annual report 2017

an ode to
the farmers

111-211-211
engrofertilizers.com
annualreport20
17
 The vast lands of promise spread
an ode to wide, the fields of dreams
the farmers ploughed, the seeds of hope
deeply sown; answered by
prayers they turn bountiful. Peace,
meal and sleep - sums up their
living. Their sweat golden their
fields as they continue to feed the
nation. Engines of Pakistan - they
are the farmers.
 Company
contents
Company Information 07
Notice of the meeting 08
Engro Fertilizers at a Glance 11
Our History 13
Our Milestones 15
Our Core Values 17

Corporate Governance
Board of Directors 21
Directors’ Profiles 23
Board Committees 29
Functional Committees 30
Our Governance Framework 31
Statement of Compliance with
the Code of Corporate Governance 32

Chairman’s Message & Directors’ Report

Chairman’s Message 37
CEO’s Message 39
Key Numbers 41
Business Review 43
Horizontal and Vertical Analyses 49
Summary 55
Financial Ratios 56
Statement of Value Addition and Distribution 60
Key Shareholding and Shares Traded 61
Shareholder Information 64
Pattern of Shareholding 66
Category of Shareholding 67
Our Brands 73

Financial Statements
Consolidated Financials 83
Standalone Financials 142
Proxy Form
Request for Hard Copy of Annual Report Form

