STATEMENT OF CHANGES IN EQUITY NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED JUNE 30, 2020 FOR THE YEAR ENDED JUNE 30, 2020

Capital reserve Revenue reserve

Share Amalgamation Share
capital reserve premium
-------------------------------------------------- Rupees in ‘000 --------------------------------------------------
Balance as at June 30, 2018 3,768,009 543,413
Profit after taxation - -
Other comprehensive income - -
Total comprehensive income for the year - -
Final cash dividend for the year ended
June 30, 2018 @ Rs.2.45 per share - -
Interim cash dividend for the year ended
June 30, 2019 @ Rs.3 per share - -
Balance as at June 30, 2019 3,768,009 543,413
Profit after taxation - -
Other comprehensive income - -
Total comprehensive income for the year - -
Final cash dividend for the year ended
June 30, 2019 @ Rs.3.35 per share - -
Interim cash dividend for the year ended
June 30, 2020 @ Rs.1.75 per share - -
Transfer of revaluation surplus on disposal of property,
plant and equipment - -
Balance as at June 30, 2020 3,768,009 543,413 215,250
The annexed notes from 1 to 43 form an integral part of these financial statements.
JAVERIA SIDDIQUI REHAN RAHMAN
CHIEF FINANCIAL OFFICER CHIEF EXECUTIVE
Revaluation Accumulated
surplus on pro fi t
property, plant
and equipment
215,250 1,499,008
- -
- -
- -
- -
- -
(1,130,403)
215,250 1,499,008
- -
- -
- -
- - (1,262,283)
- -
- (12,746)
1,486,262 15,134,124
NASIM HYDER
DIRECTOR
Total 1. THE COMPANY AND ITS OPERATIONS
Feroze1888 Mills Limited (the Company) was incorporated in Pakistan in October, 1972 as a public
limited company. The shares of the Company are quoted on Pakistan Stock Exchange Limited. The
Company is principally engaged in production and export of towels.
10,141,524 16,167,204
1.1 Geographical location and address of business units
5,989,810 5,989,810 Registered Office H-23/4-A, Scheme # 3, Landhi Industrial Area,
- -
5,989,810 5,989,810 Karachi Office Building Plot # 160, Bangalore Town, Shahrah-e-Faisal Road,
Darwaish Colony, Karachi
(923,162) (923,162)
Mill and Production Plant Plot # H-23/4-A and H-23-/4-B, Scheme # 3, Landhi Industrial
Area, Landhi, Karachi
B-4/A, SITE, Karachi Plot
(1,130,403)
# A-5, SITE, Karachi
Plot # C-3, SITE, Karachi
Plot # C-31 SITE, Karachi
14,077,769 20,103,449
Plot # F-89, SITE, Karachi
Plot # F-125, SITE, Karachi
2,937,221 2,937,221
Plot # F-342, SITE, Karachi
28,073 28,073
Plot # D-202, SITE, Karachi
2,965,294 2,965,294
Plot # 342/A, Haroonabad, SITE, Karachi
Survey # 81, 242, 72 to 75, 165, 166, 171, 172, 176 to 181, 186 to 190, 156,
210, 211, 243, Deh Moachko, Tapo Gabopat, Keamari Town, Karachi
(1,262,283)
Plot # D-12 to D-17, K-1 to K-3, M-34, HITE, Hub, Lasbela, Baluchistan
1.2 Impact of COVID-19 pandemic on these fi nancial statements
(659,402) (659,402)
The COVID-19 pandemic caused signi ficant and unprecedented curtailment in economic and
social activities during the period from March 2020 in line with the directives of the Government. This
12,746 -
situation posed a range of business and financial challenges to the businesses globally and across
various sectors of the economy in Pakistan. The lockdown, however, excluded companies involved
21,147,058
in the business of necessary consumer supplies. Complying with the lockdown, the Company
temporarily suspended operations.
The lockdown was subsequently relaxed from the month of May, and the Company resumed
operations, after implementing all the necessary Standard Operating Procedures (SOPs) to ensure
safety of employees. The management has ensured all necessary steps to ensure smooth and
adequate continuation of its business in order to maintain business performance despite slowed
down economic activity.
The Company’s operations were disrupted due to the circumstances arising from COVID-19
including the suspension of production, sales and operations in certain divisions. Due to this, the
management has assessed the accounting implications of these developments on these financial
statements, including but not limited to expected credit losses under IFRS 9, ‘Financial Instruments’,
the impairment of tangible and intangible assets under IAS 36, ‘Impairment of non-financial assets’,
the net realisable value of inventory under IAS 2, ‘Inventories’, provisions and contingent liabilities
under IAS 37, ‘Provisions, Contingent Liabilities and Contingent Assets’ and going concern assumption
used for the preparation of these financial statements.
According to management’s assessment, there are no material implications of COVID-19 that require
specific disclosure in these financial statements.
00 00