Nishat Mills Limited

Company Profile
Nishat Mills Limited is the flagship company of Nishat Group. It was established in 1951. It
is one of the most modern, largest vertically integrated textile companies in Pakistan. Nishat Mills
Limited has 238,032 spindles, 794 Toyota air jet looms. The Company also has the most modern
textile dyeing and processing units, two stitching units for home textile, two stitching units for
garments and Power Generation facilities with a capacity of 130 MW. The Company’s total export
for the year 2018 was Rs. 38.862 billion (US$ 353.03 million). Due to the application of prudent
management policies, consolidation of operations, a strong balance sheet and an effective
marketing strategy, the growth trend is expected to continue in the years to come. The Company’s
production facilities comprise of spinning, weaving, processing, stitching and power generation.

• Nishat Mills Limited into a modern and dynamic yarn, cloth and processed cloth and
finished product manufacturing Company that is fully equipped to play a meaningful role
on sustainable basis in the economy of Pakistan.
• Nishat Mills Limited Provide quality products to customers and explore new markets to
promote/expand sales of the Company through good governance and foster a sound and
dynamic team.
• Nishat Mills Limited achieves optimum prices of products of the Company for sustainable
and equitable growth and prosperity of the Company.
• The production capacity of fabric processing facility is one of the largest and most modern
factories of Pakistan. With an array of custom-made machinery, it has the capacity to
produce 104 million meters of fabric per annum.
• They are maintaining a record of service quality and on-time delivery.
• The product line is customized to manufacture products of various styles and sizes
according to the requirements of our customers, wholesalers, retailers and contract textile
business.
• Nishat Mills has established state of the art, modern, highly reliable and extremely efficient
captive co-generation power plants to cater in house energy requirements at all its spinning,
weaving, processing, stitching and apparel units.
• Largest vertically integrated mill in the country with the largest production facilities in
spinning, weaving, processing, stitching and power generation.
• Overall, the Company has 32 manufacturing units each specializing in a specific product
range located at Faisalabad, Bhikki, Ferozewatwan and Lahore.
• Provides employment to around 18,000 individuals.
Product Mix
Garments
9%
Yarn &Comber processed cloth
Noil 30%
17%

Made Ups
17%
Grey cloth
27%

• The largest composite textile unit and has excellent product mix.
• Output ranges from yarn to value added products such as made-ups and garments.
• Major focus is on value addition.
• Export oriented Company and Top Exporter of the country.
• Working relationship with top brands of the world.
• Major portion of Company’s earnings is export based. The Company has achieved
significant geographical diversification in its export sales mix over the years.
• Leading exporter with almost 3% share in Pakistan’s textile exports.
• Earner of precious foreign exchange of around US$ 353 million per annum.
• Earned FPCCI President of Pakistan Trophy for a number of years.

Exporter
• First prize for the Best Corporate
Europe
Report Award for the financial year
41% Asia,africa
2012, 2014 and 2015 by the Joint
&australia Committee of ICAP and ICMAP.
50% • A Green Company and has got
certificates of ISO-9001, OEKO-Tax
USA&Can 100, SA8000, WRAP and C-TPAT.
ada • Excellent credit ratings of AA for
9%
long term and A1+ for short term from
PACRA.
• Total market capitalization is Rs. 36 billion.
• Free float shares are 148,492,658 out of total outstanding shares of 351,599,848 which
make up 42.23 %.
 Garments Holding
Sales Associated 6%
companies General public in
8% physical form
26%

Directors
/Saponser
18%
Free float
42%

The Group
Group
Nishat group of companies is a premier business house of Pakistan. The group has presence in
all major sectors including Textiles, Cement, Banking, Insurance, Power Generation, Hotel
Business, Agriculture, Dairy and Paper Products. Today, Nishat Group is considered to be at par
with multinationals operating locally in terms of its quality products and management skills.
Following is the list of companies in the group.

Vision & Mission Statement Core Value

Vision Statement
To be and remain industry lead by safeguarding stakeholders’ interest, serving community and
playing a meaningful role in the economy of Pakistan.
Mission Statement
To increase financial returns by pursuing sustainable business, producing the best quality
products and providing excellent customer services while adopting best practices.

