2013

34,618
878
35,496
23,939
214,717
82,016
132,701
2,269,854
3,087
2,405,642
188,262
2,217,380
413
24
186
1
123
38
7
1.6 1.75
1 1.29
2.62 4.08
6.58 9.25
Profit before tax
................................................. Rupees '000 ...................................................
Sales and services 363,639
PBIT
Finance cost
Financial position
Current assets
Profit / (loss) after tax
Net working capital
Less: Current liabilities
Other non-current assets
Fixed assets - net
Other non-current liabilities
TOTAL
Statistics
Number of rooms
Shareholders equity
Number of employees
Room occupancy %
Break up value per share (Rs.)
Earning per share (Rs.)
Net profit margin (%)
Current ratio
Dividend per share (Rs.)
Market value per share (Rs.)
ROA (%)
Ratios
ROCE (%)
300,000
4 180,000
197,220
377,220
5 1,840,160
6 178,786
7 9,476
8 2,549
9 79,467
82,016
10 0
2,487,658
ASSETS
Non-current assets
Fixed assets 11
12
13
14
15
16
17
18
19
30,000,000 ordinary shares of Rs. 10 each
Surplus on revaluation of fixed assets
Issued, subscribed and paid-up
Un-appropriated profit
Balance sheet as at June 30, 2013
The annexed notes form an integral part of this statement.
Creditors, accrued and other liabilities
Contingencies and commitments
Current liabilities
Current maturities
Advances and deposits - unsecured
Deferred liabilities
Deferred taxation
CAPITAL AND LIABILITIES
SHARE CAPITAL AND RESERVES
Share capital
Authorized
2,269,854
Long term deposits and advances 3,087
Current assets
Stores and spares 1,818
Stock in trade - food and beverages 1,233
Trade debts-unsecured, considered good 36,766
Advances, prepayments and other receivables 28,631
Short term investment 50,000
Tax refunds due from Government 0
Cash and bank balances 96,269
214,717
2,487,658
2,269,854
424,996
(61,357)
20 363,639
21 (227,051)
136,588
22 (110,294)
23 9,202
35,496
24 (878)
34,618
25 10,679
23,939
Profit and loss account
for the year ended June 30, 2013
(Rupees)
Earning per share:
Taxation
Net profit after taxation
Net profit before taxation
Operating profit
Financial charges
Administrative, selling and general expenses
Sales tax, discounts and sales return
Sales and services - net
Turnover
Other operating income
Cost of sales and services
Gross profit
26 56,387
(17,183)
6,421
(878)
44,747
(8,683)
1,610
(500)
6,155
0
(637)
(2,055)
(69,177)
(69,177)
(26,485)
89,802
27 63,317
Cash flow from investing activities
Acquisition of fixed assets
Financial charges
Net cash from operating activities
Income taxes paid
Income tax refund received
Cash flow statement
for the year ended June 30, 2013
Cash and cash equivalents - end of the year
Net increase/(decrease) in cash
Cash and cash equivalents - start of the year
Net cash used in financing activities
Cash flow from financing activities
Dividends paid
Long term deposits
Net cash used in investing activities
Sale of investment - held for trading
Investment in TDRs
Profit on TDR
Disposal of fixed assets
Cash flow from operating activities
Cash generated from operations
05. Surplus on revaluation of fixed assets
09. Creditors, accrued and other liabilities
04. Issued, subscribed and paid-up
Due from customers
15. Trade debts-unsecured, considered good
Investment - held to maturity
17. Short term investment
Suppliers
Income tax (net of liability)
Staff
Due from staff
Advances - unsecured considered good
16. Advances, prepayments and other receivables
Provision against doubtful debts
Considered doubtful
Receivable against sale of Al-Sehat
22. Administrative, selling and general expenses
22.1 Includes Rs. 0.258 million (2012: Rs. 0.262 million) in respect of employee retirement benefits.
22.2 Auditors' remuneration
22.3 Donation
Jamiat Taleemul Quran
Chhipa Welfare Association
Hashmani Hospital
None of the directors or his spouse is interested in the funds of donees.
18. Tax refunds due from Government
Income tax refundable
Tax year 2011
Cash at bank (in deposit account) - Bank Al Habib Ltd.
Cash at banks (in current accounts)
19. Cash and bank balances
Cash in hand
Food and beverages
Shop license fees
20. Sales and services - net
Room rent
Food and beverages
20.1 This includes revenue from rent of conventional hall, and sale of telephone, laundry, health club and
others ancilliary services.
