Toyota Annual Rreport Dec2011

INDUS MOTOR COMPANY LTD.

Condensed Interim Financial Information For the Half Year Ended December 31, 2011 (Un-audited)

Contents

01

Directors Report

03

Independent Auditors' Report to the Members on Review of Condensed Interim Financial Information

04

Condensed Interim Balance Sheet

05

Condensed Interim Profit and Loss Account

06

Condensed Interim Statement of Comprehensive Income

07

Condensed Interim Cash Flow Statement

08

Condensed Interim Statement of Changes in Equity

09

Notes to and forming part of the Condensed Interim Financial Information

17

Company Information

For the half year ended December 31, 2011

Directors ReportOn behalf of the Board of Directors of Indus Motor Company Ltd., we are pleased to present the un-audited accounts of the Company for the half year ended December 31, 2011. The financial statements accompanying this report received a limited review from the statutory auditors as required under the Code of Corporate Governance. Pakistan Automobile Market The first half of the fiscal year 2011-12 was yet another challenging period for the automotive industry. Having barely recovered from the aftermath of the Great Eastern Japan earthquake, local manufacturers faced severe supply disruption following the unprecedented flooding in Thailand during December 2011 quarter. On the economic front, sharp deterioration in the external and current account deficit, persistent inflationary pressures, shrinking foreign investment inflows and substantial government borrowings to finance the fiscal deficit created uncertainty and dampened prospect of an early economic recovery. During the first half of FY 2011-12, the demand for locally manufactured Passenger Cars (PC) and Light Commercial Vehicles (LCV) grew by 20.3% to 81,944 units compared to 68,099 units sold for the same period last year. The impact of deferred sales in the first quarter following reduction in GST and SED taxes announced by the GoP in June 2011 and the Punjab government purchases for taxi scheme contributed to the growth. Additionally, there was steep increase in the volume of used cars imports at 21,710 units as against 3,602 units for the same six months period last year. The influx of used cars imports and recent ban on imports of CNG kits and cylinders has created anxiety amongst OEMs on the wavering government policies and its negative fallout on future growth of the domestic automotive value chain. Company Operating Performance Aggregate sales of Toyota and Daihatsu brands (CKD and CBU) for the first half of FY 2011-12 increased by 6.3% to 24,341 units compared to 22,903 units sold for the same period last year. There was strong demand for all the new Toyota Corolla variants launched earlier in the first quarter including the first Corolla with a factory fitted CNG system meeting Toyota's high performance and safety standards. Despite several operational challenges stemming from energy shortages and balancing the parts supply constraints due to Thai floods; the Company operated at near full capacity and produced 24,316 units of PC and LCV compared to 23,482 units for same period last year. Both sales and production volume numbers are a new company record for the first half of the financial year. The Company achieved market share of 30% of locally manufactured vehicles. It is marginally lower on account of carryover effect of distortions caused in the market place due to deferred sales in industry during first quarter following tax break offered by the government to the consumers effective July 2011. The company net sales revenue for first half year ended December 2011 increased by 23% to Rs 33 billion as compared to Rs 26.83 billion the same period last year, while profit after tax amounted to Rs 1.77 Billion versus Rs 0.91 Billion achieved for the same period last year. On full calendar year basis 2011, the company achieved a new record in Corolla sale of 42,414 units, which is also the highest in Toyota's Asian market outside Japan for three years running. Based on the results recorded above, the Board of Directors is pleased to declare an interim cash dividend of Rs 8 per share (December 31, 2010: Rs 5 per share) in respect of the year ending June 30, 2012. On the Corporate side, Mr. Raza Ansari was elected to the Board and Mr. M. Ilyas Suri retired as a member of the IMC Board. We would like to acknowledge the invaluable contributions made by Mr. M. Ilyas Suri during his tenure as a Member of the Board.