Core Values
Value Slogan Connotation
Novelty Be Open to Newness Nishat is open to innovation & creativity at
organization level, systems level and individual
level.
Integrity Be Honest Nishat operates through lawful means and
fulfills its legal, moral and ethical
responsibilities.
Sustainability Be Sensitive to Environment Nishat ensures best use of environmental
resources by adopting benchmark process and
bringing continuous improvement in the same.
 Humbleness Be Empathic Nishat encourages culture of mutual respect,
support and develops congenial environment
for people at workplace.
Accountability Be Responsible Nishat believes in 'participative decision
making' and assures that everyone should take
responsibility for all decisions at all levels.
Trust Trust the People Nishat trusts its employees the most and
believes in attaining sustainable competitive
advantage through its Human Capital.

Products & Services

• Spinning
• Weaving
• Processing
• Home textile
• Garments
• Bath division
• Power generation
• Nishat linen

Spinning:
Nishat Mills Spinning Division has over 238,032 spindles, which are operationally organized
into 7 spinning units. The entire machinery is from world-renowned manufactures. All yarns made
at Nishat are Ring Spun suitable for both knitting and weaving. Besides the best Pakistani cotton,
long stapled American, Egyptian and US Pima cotton is also used for fine counts. For our strong
belief in product development and innovation we have our own in-house state of the art cotton and
yarn testing laboratories. Nishat spinning is one of the most trusted brands in the market due to its
efficient production and quality.
Spinning production capacity for both
Cotton and Blended Yarns is 200 Tons /
Day.
Weaving
Nishat Mills Weaving division has 794 modern Air Jet looms which produce approximate 11.3
million meters of fabric per month and makes it the largest weaving facility of Pakistan catering
to home textile and apparel fabrics. Most of the machines in the weaving unit of NML are of new
technology & NML has a very good check on the quality of fabric produced by its Quality Control
department. The end product of the spinning unit is the starting point of the weaving unit. When
the cones of the yarn are brought to weaving unit, it is then taken to the warping zone in which the
beams are prepared. These beams are then taken to the sizing section where the different chemicals
are applied to the yarn so that the weaving of the fabric can be done with the minimum breakage
of yarn. After sizing the process of drawing inn is applied so that the yarn could be converted into
fabric. After the drawing inn the beams of the yarn is then taken to the Sulzer Looms so that the
yarn is converted into the weaved product. When the greige is made, then it is taken to the
inspection department, where a lot of quality check is done. At the first step the fabric is classified
into two types, i.e. A grade & D grade. The D grade fabric is either used in the B grade sale or in
gathering of the fresh pieces. While the process of A grade fabric is a bit longer. The A grade
fabric after mending, goes to the checking machines, from where it is taken to the rechecking
machines. After
rechecking either the
greige is rolled or
folded & packed
according to
requirements of the
buyer.

Processing
Our fabric processing facility is one of the largest and most modern factories of Pakistan. With
an array of custom-made machinery, it has the capacity to produce 104 million meters of fabric
per annum. It is specially designed to handle heavy weight fabrics like twills, drills, canvases /
poplins, fabrics with minimum tension such as stretch fabrics and all high-density weaves. The
advantage achieved by the customized design of its machines is the result of an extensive research
work with the help of world-renowned machine makers. To ensure that our customers get the very
best we use more than 75% dyes and chemicals of European origin. The standards are higher than
ever, dedicated by fashion, efficient productivity and further automation is engineered in the plant.
To maintain quality and
international standards, an on-
line Quality Control (QC)
Department has been setup.
The QC department is
augmented by a fully
equipped Laboratory, which
scrutinizes the fabric process
flow at all levels. Our extra
ordinary Research &
Development work and highly
trained marketing personal are
pivotal to sustain long term
business relationships.