21. Cost of sales and services
Other minor operated departments
23.1
24. Financial charges
Workers welfare fund
25. Taxation
Current year
Prior year
Deferred
25.1
25.2
23. Other operating income
25.3
in determining taxable profit
Tax effect of items that are not deductible in
determining accounting profit
Tax effect of changes in prior year current tax
Average effective tax rate
26. Cash generated from operations
27. Cash and cash equivalent
Cash and bank balances
Bank overdraft
28.1
28. Employee benefits
28.1.1 Actuarial assumptions
Discount rate
28.1.2 Amount recognized in balance sheet are as follows:
28.1.3
28.1.4 Movement in present value of defined benefit obligation
Opening present value of obligation
Current service cost
Interest cost
Benefits due but not paid during the year
Benefits paid
Actuarial loss/(gain) on obligation
Closing present value of obligation
28.1.5
28.1.6
28.1.7
28.1.8
28.1.9 Based on actuarial advise the company intends to charge an amount of approximately Rs. 0.723
million in respect of gratuity fund in the financial statements for the year ending 30 June 2014.
Transactions with related parties and associated undertakings
The related parties and associated undertakings comprise local associated companies, gratuity fund,
directors and key management personnel. Transactions with related parties and associated
undertakings, other than remuneration and benefits to key management personnel under the term of their
employment are as follows:
The company continues to have a policy whereby all transactions with related parties and associated
31
undertakings are entered into at arm's length determined in accordance with comparable uncontrolled
price method.
Based on past experience the management believes that no impairment allowance is necessary in
respect of trade receivables past due as some receivables have been recovered subsequent to the
year end and for other receivables there are reasonable grounds to believe that the amounts will be
recovered in short course of time.
31.2 Liquidity risk
05. Surplus on revaluation of fixed assets
Surplus on revaluation of leasehold land
Surplus on revaluation of building on leasehold land
Leasehold land and building on leasehold land were revalued by M/s. D. H. Daruvala & Co., Architects and
Engineers (an independent valuer) in September 2003 resulting an increase over book value of Rs.
Accrued liabilities
Trade creditors - unsecured
09. Creditors, accrued and other liabilities
Accrued expenses
Excise, taxes and others
Sales tax
Companies Ordinance 1984. The balance in the surplus on revaluation of fixed assets account is not
available for distribution amongst the shareholders neither as dividend nor as bonus under section 235 of
359.809 M and 508.280 M respectively. As on April 01, 2007 leasehold land and building on leasehold
land were revalued by M/s Sardar Enterprises (an independent valuer) which resulted in increase of Rs.
1,227.750 M and Rs. 111.355 M respectively in the book value. The incremental depreciation charged on
these assets has been transferred to accumulated profit in accordance with section 235 of the
04. Issued, subscribed and paid-up
Incremental depreciation (net of tax)
transferred to accumulated profit
Surplus on June 30, 2013
Surplus on June 30, 2012
Incremental depreciation (net of tax)
transferred to accumulated profit
Surplus on June 30, 2011
the Companies Ordinance, 1984.
Movement in the account of surplus on revaluation of fixed assets is as follows:
The company has one class of ordinary shares which carry no right to fixed income.
18,000,000
There were no movement in the share capital of the company in either the 2012 or 2013 reporting years.
1,419,200
16,580,800
16.1
17.1
Due from customers
15. Trade debts-unsecured, considered good
Investment - held to maturity
17. Short term investment
Miscellaneous
Margin against letter of credit
Profit on term deposit - Summit Bank Limited
Other receivables
Rent receivable
Miscellaneous
Prepayments
Insurance
Suppliers
Income tax (net of liability)
Staff
Due from staff
Advances - unsecured considered good
16. Advances, prepayments and other receivables
Provision against doubtful debts
Considered doubtful
Receivable against sale of Al-Sehat
22. Administrative, selling and general expenses
Salaries and other benefits
Entertainment
Traveling and transportation
Running and maintenance of vehicle
Rent, rates and taxes
Heat, light and power
Communications
Printing and stationery
Advertisement and sales promotion
Legal and professional charges
Auditors' remuneration
Repair and maintenance
Bank commission and charges
Fee and subscription
Pest control
Donation
Insurance
Commissions
Bad debts
Miscellaneous
Staff uniforms
Amortization
Depreciation
22.1 Includes Rs. 0.258 million (2012: Rs. 0.262 million) in respect of employee retirement benefits.
22.2 Auditors' remuneration
Audit fee
Taxation services
Out of pocket
22.3 Donation
Jamiat Taleemul Quran
Chhipa Welfare Association
Hashmani Hospital
None of the directors or his spouse is interested in the funds of donees.
