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Report No. : |
314093 |
|
Report Date : |
28.03.2015 |
IDENTIFICATION DETAILS
|
Name : |
WAHEED BROTHERS PAKISTAN (PVT) LIMITED |
|
|
|
|
Registered Office : |
22-N, Industrial Area, Gulberg II, Lahore |
|
|
|
|
Country : |
Pakistan |
|
|
|
|
Financials (as on) : |
30.06.2014 |
|
|
|
|
Year of Establishment : |
1983 |
|
|
|
|
Com. Reg. No.: |
0010507 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Subject is engaged in the business of import & marketing of tyres, general items of trade, farming and plantation. In March 2009 the Company acquired on operating lease a restaurant (Ziafat Oriented Cuisine / Yenhui Cuisine |
|
|
|
|
No. of Employee : |
203 |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Status : |
Moderate |
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|
|
|
Payment Behaviour : |
Slow but correct |
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|
|
|
Litigation : |
Clear |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – December 31, 2014
|
Country Name |
Previous Rating (30.09.2014) |
Current Rating (31.12.2014) |
|
Pakistan |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
PAKISTAN - ECONOMIC OVERVIEW
Decades of internal political disputes and low levels of foreign investment have led to slow growth and underdevelopment in Pakistan. Agriculture accounts for more than one-fifth of output and two-fifths of employment. Textiles account for most of Pakistan's export earnings, and Pakistan's failure to expand a viable export base for other manufactures has left the country vulnerable to shifts in world demand. Official unemployment was 6.6% in 2013, but this fails to capture the true picture, because much of the economy is informal and underemployment remains high. Over the past few years, low growth and high inflation, led by a spurt in food prices, have increased the amount of poverty. As a result of political and economic instability, the Pakistani rupee has depreciated more than 40% since 2007. The government agreed to an International Monetary Fund Standby Arrangement in November 2008 in response to a balance of payments crisis. Although the economy has stabilized since the crisis, it has failed to recover. Foreign investment has not returned, due to investor concerns related to governance, energy, security, and a slow-down in the global economy. Remittances from overseas workers, averaging about $1 billion a month since March 2011, remain a bright spot for Pakistan. However, after a small current account surplus in fiscal year 2011 (July 2010/June 2011), Pakistan's current account turned to deficit in the following two years, spurred by higher prices for imported oil and lower prices for exported cotton. Pakistan remains stuck in a low-income, low-growth trap, with growth averaging about 3.5% per year from 2008 to 2013. Pakistan must address long standing issues related to government revenues and energy production in order to spur the amount of economic growth that will be necessary to employ its growing and rapidly urbanizing population, more than half of which is under 22. Other long term challenges include expanding investment in education and healthcare, adapting to the effects of climate change and natural disasters, and reducing dependence on foreign donors.
|
Source
: CIA |
WAHEED BROTHERS
PAKISTAN (PVT) LIMITED
|
Registered
Address |
|
22-N, Industrial Area, Gulberg II, Lahore,
Pakistan |
|
Tel |
92 (42) 111-900-009 |
|
Fax |
92 (42) 35711633 |
|
Email |
Note:
The address “96-B-2, M.M. Alam Road,
Gulberg III, Lahore, Pakistan” provided by you was previous address of the
Company.
