MIRA
INFORM REPORT
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Report Date : |
17.01.2008 |
IDENTIFICATION
DETAILS
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Name : |
AL-NOOR SUGAR MILLS LIMITED
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Registered Office : |
96 - A, Sindhi
Muslim Society, Karachi |
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Country : |
Pakistan |
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Financials (as on) : |
30.09.2007 |
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Date of Incorporation : |
1969 |
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Com. Reg. No.: |
2706/19690807 |
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Legal Form : |
Public Limited Company |
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Line of Business : |
Manufacturing and Sale of Sugar and Medium
Density Fiber Board |
RATING &
COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
Business Name
AL-NOOR SUGAR MILLS LIMITED
Full Address
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Registered Address |
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96 - A, Sindhi
Muslim Society, Karachi, Pakistan |
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Tel |
92 (21) 4550161,
4550162, 4550163 |
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Fax |
92 (21) 4556675 |
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Factory Location
Shahpur Jahania,
P.O. Noor
Jahania, Taluka
Moro,
District,
Nawabshah, Pakistan
Short Description Of Business
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Nature of Business |
Manufacturing and sale of Sugar and Medium Density Fiber Board |
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Year Established |
1969 |
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Registration # |
2706/19690807 |
Auditors
M. Yousuf Adil Saleem & Co.
(Chartered
Accountants)
Legal Status
Al-Noor Sugar Mills Limited was incorporated
in Pakistan as a Public Limited Company. The Company is currently listed on
Karachi & Lahore Stock Exchanges.
Details of Chief Executive /
Directors
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Names |
Designation |
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Mr. Ismail H. Zakaria Mr. Suleiman Ayoob Mr. Yousuf Ayoob Mr. A. Aziz Ayoob Mr. Shamim Ahmad Mr. Mohammad Asif Mr. Zia I. Zakaria Mr. Salim Ayoob Mr. Zohair Zakaria Mr. Noor Mohammad |
Chairman & Managing Director Director Director Director Director Director Director Director Director Director |
Categories of Shareholders
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Categories
of Shareholders |
Number
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Shares
Held |
Percentage |
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Individuals Joint Stock Companies Insurance Companies Financial Institutions Modaraba Companies Others |
1433 16 2 5 2 1 |
12,708,966 412,138 571,277 4,751,871 16,000 110,000 |
68.92 2.27 2.77 25.42 0.59 0.03 |
Subsidiaries / Associated
Companies
(1) Al-Noor MDF Board Industries,
Pakistan.(Subsidiary of Al-Noor Sugar Mills Limited)
(2) First Al-Noor Trading Corporation (Pvt)
Ltd, Pakistan.
(3) First Al-Noor Modaraba, Pakistan.
(4) Shahmurad Sugar Mills Limited, Pakistan.
(5) Al-Noor Fertilizers Limited, Pakistan.
(6) Associated Corporation (Pvt) Limited,
Pakistan.
Products
Engaged in manufacturing and sale of Sugar and Medium Density Fiber Board by their Brand Name “AL-NOOR” (for Sugar) & “LASANI” (For Density Fiber Board)
Number of Employees
More than 300
Capacity And Production
2006 2005 ------------------------ -------------------------
Quantity Days Quantity Days
(Metric Tons) (Metric tons)
Sugar
Unit
Capacity 71,400 120 71,400 120
Actual Production 68,310
146 70,702 126
MDF
Board Unit
Capacity 43,000 300 22,500 300
Actual Production 38,500
330 30,348 326
Customers
Various Local Traders (Approximately 80)
Bankers
Habib Bank Limited, Pakistan.
Habib Metropolitan Bank Limited, Pakistan.
Faysal Bank Limited, Pakistan.
Bank Alfalah Limited, Pakistan.
PICIC Commercial Bank Limited, Pakistan.
CITIBANK, NA.
NIB Bank Limited, Pakistan.
Financial Position
Sound
Performance Review
Sugar Cane Division
The sugarcane crop was good during the year under review, but a lower
recovery rate was witnessed due to heavy rain at times of harvest. Due to ample
supply of water and enhancement in the sugar cane price the cultivators were
encouraged towards growing sugarcane crop. Therefore the availability of
sugarcane for crushing was much higher as compared to prior periods. The
Government of Sindh through a notification increased the minimum support price
of sugarcane to Rs. 67/= per 40 Kgs. It was an understanding through Pakistan
Sugar Mills Association with the Government that sugar price in the open market
would be maintained at Rs. 31/= per Kg but sugar price in the market reduced as
low as Rs. 24/= per Kg. In the sugar industry the sugarcane cost accounts for
more than 75% of the total cost of production and increased cost of sugarcane and
reduced price of the sugar in the market has resulted in a loss situation to
the sugar mills in Sindh.
