First Quarter 2024
Contents
Company information | 3 |
directors' report | 4 |
condensed interim statement of financial position | 7 |
condensed interim statement of profit or loss | 8 |
condensed interim statement of comprehensive income | 9 |
condensed interim statement of changes in equity | 10 |
condensed interim statement of cash flows | 11 |
notes to the condensed interim financial statements | 12 |
directors' report (Urdu version) | 19 |
COMPANY
INFORMATION
Board of Directors | MCB Bank Limited | |
Abdul Samad Dawood (Chairman) | National Bank of Pakistan | |
Samba Bank Limited | ||
Kashan Hasan (CEO) | Standard Chartered Bank Pakistan Limited | |
Ali Ahmed Khan | Summit Bank Limited | |
Abrar Hasan | United Bank Limited | |
Robert ter Borg | The Bank of Punjab | |
Petra Attje Zinkweg | ||
Roeland Francois Van Neerbos | Shariah Compliant | |
Zouhair Abdul Khaliq | ||
Meezan Bank Limited | ||
Chief Financial Officer | ||
Auditors | ||
Imran Husain | ||
A.F. Ferguson & Company | ||
Company Secretary | Chartered Accountants | |
Muhammad Hassan Azwar
Members of the Audit Committee
Abrar Hasan (Chairman)
Robert ter Borg
Zouhair Abdul Khaliq
Secretary of the Committee is
Maria Umar Memon,
GM Internal Audit Department
Banks
Conventional
Allied Bank Limited
Askari Bank Limited
Bank Al-Falah Limited
Bank Al-Habib Limited
Citibank N.A.
Faysal Bank Limited
Habib Bank Limited
Habib Metropolitan Bank Limited
State Life Building No. 1-C
I.I. Chundrigar Road.
Karachi - 74000, Pakistan.
Tel: +92(21) 32426682-6/32426711-5
Share Registrar
M/s. FAMCO Share Registration Services (Private) Limited
8-F, Next to Hotel Faran, Block-6, PECHS, Shahrah-e-Faisal Karachi - Pakistan
Tel: +92(21) 34380104-5,34384621-3
Fax: +92(21) 34380106
Registered Office
5th Floor, The Harbor Front Building HC-3, Marine Drive, Block - 4, Clifton Karachi - 75600, Pakistan.
Tel: +92 (21) 35296000 (9 lines)
Fax: +92 (21) 35296010
E-mail: efl.shareholders@frieslandcampina.com
Website: www.frieslandcampina.com.pk
DIRECTORS' REPORT
The Directors of FrieslandCampina Engro Pakistan Limited (a majority-owned subsidiary of FrieslandCampina Pakistan Holdings B.V.) (the "Company") are pleased to submit the report along with the condensed financial information of the Company for the first quarter ended 31st March 2024.
BUSINESS PERFORMANCE OVERVIEW
The company delivered strong topline growth of 21% (PKR 27.5 billion compared to PKR 22.7 billion in the same period last year) despite the challenging operating environment and economic slowdown. This increase was fueled by volume growth and relevant consumer offerings.
The Company witnessed gross profit growth of 1%, while the gross margin declined by 320 bps due to currency devaluation and inflationary pressure on commodities and energy prices.
Profit after tax (as percentage of sales) declined by 200 bps over LY (Rs. 0.67 billion vs. Rs. 0.99 billion in the same period last year) due to an increase in interest rates.
DAIRY-BASED PRODUCTS SEGMENT
The segment reported revenue of Rs. 26.1 billion, reflecting a growth of 23% compared to the same period last year. The growth was led by our flagship brand Olpers through consistent brand building and trade activities.
Olper's continued to expand reach of its 1½ Pao Bachat Pack Campaign through TV and Digital channels. The Olper's 1½ Pao Bachat Pack, an ideal size for a single breakfast occasion, provides the right milk quantity needed for a family's daily breakfast needs.
Our Value-added brands like Olper's Cream, Olper's Cheese, Dobala and Tarka have continued to gain volume despite competition from established players.
FROZEN DESSERTS SEGMENT
The segment reported a revenue of Rs. 1.36 billion vs Rs. 1.44 billion period last year. The recent challenging times and a delayed summer onset, coupled with an unexpected rainy season across the country, impacted the expected growth. However, the Company anticipates a quick recovery in Q2 as the season fully commences.