18. Tax refunds due from Government
Represents amount invested by the company in Term Deposits with Summit Bank Limited. The maturity
period of the investment is one year. The rate of interest on these investments varies from 9.75% to
Opening stock
Purchases
Closing stock
Consumption during the year
Direct expenses
Salaries, wages and other benefits
Heat, light and power
Replacement of linen, china and glassware
Uniforms
Guest transportation charges
Water charges
Decoration hire charges
Consumable stores
Guest supplies
Commission
Musical expenses
Laundry and dry cleaning
Telephone, telex and other related expenses
License and taxes
Traveling and transportation
Printing and stationery
Miscellaneous
Amortization
Depreciation
Income tax refundable
Tax year 2011
Cash at bank (in deposit account) - Bank Al Habib Ltd.
Cash at banks (in current accounts)
19. Cash and bank balances
Cash in hand
Food and beverages
Shop license fees
20. Sales and services - net
Room rent
Food and beverages
20.1 This includes revenue from rent of conventional hall, and sale of telephone, laundry, health club and
others ancilliary services.
21. Cost of sales and services
Other minor operated departments
Gain/(loss) on disposal of assets
Sale proceeds
Cost of assets
Less: Accumulated depreciation
Net book value
24. Financial charges
Workers welfare fund
25. Taxation
Current year
Aggregate current and deferred tax relating
to items charged or credited to equity
Deferred tax relating to revaluation of building
In addition, deferred tax of Rs. 7.157 million (2012: 7.536 million) was transferred from retained
earnings to revaluation surplus. This relates to the difference between the depreciation on the
revalued building on leasehold land and equivalent depreciation based on the cost of the building.
Tax charge reconciliation
Accounting profit
Tax at the applicable tax rate of 35%
Tax effect of expenses that are not deductible
in determining taxable profit
Tax effect of items that are not deductible in
Gain/(loss) on bed tax
23. Other operating income
Profit on tender of foreign currency
Profit on saving account - Bank Al-Habib Ltd.
Profit on TDR - Summit Bank Ltd.
Gain/(loss) on disposal of assets
Rent from C. P. Berar Bangalow
Gain on investment in shares
determining accounting profit
Tax effect of changes in prior year current tax
Reconciliation between average effective
tax rate and the applicable tax rate
Applicable tax rate
Tax effect of expenses that are not deductible
in determining taxable profit
Tax effect of items that are not deductible in
determining accounting profit
Tax effect of changes in prior year current tax
Average effective tax rate
26. Cash generated from operations
Profit before taxation
Adjustment for non cash items and other adjustments:
Depreciation
Amortization
Financial charges
Bad debts written off
Profit on TDR - Summit Bank Ltd.
Profit on saving account - Bank Al-Habib Ltd.
Gain on investment in shares
(Gain)/loss on disposal of assets
(Increase)/decrease in operating assets
Stores and spares
Stock in trade
Trade debts
Advances, prepayments and other receivables
Increase/(decrease) in operating liabilities
Advances and deposits
Creditors, accrued and other liabilities
27. Cash and cash equivalent
Cash and bank balances
Bank overdraft
As mentioned in note 2.6, the Company operates an approved gratuity fund and makes contribution
on actuarial recommendations. The most recent actuarial valuations were carried out by M/s
28. Employee benefits
Nauman Associates, Consulting Actuaries on July 26, 2013 of the present value of the defined
benefit obligation at June 30, 2013. The projected unit credit method, using the following significant
assumptions has been used for the actuarial valuation:
28.1.1 Actuarial assumptions
Discount rate
Expected rate of eligible salary increase in future years
Expected rate of return on plan assets
Average remaining working life time (Years)
28.1.2 Amount recognized in balance sheet are as follows:
Present value of defined benefit obligation
Present actuarial gain/(loss) to be recognized in later periods
Less: Fair value of Plan asset
(Asset) / liability on balance sheet
Fair value of plan assets
Cash at bank
Less: Benefits payables
Fair value of plan assets
28.1.4 Movement in present value of defined benefit obligation
Opening present value of obligation
Current service cost
Interest cost
Benefits due but not paid during the year
Benefits paid
Actuarial loss/(gain) on obligation
Closing present value of obligation
Movement in fair value of plan assets
Opening fair value of plan assets
Expected return on plan assets
Actuarial gain/(loss) on plan assets
Benefits due but not paid during the year
Benefits paid
Contribution by Company
Closing fair value of plan assets
Changes in Actuarial Gains/(Losses)
Unrecognized Actuarial Gains/(Losses) at start
Actuarial Gains/(Losses) arising during the year
Unrecognized Actuarial Gains/(Losses) at end
Expense recognized in profit and loss account
Current service cost
Interest cost
Expected return on plan assets
Actual return on plan assets
Expected return on plan assets
Actuarial gain on plan assets
Actual return on plan assets
28.1.9 Based on actuarial advise the company intends to charge an amount of approximately Rs. 0.723
million in respect of gratuity fund in the financial statements for the year ending 30 June 2014.