1


Directors ReportNear Term Business Outlook Traditionally, the second half of the fiscal year tends to create stronger demand for the domestic auto industry; however, given the weakness in the global financial markets particularly Europe and the potential contagion affect it can have on the weaker economies, makes Pakistan case vulnerable to external volatilities. The recent correction in international commodity prices has already caused fuel prices to rise and support prices for cash crops to fall thus affecting the income of local farmers who are a strong segment for auto demand in the rural areas. Depreciating rupee and resultant cost pressures there from will be the single biggest challenge for the industry amidst the political uncertainty in the wake of new parliamentary elections expected later in the year. In this back drop, we expect the business environment for the second half of the fiscal year to remain sluggish. Furthermore, the recent GoP move to ban imports of CNG kits and cylinders will have negative ramifications primarily in the demand for small low and economy segments. Currently, almost 80% of the sales in these segments consist of CNG powered vehicles which is matter of great concern for OEMs. The current Auto Industrial Development Program is set to expire by end June 2012 for which recommendations have already been furnished jointly by the trade associations representing both OEMs and part manufacturers. It is imperative that the new long term policy is articulated quickly in consultation with all the stakeholders to facilitate the long product planning cycle requirements of the industry and restore investor confidence. We urge the government to engage all stakeholders before firming any policy in this regard. In addition to the above challenges, used cars continue to erode the demand of locally manufactured vehicles, while the domestic industry faces the dilemma of idle excess capacity. We expect over 40,000 units of used cars to be imported during the current fiscal year 2011-12. It is critical that the government take notice before any irreparable damage is done to OEMs and parts manufacturers. The company for its parts remain focused on improving its operational efficiencies, maintaining high quality standards, effectively managing cost pressures and delivering maximum value to its customers. While plans for the discontinuation of Cuore production have been announced earlier, the Company is continuing to engage Toyota and Daihatsu for possible replacement product. In March 2012, IMC will unveil the new IMV Vigo Champ which will add more depth to our product lineup. We thank our customers for their confidence and loyalty in our products and wish to acknowledge the untiring efforts of the entire Indus team, including our staff, vendors, dealers and all business partners and look forward to their continued commitment in the future. We are particularly thankful to Toyota Motor Asia Pacific for their untiring efforts to keep our production lines running in the face of extreme adversity faced due to Japan earthquake and Thailand floods by continuously arranging air shipments of affected parts. The record success enjoyed by the Company is a sum total of all these efforts. February 22, 2012 Karachi.

Parvez Ghias Chief Executive Officer 2 Half Yearly Report December 2011

Koji Hyodo Vice Chairman & Director


Independent Auditors' Report to the Members on Review of Condensed Interim Financial Information

Introduction We have reviewed the accompanying condensed interim balance sheet of Indus Motor Company Limited as at December 31, 2011 and the related condensed interim profit and loss account, condensed interim statement of comprehensive income, condensed interim cash flow statement and condensed interim statement of changes in equity together with the notes forming part thereof (here-in-after referred to as 'the condensed interim financial information') for the half year then ended. Management is responsible for the preparation and presentation of this condensed interim financial information in accordance with approved accounting standards as applicable in Pakistan for interim financial reporting. Our responsibility is to express a conclusion on this condensed interim financial information based on our review. The figures of the condensed interim profit and loss account for the quarters ended December 31, 2011 and December 31, 2010 have not been reviewed, as we are required to review only the cumulative figures for the half year ended December 31, 2011. Scope of Review We conducted our review in accordance with the International Standard on Review Engagements 2410, "Review of Interim Financial Information Performed by the Independent Auditor of the Entity." A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion. Conclusion Based on our review, nothing has come to our attention that causes us to believe that the accompanying condensed interim financial information as of and for the half year ended December 31, 2011 is not prepared, in all material respects, in accordance with approved accounting standards as applicable in Pakistan for interim financial reporting.

Chartered Accountants Engagment Partner: Salman Hussain Dated: February 22, 2012 Karachi.