Our Product Range

• Quilt Covers
• Valances
• Quilted Throw-over
• Flat Sheet
• Baby Sets
• Fitted Sheet
• Table Linen
• Curtains
• Pillow Cases
• Embroidery
• Cushions

Garments
Nishat Mills Limited has state of art garment manufacturing facility both for men and women.
The Apparel division has deployed 2900 high end sewing machines such as Vibe Mac, Juki,
Mitsubishi and Brother. The Division has the capacity to produce 14.40 million garments per
annum.
The Garment wet process
utilizes the modern techniques of
Rinse, Enzyme Stone, Enzyme
Wash, Super Bleach, Reducer
Wash, Tint Wash and Raisin
Wash. In order to obtain best
results, our facility is geared with
Tonello Washing machines,
Maino dryers, Wrinkle Curing
Hangers and Barrel washing
machines and Dryers for
sampling. Our qualified team
members utilize the equipment
to obtain optimal results and
cater to the specific needs of the
client.

Bath Division
A wide range of products, which include institutional and Retail towel.

• Towel Range:
▪ Bath towel
▪ Pool towel
▪ Washing Mitts
• Dyeing & Weaving:
▪ 300 tons per month including Jacquard capacity of 45 tons
▪ Stitching unit has a capacity of 2.1 million towel pcs and 15,000 bathrobes.
• Specialty
▪ Hygro Yarn
▪ Yarn Dyed
▪ Hollow Yarn
• Finishes
▪ Antibacterial
▪ Anti-Viral
▪ Fragrance
Power Generation
Generation Facilities
Nishat Mills has established state of the art, modern, highly reliable and extremely efficient
captive co-generation power plants to cater in house energy requirements at all its spinning,
weaving, processing, stitching and apparel units. These facilities are using Wartsila, Caterpillar,
Cummins, Daihatsu, Jenbacher & Mak engines for power generation. Gas, Furnace Oil, Diesel,
Coal & Biomass and Steam is being used as fuel for power generation.

Nishat Linen:
Nishat Linen is a concern of Nishat Mills, the textile and home fashion retail chain that has
redefined the industry with acute attention paid to quality, design and affordability. Nishat Linen
prides itself on being the brand of preference for
discerning customers who are in search of things,
unique and chic without compromising on
aesthetics or price. Unsurpassed customer service,
including tailor-made orders, ensures our clientele
remains loyal to the Nishat family.
From bed linen to kitchen coordinates,
upholstery to apparel, Nishat Linen has become a
household name as a creator of stunning, high-
quality designs at reasonable prices; a feat achieved
by few.
Corporate Governance
Board of Directors:
No. Name Designation
1 Mian Umer Mansha Chief Executive Office
2 Mian Hassan Mansha Chairman
3 Mr. Mahmood Akhtar Director
4 Syed Zahid Hussain Director
5 Mr. Farid Noor Ali Fazal Director
6 Mrs. Sara Aqeel Director
7 Mrs. Mehak Adil Director

Mian Umer Mansha

Mian Umer Mansha holds a Bachelor’s degree in Business Administration from USA. He has
been serving on the Board of Directors of various listed companies for more than 25 years. He also
serves on the Board of Adamjee Insurance Company Limited, MCB Bank Limited, Adamjee Life
Assurance Company Limited, Nishat Dairy (Private) Limited, Nishat Hotels and Properties
Limited, Nishat (Raiwind) Hotels and Properties Limited, Nishat Developers (Private) Limited,
Nishat Sutas Dairy Limited, Hyundai Nishat Motor (Private) Limited and Nishat Agrotech Farms
(Pvt) Limited.

Mian Hassan Mansha

Mian Hassan Mansha has been serving on the Board of various listed companies for several
years. He also serves on the Board of Nishat Power Limited, Security General Insurance Company
Limited, Lalpir Power Limited, Pakgen Power Limited, Nishat Hotels and Properties Limited,
Nishat (Aziz Avenue) Hotels and Properties Limited, Nishat (Raiwind) Hotels and Properties
Limited, Nishat Dairy (Private) Limited, Pakistan Aviators and Aviation (Private) Limited, Nishat
Real Estate Development Company (Private) Limited, Nishat Agriculture Farming (Private)
Limited and Hyundai Nishat Motor (Private) Limited.

