Bolan Castings : Transmission of Quarterly Report for the Period Ended March 31, 2024

QuarterlyFinancial Statements For and upto the 3rd Quarter Ended March 31,

2024

CONTENTS

Company Information	2
Directors' Review	3
Statement of Financial Position	4
Statement of Profit or Loss	5
Statement of Comprehensive Income ……………………6
Statement of Cash Flows	7
Statement of Changes in Equity	8
Notes to and Forming Part of the
Condensed Interim Financial Statements	9

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2

COMPANY INFORMATION

Board of Directors
Mr. Sikandar M. Khan	Chairman / Non-Executive Director.
Mr. Mujtaba Ahmad	Chief Executive Officer
Mr. Sohail Bashir Rana	Non-Executive Director
Mr. Laeeq Uddin Ansari	Non-Executive Director
Mr. S.M.Irfan Aqeel	Non-Executive Director
Mr. Aamir Amin	Independent Director
Mr. Abdul Hamid Ahmed Dagia	Independent Director
Mrs. Tabassum Rana	Independent Director
Company Secretary
Mr. Arafat Mushir
Chief Financial Officer
Syed Sajid Ali
Auditors
M/s. A. F. Ferguson & Co.	Chartered Accountants

Legal Advisors

M/s. Latif & Latif Advocates

M/s. Rizwan Manai Associates

Bankers

Habib Bank Limited

MCB Bank Limited

Bank Alfalah Limited

Dubai Islamic Bank Pakistan Limited

Meezan Bank Limited

Faysal Bank Limited

Askari Bank Limited

Bank AL Habib Limited

Habib Metropolitan Bank Limited

Share Registrar

CDC Shares Registrar Services Limited

CDC House, 99-B,Block-B, S.M.C.H.S.

Main Shahrah-e-Faisal, Karachi

Tel: [phone]

Fax: [phone]

Registered Office

Main RCD Highway, Hub Chowki,

District Lasbela, Balochistan, Pakistan

Tel : [phone],363296

Fax : [phone]

E-mail: [e-mail]

Web Site

www.bolancastings.com

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DIRECTORS' REVIEW

Dear Shareholders

The Directors of your Company are pleased to present the un-audited financial statements for and upto the 3rd quarter ended March 31, 2024.

During the third quarter under review the Company recorded net sales of Rs.953.70 million as compared to Rs.

548.53 million of the same period of last year, while the cumulative sales figures for the nine months under review, were Rs. 2,611.74 million as compared to Rs. 1,478.74 million of the same period of last year.

The gross profit for the third quarter was Rs.178.93 as compared to Rs.56.433 million of same period of last year, while the gross profit for the nine months under review was Rs. 479.96 million as compared to Rs. 82.65 million of the corresponding period of last year. The profit after tax for the third quarter was Rs. 68.50 as compared to Rs. 2.04 million of the same period of last year, while the profit after tax for the nine months was Rs.184.29 million as compared to loss after tax of Rs. 63.92 million of the same period of last year.

The earning per share for the third quarter was Rs. 5.97 against Rs. 0.18, for the same period of last year while the earning per share for the ninth months were Rs. 16.06 as against the loss per share of Rs. 5.57 of the corresponding period of last year.

The tractor industry is booming this year due to significant growth in the agriculture sector. Thus, Millat Tractors and its allied industry are showing a remarkable progress. Your company has also performed well and earned a record profit in the last nine months. This could also be attributed to the untiring efforts of the BCL new management team, who implemented various cost-cutting measures such as the usage of local raw material in place of imported materials together with enhancing capacity utilization.

Keeping in view the present situation, the financial position of your company looks bright in the coming months also.

We would like to thank and acknowledge the efforts and cooperation of our executives and workforce, vendors and all other stakeholders in meeting the challenges faced during the current period under review.

For and on behalf of the Board

Karachi: April 23, 2024.	MUJTABA AHMAD
	Chief Executive Officer

Page-3

BOLAN CASTINGS LIMITED

CONDENSED INTERIM STATEMENT OF FINANCIAL POSITION AS AT MARCH 31, 2024

	Note
ASSETS
Non-current assets
Property, plant and equipment	5
Long-term investment	6
Long-term loans and advances
Deferred tax asset - net	7
Long-term deposits
Employee benefits plan asset
Current assets
Stores, spare parts and loose tools
Inventories	8
Trade receivables	9
Loans and advances
Trade deposits and short-term prepayments
Other receivables
Taxation - payments less provision
Cash and bank balances	10
TOTAL ASSETS
EQUITY AND LIABILITIES
Share Capital and reserves
Share capital
General and other reserves
LIABILITIES
Non-current liabilities
Long-term deposits
Employee benefits plan obligations
Long-term financing	11
Current liabilities
Trade and other payables	12
Advances from customers
Accrued mark-up
Current portion of long-term deposits
Current portion of long-term financing	11
Unclaimed dividend
Short-term financing	13
TOTAL LIABILITIES
Contingency and commitments	14

TOTAL EQUITY AND LIABILITIES

(Unaudited)

