Karam Ceramics : Transmission of Quareterly Report for the period ended March 31, 2024.

CONTENTS

Directors' Report ( English )-----------------------------------------------------------------------	01
Directors' Report (Urdu)--------------------------------------------------------------------------	02
Condensed Interim Balance Sheet -----------------------------------------------------------------------	03
Condensed Interim Profit and Loss Account----------------------------------------------------------	04
Condensed Interim Cash Flow Statement ------------------------------------------------	05-06
Condensed Interim Statement of Comprehensive Income -----------------------------------	07
Condensed Interim Statement of Changes in Equity------------------------------------------	07

REPORT OF THE DIRECTORS

FOR THE QUARTER ENDED 31ST MARCH 2024

Dear Shareholders,

It is with pleaseure that we present the financial performance of Karam Ceramics Limited for the quarter ended 31st March 2024.

Financial Performance Overview:

Particulars

31 Mar 2024

31 Mar 2023

Net Sales	Rs.	1,089,981,979	Rs.
Cost of sales	Rs. (1,493,459,707)	Rs.
Gross (Loss)	Rs.	(403,477,728 )	Rs.
Net (Loss) after taxation	Rs.	(453,718,192)	Rs.

620,345,643

(956,619,622 )

(336,273,979 )

(404,902,304)

In the nine-month period under review, Karam Ceramics Limited withneseed substantial growth in net sales, achieving Rs.1,089.9 million, representing an impressive increase of Rs.469.60 million in the corresponding period of the preceding year.

However, there was a notable escalation in cost of sales, which rose to Rs.1,493.4 million from Rs.956.6 million in the prior year. This surge was primarily attributed to a significant increase in gas charges.

Despite the robust increase in sales, the company incurred a gross loss of Rs.(403.4) million, compared to Rs.(336.3) million in the same period of last year. Efforts are underway to implement operational efficiencies to enhance profitability.

The loss before and after taxation for the period amounted to Rs.(450.1) million and Rs.(453.7) million,respectively, compared to Rs. (386.4) million and Rs.(404.9) million in the corresponding period of the preceding year.

FUTURE OUTLOOK

Strategic initiatives are being pursued to bolster profitability and foster sustainable growth.

We continue to have a positive outlook on the long term growth potential of the business. The management remains fully committed towards managing these challenges.

ACKONOWLEDGEMENTS

On behalf of Directors, I would like to express gratitude to our well wisher, shareholders, customers, dealers, banks & DFI'S, suppliers of raw material and plant and machinery, friends and all employess for their corporation and contribution towards the progress of the company.

On behalf of the Board

Mazhar Ali Nasir

Chief Executive officer

Karachi : April 26, 2024

01

REPORT OF THE DIRECTORS

FOR THE QUARTER ENDED 31ST MARCH 2024

02

CONDENSED INTERIM BALANCE SHEET

AS AT MARCH 31, 2024 (UNAUDITED)

ASSETS

Non-current assets

Property, plant and equipment

Long term deposits

Current assets

Stores and spares Stock in trade

Loans and advances - considered good

Advance tax

Refunds due from the Government

Deposits, prepayments and other receivables

Cash and bank balances

TOTAL ASSETS

EQUITY AND LIABILITIES

SHARE CAPITAL AND RESERVES

45,000,000 (June 30,2023: 15,000,000) shares of Rs. 10/-each

Share capital

Unappropriated profit

Revaluation surplus on property, & equipment Remeasurement of retirement benefit obligation Interest free loan from directors

LIABILITIES

Non-current liabilities

Post employment benefits

Deferred taxation

Current liabilities

Trade and other payables

Advance From Customers

Short term borrowings

Unclaimed Dividend

Dividend payable

Provision for taxation

Total liabilities Contingencies and Commitments

(Un-Audited)

March 31,

2024

Rupees

1,014,155 ,836

898,453

1,015,054 ,289

96,443,532

565,903,502

1,089,996

13,179,186

58,963,702

95,139

21,193,028

756,868,085

1,771,922,374

450,000,000

145,486,760

(915,385,258)

381,799,784

2,340 ,702

1,452,734,796

1,066 ,976 ,784

19,257,296

22,259,635

41,516 ,931

377,212,563

202,429,726

66,500,000

513,191

3,148,405

13,624,775

663,428,660

704,945,590

-

(Audited)

June 30,

2023

Rupees

1,006,091,132

898,453

1,006,989,585

85,131,657

653,740,586

1,546,536

17,666,902

61,816,494

93,365

43,733,323

863,728,863

1,870 ,718 ,448

150,000,000

145,486,760

(477,674,447)

397,807,166

2,340,702

1,452,734,796

1,520,694,977

22,130,474

32,272,215

54,402,689

178,458,389

11,286,628

90,000,000

513,191

3,148,405

12,214,168

295,620,781

350 ,023,470

-

TOTAL EQUITY AND LIABILIITIES	1,771,922,374

The annexed notes form an integral part of these financial statements.

