Thal Industries : Transmission of Quarterly Report for the Period Ended 30th June 2023

CONTENTS

Company Information	2
Directors' Review	4
Condensed Interim Statement of Financial Position	10
Condensed Interim Statement of Profit or Loss and Other Comprehensive Income	12
Condensed Interim Statement of Changes in Equity	13
Condensed Interim Statement of Cash Flows	14
Selected Notes to the Condensed Interim Financial Information	15

3rd Quarterly Report 2023 1

COMPANY INFORMATION

BOARD OF DIRECTORS

AUDIT COMMITTEE

HUMAN RESOURCE & REMUNERATION COMMITTEE

RISK MANAGEMENT COMMITTE

NOMINATION COMMITTEE

CHIEF FINANCIAL OFFICER

COMPANY SECRETARY

AUDITORS

CHAIRPERSON
Mrs. Qaiser Shamim Khan
CHIEF EXECUTIVE
Mr. Muhammad Shamim Khan
MANAGING DIRECTOR
Mr. Nauman Ahmed Khan
DIRECTORS
Mr. Muhammad Shamim Khan	(Director)
Mrs. Qaiser Shamim Khan	(Director)
Mr. Adnan Ahmed Khan	(Director)
Mr. Nauman Ahmed Khan	(Director)
Mr. Muhammad Khan	(Director)
Mr. Muhammad Ashraf Khan Durani	(Independent Director)
Mr. Farid Ud Din Ahmed	(Independent Director)
Mr. Muhammad Ashraf Khan Durani	(Chairman)
Mrs. Qaiser Shamim Khan	(Member)
Mr. Adnan Ahmed Khan	(Member)
Mr. Farid Ud Din Ahmed	(Chairman)
Mr. Adnan Ahmed Khan	(Member)
Mr. Muhammad Khan	(Member)
Mr. Farid Ud Din Ahmed	(Chairman)
Mr. Muhammad Ashraf Khan Durani	(Member)
Mr. Farid Ud Din Ahmed	(Chairman)
Mr. Muhammad Ashraf Khan Durani	(Member)
Mr. Hafiz Muhammad Arif
Mr. Wasif Mahmood

M/s. Rahman Sarfaraz Rahim Iqbal Rafiq

Chartered Accountants, Lahore

LEGAL ADVISOR

Mr. Shehzad Ata Elahi, Advocate

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BANKERS

SHARE REGISTRAR

REGISTERED OFFICE

LAHORE OFFICE

FACTORY ADDRESSES

WEBSITE

Allied Bank Limited

Askari Bank Limited

Bank Al-Habib Limited

Bank Alfalah Limited

Bank Islamic (Pakistan) Limited

Faysal Bank Limited

Habib Bank Limited

Habib Metropolitan Bank Limited

MCB Bank Limited

MCB Islamic Bank Limited

Meezan Bank Limited

National Bank of Pakistan

Standard Chartered Bank (Pakistan) Limited

Soneri Bank Limited

United Bank Limited

The Bank of Punjab

NBP Aitemaad Islamic Bank Limited

Samba Bank Limited

Dubai Islamic Bank Pakistan Limited

Pakistan Kuwait Investment Company Private Limited

M/s. CORPLINK (Pvt) Ltd

Wings Arcade, 1-K- Commercial

Model Town, Lahore

Tel: [phone]

Fax: [phone]

23- Pir Khurshid Colony Gulgasht, Multan

Tel: [phone]

Fax: [phone]

2-D-1Gulberg-III, Lahore - 54600

Tel: [phone]

Fax: [phone]

Unit 1: Layyah Sugar Mills, Layyah

Tel: [phone]

Fax: [phone]

Unit 2: Safina Sugar Mills, Lalian District Chinniot.

Tel: [phone]

Fax: [phone]

www.thalindustries.com

3rd Quarterly Report 2023 3

DIRECTORS' REVIEW

We are pleased to present the Un-Audited Accounts of The Thal Industries Corporation Limited for the nine months period ended 30 June 2023 in compliance with the section 237 of the Companies Act, 2017.

INDUSTRY OVERVIEW

During the period under review, the crop size was lower compared to the previous year, and growers faced challenges with low yield per acre in various areas. However, efforts by our dedicated agri team to promote better varieties of sugarcane and good practices have resulted in better sugar recoveries and an increase in the area under cultivation.

For the current crushing season 2022-23, the notified support price of sugarcane is Rs. 300/- per 40 kg in Punjab & KPK and Rs. 302/- per 40 kg in the province of Sindh. The increase in the support price of sugarcane from 225/40kg to 300/40kg led to an increase in the production cost of sugar.

OPERATING HIGHLIGHTS

During the period ending June 30, 2023, the Company was able to crush 2,575,765.773 M. Tons of sugarcane and produced 277,663.950 M. Tons of white refined sugar at an average recovery of 10.784%. This compares to the corresponding period of the last year, which saw sugarcane crushing of 3,059,465.013 M. Tons and production of 305,521 M. Tons of white refined sugar at an average recovery of 9.989%.

Net sales during the period under review were recorded at Rs. 21,465.601 million, reflecting growth compared to Rs. 13,324.091 million in the corresponding period of the last year.

The Company achieved an after-tax profit of Rs. 1,552.899 million during the period under review, compared to an after-tax profit of Rs. 1,336.220 million in the corresponding period of the last year. This significant increase in profitability is attributed to sugar exports in the second quarter, an increase in sugar prices, and improved sugarcane recovery.

All out efforts are being made to increase the production and profitability of the Company through process efficiency, installing modern and latest technology, reducing production cost by close supervision, developing good quality cane by providing the latest improved seed varieties, fertilizer, pesticides etc. and facilitating the cane growers constantly, which ultimately will result in higher sugar recovery and also financial benefit to the cane growers.

CORPORATE GOVERNANCE

Best Corporate Practices

Directors are committed to good corporate governance and comply with the requirements of the Listed Companies (Code of Corporate Governance) Regulations, 2019 and the Rule Book of Pakistan Stock Exchange.

1. The total number of directors are seven as per the following:

• Male: Six
• Female: One

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