March 31,

2024

Rupees

162,382,316

47,437,500

784,120

25,882,101

4,347,790

14,886,310

255,720,137

136,136,550

358,436,560

135,508,692

4,518,020

4,790,476

1,430,322

66,275,864

64,687,904

771,784,388

1,027,504,525

114,725,290

293,439,395

408,164,685

2,028,026

22,436,275

80,000,000

104,464,301

355,144,742

6,062,925

15,269,186

-

60,000,000

3,398,686

75,000,000

514,875,539

619,339,840

1,027,504,525

(Audited) June 30, 2023 Rupees

170,927,775

18,975,000

1,026,000

72,524,645

4,347,790

20,598,929

288,400,139

117,631,087

313,746,345

99,400,812

9,004,695

4,324,180

899,844

69,941,541

26,172,849

641,121,353

929,521,492

114,725,290

85,221,947

199,947,237

1,580,890

26,981,450

-

28,562,340

321,494,735

1,044,936

18,021,942

1,461,362

-

3,399,012

355,589,928

701,011,915

729,574,255

929,521,492

The annexed notes from 1 to 24 form an integral part of these condensed interim financial statements.

Chief Executiv

Director

Chief Financial officer

Page-4

BOLAN CASTINGS LIMITED

CONDENSED INTERIM STATEMENT OF PROFIT OR LOSS

FOR THE PERIOD ENDED MARCH 31, 2024 - (UNAUDITED)

		Quarter ended		Period ended
	Note	March 31,		March 31,		March 31,		March 31,
	2024	2023	2024	2023
				Rupees
Revenue from contracts with customers	15	953,702,712	548,536,954	2,611,749,974	1,478,746,001
Cost of sales	16	(774,765,455)		(492,103,197)	(2,131,789,399)	(1,396,093,037)
Gross profit		178,937,257	56,433,757	479,960,575	82,652,964
Distribution expenses		(23,475,270)	(13,749,151)	(61,405,825)	(37,124,274)
Administrative expenses		(30,986,971)	(17,142,547)	(77,644,276)	(45,919,262)
Other expenses	17	(7,876,482)	-	(21,176,289)	-
Other income		6,757,023		2,481,942		14,578,340		12,512,899
Operating profit		123,355,557	28,024,001	334,312,525	12,122,327
Finance cost		(14,305,776)		(19,054,805)		(53,917,262)		(57,871,943)
Profit / (loss) before tax		109,049,781	8,969,196	280,395,263	(45,749,616)
Income tax expense	18	(40,549,519)		(6,922,723)		(96,102,740)		(18,173,619)
Profit / (loss) for the period		68,500,262		2,046,473		184,292,523		(63,923,235)
Earnings / (loss) per share - basic and diluted	19	5.97	0.18	16.06	(5.57)

The annexed notes from 1 to 24 form an integral part of these condensed interim financial statements.

Chief Executive

Director

Chief Financial Officer

Page-5

BOLAN CASTINGS LIMITED

CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME

FOR THE PERIOD ENDED MARCH 31, 2024 - (UNAUDITED)

Quarter ended		Period ended
March 31,	March 31,		March 31,	March 31,
2024	2023	2024	2023

Rupees

Profit / (loss) for the period

Comprehensive income / (loss)

Items that will not be reclassified to profit or loss in subsequent period

Remeasurements of employee benefits Impact of deferred tax

Unrealised gain / (loss) on revaluation of investment at fair value through other comprehensive income - note 6

Total comprehensive income / (loss) for the period

68,500,262

-

-

-

(8,765,875)

59,734,387

2,046,473

-

-

-

(296,125)

1,750,348

184,292,523

(6,390,951)

1,853,376

(4,537,575)

28,462,500

208,217,448

(63,923,235)

-

-

-

(1,782,500)

(65,705,735)

The annexed notes from 1 to 24 form an integral part of these condensed interim financial statements.

Chief Executive

Director

Chief Financial Officer

Page-6

The annexed notes from 1 to 24

BOLAN CASTINGS LIMITED

CONDENSED INTERIM STATEMENT OF CASH FLOWS FOR THE PERIOD ENDED MARCH 31, 2024 - (UNAUDITED)

CASH FLOWS FROM OPERATING ACTIVITIES

Cash generated from operations

Decrease / (Increase) in long-termloans Increase in long-termdeposits - net Income taxes paid - net

Employee benefits paid Finance cost paid

Net cash generated from operating activities

CASH FLOWS FROM INVESTING ACTIVITIES

Payments for acquisition of property, plant and equipment Proceeds from disposal of property, plant and equipment Return received on savings and deposit accounts Dividend received

Net cash flow generated from investing activities

CASH FLOWS FROM FINANCING ACTIVITIES

Dividend paid

Long-termfinancing obtained Repayment of long-termloan

Net cash generated from / (used in) financing activities Net change in cash and cash equivalents

Cash and cash equivalents at beginning of the period

Cash and cash equivalents at end of the period

For nine months ended

	March 31,	March 31,
Note	2024	2023
	Rupees	Rupees

20 279,510,850

241,880

(1,056,913)

(43,898,456)

(6,177,639)

(56,439,141)

172,180,581

(8,154,549)

3,551,454

4,652,873

3,018,750

3,068,528

(326)

165,000,000

(25,000,000)

139,999,674

315,248,783

(329,417,079)

168,671,413

(229,000)

(671,732)

(34,180,408)

(4,266,300)

(52,455,667)

76,868,306

(1,964,500)

4,102,742

668,389

2,084,375

4,891,006

-

-

(28,684,470)

(28,684,470)

53,074,842

(402,022,555)

21 (14,168,296) (348,947,713)

form an integral part of these condensed interim financial statements.

