase A/C (debit) Amount

Account payable A/C (credit) Amount Copy of the invoices is attached with

vouchers.

Sales on credit:

Like purchases, sales (local and export) are made on credit and at the time of delivery of

goods following journal are prepared by the account officer:

Credit sales A/C Amount

Copy of invoices is attached with voucher.

Writing off assets:

These journal vouchers are prepared in order to change the assets to expense for the

preparation of monthly accounts.

To account for depreciation of fixed assets: Account code Depreciation A/C (debit) Amount

Accumulated depreciation A/C (credit) Amount

To account for the raw material consumption:

Account code raw material concerned A/C (debit) amount


Raw material store A/C (credit) amount

To account for store consumption:

Account code store concerned A/C (debit) amount

Store and spares A/C (credit) amount

To account for accrued expenses:

Account code expense A/C (debit) amount

Account payable A/C (credit) amount

In additional to above referred kinds journal voucher is also passed to rectify the mistakes

made in voucher preparation or posting.

Ledger Posting:

Computer operator puts log number and makes posting in computer. Accounts of ANMOL

MILLS are computerized and ledgers are prepared in computer. After the preparation and

coding of voucher it is sent to computer operator for posting. A daily print out of all entries

is checked to check the accuracy. After checking the accuracy the master file is updated

and posting is made to respective account ledger by the computer. These record files are

also send to record room that they can be recalled as ever needed.


BANKING SECTION

The main purpose of the department is ensuring the availability of the funds for operation,

best utilization of available fund and to deal with banks. Finance manger prepares daily

cash flows statement in order to determine needs and utilization of funds.

A weekly projected cash flows statement is also prepared in order to determine the need

of the coming week. An account officer prepares bank reconciliation statement of all the

banks and list out the outstanding entries. He then traces the reason for these entries and

put bank reconciliation on the table of finance manager. On receipt of bank statement the

manager prepares cash flow statement and presents it to the finance director for future

actions.

Dealing with bank is normally by receiving bank reconciliation statements. When

banking department receives such statement it tallies transaction with its own ledgers.

Certifies that whether items debited or credited is true in all respect. If any discrepancy is

found it is told to bank. Since ANMOL mills limited is a large organization so daily bank

reconciliation are received from the bank.

Process:

All the cheques, which are presented for payments, any interest or commission charged

by the bank, cheques, received by the banks and credited in the account of ANMOL

mills limited, any interest received on account of ANMOL mills limited by bank are

recorded and then tallied. A person designated as Assistant Manager Heads banking

department.

Mark Up Sheets:

Second major function of the banking department of ANMOL mills limited is preparation of


mark up sheet. Normally finance is obtained from banks against securities. The

securities are (a) pledge cotton (b) mortgaging machinery etc.

This loan is taken sometimes for short period and sometimes for longer period. So in these

loans interest is paid. This interest rate varies. This interest is calculated on daily basis.

When interest and loan amount is paid to bank, it is this department, which calculates

the interest amount due on ANMOL mills limited. Although interest sheet is sent by bank

but it is reconciled by the department.


PURCHASE SECTION

PURCHASE DEPARTMENTThe purchase department is divided into two categories, cotton purchase department and store purchase department.

COTTON PURCHASE DEPARTMENTCotton purchase department is most important department in textile industry. Quality of yarn depends upon cotton that has been purchased. It becomes most important when there is business of export. There is no question on quality. Because your minor mistake may result in huge losses. Moreover you will loss your credibility. Form director to cotton selectors all are involved in cotton purchase process.

STORE PURCHASE DEPARTMENTStores incharge heads the store purchase department.

Purchase department is as under:

Director

Purchase Officer

Assistant Purchase Officer

Purchase Clerk

The store purchase department is responsible for the purchase of items like Spare parts of machinery, and Packing material spares, electric items, Oil and lubricants, Stationery items, Building Material and General Store.