3

As at December 31, 2011

Condensed Interim Balance SheetNote December 31 2011 (Unaudited) June 30 2011 (Audited)

(Rupees in '000) ASSETS Non-current assets Fixed assets Long-term loans and advances Long-term deposits and prepayments Current assets Stores and spares Stock-in-trade Trade debts Loans and advances Short-term prepayments Accrued return on bank deposits Other receivables Investments Taxation - payment less provision Cash and bank balances TOTAL ASSETS EQUITY Share capital Authorised capital 100,000,000 (June 30, 2011: 100,000,000) ordinary shares of Rs 10 each Issued, subscribed and paid-up capital 78,600,000 (June 30, 2011: 78,600,000) ordinary shares of Rs 10 each Reserves LIABILITIES Non-current liabilities Deferred taxation Current liabilities Trade, other payables and provisions Advances from customers and dealers Accrued mark-up CONTINGENCIES AND COMMITMENTS TOTAL EQUITY AND LIABILITIES 5 312,683 6,350,025 5,431,883 1,200 11,783,108 27,197,554 454,012 5,740,869 6,519,669 420 12,260,958 26,834,618 4 3,865,851 6,620 8,522 3,880,993 180,402 8,705,503 1,798,667 911,143 9,069 46,111 1,017,570 4,155,985 230,183 6,261,928 23,316,561 27,197,554 4,225,710 11,949 9,222 4,246,881 189,755 5,690,052 1,356,068 926,174 18,900 52,586 149,533 4,993,464 399,006 8,812,199 22,587,737 26,834,618

1,000,000

1,000,000

786,000 14,315,763 15,101,763

786,000 13,333,648 14,119,648

The annexed notes 1 to 12 form an integral part of this condensed interim financial information.



For the half year and quarter ended December 31, 2011 (unaudited)

Condensed Interim Profit and Loss AccountNote Half year ended Quarter ended December 31 December 31 2011 2010 2011 2010 ---------------------------- (Rupees in '000) -------------------------32,999,571 30,524,458 2,475,113 302,634 266,731 569,365 1,905,748 Other operating expenses 205,147 1,700,601 Other operating income 947,000 2,647,601 Finance costs Profit before taxation Taxation Profit after taxation 43,541 2,604,060 837,436 1,766,624 26,828,099 25,463,599 1,364,500 274,693 201,341 476,034 888,466 143,927 744,539 760,243 1,504,782 75,034 1,429,748 521,990 907,758 15,853,278 14,633,320 1,219,958 164,781 140,574 305,355 914,603 93,664 820,939 403,514 1,224,453 27,719 1,196,734 367,594 829,140 12,484,511 12,006,804 477,707 156,732 104,144 260,876 216,831 41,303 175,528 324,941 500,469 19,598 480,871 150,522 330,349

Net sales Cost of sales Gross profit Distribution expenses Administrative expenses

6.1 6.2 6.3

-------------------------------(Rupees) -----------------------------Earnings per share - basic and diluted 22.48 11.55 10.55 4.20


Parvez Ghias Chief Executive Officer

Koji Hyodo Vice Chairman & Director INDUS MOTOR COMPANY LTD. 5

For the half year and quarter ended December 31, 2011 (unaudited)

Condensed Interim Statement of Comprehensive IncomeHalf year ended Quarter ended December 31 December 31 2011 2010 2011 2010 ---------------------------- (Rupees in '000) ------------------------907,758 330,349

Profit for the period Other comprehensive incomeUnrealised gain on revaluation of foreign exchange contracts - net of tax

1,766,624

829,140

1,491

5,805

1,491

5,805

Total comprehensive income for the period

1,768,115

913,563

830,631

336,154




For the half year ended December 31, 2011 (unaudited)