© 2017, Engro

All Rights Reserved. No part of this publication may be reproduced

without the prior written permission of the publisher.
Our Vision
We are passionate about
transforming the agricultural
landscape, bringing change and
helping the farmer grow.
 company information notice of meeting
NOTICE IS HEREBY GIVEN that the Ninth Annual General Meeting of
Board of Directors Auditors Engro Fertilizers Limited will be held at Karachi Marriott Hotel, Abdullah
Mr. Ghias Khan (Chairman) A.F. Ferguson & Co. Haroon Road, Karachi on Monday, March 26, 2018 at 10 a.m. to transact
Mr. Ruhail Mohammed (Chief Executive) Chartered Accountants the following business:
Mr. Abdul Samad Dawood State Life Building No. 1-C
Mr. Asad Said Jafar I.I. Chundrigar Road
Mr. Asim Murtaza Khan Karachi-74000, Pakistan
A) Ordinary Business
Mr. Javed Akbar Tel: +92(21) 32426682-6 / 32426711-5 (1) To receive and consider the Audited Accounts Tax return 20%. In case of Joint account, each
Mr. Nadir Salar Qureshi Fax: +92(21) 32415007 / 32427938 for the year ended December 31, 2017 and the holder is to be treated individually as either a filer
Directors' and Auditors' Reports thereon. or non-filer and tax will be deducted on the basis
Ms. Sadia Khan
of shareholding of each joint holder as may be
Cost Auditors (2) To declare a final dividend at the rate of PKR 3.00 notified by the shareholder, in writing as follows,
Chief Financial Officer J.A.S.B & Associates (30%) for the year ended December 31, 2017.
to our Share Registrars, or if no notification, each
Mr. Atif Kaludi Chartered Accountants (3) To appoint Auditors and fix their remuneration. joint holder shall be assumed to have an equal
1104, Uni Tower number of shares.
Company Secretary I.I. Chundrigar Road, N.B. Company Folio/CDS Total Principal Shareholder Joint Shareholder
Name Account No. Shares
Ms. Sarah Farooq Karachi-74000, Pakistan
(1) The Share Transfer Books of the Company will Name & Shareholding Name & Shareholding
Tel: +92(21) 32468154-5 / 32468158
be closed from Monday, March 19, 2018 to CNIC Proportion CNIC proportion
Bankers Fax : +92(21) 32468157 Monday, March 26, 2018 (both days inclusive). No. No. of shares No. No. of
shares
Conventional Transfers received in order at the office of our
Allied Bank Limited Registered Office Registrar, M/s. FAMCO ASSOCIATES (PVT.)
The CNIC number/NTN details is now
Askari Bank Limited 7th & 8th Floor, The Harbor Front Building, LTD, 8-F, near Hotel Faran, Nursery, Block 6,
mandatory and is required for checking the tax
PECHS, Shahra-e-Faisal, Karachi (PABX Nos.
Bank Al Habib Limited HC # 3, Marine Drive, Block 4, Clifton, status as per the Active Taxpayers List (ATL)
(92-21) 34380101-5) and email
Bank Alfalah Limited Karachi-75600, Pakistan issued by Federal Board of Revenue (FBR) from
info.shares@famco.com.pk by the close of
CIMB Bank Tel: +92(21) 35297501-10 time to time.
business (5:00 p.m) on Friday, March 16, 2018
Citi Bank .N.A. Fax:+92(21) 35810669 will be treated to have been in time for the Individuals including all joint holders holding
Faysal Bank Limited e-mail: info@engrofertilizers.com purposes of payment of final dividend to the physical share certificates are therefore
Habib Bank Limited Website: www.engrofertilizers.com transferees and to attend and vote at the requested to submit a copy of their valid CNIC to
meeting. the company or its Registrar if not already
Habib Metropolitan Bank Limited www.engro.com
provided. For shareholders other than
JS Bank Limited (2) A member entitled to attend and vote at this
individuals, the checking will be done by
Mashreq Bank Share Registrar Meeting shall be entitled to appoint another
matching the NTN number, therefore the
person, as his/her proxy to attend, speak and
MCB Bank Limited FAMCO Associates (Pvt) Limited Corporate shareholders having CDC accounts
vote instead of him/her, and a proxy so
National Bank of Pakistan 8-F, Near Hotel Faran, Block-6, PECHS, are requested in their own interest to provide a
appointed shall have such rights, as respects
Samba Bank Limited Shahrah-e-Faisal copy of NTN certificate to check their names in
attending, speaking and voting at the Meeting as
the ATL before the book closure date to their
Silk Bank Limited Karachi – Pakistan are available to a member. Proxies, in order to
respective participants/CDC, whereas corporate
Soneri Bank Limited Tel: +92(21) 3438 0104-5, 3438 4621-3 be effective, must be received by the Company
shareholders holding physical share certificates
Standard Chartered Bank (Pakistan) Limited Fax +92(21) 3438 0106 not less than 48 hours before the Meeting. A
should send a copy of their NTN certificate to the
proxy need not be a member of the Company.
Summit Bank Limited Company or its Share Registrar. The
The Bank of Punjab Shareholders while sending CNIC or NTN
(3) SUBMISSION OF COPY OF CNIC/NTN DETAILS certificates, as the case may be must quote their
United Bank Limited
(MANDATORY) FOR SHAREHOLDERS/ JOINT respective folio numbers.
HOLDERS
Shariah Compliant (4) In case of non-receipt of the copy of a valid
Pursuant to the directives of the Securities and CNIC, the Company would be unable to comply
Al Baraka Islamic Bank (Pakistan) Limited
Exchange Commission of Pakistan CNIC number with SRO 831(1)/2012 dated July 05 2012 of
Bank Islami Pakistan Limited of individuals is mandatorily required to be SECP and therefore will be constrained under
Dubai Islamic Bank (Pakistan) Limited mentioned on dividend warrants and pursuant to SECP Order dated July 06, 2015 under section
Meezan Bank Limited the provisions of Finance Act 2017, the rate of 243 (3) of the Companies Act, 2017 to withhold
Noor Bank deduction of income tax under section 150 of the dispatch of dividend warrants of such
the Income Tax Ordinance 2001 from dividend shareholders. Further, all the shareholders are
payment have been revised as: for filers of advised to immediately check their status on ATL
Income Tax return 15% and Non filer of Income and may, if required take necessary action

07 engro fertilizers Annual Report 2017 08

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