DOCUMENTS Demand Requisition


Invoice of Purchase

Delivery Order

In Gate Pass


SALES SECTIONSales department is one of the important departments in any industry. If a unit produces best quality goods but have not competitive staff then it would be difficult to sell the products. The structure of sales department is as under.

ANMOL Textile Mills is selling its product to local as well as in international market. Thus the sales department of the ANMOL Textile Mills is divided in to two sections


Director

Manager Local Sales Manager Export

Commercial Asst Export Asst

Sales Department

Local sales Deptt Export Deptt

Procedure The following activities are performed in the local sales department. The directors receive the order of yarn by Tele phone, fax or e-mail. Directors evaluate the capability to fulfill the order by consulting daily

stock repot from mills. Directors give the instructions to local sales manager that transfer the

information on local sale contract slip. Before issuing contract slip, sales manager checks the selling limits of

the particular party and discusses the matter with Director if it is selling limit Sales department writes the three copies of delivery order signed by

director One copy is dispatched to the mill for issuing goods . after reading the

particulars of delivery order store in charge in the factory will issue the goods .

One copy of delivery order is send to the accounts department and third one is kept for record.


Financial Analysis Ratio Analysis

LIQUIDITY ANALYSISI t shows the firm’ abi l i ty to pay its short-term obligation on time.

CURRENT RATIO

2011 2012

1: 0.84times 1: 0.98times

The ratios show that the company’s current l iabi l ities and current assets are almost equal. So the co. is in a position to meet its current l iabi l ities on time.

QUICK OR ACID TEST RATIO

2011 2012

1: 0.59times 1: 0.48times

The company’s quick ratio has increased. So the company is l iquid position is very strong.

ACTIVITY ANALYSISINVENTORY TURNOVER RATIO

2011 2012

4.8times 6.0times


DEBTOR COLLECTION PERIOD

2011 2012

87days 44days

Company’s credit col lection performance is depended upon L/C by the buyer. So the company’s debtor col lection period mostly depends upon the opening of letter of credit .

CREDITOR’S TURNOVER RATIO

2011 2012

11.50times 12.20times

This ratio shows that the co. is making payment to the creditors within reasonable time period.

FIXED ASSETS TURNOVER RATIO

2011 2012

1.24 times 2.02 times

PROFITABILITY ANALYSISThe efficiency of the firm can be analyzed through its profits.

GROSS PROFIT RATIO

2011 2012

15.59% 15.30%


Cost of goods sold has remain more or less constant whi le conversion rate of $ is being higher therefore G.P. is very ideal.

NET PROFIT RATIO

2011 2012

1.57% 2.7%

The company’ profit is increasing with the passage of time. It is because of its 90% exports.

OPERATING PROFIT RATIO

2011 2012

10.70% 10.85%

There is l ittle increase in profit of the co. It is because of hir ing of new employees which increases the salar ies of the co.

RETURN ON ASSETS

2011 2012

3.48% 7.49%

Return on assets ratio has increased because of increase in profits.

MARKETABILITY ANALYSISEARNING PER SHARE

2011 2012

Rs.2.67 Rs.2.82

LEVERAGE ANALYSIS

Leverage analysis is used to measure the degree of indebtness (up to what extent the firm is in debtness).

DEBT RATIO

2011 2012


68.78% 76%

DEBT-EQUITY RATIO

2011 2012

322% 220%

Anmol heavi ly depending on the outsider’s financing.

COVERAGE RATIO ANALYSIS

Coverage ratio is used to see the abi l ity of a firm to pay i ts fixed financial cost. i -e.

Interest payment

Lease payment t

Dividend to preferred stockholders

TIME INTEREST EARNED RATIO

2011 2012

1.36times 1.56times

Anmol is paying interest 1.56times in a year, which is greater than previous years.