Condensed Interim Cash Flow StatementHalf year ended December 31 2011 2010 (Rupees in '000)CASH FLOWS FROM OPERATING ACTIVITIES Profit before taxation Adjustment for non-cash charges and other items: Depreciation Amortisation Gain on sale of fixed assets Net unrealised (gain) / loss on revaluation of creditors and foreign exchange contracts Gain on redemption of listed mutual fund units Unrealised gain on revaluation of listed mutual fund units Return on bank deposits Income on Market Treasury Bills Workers' profit participation fund Workers' welfare fund Mark-up on advances from customers Operating surplus before working capital changes (Increase) / decrease in current assets Stores and spares Stock-in-trade Trade debts Loans and advances Short-term prepayments Other receivables Increase / (decrease) in current liabilities Trade, other payables and provisions Advances from customers and dealers Cash used in operations Interest paid Workers' profit participation fund paid Workers' Welfare Fund paid Interest received Income tax paid Movement in long-term loans and advances Movement in long-term prepayments Net cash used in operating activities CASH FLOWS FROM INVESTING ACTIVITIES Fixed capital expenditure Proceeds from disposal of fixed assets Investment in listed mutual fund units Proceeds from redemption of listed mutual fund units Purchase of Market Treasury Bills Proceeds from redemption of Market Treasury Bills Net cash generated from / (used in) investing activities CASH FLOWS FROM FINANCING ACTIVITIES Dividend paid Net cash used in financing activities Net decrease in cash and cash equivalents Cash and cash equivalents at the beginning of the period Cash and cash equivalents at the end of the period(2,068)

2,604,060 627,597 576 (11,127) (23,113) (151,607) (45,798) (525,733) (178,169) 139,969 55,353 19,738 (92,314) 2,511,746 9,353 (3,015,451) (442,599) 15,031 9,831 (841,515) (4,265,350) 483,915 (1,087,786) (603,871) (2,357,475) (18,958) (9,613) (64,925) 532,208 (810,745) 5,329 700 (366,004) (2,723,479) (280,828) 23,641 (6,580,000) 6,952,198 (4,784,145) 5,625,000 955,866 (782,658) (782,658) (2,550,271) 8,812,199 6,261,928

1,429,748 436,498 518 (2,068) 84,998 (18,413) (70,918) (576,854) (46,913) 77,021 33,648 17,606 (64,877) 1,364,871 (39,150) (3,234,546) 731,813 (167,649) 11,274 (610,686) (3,308,944) (464,012) (5,526,451) (5,990,463) (7,934,536) (16,988) (109,444) 606,211 (926,549) (631) (447,401) (8,381,937) (726,721) 8,302 (3,071,000) 1,018,788 (2,004,012) 1,537,096 (3,237,547) (782,229) (782,229) (12,401,713) 15,755,980 3,354,267

The annexed notes 1 to 12 form an integral part of these condensed interim financial statements.


Koji Hyodo Vice Chairman & Director INDUS MOTOR COMPANY LTD. 7


Condensed Interim Statement of Changes in EquityShare Capital Capital Reserves Revenue Total

Issued, Unrealised subscribed Premium gain / (loss) Sub-Total on issue General Unapproand on hedging paid-up of ordinary reserve priated profit instruments shares(Rupees in '000)

Balance as at June 30, 2010 Final dividend @ 100% for the year ended June 30, 2010 declared subsequent to year end Transfer to general reserve for the year ended June 30, 2010 appropriated subsequent to year end Unrealised gain on cash flow hedge removed from equity and reported in net profit for the period Total comprehensive income for the half year ended December 31, 2010 Balance as at December 31, 2010 Balance as at June 30, 2011 Final dividend @ 100% for the year ended June 30, 2011 declared subsequent to year end Transfer to general reserve for the year ended June 30, 2011 appropriated subsequent to year end Total comprehensive income for the half year ended December 31, 2011 Balance as at December 31, 2011

786,000

196,500

8,522,350

3,050,414

32,351

11,801,615 12,587,615

-

-

-

(786,000)

-

(786,000)

(786,000)

-

-

2,264,400

(2,264,400)

-

-

-

786,000 786,000

-

-

907,758 907,772 2,350,398

(32,351) 5,805 5,805 -

(32,351) 913,563

(32,351) 913,563

196,500 10,786,750 196,500 10,786,750

11,896,827 12,682,827 13,333,648 14,119,648

-

-

-

(786,000)

-

(786,000)

(786,000)