Chief Executive

Director

Chief Financial Officer

Page-7

BOLAN CASTINGS LIMITED

CONDENSED INTERIM STATEMENT OF CHANGES IN EQUITY

FOR THE PERIOD ENDED MARCH 31, 2024 - (UNAUDITED)

				Reserves
	Capital		Revenue		Gain (loss) on
					revaluation of		Total
Share	Share		General	Accumulated	investment at fair	Sub Total
	value through other
Capital	premium		reserve	loss
	comprehensive
					income (OCI)

Rupees

Balance as at July 1, 2022

Total comprehensive loss for the

period ended March 31, 2023

• Loss for the period
• Other comprehensive loss for the period

Balance as at March 31, 2023 (unaudited)

114,725,290	12,155,680	424,500,000	(339,043,542)	16,350,000	113,962,138	228,687,428
-		-		-		(63,923,235)		-		(63,923,235)		(63,923,235)
-		-		-		-		(1,782,500)		(1,782,500)		(1,782,500)
-	-	-	(63,923,235)	(1,782,500)	(65,705,735)	(65,705,735)
114,725,290	12,155,680	424,500,000	(402,966,777)	14,567,500	48,256,403	162,981,693

Balance at on July 1, 2023

Total comprehensive income / (loss) for the period ended March 31, 2024

• Profit for the period
• Other comprehensive (loss) / profit for the period

114,725,290 12,155,680

-		-
-		-
-	-

424,500,000

-

-

-

(364,908,733)

184,292,523

(4,537,575)

179,754,948

13,475,000

-

28,462,500

28,462,500

85,221,947 199,947,237

184,292,523		184,292,523
23,924,925		23,924,925
208,217,448	208,217,448

Balance as at March 31, 2024 (unaudited)	114,725,290	12,155,680	424,500,000	(185,153,785)	41,937,500	293,439,395	408,164,685

The annexed notes from 1 to 24 form an integral part of these condensed interim financial statements.

Chief Executive

Director

Chief Financial Officer

Page-8

BOLAN CASTINGS LIMITED

NOTES TO AND FORMING PART OF THE CONDENSED INTERIM FINANCIAL STATEMENTS FOR THE PERIOD ENDED MARCH 31, 2024 - (UNAUDITED)

1. THE COMPANY AND ITS OPERATIONS
   Bolan Castings Limited (the Company) is a public limited company incorporated in Pakistan on July 15, 1982 under the Companies Act, 1913 (now the Companies Act, 2017) , and listed on the Pakistan Stock Exchange (PSX). The Company manufactures and sells castings for tractors and automotive parts.
   The geographical location and address of the Company's business unit, including plant is RCD Highway, Hub Chowki, District Lasbela, Balochistan, Pakistan.
   The Company is a subsidiary of Millat Tractors Limited (the Parent Company) which holds Rs. 5.67 million (June 30, 2023: Rs. 5.67 million) shares of the Company along with the directors as at March 31, 2024 representing 49.02% (June 30, 2023: 49.02%) shareholding in the Company.
2. BASIS OF PREPARATION

2.1 Statement of compliance

These condensed interim financial statements have been prepared in accordance with the accounting and reporting standards as applicable in Pakistan for interim financial reporting. The accounting and reporting standards as applicable in Pakistan for interim financial reporting comprise of:

• International Accounting Standard (IAS) 34, Interim Financial Reporting, issued by the International Accounting Standards Board (IASB) as notified under the Companies Act, 2017; and
• Islamic Financial Accounting Standards (IFAS) issued by the Institute of Chartered Accountants of Pakistan as notified under the Companies Act, 2017; and
• Provisions of and directives issued under the Companies Act, 2017.

Where the provisions of and directives issued under the Companies Act, 2017 differ with the requirements of IAS 34, the provisions of and directives issued under the Companies Act, 2017 have been followed.

These condensed interim financial statements do not include all the information required for full financial statements and should be read in conjunction with the annual financial statements for the year ended June 30, 2023.

1. Basis of measurement
   These condensed interim financial statements have been prepared;
2. • Under the historical cost convention except otherwise stated.
   • Following accrual basis of accounting except for cash flow information.
3. Functional and presentation currency
   These condensed interim financial statements are presented in Pakistani Rupees, which is also the Company's functional currency.

3. ACCOUNTING POLICIES

The accounting policies and the methods of computation adopted in the preparation of these condensed interim financial statements are the same as those applied in the preparation of annual audited financial statements of the Company as at and for the year ended June 30, 2023.

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