Transactions with related parties and associated undertakings
The related parties and associated undertakings comprise local associated companies, gratuity fund,
directors and key management personnel. Transactions with related parties and associated
undertakings, other than remuneration and benefits to key management personnel under the term of their
employment are as follows:
Rent income
Gratuity Fund
The company continues to have a policy whereby all transactions with related parties and associated
31
undertakings are entered into at arm's length determined in accordance with comparable uncontrolled
price method.
Receivable
30. Executive remuneration
Based on past experience the management believes that no impairment allowance is necessary in
respect of trade receivables past due as some receivables have been recovered subsequent to the
year end and for other receivables there are reasonable grounds to believe that the amounts will be
recovered in short course of time.
31.2 Liquidity risk
The level of occupancy depends on the extent of movement in tourism, business and airlines sector.
No. of rooms 413 413
Average percentage of occupancy 23.83% 24.57%
2013 2012
35. Capacity and production
made in these accounts
dividend already paid. The total estimated dividend to be paid is Rs. 72 million (2012: Rs. 18 million). The
interim and final dividend will make the total dividend per share equal to Rs. 7/=. The recommended final
dividend is subject to approval of the members.No adjustment in respect of the final dividend has been
34. Non-adjusting events after the balance sheet date
In the adjourned meeting of Board of Directors held on September 20, 2013, the directors decided to
recommend final cash dividend Rs. 4/= per share i.e. 40% in addition to 30% (2012: 15%) interim cash
33. Earning per share
Figures have been rounded off to the nearest thousand of rupee.
the Company.
37. Figures
36. Date of authorization for issue
These financial statements were authorized for issue on September 20, 2013 by the Board of Directors of
Accrued liabilities
Trade creditors - unsecured
09. Creditors, accrued and other liabilities
Accrued expenses
Excise, taxes and others
Sales tax
Companies Ordinance 1984. The balance in the surplus on revaluation of fixed assets account is not
available for distribution amongst the shareholders neither as dividend nor as bonus under section 235 of
359.809 M and 508.280 M respectively. As on April 01, 2007 leasehold land and building on leasehold
land were revalued by M/s Sardar Enterprises (an independent valuer) which resulted in increase of Rs.
1,227.750 M and Rs. 111.355 M respectively in the book value. The incremental depreciation charged on
these assets has been transferred to accumulated profit in accordance with section 235 of the
04. Issued, subscribed and paid-up
Incremental depreciation (net of tax)
transferred to accumulated profit
Surplus on June 30, 2013
Surplus on June 30, 2012
Incremental depreciation (net of tax)
transferred to accumulated profit
Surplus on June 30, 2011
the Companies Ordinance, 1984.
Movement in the account of surplus on revaluation of fixed assets is as follows:
The company has one class of ordinary shares which carry no right to fixed income.
18,000,000
There were no movement in the share capital of the company in either the 2012 or 2013 reporting years.
1,419,200
16,580,800
Rent receivable
From tenants
From related parties
Mrs. Nadia Zaheer
Mrs. Sadia Naveed
M/s. Baweja Education
Investment - held to maturity
Investment in Term Deposits
Due from customers
15. Trade debts-unsecured, considered good
Investment - held to maturity
17. Short term investment
Miscellaneous
Margin against letter of credit
Profit on term deposit - Summit Bank Limited
Other receivables
Rent receivable
Miscellaneous
Prepayments
Insurance
Suppliers
Income tax (net of liability)
Staff
Due from staff
Advances - unsecured considered good
16. Advances, prepayments and other receivables
Provision against doubtful debts
Considered doubtful
Receivable against sale of Al-Sehat
375
100
50
525
60
30
0
90
Represents amount invested by the company in Term Deposits with Summit Bank Limited. The maturity
period of the investment is one year. The rate of interest on these investments varies from 9.75% to
0
86,166
578
9,525
96,269
179,289
132,483
12,034
39,833
363,639
21.1
11.2.1
11.1.1
Food and beverages
20.1 This includes revenue from rent of conventional hall, and sale of telephone, laundry, health club and
others ancilliary services.