|
a. |
Nature of Business |
The Company is
engaged in the business of import & marketing of tyres, general items of
trade, farming and plantation. In March 2009 the Company acquired on operating lease a restaurant (Ziafat
Oriented Cuisine / Yenhui Cuisine |
|
b. |
Year Established |
1983 |
|
c. |
Registration # |
0010507 |
|
Address |
Office # 9, 1st Floor, HakimSons Building, 19 West Wharf Road, |
|
Tel # |
92 (21) 32202657, 32202659 |
|
Fax # |
92 (21) 32202681 |
|
Address |
Shop #12-13, Liaqat Plaza, Liaquat Road, Faisalabad, Pakistan |
|
Tel # |
92 (41) 2624957, 2620313 |
|
Munif Ziauddin & Co. (Chartered Accoutants) M-40, Bank Road, Rawalpindi, Pakistan |
|
Subject Company was established as a Private Limited Company in 1983 |
|
6. |
Authorized Capital |
Rs. 85,000,000/- divided into 8,500,000
shares of Rs. 10/- each |
|
|
Issued & Paid up Capital |
Rs. 70,000,000/- divided into 7,000,000
shares of Rs. 10/- each |
|
Names |
Nationality |
Address |
Occupation |
Designation |
|
Dr. M. Bahjat Majid Mrs. Zahida Majid |
Pakistani Pakistani |
20-C-1
Gulberg-III, Lahore 20-C-1
Gulberg-III, Lahore |
Business Business |
Chief Executive Director |
|
Names |
No. of Shares |
|
Dr. M. Bahjat Majid Mrs. Zahida Majid Mr. Abdul Rashid |
52,500 5,950,000 997,500 |
A. Subsidiary
None
B. Associated
Companies
- Do -
(1) The Company is engaged in the business of import & marketing of tyres, general items of trade, farming and plantation. In March 2009 the Company acquired on operating lease a restaurant (Ziafat Oriented Cuisine / Yenhui Cuisine.
(2) It purchases against L/C, D/A basis.
(3) Its mainly import from China, India, Thailand, Malaysia & Korea.
(4) Its major customers are Traders, Retailers located in all major cities of Pakistan.
(5) Subject operates from caption leased office premises of area measuring 1,600 Sq.ft. which is situated in commercial area.
(6) Subject employs about 203 persons in its set up.
|
Years |
In Pak Rupees |
|
2013 2014 |
360,459,040/- 308,711,268/- |
(1) GOODYEAR TYRES, U.S.A.
(2) GOODYEAR INDIA LIMITED, INDIA.
(3) COOPER TIRE & RUBBER COMPANY, U.S.A.
(4) JK TYRES, INDIA.
United Bank Limited, Pakistan.
Bank Alfalah Limited, Pakistan.
Standard Chartered Bank, Pakistan.
Habib Metropolitan Bank Limited, Pakistan.
Silk Bank Limited, Pakistan.
(Total Mortgage obtained PKR: 530,130,000/-)
·
Lahore Chamber of Commerce & Industry.(LCCI)
·
Karachi Chamber of Commerce & Industry.(KCCI)
|
Currency |
Unit |
Pakistani Rupee |
|
US Dollar |
1 |
Rs. 102.65 |
|
UK Pound |
1 |
Rs. 152.50 |
|
Euro |
1 |
Rs. 110.25 |
Subject Company was established in 1983. The Company is engaged in the business of
import & marketing of tyres, general items of trade, farming and
plantation. In March 2009 the Company acquired on operating lease a restaurant
(Ziafat Oriented Cuisine / Yenhui Cuisine. Market reputation is good.
Trade relations are reported as fair. Subject can be considered for normal
business dealings at usual trade terms and conditions.
AS
AT JUNE 30, 2014
|
Non
- Current Assets |
Note |
2014
Rupees |
2013
Rupees |
|
|
Property, Plant & Equipment |
4 |
295,051,670 |
297,827,145 |
|
|
Long Term Loans and Advances |
5 |
1,686,317 |
1,686,317 |
|
|
Lease Hold Premises |
6 |
364,403 |
1,238,963 |
|
|
Long Term Deposits and Prepayments |
7 |
11,620,096 |
11,182,096 |
|
|
Current
Assets |
|
|
|
|
|
Stocks-in-Trade |
8 |
89,815,529 |
|
130,163,208 |
|
Trade Receivables |
9 |
88,402,688 |
|
70,019,123 |
|
Short Term Loans and
Advances |
10 |
942,335 |
|
788,077 |
|
Short Term Deposits and Prepayments |
11 |
10,330,074 |
|
12,901,496 |
|
Other Receivables |
12 |
2,011,504 |
|
7,901,297 |
|
Cash and Bank Balances |