786,000

-

1,564,300 -

(1,564,300) 1,766,624 1,766,722

1,491 1,491

1,768,115

1,768,115

196,500 12,351,050

14,315,763 15,101,763





Notes to and forming part of the Condensed Interim Financial Information1 THE COMPANY AND ITS OPERATIONS The company was incorporated in Pakistan as a public limited company in December, 1989 and started commercial production in May 1993. The shares of the Company are quoted on all the stock exchanges in Pakistan. The Company was formed in accordance with the terms of a Joint Venture agreement concluded amongst the House of Habib, Toyota Motor Corporation and Toyota Tsusho Corporation for the purposes of assembling, progressive manufacturing and marketing of the Toyota vehicles in Pakistan. The Company also acts as the sole distributor of the Toyota vehicles in Pakistan. The Company is also a sole distributor of Daihatsu vehicles in Pakistan and has a license for assembling, progressive manufacturing and marketing of these vehicles in Pakistan. The registered office of the Company and the factory is situated at Plot No. NWZ/1/P-1, Port Qasim Authority, Bin Qasim, Karachi. 2 STATEMENT OF COMPLIANCE This condensed interim financial information has been prepared in accordance with the approved accounting standards as applicable in Pakistan for interim financial reporting. Approved accounting standards comprise of IAS 34: 'Interim Financial Reporting' (IAS 34), the requirements of the Companies Ordinance, 1984 and the directives issued by the Securities and Exchange Commission of Pakistan (SECP). Where the requirements of the Companies Ordinance, 1984 and the directives issued by the SECP differ with the requirements of IAS 34, the requirements of the Companies Ordinance, 1984 and the directives issued by SECP prevail. This condensed interim financial information does not include all the information and disclosures required in the financial statements and should be read in conjunction with the annual published financial statements of the Company for the year ended June 30, 2011. This condensed interim financial information is unaudited. However, a limited scope review has been performed by the external auditors in accordance with the requirements of the Code of Corporate Governance. 3 3.1 ACCOUNTING POLICIES The accounting policies and methods of computation of balances adopted in the preparation of this condensed interim financial information are the same as those applied in the preparation of the annual published financial statements of the Company for the year ended June 30, 2011.


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Notes to and forming part of the Condensed Interim Financial Information3.1.1 Initial application of a standard, amendmment or an interpretation to an existing standard that are effective in the curred period During the period, the Company has adopted new and amended IFRSs and IFRIC interpretation as referred to in note 2.1.3 to the financial statements of the Company for the year ended June 30, 2011. The adoption of these IFRSs and IFRIC interpretation did not have any material effect on this condensed interim financial information other than certain additional disclosures, which will be detailed in the financial statements of the Company for the year ending June 30, 2012. 3.1.2 Standards, interpretations and amendments to published approved accounting standards that are not yet effective The following new and amended standards and interpretations have been published and are mandatory for the Company's accounting period beginning on or after July 1, 2012 and have not been early adopted: IAS 19, Employee benefits was amended in June 2011 applicable for periods begining on or after January 1, 2013. The amendment has resulted in the following changes: eliminate the corridor approach and recognise all actuarial gains and losses in other comprehensive income as they occur; to immediately recognise all past service costs; and to replace interest cost and expected return on plan assets with a net interest amount that is calculated by applying the discount rate to the net defined benefit liability / asset. The management is yet to assess the full impact of the amendments. There are other new and amended standards and interpretations that are mandatory for accounting periods beginning on or after July 1, 2012 but are considered not to be relevant or do not have any significant effect on the Company's operations and are therefore not detailed in this condensed interim financial information.

10

Half Yearly Report December 2011


Notes to and forming part of the Condensed Interim Financial InformationNote December 31 2011 (Unaudited) June 30 2011 (Audited)

(Rupees in '000) 4. FIXED ASSETS Property, plant and equipment Intangible assets 4.1 3,864,305 1,546 3,865,851 4.1 Property, plant and equipment Operating assets Capital work-in-progress 3,800,614 63,691 3,864,305 4.2 Details of additions and disposals in operating assets are as follows: 4,176,300 47,288 4,223,588 4,223,588 2,122 4,225,710

Additions (at cost) Half year ended December 31 2011 Tangible assets Buildings on leasehold land - Factory Plant and machinery Motor vehicles Furniture and fixtures Office equipment Computers and related accessories Tools and equipment Jigs and fixtures 2,596 220,922 30,942 1,244 3,552 2,733 2,436 264,425 22,137 15,805 33,794 2,571 7,006 5,444 8,000 3,227 97,984 2010

Disposals (at cost) Half year ended December 31 2011 2010

(Rupees in '000) 3,741 27,458 109 1,034 30 32,372 126 14,300 62 1,326 97 15,911

4.3 During the period, capital work-in-progress amounting to Rs. 221.555 million (2010: Rs 49.034 million) was transferred to operating assets.