Horizontal Analysis

BALANCE SHEET

COMMON SIZE HORIZONTAL ANALYSIS

ASSETS: 2012 2011

(Rupees )

in %

Non-current assets

Property, Plant and equipment Intangible assetsLong-term investmentLong-term depositsCurrent assetsStores, spares and loose toolsStock-in-tradeTrade debtsLoan and AdvancesTrade deposits and paymentsShort term InvestmentMark-up accruedOther receivablesTax refunds due from governmentCash and bank balances

1,906,640,9871,033,59369,999,5862,421,340

103,050,338772,397,644157,754,493187,188,9851,122,041125,667,5847,088,2618,289,791

45,560,67541,794,462

1,963,229,490-----------69,999,5862,421,340

92,855,401746,643,801229,707,309142,601,9925,804,422523,5467,088,2611,612,193

49,793,06232,572,103

(56,588,503)1,033,593-----------------------

10,194,93725,753,843(71,952,816)44,586,993(4,682,381)125,615,238------------6,677,598

(4,232,387)9,222,359

-2.88100----------

10.983.45-31.3231.267-80.6723993-------414.19

-8.5028.31

Total Current assets 1,449,914,274 1,309,202,090 140,712,184 10.75TOTAL ASSETS 3,430,009,780

85,157,274


EQUITY AND LIABILITIES:

2012 2011 (Rupees) In %

Share capital and reservesAuthorized Capital 30,000,000 ordinary shares of Rs 10 eachIssued, subs and paid-up capitalReservesUnappropriate profit

Non-current liabilitiesLong term Finance & other CapitalSubordinated loans Deferred liabilities

Current liabilitiesTrade and other payablesInterest and mark-up accruedFinance under markup arrangementCurrent portion of non-current liabilitiesTotal Liabilities and Equity

30,000,000308,109,370395,081,250165,798,067868,988,687

711,913,66863,375,0008,589,216783,877,884

128,588,47856,488,7531,336,646,814

255,419,1641,777,143,209

3,430,009,780

30,000,000246,487,500395,081,250195,501,910837,070,660

988,791,21836,875,00016,238,3271,041,904,545

124,134,60343,259,8761,174,824,009

123,658,8131,465,877,301

3,344,852,506

-------------61,621,870--------------70,296,15731,918,027

(276,877,550)26,500,000(7,649,111)(258,026,661)

4,453,87513,228,877161,822,805

131,760,351311,265,908

85,157,274

---

24.99-------35.963.81

-2871.86-47-24.76

3.5930.5813.77

106.5521.23

2.546


Profit and Loss Account

Common size Horizontal analysis

2012 2011

(Rupees) in %

Sales

Cost of sales

Gross profit

Other operating income

Administrative expenses

Distribution and sel l ing costs

Other operating expenses

Finance costs

Profit / ( loss) before taxation

Provis ion for taxation

Profit for the year

Earnings per share

3,400,998,361 (3,054,593,695)

346,404,666

39,344,127

(50,282,001)

(49,671,260)

(6,048,989)

(232,381,335)

47,365,208(15,447,181)

31,918,027

1 .04

3,122,414,478 (2,699,848,853)

422,565,625

17,840,572

(48,421,073)

(39,031,369)

(9,584,861)

(199,406,645)

143,962,249(20,433,058)

123,529,191

4 .01

278,583,883354,744,842

(76,160,959)

21,503,555

1,860,928

10,639,891

(3,535,872)

32,974,690

(96,597,041)

(4,985,877)

(91,611,164)

8.92

13.21

-18

120

3.84

27.25

36.89

16.54

-67.10

-24.40

-74.16


BALANCE SHEETCOMMON SIZE HORIZONTAL ANALYSIS

ASSETS: 2012 2011

(Rupees)

In %

Non-current assetsProperty, Plant and equipment Long-term deposits

Current assetsStores, spares and loose toolsStock-in-tradeTrade debtsLoan and AdvancesTrade deposits and paymentsTax refunds due from governmentOther receivablesShort term InvestmentCash and bank balances