Medium Density Fibre (MDF) Board Division
The plant during the period under review operated well and produced
38,500 Metric Tons of Lasani Wood as against 30,348 metric tons produced last
year. This output included 447,870 laminated sheets as against 340,640 sheets
produced last year. Laminated products have established their acceptability in
the market and as a result its demand has increased considerably. Operating
profit of the division amounted to Rs. 163.342 million as against Rs. 121.636
million earned last year. Some of the output of the board division was also
exported to Afghanistan. In order to provide further value addition, B.M.R. of
Rs. 20.98 million was also incurred. The plant during the period under review
operated well and produced 38,500 Metric Tons of Lasani Wood as against 30,348
metric tons produced last year. This output included 447,870 laminated sheets
as against 340,640 sheets produced last year. Laminated products have
established their acceptability in the market.
Future Outlook
Sugar Cane Division
During the period under review the production of sugar increased to
3.519 million metric tons as against 2.992 million metric tons produced last
year on over all country basis. This indicates an increase of 18% over last
year. The yearly requirements of the country are around 4.10 million metric
tons. In addition to the current year’s production, there was 1.273 million
metric tons carry over stock of the sugar with the sugar mills, private sector
importers and trading corporations of Pakistan. Thus the total availability of
sugar was 4.799 million metric tons i.e. in excess of the total requirements of
the Country.
Medium Density Fibre (MDF) Board Division
The construction industry in the country is
progressing well and yet there remains significant shortage of housing in the
country. MDF board plays an important role in the furnishing of the residential
units. From the past experience, it appears that the existing manufacturing
units of MDF board would not be able to meet the expected enhanced demand of
the product. Export Avenue is also opening and every manufacturing unit is
trying to capture the market. It appears that in the years to come, capacity of
the plant has to be enhanced in order to meet the requirements of the Country.
These steps are expected to bring good results for MDF Board Division in the
years ahead. Further more. Prospects of co-generation of power are also being
explored to provide or sustainable and cheaper power source.
Memberships
All Pakistan Sugar Mills Association.(APSMA)
Foreign Exchange Rates
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Currency |
Unit |
Pakistani
Rupee |
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US Dollar |
1 |
Rs. 62.50 |
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UK Pound |
1 |
Rs. 122.30 |
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Euro |
1 |
Rs.
92.40 |
Group History
Before partition, in Calcutta, there was a company namely 'A Rahim Usman
& Company' which was very prominent in sugar and rice business. They had a
sugar factory at Motipur (Bihar), which was considered number two sugar factory
in India. After partition, some of the brothers migrated to Pakistan and
started the business in Karachi under the name and style of 'Rahmania Trading
Company', which was later on converted by the partners into separate companies,
one. of which was under the name and style of Noori Trading Corporation
(Private) Limited, and the other in the names of 'Rahimi Limited' in Karachi
and 'Rahimani Company' and 'Rahimi Limited' in East Pakistan. Noori Trading
Corporation (private) Limited expanded business as industrial group which is
known presently as 'Al-Noor Group of Companies' which consists of: Noori
Trading Corporation (private) Limited (parent company), Al-Noor Sugar Mills
Limited, (presently a public limited company, Shah Murad Sugar Mills Limited
(presently a public limited industrial company), Al-Noor Fertiliser Industries
Limited, Al-Noor MDF Board Subsidiary Industrial concern under Al-Noor Sugar
Mills Limited. (This industry is presently producing medium density fibre board
sheets known as 'LASANI' wood,
Associated Corporation (private) Limited (This Company is working as builders
and construction company). The main office of this group is situated in
Karachi. Al-Noor Sugar Mills Limited is at Shahpur Jehania, Moro (District
Nawabshah) and Shah Murad Sugar Mills Limited is at Jhok Sharif (District
Thatta). Al-Noor MDFB is also in Shahpur Jehania, Moro. The Chairman of this
industrial group of companies is Mr. Ismail Haji Zakaria.
Comments
Subject
Company is well known and all the directors are resourceful and experienced
businessmen. Trade relations are reported as fair. Payments to creditors etc are reported as normal. The Company can
be considered for normal business dealings at usual trade terms and conditions.