Syed Zahid Hussain:

Syed Zahid Hussain is a seasoned professional in Pakistan’s corporate world. He possesses
multi-faceted talents and has attained exemplary accomplishments. He has in-depth knowledge of
a wide range of subjects and has extensively diversified experience and exposure in senior
positions. He has earned B.Sc, LLB and MA in International Relations. He has a vast experience
of working as Chairman / Chief Executive / Director of various state-owned enterprises and listed
companies. He has also served as the High Commissioner/ Ambassador of Pakistan in Kenya, with
accredited assignments of Ambassadorship in Tanzania, Uganda, Rwanda, Krundse, Ethiopia and
Eritrea. He is a fellow member of the Institute of Management, England, International
Biographical Center, the USA and the Institute of Marketing Management, Karachi.
Mr. Mahmood Akhtar
Mr. Mahmood Akhtar holds an MBA degree from Punjab University and has over 37 years of
managerial experience spread across various industries. He is also serving on the Board of D. G.
Khan Cement Company Limited, Lalpir Power Limited, Nishat Power Limited, Security General
Insurance Company Limited, Nishat Hospitality (Pvt) Limited, Nishat Paper Products Company
Limited, Nishat (Gulberg) Hotels and Properties Limited and Nishat Commodities (Pvt) Limited.

Mr. Farid Noor Ali Fazal

Mr. Farid Noor Ali Fazal is a Bachelor of Commerce, Bachelor of Laws and Bachelor of
Management. He has more than 47 years’ experience of marketing. He worked on various
positions in Middle East and USA. He is associated with cement industry in one form or the other
and was the acting chairman of All Pakistan Cement Manufacturers Association in 2002. He is
also serving on the Board of D. G. Khan Cement Company Limited and Nishat Paper Products
Company Limited.

Ms. Sara Aqeel

Ms. Sara Aqeel is a qualified lawyer, with a significant experience in litigation and academics.
She holds a gold medal in Bachelors of Law and has worked with Ramday Law associates. Her
work includes cases pertaining to the corporate sector with a special focus on the Banking Sector.
In addition, she has also taught Law at Pakistan College of Law and acted a coordinator for the
external program of Law offered by the University of London.
Over the years she has participated in a number of skills training programs which have focused
primarily on International Law, pertaining to Trade, Human Rights and Comparative
Jurisprudence.

Mrs. Mehak Adil

Mrs. Mehak Adil holds an LLM from the London School of Economics and Political Science,
with a specialization in Corporate and Commercial Law. Mrs. Mehak started her career as a
corporate lawyer at Cornelius, Lane and Mufti in 2015, where she was engaged in various
corporate and commercial cases.
Mrs. Mehak is an Advocate of the High Courts in Pakistan, with expertise in domestic and
international dispute resolution, including international arbitration.

Auditors & Legal Advisors

Auditors Legal Advisors
Riaz Ahmad & Company Mr. M. Aurangzeb Khan, Advocate
Chartered Accountants Chamber No. 6, District Court, Faisalabad
Board Committees
Audit Committee
Name Designation
Mrs. Mehak Adil Chairperson
Syed Zahid Hussain Member
Mr. Mahmood Akhtar Member

HR & R Committee
Name Designation
Mrs. Sara Aqeel Chairperson
Mian Umer Mansha Member
Mr. Mahmood Akhtar Member

SWOT Analysis:
Strengths
• ISO 9001-2000
• Strong Security System
• High quality product
• Latest mechanized machinery.
• Tremendous market positioning
• Highly qualified and skilled management
• Highly Motivated Workforce
• Adequate financial resources
• Competitive advantage
• Equipped with MIS System
• Own power generation plan
Weaknesses
• High cost of production
• Centralized decision making
• Weak image in the international market
• Small international market share
• Less promotional activities
• Lack of benefits and rewards for the employees
•
Opportunity
• Organization Can expand product lines
• Organization Can capture new market segments around the world
• Organization Can reduce the cost by proper utilization of resources
• Organization Can hire more well-educated and experienced person