1,963,229,4902,421,3401,965,650,830

92,855,401

746,643,801

229,707,309150,177,167

5,804,422

49,793,062

1,612,193

70,523,132

32,572,103

2,036,092,5372,421,3402,038,513,877

80,312,683

706,726,900

204,540,457286,804,021

3,893,245

60,515,927

3,021,926

------------

8,434,247

(72,863,047)--------------(72,863,047)

12,542,718

39,916,901

25,166,852(136,626,854)

1,911,177

(10,722,865)

(1,409,733)

70,523,132

31,737,856

-3.59--------3.57

15.62

5.65

12.30-47.64

49.08

-17.72

-46.65

100

37.63Total Current assets

1,379,688,590 1,354,249,406 25,439,184 1.88

TOTAL ASSETS 3,345,339,420 3,392,763,283

(47,423,863) -1.398


Equity and Liabil ities

2012 2011

Share capital and reservesAuthorized Capital 30,000,000 ordinary shares of Rs 10 eachIssued,subs &paid-up capitalReservesUnappropriate profit

Non-current l iabi l itie s Long term Finance & other CapitalDeferred l iabil ities

Current liabilitiesCurrent portion of long term l iabi l itiesFinance under markup arrangementTrade and other payablesInterest and mark-up accrued

Total Liabil ities and Equity

30,000,000246,487,500395,081,250195,501,910837,070,660

1,025,666,21816,238,3271,041,904,545

123,658,8131,174,824,009124,621,517

43,259,876

1,466,364,215

3,345,339,420

30,000,000246,487,500395,081,25096,621,469738,190,219

1,158,062,81118,400,7001,176,463,511

139,361,1401,193,844,369109,756,482

35,147,562

1,478,109,553

3,392,763,283

------------------------98,880,44198,880,441

(132,396,593)(2,162,373)(134,558,966)

(15,702,327)(19,020,360)14,865,035

8,112,314

(31,745,338)

(47,423,863)

In %

------------102.34126.46

-11.43-11.75-11.44

-11.27-1.5913.54

23.08

-2.15

-1.398


Vertical AnalysisBALANCE SHEET

COMMON SIZE VERTICAL ANALYSIS

ASSETS: 2012 2011

Non-current assetsProperty, Plant and equipment Intangible assetsLong-term investmentLong-term deposits

Current assetsStores, spares and loose toolsStock-in-tradeTrade debtsLoan and AdvancesTrade deposits and short-term paymentsMark-up accrued Other receivables Short term Investment Tax refund due from governmentCash and bank balances

55.59 %0.03 %2.04 %0.07 %

3.00 %22.52 %4.6 %5.46 %0.032 %0.21 %0.241 %3.66 %1.33 %1.22 %

58.69 %--------2.04 %0.07 %

2.78 %22.32 %6.87 %4.26 %0.17 %0.21 %0.048 %0.016 %1.49 %0.97 %

Total Current assets 42.27 % 39.14%

TOTAL ASSETS 100.00% 100.00%


EQUITY AND LIABILITIES:

Share capital and reservesAuthorized Capital 30,000,000 ordinary shares of Rs 10 eachIssued, subscribed and paid-up capitalReservesUnappropriate profit

Non-current l iabil itiesLong term Finance and other payablesLoan from related parties- subordinated loans Deferred liabilities

Current liabilitiesTrade and other payablesInterest and mark-up accruedFinance under markup arrangementsCurrent portion of non-current liabil ities

Total Liabilities and Equity

2012

8.98 %11.52 %4.83 %25.33 %

20.76 %1.85 %0.25 %

3.75 %1.65 %38.97 %7.45 %51.81 %

100 %

2011

7.37 %11.81 %5.84 %25.03%

29.56 %1.102 %0.48 %

3.71 %1.29 %35.12 %3.7 %43.82 %

100 %


Profit and Loss AccountCommon size vertical analysis

2012 2011

Sales

Cost of sales

Gross profit

Other operating income

Administrative expenses

Distribution and sel l ing costs

Other operating expenses

Finance costs

Profit / (loss) before taxation

Provision for Taxation

Profit for the year

100 %

(89.81 %)

