Gul Ahmed Textile Mills Ltd. (Million Rupees)

Items 2001 2002 2003 2004 2005 2006

A.Capital Structure:

1.Ordinary Share Capital 340.7 340.7 340.7 340.7 383.3 460.0

2.Surplus 1382.4 1566.4 1780.1 1962.8 1953.7 1886.2

3.Shareholder's Equity (A1+A2) 1723.1 1907.1 2120.8 2303.5 2337.0 2346.2

4.Prefrence Shares 0.0 0.0 0.0 0.0 0.0 0.0

5.Debentures 0.0 0.0 0.0 0.0 0.0 0.0

6.Other Fixed Laibilities 998.9 757.0 948.0 1386.9 2036.3 2151.3

7.Total Fixed Laibilities (A4+A5+A6) 998.9 757.0 948.0 1386.9 2036.3 2151.3

8.Total Capital Employed (A3+A7) 2722.0 2664.1 3068.8 3690.4 4373.3 4497.5

B.Liquidity:

1.Liquid Assets: 653.7 638.0 679.3 704.2 725.4 524.5

(1)Cash 64.1 92.8 86.3 99.0 115.5 39.9

(II)Investments 589.6 545.2 593.0 605.2 609.9 484.6

2.Other Current Assets 2732.2 2327.8 1556.4 2858.5 2304.3 2157.0

3.Inventories 0.0 0.0 935.1 2043.9 2747.0 2887.2

4.Current Assets (B1+B2+B3) 3385.9 2965.8 3170.8 5606.6 5776.7 5568.7

5.Current Liabilities 3282.1 2871.5 3027.7 5385.8 5432.0 5481.4

6.Total Liabilities(A7+B5) 4281.0 3628.5 3975.7 6772.7 7468.3 7632.7

7.Net Current Assets(B4-B5) 103.8 94.3 143.1 220.8 344.7 87.3

8.Contractual Liabilities 3508.3 2905.6 3209.2 5928.9 6486.1 6811.6

9.Net liquid assets (B1-B5) -2628.4 -2233.5 -2348.4 -4681.6 -4706.6 -4956.9

C.Fixed Assets:

1.Fixed Asset At Cost 4251.4 4464.6 5097.7 5909.0 6730.2 6590.6

2.Fixed assets after deducting accumulated depreciation 2618.3 2569.9 2925.7 3469.6 4028.5 4410.2

3.Depreciation for the year 229.0 284.5 294.5 328.2 274.7 379.3

4.Total assets (B4+C2) 6004.2 5535.7 6096.5 9076.2 9805.2 9978.9

D.Operation:

1.Gross sales 5008.6 5779.8 5581.6 6680.9 5893.1 8245.8

(1)Local sales 1818.2 1902.3 2282.3 1791.1 2394.5 3617.3

(2)Export sales 3190.4 3877.5 3299.3 4889.8 3498.6 4628.5

2.Cost of Sales 3794.4 4548.8 4512.8 5625.3 4929.8 7081.2

3.Gross profit 1214.2 1231.0 1068.8 1055.6 963.3 1164.6

4.Overhead and Other Expenses 4198.1 5015.2 5024.7 6329.2 5541.1 7704.7

5.Operating profit 903.9 772.3 593.0 363.2 358.7 548.6

6.Financial expenses 385.2 371.9 211.1 108.5 236.9 536.3

7.Net profit before tax (D5-D6) 518.7 400.4 381.9 254.7 121.8 12.3

8.Tax provision 25.0 67.0 75.0 60.1 39.0 47.0

9.Total amount of dividend 170.4 170.4 102.2 0.0 0.0 0.0

10.Total value of bonus shares issued 0.0 0.0 0.0 0.0 38.3 38.3

E.Sources of Increase In Capital Employed:

1.Increase/decrease in capital employed (A8 - A8 of preceding year)1019.0 -57.9 404.7 621.6 682.9 124.2