FINANCIAL PERFORMANCE
The financial performance of the company for the three months ended March 31, 2024, is summarized below:
(Rs. in million)
Net Sales
Operating Profit
% of sales
Profit / (Loss) after tax
Three months ended | ||
Variation | ||
2024 | 2023 | |
27,464 | 22,651 | 21% |
1,971 | 1,982 | -1% |
7.18% | 8.75% | -157 bps |
665 | 990 |
% of sales | 2.42% | 4.37% | -195 bps |
Earnings / (Loss) per share (Rs.) | 0.87 | 1.29 |
FUTURE OUTLOOK
FCEPL maintains its dedication to delivering strong business results for its shareholders, despite external challenges like inflation, currency devaluation and elevated interest rates. The company's agile business model enables the management to maintain growth through operational efficiency and adapting to changing consumer demands. In the future, FCEPL plans to continue investing in enhancing brand value and broadening its portfolio to improve profit margins.
Leveraging its global expertise and 150 years heritage, FCEPL remains committed to the highest standards to hygiene, food safety and sustainability and providing safe, affordable, and nourishing dairy products to millions of Pakistanis, every day.
___________________
Abdul Samad Dawood | Syed Kashan Hasan |
Chairman | Chief Executive Officer |
Karachi: April 26, 2024
FRIESLANDCAMPINA ENGRO PAKISTAN LIMITED
CONDENSED INTERIM FINANCIAL STATEMENTS (UNAUDITED)
FOR THE QUARTER ENDED MARCH 31, 2024
FRIESLANDCAMPINA ENGRO PAKISTAN LIMITED
CONDENSED INTERIM STATEMENT OF FINANCIAL POSITION (UNAUDITED) AS AT MARCH 31, 2024
(Amounts in thousand)
Note |
ASSETS |
Non-Current Assets |
Unaudited | Audited |
March 31, | December 31, |
2024 | 2023 |
------------------- | Rupees ------------------- |
Property, plant and equipment | 4 |
Biological assets | |
Intangible assets | |
Right-of-use assets | |
Deferred tax asset - net | |
Long term advances and deposits | |
Current Assets | |
Stores, spares and loose tools | 5 |
Stock-in-trade | 6 |
Trade debts | |
Advances, deposits and prepayments | |
Accrued mark-up / interest | |
Other receivables | |
Sales tax recoverable | |
Taxes recoverable | |
Short term investments | |
Cash and bank balances | |
TOTAL ASSETS | |
EQUITY AND LIABILITIES | |
Equity | |
Share capital | |
Share premium | |
Employee share option compensation reserve | |
Remeasurement of post employment benefits - Remeasurement loss | |
Unappropriated profit | |
Non-Current Liabilities | |
Long term: | |
- finances | |
- lease liability against right-of-use assets | |
Current Liabilities | |
Current portion of long term: | |
- finances | |
- lease liability against right-of-use assets | |
Trade and other payables | |
Contract liabilities | |
Unclaimed dividend | |
Accrued interest / mark-up on: | |
- long term finances | |
- short term finances | |
Supplier financing - unfunded | |
Short term finances | 7 |
Contingencies and Commitments | 8 |
11,625,387
3,075,289
8,773
918,936
336,279
265,824
16,230,488
1,276,269
16,324,523
3,518,839
566,710
7,868
756,870
6,979,559
1,690,668
-
710,734
31,832,040
48,062,528
7,665,961
865,354
-
(296,594)
6,606,072
14,840,793
-
498,264
498,264
500,000
415,729
14,743,887
230,218
6,774
18,099
886,344
13,624,809
2,297,611
32,723,471
11,393,773
3,005,743
13,362
1,020,192
194,313
253,217
15,880,600
1,137,210
10,182,994
1,888,698
394,901
7,868
701,409
6,527,295
2,087,349
1,000,000
2,078,478
26,006,202
41,886,802
7,665,961
865,354
-
(296,593)
5,941,298
14,176,020
250,000
583,851
833,851
500,000
423,514
12,255,637
1,427,299
6,774
27,839
739,931
11,374,678
121,259
26,876,931
TOTAL EQUITY AND LIABILITIES |
48,062,52841,886,802
The annexed notes 1 to 18 form an integral part of these condensed interim financial statements.