Chief Executive

Chief Financial Officer

1,870 ,718,448

Director

03

CONDENSED INTERIM PROFIT AND LOSS ACCOUNT

FOR THE QUARTER ENDED MARCH 31, 2024- UN-AUDITED

Revenue

Cost of sales

Gross profit

Selling and distribution expenses Administrative expenses

Other expenses

Opreating profit

Other income

Finance Cost

profit before taxation

Taxation

profit after taxation

Earnings per share -

Basic and diluted

									(Unaudited)
				Cumulative					Quarter Ended
		March 31,		March 31,		March 31,		March 31,
2024			2023						2024		2023
				Rupees			Rupees				Rupees					Rupees
1,089,981,979		620,345,643					478,753,612		386,719,836
(1,493,459,707)		(956,619,622 )			(538,323,733)	(389,967,117)
				(403,477,728)				(336,273,979)							(59,570,120)				(3,247,281)
	26,112,381			15,731,863						7,425,734			6,301,886
	21,660,404			19,654,296						5,105,948			6,294,988
	-				741,100						-			-
(47,772,785)		(36,127,259)				(12,531,683)		(12,596,875)
			(451,250,513)				(372,401,238)							(72,101,803)					(15,844,155)
	2,621,064			2,535,462						1,332,799			459,422
	(1,476,550)			(16,541,580)					669,909			(4,422,799)
	1,144,514			(14,006,118)					2,002,708		(3,963,377)
		(450,105,999)					(386,407,356)							(70,099,095)				(19,807,531)
	(3,612,193)			(18,494,947)						(680,751)		(2,182,868)
(453,718,192)		(404,902,304)				(70,779,845)		(21,990,400)
(31.19)			(27.83)						(4.87)		(1.51)

Notes:

1. These condensed interim financial statements have been prepared in accordance with the requirements of the International Accounting Standard 34 and provision and directives issued under the Companies Act, 2017.

1. The accounting policies adopted for the preparation of these accounts are the same as those applied in the preparation of the accounts for the preceeding year ended June 30,2023.
2. The Financial statements have been authorized for the issue for the Board of Directors on April 26,2024.

Chief Executive

Chief Financial Officer

Director

04

CONDENSED INTERIM CASH FLOW STATEMENT

FOR THE QUARTER ENDED MARCH 31, 2024 -UN-AUDITED

	March	March
	2024	2023
CASH FLOWS FROM OPERATING ACTIVITIES	Rupees	Rupees
(Loss) /profit before taxation	(450,105,999)	(386,407,356)

Adjustments for non cash charges and other items

Depreciation

Gain on disposal of property, plant and equipment Return on deposit Account

Finance cost

Cash flow from operating activities before working capital changes

Effect on cash flow due to working capital changes

(Increase) in stores and spares (increase) in stock in trade

Decrease in trade debts

(increase)/Decrease in loan and advances

(Increase) /Decrease in short term deposits, prepayments and other receivables

Increase in Advance from Customer Increase in trade and other payables

Cash flows generated from operations

Finance cost paid

Income tax paid

Sales tax paid

Gratuity paid

Net cash flows generated from operating activities

60,764,809

-

(2,621,064)

1,476,550

59,620,295

(390,485,704)

(11,311,875)

87,837,084

-

456,540

(1,774)

191,143,098

197,827,820

465,950,893

75,465,189

(1,476,550)

(12,252,833)

8,305,526

(2,873,178)

(8,297,035)

67,168,154

64,250,697

(591,899)

-

16,541,580

80,200,378

(306,206,978)

(266,169)

(59,747,688)

6,559,905

(19,854,003)

4,963,781

57,318,295

46,503,318

35,477,439

(270,729,539)

(26,042,201)

(7,573,136)

10,279,249

(70,171,020)

