Sakrand Sugar Mills : Transmission of Quarterly Report for the Period Ended June 30, 2023

UNAUDITED CONDENSED INTERIM

FINANCIAL STATEMENTS

FOR THE QUARTER AND NINE MONTHS

ENDED JUNE 30, 2023

COMPANY PROFILE

BOARD OF DIRECTORS	Mr. Saleem Zamindar	Chairman / Director
	Mr. Dinshaw H. Anklesaria	Director
	Mr. Shams Ghani	Director
	Miss. Sadia Moin	Director
	Mr. Muhammad Saleem Mangrio	Director
	Mr. Abdul Qayyum Khan Abbasi	Director
	Mr. Muhammad Omar Arshid	Director
AUDIT COMMITTEE	Miss. Sadia Moin	Chairperson
	Mr. Saleem Zamindar	Member
	Mr. Muhammad Saleem Mangrio	Member
HR COMMITEE	Mr. Abdul Qayyum Khan Abbasi	Chairman
	Mr. Muhammad Omar Arshid	Member
	Mr. Shams Ghani	Member
CHIEF EXECUTIVE OFFICER	Mr. Mansoor Afzal Subzwari
CHIEF FINANCIAL OFFICER	Mr. Shams Ghani
COMPANY SECRETARY	Mr. Muhammad Yousuf Qureshi
BANKERS	Allied Bank Limited
	Bank Al Habib Limited
	Bank Alfalah Limited
	Habib Bank Limited
	Meezan Bank Limited
	MCB Bank Limited
	National Bank Of Pakistan
	Soneri Bank Limited
	Sindh Bank Limited
	Summit Bank Limited
	United Bank Limited
	Al-Baraka Bank Pakistan Limited
AUDITORS	Parker Russell-A.J.S.
	Chartered Accountants
LEGAL ADVISOR	Mr. Muhammad Jamshid Malik
REGISTRAR	M/s JWAFFS Registrar Services (Pvt.) Ltd.
	407-408, Al Ameera Centre
	Shahrah-e-Iraq, Saddar
	Karachi-74400
REGISTERED OFFICE	41-K,Block-6, P.E.C.H.S., Karachi
	Phone. [phone]
	www.sakrandsugar.com
FACTORY ADDRESS	Deh Tharo Unar,Taluka Sakrand
	District Shaheed Benazir Abad, Sindh.

Directors' Report to Members

On behalf of the Board, we are pleased to present the un-audited Condensed Interim Financial Statements of the Company for the nine months period ended June 30, 2023.

Operational Result

The operational performance for the period under review as compared with that of last year is tabulated hereunder.

		2022-23	2021-22
Start of Season		Nov 26, 2022	Nov 19, 2021
Season Duration		80	127
Operational Days		74	115
Sugarcane crushed	M. Tons	252,153	538,986
Production
Sugar	M. Tons	25,763	53,633
Molasses	M. Tons	12,343	24,500
Recovery
Sugar	%	10.217	9.951
Molasses	%	4.895	4.546

The crushing season 2022-2023 operated for 74 days compared to 115 days in the previous year. The shorter crushing season was mainly due to inadequate cane crop size and the quality of crop was also affected due to standing water, the after effects of heavy rains and flooding. The company could crush only 252,153 metric tons as compared to 538,986 metric tons crushed in the preceding year. The Sugar recovery factor slightly improved from 9.951% to 10.217%. The Sindh Government raised minimum support price of cane from PKR 250 per maund to PKR 302 per maund, an increase of 21% over last year cane price. Besides, shortage of cane crop lead to a price war amongst the millers and your company had to stop crushing at a point where contribution margin turned into negative.

Financial Result

The Financial Result for the period under review is tabulated hereunder.

		Rupees in Millions
Description		Oct - Jun	Oct - Jun
		2023	2022
Sales - net		2,343.81	3,844.02
Gross profit		61.56	1.18
Loss before taxation		(92.51)	(241.96)
Loss after taxation		(123.90)	(277.25)
Loss per Share	Rs.	(2.78)	(6.21)

		Season
		2022-23	2021-22
Start of Season		Nov 26, 2022	Nov 19, 2021
Season Duration		80	127
Operational Days		74	115
Sugarcane crushed	M. Tons	252,153	538,986
Production
Sugar	M. Tons	25,763	53,633
Molasses	M. Tons	12,343	24,500
Recovery
Sugar	%	10.217	9.951
Molasses	%	4.895	4.546

		Rupees in Millions
Description		Oct - Jun	Oct - Jun
		2023	2022
Sales - net		2,343.81	3,844.02
Gross profit		61.56	1.18
Loss before taxation		(92.51)	(241.96)
Loss after taxation		(123.90)	(277.25)
Loss per Share	Rs.	(2.78)	(6.21)