10.19%

11.57 %

(1.48 %)

(1.46 %)

(0.178 %)

(6.83 %)

1.39 %

(0.45 %)

0.94 %

100 %

(86.47 %)

13.53%

10.57 %

(1.55 %)

(1.25 %)

(0.31 %)

(6.39 %)

4.61 %

(0.65 %)

3.96 %


LEARNING AS AN INERNEE

It is difficult to write about what I learned at ANMOL Mills Ltd. Because when I entered

within such a big organization, I was bombarded with lot of things at the same time that I

could not realize suddenly. But with the passage of time I got realized that my thinking

style, my punctuality, and my routines are just got better. I became a committed person.

Some of the skills that I have internalized at ANMOL Mills Ltd are discussed below;

Commitment:

I was kept rotated by my instructor to different persons within the department so that I

could get the maximum exposure to their working tasks, their abilities their commitment

to the work. They also assigned sometimes the task of their own to perform and I took

them as my boss is giving me orders and performed them with commitment. So I learnt

the skill that how to be committed to my seniors and to my work.

Teamwork experience:

When I entered the organization I considered myself as a part of team. Large

organizations are built by the teamwork efforts of the individuals. I learnt thee how to

perform tasks within a team, where lots of other people are also connected to you.

MIS learning:

The company has its own management information system developed in java. There were

certain restrictions about using this network. But at certain occasions, employees let me

allowed to perform some minor tasks. And I also I learned how information flows through

different levels within the departments and how can a relevant person use that

information.


Managerial skills exposure:

I got exposure to other different skills that can be helpful in my future that how to

manage work, relations with officers, putting pressure in subtle ways to get work done in

time. I observed that you can’t be too lenient or too harsh to your employees. A manager

has to make relations to such a level that no feels that my manager is too lousy to control

his personnel nor too harsh to keep atmosphere stressful.


SUGGESTIONS

During my internship I felt some inadequacies that should be paid attention or modified.

Bonus system:

The proper facility of bonuses is provided to the production department, and there is no

defined and proper system to award bonuses to other departments. Compensation and

reward system should be brought at higher level in order to let the employees be

motivated and happy. There should be more fringe benefits for the employees taking

into consideration their devotion skill and experience.

This higher level would make the employees more efficiency & effective. Therefore my

suggestion is that the bonuses should also be awarded to other departments too.

Employees training:

Although there are educated and talented staff working in ANMOL Mills limited but it is

the need of the hour that the staff should be given the time-to-time refresher courses for

the up to date knowledge for meeting knew and dynamic challenges in the growing

business concern of ANMOL Mills Limited. New training courses will help in uplifting the

quality of the work of employees.

Need of a cafeteria:

As ANMOL is consisting of a large area and there is only is a small canteen that is far away

from office area and is located near plants. So from my point of view a couple of canteens

should be available near office area in order to minimize the distance that will help in

improving the working time of the employees, because less time will be consumed to


travel from one point to another.

Training program to recruits:

When I was in the Human Resource department, I observed that fresh boys with no

working experience were also hired by the department. They did not even know how

to operate the machines where they will work. There was no proper training provided to

them. They learn by direct experience and interaction with the other workers.

These new workers should be provided with the proper training because working with

the big and costly machines can be harmful to the workers and the company may have to

bear the loss in case a costly machine malfunctions.

Compensation for the internees:

The company has no policy to compensate the internees. There should be little

compensation for trainees as well, as they can fulfill their day to day traveling and food

expenses. By doing this trainees will show more interest, more devotion, more potentials

and will work with their full mental and physical efforts.


Documents

Anmol Textile Mills Ltd 2013-14