21. Cost of sales and services
1,610
2,397
895
1,502
108
878
878
15,762
506
(5,589)
10,679
34,618
12,116
1,325
Gain/(loss) on bed tax
23. Other operating income
Profit on tender of foreign currency
Profit on saving account - Bank Al-Habib Ltd.
Profit on TDR - Summit Bank Ltd.
Gain/(loss) on disposal of assets
Rent from C. P. Berar Bangalow
Gain on investment in shares
(3,268)
506
10,679
%
3.83
- 9.44
1.46
30.85
34,618
38,714
165
878
120
(6,776)
(690)
0
(108)
32,303
66,921
(43)
146
(6,514)
(3,696)
(10,107)
453
(880)
(427)
56,387
96,269
(32,952)
63,317
28. Employee benefits
4,655
605
(267)
(56)
(1,142)
900
4,695
82
(1,015)
(933)
564
687
(605)
646
605
(267)
338
985
900
Number of persons
Managerial remuneration
Perquisites and allowances
Financial instruments
The company has exposure to the following risks from its use of financial instruments:
undertakings are entered into at arm's length determined in accordance with comparable uncontrolled
price method.
Receivable
30. Executive remuneration
- Liquidity risk
- Market risk
The Board of Directors has overall responsibility for the establishment and oversight of Company's risk
- Credit risk
Credit risk represents the accounting loss that would be recognized at the reporting date if counter
parties fail completely to perform as contracted and arise principally from long term deposits, trade
management framework. The Board is also responsible for developing and monitoring the Company's
risk managment policies.
31.1 Credit risk
The level of occupancy depends on the extent of movement in tourism, business and airlines sector.
No. of rooms 413 413
Average percentage of occupancy 23.83% 24.57%
2013 2012
35. Capacity and production
made in these accounts
dividend already paid. The total estimated dividend to be paid is Rs. 72 million (2012: Rs. 18 million). The
interim and final dividend will make the total dividend per share equal to Rs. 7/=. The recommended final
dividend is subject to approval of the members.No adjustment in respect of the final dividend has been
34. Non-adjusting events after the balance sheet date
In the adjourned meeting of Board of Directors held on September 20, 2013, the directors decided to
recommend final cash dividend Rs. 4/= per share i.e. 40% in addition to 30% (2012: 15%) interim cash
Diluted earning per share - Rupees
Basic earning per share - Rupees
Weighted average number of ordinary shares
Net profit after taxation
33. Earning per share
Figures have been rounded off to the nearest thousand of rupee.
the Company.
37. Figures
36. Date of authorization for issue
These financial statements were authorized for issue on September 20, 2013 by the Board of Directors of
Ordinary shares of Rs. 10/- each
fully paid in cash
Ordinary shares of Rs. 10/- each
issued for consideration other than cash (NRI)
Accrued liabilities
Trade creditors - unsecured
09. Creditors, accrued and other liabilities
Accrued expenses
Excise, taxes and others
Sales tax
Companies Ordinance 1984. The balance in the surplus on revaluation of fixed assets account is not
available for distribution amongst the shareholders neither as dividend nor as bonus under section 235 of
359.809 M and 508.280 M respectively. As on April 01, 2007 leasehold land and building on leasehold
land were revalued by M/s Sardar Enterprises (an independent valuer) which resulted in increase of Rs.
1,227.750 M and Rs. 111.355 M respectively in the book value. The incremental depreciation charged on
these assets has been transferred to accumulated profit in accordance with section 235 of the
04. Issued, subscribed and paid-up
Incremental depreciation (net of tax)
transferred to accumulated profit
Surplus on June 30, 2013
Surplus on June 30, 2012
Incremental depreciation (net of tax)
transferred to accumulated profit
Surplus on June 30, 2011
the Companies Ordinance, 1984.
Movement in the account of surplus on revaluation of fixed assets is as follows:
The company has one class of ordinary shares which carry no right to fixed income.
There were no movement in the share capital of the company in either the 2012 or 2013 reporting years.