2.Retention in business (D7-D8-D9) 323.3 163.0 204.7 194.6 82.8 -34.7

3.Finance fromoutside the company (E1-E2) 695.7 -220.9 200.0 427.0 600.1 158.9

F.Cash Flow Data

1.Depreciation for the year plus retention in business: cash flow (C3+E2)552.3 447.5 499.2 522.8 357.5 344.6

2.Depreciation for the year plus changes in capital employed (C3+E1)1248.0 226.6 699.2 949.8 957.6 503.5

G.Operating Financial & Investment Ratios:

1.Gearing ratio (A7 as % of A8) 36.7 28.4 30.9 37.6 46.6 47.8

2.Current ratio (B4 as % of B5) 103.2 103.3 104.7 104.1 106.3 101.6

3.Acid test or Quick ratio (B4-B3 as % B5) 103.2 103.3 73.8 66.1 55.8 48.9

4.Debt equity ratio (B6 as % of A3) 248.4 190.3 187.5 294.0 319.6 325.3

5.Return on assets (D7 as % of C4) 8.6 7.2 6.3 2.8 1.2 0.1

6.Self financing ratio (E2 as % of E1) 31.7 - 50.6 31.3 12.1 -27.9

7.Cash flow ratio F1 as % of F2 44.3 197.5 71.4 55.0 37.3 68.4

8.Shareholders equity as % of ordinary share capital (A3 as % of A1)505.8 559.8 622.5 676.1 609.7 510.0

9.Overhead and other expenses as % of gross sales (D4 as % D1)83.8 86.8 90.0 94.7 94.0 93.4

10.Financial expenses as % of operating profit (D6 as % of D5) 42.6 48.2 35.6 29.9 66.0 97.8

11.Financial expense as % of gross sales (D6 as % of D1) 7.7 6.4 3.8 1.6 4.0 6.5

12.Financial expenses as % of contractual liabilities (D6 as % B8)11.0 12.8 6.6 1.8 3.7 7.9

13.Tax provision as % of net pre-tax profit (D8 as % of D7) 4.8 16.7 19.6 23.6 32.0 382.1

14.Sundry debtors as % of gross sales 24.4 12.8 18.1 30.8 32.7 22.3

15.Return on Equity (D7 as % of A3) 30.1 21.0 18.0 11.1 5.2 0.5

H.Key Performance Indicators:

1.Dividend cover ratio [(D7 - D8) as % of D9] 289.7 195.7 300.3 - - 0.0

2.Dividend ratio to equity (D9 as % of A3) 9.9 8.9 4.8 0.0 0.0 0.0

3.Net profit margin (D7 as % of D1) 10.4 6.9 6.8 3.8 2.1 0.1

4.Earning per share before tax (D7/No. of ordinary shares) 15.2 11.8 11.2 7.5 3.2 0.3

5.Earning per share after tax [(D7-D8)/No. of ordinary shares] 14.5 9.8 9.0 5.7 2.2 -0.8

6.Average annual % depreciation on written down fixed assets 12.6 10.9 11.5 11.2 7.9 9.5

7.Sales as % of total assets (D1 as % of C4) 83.4 104.4 91.6 73.6 60.1 82.6

8.Earning per share before tax growth (current year EPS - last year EPS/ last year EPS)-30.6 -22.4 -5.1 -33.0 -57.3 -90.6

9.Sales growth (current year's 'sales - last year's sales / last year's sales)10.7 15.4 -3.4 19.7 -11.8 39.9

10.Break-up value of ordinary shares (in rupees) 50.6 56.0 62.2 67.6 61.0 51.0

68

Financial Statement Analysis of Non Financial Sector

Gul Ahmed Textile Mills Ltd.Items 2006 2007 2008 2009

A.Non-Current Assets (A1+A3+A5+A6+A7) 4,449,195 4,733,261 5,855,836 6,177,455

1.Capital work in progress - - - 35,608

2.Operating fixed assets at cost 6,590,642 7,929,859 9,200,478 10,473,377

3.Operating fixed assets after deducting accumulated depreciation 4,410,230 4,702,826 5,827,621 6,077,026