(93,507,108)

(364,236,647)

05

CONDENSED INTERIM CASH FLOW STATEMENT

FOR THE QUARTER ENDED MARCH 31, 2024 -UN-AUDITED

CASH FLOWS FROM INVESTING ACTIVITIES

Addition to property, plant and equipment

Interest free loan from directors

Short Term Investment

Return on deposit Account

Proceeds from disposal of property, plant and equipment

Net cash flows used in investing activities

CASH FLOWS FROM FINANCING ACTIVITIES

Long term financing -net

Dividend paid

Short term borrowings- From Banks Short term borrowings-From Associates

Lease rentals paid

Net cash flows used in financing activities

Net increase in cash and cash equivalents

Cash and cash equivalents at the beginning of the year Cash and cash equivalents at the end of the year

March

2024

Rupees

(68,829,513)

-

-

2,621,064

-

(66,208,449)

-

-

-

(23,500,000)

-

(23,500,000)

(22,540,295)

43,733,323

21,193,028

March

2023

Rupees

(13,950,800)

754,151,685

7,000,000

-

604,275

747,805,160

(36,981,209)

-

(33,950,342)

90,000,000

(429,605)

18,638,844

402,207,357

(276,097,868)

126,109,489

The annexed notes form an integral part of these financial statements.

Chief Executive

Chief Financial Officer

Director

06

CONDENSED INTERIM COMPREHENSIVE INCOME

FOR THE QUARTER ENDED MARCH 31, 2024 - UN-AUDITED

		UPTO 3RD QUARTER			FOR THE QUARTER
			March 31,			March 31,		March 31,	March 31,
	2024			2023		2024			2023
			Rupees			Rupees		Rupees	Rupees
(Loss) / profit after taxation	(453,718,192)	(404,902,304)	(70 ,779 ,845)	(21,990,400)
Othersl comprehensive income	-			-		-			-
Total comprehensive (loss)
/income for the period		(453,718,192)					(404,902,304)			(70 ,779 ,845)			(21,990,400)

The annexed notes form an integral part of these financial statements.

CONDENSED INTERIM STATEMENT OF CHANGES IN EQUITY

FOR THE QUARTER ENDED MARCH 31, 2024 - UN-AUDITED

Share	Interest free loan	Unappropriated	Surplus on	Remeasirement	Total
capital	from	Profit	revaluation of	of retirement
	directors		property,plant	benefit obligation
			and equipment

..............................Rupees..............................

Balance as at July 01, 2022

Loss after taxation for the year - ended June 30,2023

Subordinated laon from directors

Other comprehensive income for the year

Remeasurement of retirement benefit Obligation

Deferred tax on retirement benefit obligation

Surplus on revaluation of land - building - net of deferred tax

Transferred from surplus on revaluation - of property, plant and

equipment incremental depreciation for the year- net of deferrred tax

145,486,760

-

-

-

-

-

-

1 ,452 ,734,796

-

-

-

-

-

(26,426,561)

(474 ,962 ,526)

-

-

-

-

23,714,640

421,521,806

-

-

-

-

-

(23,714,640)

2,340,702

-

-

-

-

-

-

542,922,707

(474,962,526)

1,452,734,796

-

-

-

-

-

Balance as at June 30,2023

Profit (Loss) after taxation for the period ended March 31,2024

Other comprehensive income for the year period

-

145,486,760

-

-

1,452,734,796

-

_______ _______

(477,674,447) 397,807,165

(453,718,192) -

-

2,340,702

-

-

1,520,694,977

(453,718,193)

Remeasurement of retirement obligation Deferred tax retirement benefit obligation

Surplus on revaluation of land and building- net of deferred tax

Transferred from incremental depredation- for the year -net of deferred tax

Balance as at March 31,2023

-		-
-		-
-	-
-	-

• _______

145,486,760 1,452,734,796

-

-

16,007,382

16,007,382

(915,385,258)

-

-

(16,007,382)

(16,007,382)

381,799,784

-

-

-

-

-

2,340,702

-

-

-

-

-

1,066,976,784

The annexed notes form an integral part of these financial statements.

Chief Executive

Chief Financial Officer

Director

07

A - 31,Sindh

Muslim

Co - operative

Housing

Societ y,

Karachi

If undelivered please return to:

KARAM CERAMICS LIMITED

UNDER

CERTIFICATE

OF POSTING

BOOK POST