16.1
17.1
1,965
34,624
50,000
8,761
2,644
49
2,550
45
6,117
15,475
28,631
50
1,472
5,192
718
752
12,404
34
6,937
4,843
177
624
36,766
38,559
1,793
1,793
36,766
11.2.1
11.1.1
Represents amount invested by the company in Term Deposits with Summit Bank Limited. The maturity
period of the investment is one year. The rate of interest on these investments varies from 9.75% to
50,000
3,181
Food and beverages
1,379
20.1 This includes revenue from rent of conventional hall, and sale of telephone, laundry, health club and
others ancilliary services.
21. Cost of sales and services
8,255
676
43,935
56,630
(1,233)
56,776
41,470
582
3,979
849
288
248
3,083
10,934
756
11,788
3,959
1,047
34,843
170,275
270
132
220
508
23.1
900
6,776
690
0
9,202
227,051
2013
10.5%
9.5%
13%
11 years
2013
6,088
(932)
(4,695)
461
5,123
(428)
4,695
5,288
564
687
(56)
(1,142)
747
6,088
2013
Number of persons
Managerial remuneration
Perquisites and allowances
Financial instruments
The company has exposure to the following risks from its use of financial instruments:
undertakings are entered into at arm's length determined in accordance with comparable uncontrolled
price method.
30. Executive remuneration
Long term deposits
Trade debts
Short term investment
Other receivables
Bank balances
The aging of trade receivables at the reporting date is:
Past due
Past due
Past due
Past due
Past due
(2012: Rs. 102.251 million).
To manage exposure to credit ri sk in respect of trade receivables, management performs creidt
reviews taking in to account the customer's financial position, past experience and other factors.
Where considered necessary, advance payments are obtained from certain parties. Sales made to
conditions. The Company believes that it is not exposed to major concentration of credit risk.
- Liquidity risk
- Market risk
The Board of Directors has overall responsibility for the establishment and oversight of Company's risk
- Credit risk
Credit risk represents the accounting loss that would be recognized at the reporting date if counter
parties fail completely to perform as contracted and arise principally from long term deposits, trade
receivables and security deposits. Out of the total financial assets of Rs. 194.933 million (2012: Rs.
182.304 million), financial assets which are subject to creidt risk amount to Rs. 108.767 million
management framework. The Board is also responsible for developing and monitoring the Company's
risk managment policies.
31.1 Credit risk
major customers are secured through letter of credit. The management has set a maximum credit
period of 30 days to reduce the credit risk.
Concentration of credit risk arises when a number of counter parties are engaged in similar
The carrying amount of financial assets represents the maximum credit exposure before any credit
enhancements. The maximum exposure to credit risk at the reporting date is:
business activities or have similar economic features that would cause their abilities to meet
contractual obligation to be similarly effected by the changes in economic, political or other
Liquidity risk is the risk that the company will not be able to meet its financial obligations as they fall
due. The company's approach to managing liquidity is to ensure as far as possible to always have
sufficient liquidity to meet its liabilities when due. The following are the contractual maturities of
financial liabilities, including estimated interest payments:
30 June 2013
Financial liabilities
Advances and deposits
Trade and other payables
2013
Advances and deposits
Trade and other payables
Financial liabilities
2012
The level of occupancy depends on the extent of movement in tourism, business and airlines sector.
No. of rooms 413 413
Average percentage of occupancy 23.83% 24.57%
2013 2012
35. Capacity and production
made in these accounts
dividend already paid. The total estimated dividend to be paid is Rs. 72 million (2012: Rs. 18 million). The
interim and final dividend will make the total dividend per share equal to Rs. 7/=. The recommended final
dividend is subject to approval of the members.No adjustment in respect of the final dividend has been
34. Non-adjusting events after the balance sheet date
In the adjourned meeting of Board of Directors held on September 20, 2013, the directors decided to
recommend final cash dividend Rs. 4/= per share i.e. 40% in addition to 30% (2012: 15%) interim cash
Diluted earning per share - Rupees
Basic earning per share - Rupees
Weighted average number of ordinary shares
Net profit after taxation
33. Earning per share
Figures have been rounded off to the nearest thousand of rupee.
the Company.
37. Figures
36. Date of authorization for issue
These financial statements were authorized for issue on September 20, 2013 by the Board of Directors of
1,587,559
252,601
12,063
5,691
526
4,698
17,287
Companies Ordinance 1984. The balance in the surplus on revaluation of fixed assets account is not
available for distribution amongst the shareholders neither as dividend nor as bonus under section 235 of
359.809 M and 508.280 M respectively. As on April 01, 2007 leasehold land and building on leasehold
land were revalued by M/s Sardar Enterprises (an independent valuer) which resulted in increase of Rs.