Threats
• New Entry of competitors
• Buyer needs demands changes
• Political instability
• Changed of government policies
• Globally Economic instability
Detail of SWOT Analysis
• Strength
▪ ISO 9001-2000
Nishat textile is certified under ISO 9001-2000 and so it meets the requirement of
international standard and has a value in the mind of concern people.
▪ Strong Security System
Nishat textile limited has a greater security system. There are different hidden security
cameras which capture the all moments.
▪ OKTEX 100
Nishat is also Oktex 100 certified its mean that Nishat is satisfied to not using hazard
chemical using.
▪ High Quality Product
Nishat textile limited using advance technology like they have modern machinery by
which the quality of product produced is very high.
▪ Latest Mechanized Machinery
They are using modern looms which they have purchased from Japan and France. And
by using that latest machinery the productivity of the employees is very high.
▪ Tremendous Market Positioning
Nishat textile is one of the pioneer textiles in the Pakistan so it got the position in the
mind of its customer. And being an old textile company people are loyal with it. Nishat
has a better position in the mind of its customers.
 ▪ Highly qualified and skilled management
The management of Nishat is skilled they have hired the foreign graduate people in
their management and also experienced people from all over the country.
▪ Highly Motivated Workforce
They are providing better pay to their employees and also bonus to them which
motivate the workforce and they are doing well at work setting.
▪ Adequate Financial Resources
The owner of the Nishat is one of the richest persons of the Pakistan and they have
more plant and investment in other industries like cement, Bank, they have adequate
financial resources to meet their requirements.
▪ Competitive advantage
Because it is an old textile and it has still kept its position in the textile market on all
others competitors in the nationwide which is its competitive advantage.
▪ Equipped with MIS System
They have a management information system by which the departments and employees
are connect with each other and they have a data ware house by which they can share
their resources easily.
▪ Own Power Generation Plant
They have own power generation plant and Nishat is the pioneer in the private
organization who start the power generation. And also selling to the WAPDA its
produced power.

• Weaknesses
▪ High Cost of Production
The production cost is high because of not properly utilization of its resources.
▪ Centralized decision making
The decisions are made by the upper management which is weakness of the Nishat
because they have no proper idea about the situation and their decision can be not
fruitful for the company.
▪ Weak Image in The International Market
Because of the other textile specialized countries like China, Bangladesh etc. the
international image in the textile sector is very weak. Those countries providing cheap
product to the market then Pakistan’s textile industries.
▪ Small International Market Share
Although Nishat has very strong in the national wide but it has small market share in
the global textile industry due to the sound competitors like china, and Bangladesh etc.
 ▪ Less Promotional Activities
The advertising and promotional cost of the Nishat textile is very low it can take
advantage for more turnouts.
▪ Lack of Benefits and Rewards for The Employees
Some facilities that other providing to their employees likes Transport and medical fee
etc. Nishat not providing to their employees because of which the productivity of the
employees decreases.

• Opportunity
▪ Organization Can expand product lines
Currently the Nishat not dealing in knitwear they can expand their product line by
producing knitwear. They have plants and the extra cost for the production will be low
for Nishat. And they also have better market repute.
▪ Organization can Reduce the Cost by Proper Utilization of Resources
If the cost of different matters which is not utilizing properly is controlled by the Nishat
management they can produce more in a few costs. It has to develop a further
systematic process for controlling and managing resources.
▪ Organization can Hire more Well-Educated and Experienced Person:
They can take advantages by hiring more skilled people and they should hire young,
fresh and energetic staff for their betterment.

• Threats
▪ Buyer needs demands changes
Because of the research and development, the design and the product of Nishat is just
satisfactory as compare to competitors in the globally and they are not fulfilling the
demand of customer.
▪ Political Instability
Political instability effects the Nishat because of the quota system the company can be
restrict by the government to export.
▪ Changed of Government Policies
Government policies are changing day to day so it is a threat for the Nishat to survive
in such a changeable situation.
▪ Globally Economic Instability
Because of the economic instability the Nishat affected a lot. Dumping system which
is rising on daily basis in the world can create many problems for the company and any
uncertainty in the world like 9/11 may affect also the overall export.