4.Depreciation for the year 379,332 412,276 514,617 639,458

5.Intangible assets 38,965 30,435 28,215 33,525

6.Long term investments - - - 0

7.Other non-current assets - - - 31,296

B.Current Assets (B1+B2+B3+B4+B5) 5,568,754 5,350,979 6,541,866 7,630,720

1.Cash & bank balance 39,922 27,845 69,034 162,626

2.Inventories 2,887,167 2,254,144 2,915,550 3,940,944

3.Trade Debt 1,839,545 2,164,671 2,490,258 2,672,797

4.Short term investments 484,643 58,450 58,450 0

5.Other current assets 317,477 845,869 1,008,574 854,353

C.Current Liabilities (C1+C2) 5,481,391 5,653,042 7,151,112 7,852,081

1.Short term Secured loans 4,660,284 4,010,209 5,214,385 5,927,482

2.Other current liabilities 821,107 1,642,833 1,936,727 1,924,599

D.Non-Current Liabilities (D1+D2+D3+D4+D5) 2,151,331 1,772,007 2,484,561 2,717,822

1.Long term secured loans - - - 2,566,604

2.Long term unsecured loans - - - 0

3.Debentures/TFCs 0 0 0 0

4.Employees benefit obligations - - - 11,945

5.Other non-current liabilities 2,151,331 1,772,007 2,484,561 139,273

E.Shareholders Equity (E1+E2+E3) 2,385,227 2,659,191 2,762,029 3,238,272

1.Issued, Subscribed & Paid up capital 459,989 551,987 551,987 634,785

i).Ordinary Shares 459,989 551,987 551,987 634,785

ii).Preference shares 0 0 0 0

2.Reserves 1,925,238 2,107,204 2,210,042 2,603,487

i).Capital Reserve - - - 490,820

ii).Revenue Reserve - - - 2,112,667

3.Surplus on revaluation of fixed assets - - - 0

F.Operation:

1.Sales 8,245,862 9,871,996 11,751,955 14,207,448

i).Local sales (Net) 3,617,337 4,091,601 4,852,168 5,919,363

ii).Export Sales (Net) 4,628,525 5,780,395 6,899,787 8,288,085

2.Cost of sales 7,081,209 8,446,095 10,052,884 11,685,262

i).Cost of material - - - 4,696,489

ii).Other input cost - - - 6,988,773

3.Gross Profit 1,164,653 1,425,901 1,699,071 2,522,186

4.General, administrative and other expenses 623,472 693,742 781,553 1,306,429

i).Selling & distribution expenses - - - 621,312

ii).Administrative and other expenses 623,472 693,742 781,553 685,117

5.Salaries, wages and employee benefits - - - 1,982,288

6.Financial expenses 536,302 476,245 732,477 1,035,224

of which: (i) Interest expenses - - - 963,252

7.Net profit before tax 12,381 262,191 201,838 204,278

8.Tax expense (current year) 47,000 67,352 66,000 83,787

9.Total amount of dividend 0 0 0 0

10.Total value of bonus shares issued 38,332 0 132,337 0

11.Cash flows from operations - - - 442,468

G.Miscellaneous

1.Total capital employed (E+D) 4,536,558 4,431,198 5,246,590 5,956,094

2.Total fixed liabilities (D1+D3) 0 0 0 2,566,604

3.Retention in business (F7-F8-F9) (34,619) 194,839 135,838 120,491

4.Contractual Liabilities (G2+C1) 4,660,284 4,010,209 5,214,385 8,494,086

H.Key Performance Indicators

1.Acid test or quick ratio[(B1+B3+B4) to C] 0.43 0.40 0.37 0.36

2.Financial expenses as % of sales (F6 as % of F1) 6.50 4.82 6.23 7.29

3.Trade Debt as % of sales (B3 as % of F1) 22.31 21.93 21.19 18.81

4.Assets turnover ratio [F1 to (A+B)] 0.82 0.98 0.95 1.03

5.Current ratio (B to C) 1.02 0.95 0.91 0.97

6.Cost of goods sold to sales (F2 as % of F1) 85.88 85.56 85.54 82.25

7.Debt equity ratio [(C+D) to E] 3.20 2.79 3.49 3.26

8.Return on assets [F7 as % of avg.(A+B)] 0.12 2.61 1.80 1.56

9.Return of equity (F7 as % of avg. E) 0.52 10.40 7.45 6.81

10.Return on capital employed ( F7 as % of avg. G1) 0.28 5.85 4.17 3.65

11.Dividend cover ratio [(F7-F8) to F9] - - - -

12.Inventory Turnover Ratio (F1 to B2) 2.86 4.38 4.03 3.61

13.Interest cover ratio [(F7+ F6(i)) to F6(i)] - - - 1.21

14.Net profit margin (F7 as % of F1) 0.15 2.66 1.72 1.44

15.Operating cash flow to debt ratio [F11 to (C+D)] 0.00 0.00 0.00 0.04

16.Earning per share after tax (Rs./share) [(F7-F8)/No. of Ord. shares] -0.75 3.53 2.46 1.90

17.Break-up value shares (Rs./share) (E/No. of Ord. shares) 51.85 48.17 50.04 51.01

158

2011

(Thousand Rupees)

2010 2011

6,204,139 6,741,132

51,332 71,643

11,113,486 12,255,966

6,097,376 6,589,869

681,282 711,737

21,253 42,322

0 0

34,178 37,298

8,582,802 13,929,967

157,188 86,638

4,991,811 10,430,214

2,465,556 2,236,402

0 0

968,247 1,176,713

8,636,966 13,315,707

6,501,422 10,450,399

2,135,544 2,865,308

2,439,947 2,509,060

2,222,650 2,198,591

0 0

0 0

15,016 17,717

202,281 292,752

3,710,028 4,846,332

634,785 634,785

634,785 634,785

0 0

3,075,243 4,211,547

494,491 503,524

2,580,752 3,708,023

0 0

19,885,337 25,643,176

9,116,748 8,399,365

10,768,589 17,243,811

16,582,414 20,892,101

7,297,486 10,733,599

9,284,928 10,158,502

3,302,923 4,751,075

1,662,168 2,131,863

800,060 1,103,962

862,108 1,027,901

2,293,895 713,705

959,259 1,093,713

870,737 1,017,295

707,921 1,551,046

182,027 267,652

79,348 634,785

0 0

479,484 (2,670,397)

6,149,975 7,355,392

2,222,650 2,198,591

446,546 648,609

8,724,072 12,648,990

0.30 0.17

4.82 4.27

12.40 8.72

1.34 1.24

0.99 1.05

83.39 81.47

2.99 3.27

4.95 8.75

20.38 36.25

11.70 22.97

6.63 2.02

3.98 2.46

1.81 2.52

3.56 6.05

0.04 -0.17

8.28 20.22

58.45 76.35

2001 2002 2003 2004

Total Debt 54.6 51.87 49.66 59.34

Current Ratio 103.2 103.3 104.7 104.1

ROA 8.6 7.2 6.3 2.8

ROE 30.1 21.0 18.0 11.1

Total Assets 6004.2 5535.7 6096.5 9076.2

Total Fixed Assets 4251.4 4464.6 5097.7 5909.0

EBIT 903.9 772.3 593.0 363.2

EBT 518.7 400.4 381.9 254.7

RATIOS FOR CAPital structure ( IN MILLION RUPEES )

2005 2006 2007 2008 2009 2010 2011

55.4 54.715 56.058 57.68 56.865 58.409 64.417

106.3 1.02 0.95 0.91 0.97 0.99 1.05

1.2 0.12 2.61 1.80 1.56 4.95 8.75

5.2 0.52 10.40 7.45 6.81 20.38 36.25

9805.2 10.0 10.08 12.397 13.808 14.786 20.671

6730.2 6.6 6.591 7.920 9.2 10.473 12.250

358.7 0.5 0.732 0.918 1.216 1.641 2.619

121.8 0.013 0.262 0.212 0.204 0.708 1.551

RATIOS FOR CAPital structure ( IN MILLION RUPEES )