1,227.750 M and Rs. 111.355 M respectively in the book value. The incremental depreciation charged on
these assets has been transferred to accumulated profit in accordance with section 235 of the
1,840,160
0
1,587,559
1,587,559
0
land leasehold land
(Rupees '000)
1,587,559
the Companies Ordinance, 1984.
Movement in the account of surplus on revaluation of fixed assets is as follows:
Surplus on revaluation of
Leasehold Building on
The company has one class of ordinary shares which carry no right to fixed income.
180,000
There were no movement in the share capital of the company in either the 2012 or 2013 reporting years.
14,192
165,808
8,761
50,000
1,965
34,624
50,000
8,761
2,644
49
2,550
45
6,117
15,475
28,631
50
1,472
5,192
718
752
12,404
34
6,937
4,843
177
624
36,766
38,559
1,793
1,793
36,766
22.1 34,643
1,379
5,487
331
1,450
4,503
2,428
1,684
2,903
1,235
22.2 525
46,245
100
514
253
22.3 90
0
658
120
1,837
5
33
3,871
110,294
(Rupees '000)
Represents amount invested by the company in Term Deposits with Summit Bank Limited. The maturity
period of the investment is one year. The rate of interest on these investments varies from 9.75% to
50,000
3,181
Food and beverages
1,379
20.1 This includes revenue from rent of conventional hall, and sale of telephone, laundry, health club and
others ancilliary services.
21. Cost of sales and services
8,255
676
43,935
56,630
(1,233)
56,776
41,470
582
3,979
849
288
248
3,083
10,934
756
11,788
3,959
1,047
34,843
170,275
270
132
108
0
2013
227,051
(Rupees '000)
1,170
500
1,732
2013
2,048 2,508
6,600 6,749
1 2 Number of persons
4,552 4,241 3,177
Perquisites and allowances
Financial instruments
The company has exposure to the following risks from its use of financial instruments:
undertakings are entered into at arm's length determined in accordance with comparable uncontrolled
price method.
Executive Directors Executive Executive
................................................Rupees '000......................................................
30. Executive remuneration
Chief
0-30 days
31 - 60 days
61 - 90 days
91 - 120 days
120 days
(2012: Rs. 102.251 million).
To manage exposure to credit ri sk in respect of trade receivables, management performs creidt
reviews taking in to account the customer's financial position, past experience and other factors.
Where considered necessary, advance payments are obtained from certain parties. Sales made to
conditions. The Company believes that it is not exposed to major concentration of credit risk.
- Liquidity risk
- Market risk
The Board of Directors has overall responsibility for the establishment and oversight of Company's risk
- Credit risk
Credit risk represents the accounting loss that would be recognized at the reporting date if counter
parties fail completely to perform as contracted and arise principally from long term deposits, trade
receivables and security deposits. Out of the total financial assets of Rs. 194.933 million (2012: Rs.
182.304 million), financial assets which are subject to creidt risk amount to Rs. 108.767 million
management framework. The Board is also responsible for developing and monitoring the Company's
risk managment policies.
31.1 Credit risk
major customers are secured through letter of credit. The management has set a maximum credit
period of 30 days to reduce the credit risk.
Concentration of credit risk arises when a number of counter parties are engaged in similar
The carrying amount of financial assets represents the maximum credit exposure before any credit
enhancements. The maximum exposure to credit risk at the reporting date is:
business activities or have similar economic features that would cause their abilities to meet
contractual obligation to be similarly effected by the changes in economic, political or other
Carrying
Amount
............................................................(Rupees '000).........................................................
9,476 9,476
64,378
73,854
Carrying
Amount
9,201 9,201
35,005
44,206
Trade and other payables
Financial liabilities
2012
The level of occupancy depends on the extent of movement in tourism, business and airlines sector.
No. of rooms 413 413
Average percentage of occupancy 23.83% 24.57%
2013 2012
35. Capacity and production
made in these accounts
dividend already paid. The total estimated dividend to be paid is Rs. 72 million (2012: Rs. 18 million). The
interim and final dividend will make the total dividend per share equal to Rs. 7/=. The recommended final
dividend is subject to approval of the members.No adjustment in respect of the final dividend has been
34. Non-adjusting events after the balance sheet date
In the adjourned meeting of Board of Directors held on September 20, 2013, the directors decided to
recommend final cash dividend Rs. 4/= per share i.e. 40% in addition to 30% (2012: 15%) interim cash
1.33
1.33
18,000
23,939
Figures have been rounded off to the nearest thousand of rupee.
the Company.