Chairman | Chief Executive Officer | Chief Financial Officer |
FRIESLANDCAMPINA ENGRO PAKISTAN LIMITED
CONDENSED INTERIM STATEMENT OF PROFIT OR LOSS (UNAUDITED) FOR THE QUARTER ENDED MARCH 31, 2024
(Amounts in thousand except for earnings per share)
Note | Quarter ended March 31, | |||
2024 | 2023 | |||
--------------------- Rupees --------------------- | ||||
Revenue from contracts with customers - net | 27,463,601 | 22,650,926 | ||
Cost of sales | (23,057,659) | (18,293,886) | ||
Gross profit | 4,405,942 | 4,357,040 | ||
Distribution and marketing expenses | (2,167,800) | (1,956,334) | ||
Administrative expenses | (427,634) | (429,409) | ||
Other operating expenses | (104,405) | (265,298) | ||
Other income | 264,568 | 276,192 | ||
Operating profit | 1,970,671 | 1,982,191 | ||
Finance cost | (864,996) | (490,557) | ||
Profit before taxation | 1,105,675 | 1,491,634 | ||
Taxation | (440,902) | (501,271) | ||
Profit for the period | 664,773 | 990,363 | ||
Earnings per share - basic and diluted | 9 | 0.87 | 1.29 | |
The annexed notes 1 to 18 form an integral part of these condensed interim financial statements.
Chairman | Chief Executive Officer | Chief Financial Officer |
FRIESLANDCAMPINA ENGRO PAKISTAN LIMITED
CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME (UNAUDITED) FOR THE QUARTER ENDED MARCH 31, 2024
(Amounts in thousand)
Quarter ended
March 31, | ||||
2024 | 2023 | |||
------------------ Rupees ------------------ | ||||
Profit for the period | 664,773 | 990,363 | ||
Other comprehensive income | - | - | ||
Total comprehensive income | ||||
for the period | 664,773 | 990,363 | ||
The annexed notes 1 to 18 form an integral part of these condensed interim financial statements.
Chairman | Chief Executive Officer | Chief Financial Officer |
FRIESLANDCAMPINA ENGRO PAKISTAN LIMITED
CONDENSED INTERIM STATEMENT OF CHANGES IN EQUITY
FOR THE QUARTER ENDED MARCH 31, 2024
(Amounts in thousand)
RESERVES | ||||||
Share | CAPITAL | REVENUE | Total | |||
capital | Share | Employee | Remeasurement Unappropriated | |||
premium | share option | of post | profit | |||
compensation | employment | |||||
reserve | benefits |
------------------------------------------------------------------ Rupees ------------------------------------------------------------------
Balance as at January 1, 2023 (Audited)
Profit for the period
Other comprehensive income for the period Total comprehensive income for the period
Balance as at March 31, 2023 (Unaudited)
7,665,961
-
-
-
7,665,961
865,354
-
-
-
865,354
1,267
-
-
-
1,267
(274,156)
-
-
-
(274,156)
4,431,245
990,363
-
990,363
5,421,608
12,689,671
990,363
-
990,363
13,680,034
Balance as at January 1, 2024 (Audited) | 7,665,961 | 865,354 | - | (296,594) | 5,941,299 | 14,176,020 | |||||||||
Profit for the period | - | - | - | - | 664,773 | 664,773 | |||||||||
Other comprehensive income for the period | - | - | - | - | - | - | |||||||||
Total comprehensive income for the period | - | - | - | - | 664,773 | 664,773 | |||||||||
Balance as at March 31, 2024 (Unaudited) | 7,665,961 | 865,354 | - | (296,594) | 6,606,072 | 14,840,793 | |||||||||
- | - | - | - | 0.00 | 0.00 |
The annexed notes 1 to 18 form an integral part of these condensed interim financial statements.
Chairman | Chief Executive Officer | Chief Financial Officer |
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FrieslandCampina Engro Pakistan Ltd. published this content on 30 April 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 30 April 2024 10:50:19 UTC.