13 |
9,043,731 |
|
21,624,834 |
|
|
|
200,545,861 |
243,398,035 |
|
|
Total
Assets |
|
509,268,347 |
555,332,555 |
|
|
Share Capital And
Reserves Share Capital
Authorized; 8,500,000 Ordinary Shares of
Rs. 10/- each |
|
85,000,000 |
85,000,000 |
|
|
Issued , Subscribed and
Paid-up: |
14 |
70,000,000 |
70,000,000 |
|
|
Revenue Reserve Accumulated Profit/
(Loss) |
|
(77,274,436)
(7,274,436) |
(51,040,192)
18,959,808 |
|
|
Surplus on
Revaluation of
Fixed Assets |
15 |
257,573,937 |
257,573,937 |
|
|
Non-current
liabilities: |
|
|
|
|
|
Due to Related
Parties Provision for gratuity |
16 17 |
39,061,604 30,339,062 |
7,407,23*
26,484,334 |
|
|
|
|
|
|
|
|
Current Liabilities |
|
|
|
|
|
Trade and Other
Payables |
18 |
65912811 |
88596059 |
|
|
Interest & Markup Accrued-Short Term
Borrowings |
|
3998998 |
3604214 |
|
|
Due to Related
Parties |
19 |
260163 |
36913120 |
|
|
Income
Tax payable |
|
-- |
794494 |
|
|
Short Term
Borrowings-Secured |
20 |
118981249 |
114999355 |
|
|
Bank overdraft |
21 |
414959 |
-- |
|
|
|
|
189568179 |
244907242 |
|
|
Contingent
Liabilities |
|
-- |
-- |
|
|
Total Equity And Liabilities |
|
509268347 |
555332555 |
|
|
The annexed notes^rm an integral part of,these financial statements |
|
|
|
|
FOR THE YEAR ENDED
JUNE 30, 2014
|
|
Note |
2014 Rupees |
2013 Rupees |
|
|
|
|
|
|
Trade
Division |
|
|
|
|
Sale |
|
308711268 |
360459040 |
|
Cost of sales |
|
252857697 |
305343052 |
|
Gross
Profit |
|
55853570 |
55115988 |
|
Operating
Expenses |
|
|
|
|
Administrative expenses |
|
35230180 |
36837400 |
|
Selling & Distribution expenses |
|
14017157 |
19363083 |
|
|
|
49247337 |
56200483 |
|
Operating
Profit / (Loss) |
|
6606233 |
(1084495) |
|
Other Income |
|
846046 |
126531 |
|
|
|
7452280 |
(957964 |
|
Finance Cost |
|
20364510 |
19589318 |
|
Loss
before taxation - A |
|
(12912230) |
(20547282) |
|
|
|
|
|
|
Agriculture
Division |
|
|
|
|
Sales |
|
580333 |
167044 |
|
Operating Expenses |
|
(1233379) |
(1407248) |
|
Loss
before tax - B |
|
(653046) |
(1240204) |
|
Restaurant
& Cuisine Division |
|
|
|
|
Sales |
|
178710711 |
177024889 |
|
Cost of Sales |
|
(124206348) |
(113568833) |
|
|
|
54504363 |
63456056 |
|
Administrative Expenses |
|
(7799717) |
(6005690) |
|
Selling & Marketing Expenses |
|
(45153724) |
40754745 |
|
Operating
Profit |
|
1550921 |
16695621 |
|
Other Income |
|
272083 |
386927 |
|
Profit
before Taxation - C |
|
1823004 |
17082548 |
|
Total
operating Loss before tax from all divisions A+B+C |
|
(11742273) |
(4704938) |
|
Provision For Worker's Welfare Fund |
|
(83747) |
(355063) |
|
|
|
(11826020) |
(506001) |
|
Provision for taxation |
|
(14408224) |
(20334916) |
|
Loss after taxation |
|
(26234244) |
(25394917) |
|
Other Comprehensive Income |
|
-- |
-- |
|
Total Comprehensive Loss |
|
(26234244) |
(25394917) |
|
Basic (loss) per share |
|
(3.75) |
(3.63) |
|
The annexed notes form an integral part of
these financ al statements. |
|
|
|
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.61 |
|
|
1 |
Rs.92.95 |
|
Euro |
1 |
Rs.68.15 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
ASH |
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with full
security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
-- |
NB |
New Business |
-- |
This score serves as a reference to assess SC’s
credit risk and to set the amount of credit to be extended. It is calculated
from a composite of weighted scores obtained from each of the major sections of
this report. The assessed factors and their relative weights (as indicated
through %) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend (10%) Operational size
(10%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.