37. Figures
36. Date of authorization for issue
These financial statements were authorized for issue on September 20, 2013 by the Board of Directors of
Companies Ordinance 1984. The balance in the surplus on revaluation of fixed assets account is not
available for distribution amongst the shareholders neither as dividend nor as bonus under section 235 of
359.809 M and 508.280 M respectively. As on April 01, 2007 leasehold land and building on leasehold
land were revalued by M/s Sardar Enterprises (an independent valuer) which resulted in increase of Rs.
1,227.750 M and Rs. 111.355 M respectively in the book value. The incremental depreciation charged on
these assets has been transferred to accumulated profit in accordance with section 235 of the
1,840,160
0
1,587,559
1,587,559
0
land leasehold land
(Rupees '000)
1,587,559
the Companies Ordinance, 1984.
Surplus on revaluation of
Leasehold Building on
The company has one class of ordinary shares which carry no right to fixed income.
180,000
There were no movement in the share capital of the company in either the 2012 or 2013 reporting years.
14,192
165,808
Food and beverages
20.1 This includes revenue from rent of conventional hall, and sale of telephone, laundry, health club and
others ancilliary services.
21. Cost of sales and services
0
2012
3,110
1,568 1,520
4,745 4,630
6 6
4,552 4,241 3,177
The company has exposure to the following risks from its use of financial instruments:
Executive Directors Executive Executive Executive
................................................Rupees '000......................................................
Chief
(Rupees '000)
3,087
36,766
50,000
8,811
10,103
108,767
19,263
5,883
4,964
3,993
2,663
36,766
(2012: Rs. 102.251 million).
To manage exposure to credit ri sk in respect of trade receivables, management performs creidt
reviews taking in to account the customer's financial position, past experience and other factors.
Where considered necessary, advance payments are obtained from certain parties. Sales made to
conditions. The Company believes that it is not exposed to major concentration of credit risk.
- Liquidity risk
- Market risk
The Board of Directors has overall responsibility for the establishment and oversight of Company's risk
- Credit risk
Credit risk represents the accounting loss that would be recognized at the reporting date if counter
parties fail completely to perform as contracted and arise principally from long term deposits, trade
receivables and security deposits. Out of the total financial assets of Rs. 194.933 million (2012: Rs.
182.304 million), financial assets which are subject to creidt risk amount to Rs. 108.767 million
management framework. The Board is also responsible for developing and monitoring the Company's
risk managment policies.
31.1 Credit risk
major customers are secured through letter of credit. The management has set a maximum credit
period of 30 days to reduce the credit risk.
Concentration of credit risk arises when a number of counter parties are engaged in similar
The carrying amount of financial assets represents the maximum credit exposure before any credit
enhancements. The maximum exposure to credit risk at the reporting date is:
business activities or have similar economic features that would cause their abilities to meet
contractual obligation to be similarly effected by the changes in economic, political or other
Contractual Six months Six to twelve One to two
cash flows or less months years
0 9,476
64,378 64,378 0
73,854 64,378 9,476
30 June 2012
Contractual Six months Six to twelve One to two
cash flows or less months years
0
35,005 35,005
44,206 35,005
9,201
0
9,201
The level of occupancy depends on the extent of movement in tourism, business and airlines sector.
No. of rooms 413 413
Average percentage of occupancy 23.83% 24.57%
2013 2012
35. Capacity and production
made in these accounts
dividend already paid. The total estimated dividend to be paid is Rs. 72 million (2012: Rs. 18 million). The
interim and final dividend will make the total dividend per share equal to Rs. 7/=. The recommended final
dividend is subject to approval of the members.No adjustment in respect of the final dividend has been
34. Non-adjusting events after the balance sheet date
In the adjourned meeting of Board of Directors held on September 20, 2013, the directors decided to
recommend final cash dividend Rs. 4/= per share i.e. 40% in addition to 30% (2012: 15%) interim cash
Figures have been rounded off to the nearest thousand of rupee.
the Company.
37. Figures
36. Date of authorization for issue
These financial statements were authorized for issue on September 20, 2013 by the Board of Directors of
(Rupees '000)
2,450
30,372
49,500
6,842
13,087
102,251
16,008
7,596
3,629
729
2,410
30,372
Two to five
years
0 0
0 0
0 0
Two to five
years
0 0
0 0
0 0