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Notes to and forming part of the Condensed Interim Financial Information5. 5.1 CONTINGENCIES AND COMMITMENTS Contingencies

5.1.1 The status of contingencies, as disclosed in note 21.1 to the annual financial statements for the year ended June 30, 2011 has remained unchanged. 5.1.2 Contingencies in respect of outstanding bank guarantees at December 31, 2011 amounted to Rs 1,161.579 million (June 30, 2011: Rs 1,756.572 million). This includes an amount of Rs 821.732 million (June 30, 2011: Rs 1,065.017 million) in respect of bank guarantees from related parties. 5.2 Commitments Commitments in respect of capital expenditure at December 31, 2011 amounted to Rs 70.660 million (June 30, 2011: Rs 104.698 million).

6.

OPERATING RESULTS

Half year ended Quarter ended December 31 December 31 2011 2010 2011 2010 --------------------------- (Rupees in '000) --------------------------

6.1 Sales Manufacturing Gross sales Sales tax Federal excise duty Commission Manufacturing net sales Trading Gross sales Sales tax Commission Discounts Trading net sales Net sales 2,246,315 (291,873) 1,954,442 (15,431) (130,215) 1,808,796 32,999,571 2,727,231 (366,747) 2,360,484 (28,516) (108,916) 2,223,052 26,828,099 1,059,472 (137,146) 922,326 (6,156) (65,165) 851,005 15,853,278 1,171,279 (160,778) 1,010,501 (10,569) (61,438) 938,494 12,484,511 37,075,868 (5,086,568) 31,989,300 (798,525) 31,190,775 29,689,526 (4,261,832) (251,759) 25,175,935 (570,888) 24,605,047 17,832,299 (2,443,091) 15,389,208 (386,935) 15,002,273 13,928,232 (1,993,958) (118,161) 11,816,113 (270,096) 11,546,017

12



Notes to and forming part of the Condensed Interim Financial InformationQuarter ended Half year ended December 31 December 31 2011 2010 2011 2010 --------------------------- (Rupees in '000) -------------------------6.2 Cost of sales Raw materials and vendor parts consumed 28,909,939 Stores and spares consumed 487,577 Salaries, wages and other benefits 270,947 Rent, rates and taxes 1,815 Repairs and maintenance 84,423 Depreciation 594,482 Traveling 13,746 Insurance 13,502 Vehicle running 6,565 Communication 2,229 Printing, stationery and office supplies 1,128 Fuel and power 118,227 Running royalty 433,120 Technical fee 2,756 Staff catering, transport and uniforms 90,072 Others 7,683 2,128,272 Opening work-in-process 202,013 Closing work-in-process (1,207,365) Cost of goods manufactured 29,332,859 Opening stock of finished goods Closing stock of finished goods Cost of sales - Manufacturing Cost of sales - Trading 1,221,479 (1,553,448) 29,000,890 1,523,568 30,524,458

23,991,312 444,140 217,386 1,731 66,846 408,205 8,978 12,468 6,087 3,189 1,266 85,481 461,719 4,115 74,753 7,537 1,803,901 411,932 (1,264,971) 24,942,174 424,262 (1,814,228) 23,552,208 1,911,391 25,463,599

14,099,737 235,639 136,299 907 49,960 299,119 7,784 6,751 3,312 1,344 609 60,626 205,119 2,304 48,194 6,647 1,064,614 646,548 (1,207,365) 14,603,534 887,374 (1,553,448) 13,937,460 695,860 14,633,320

12,063,646 226,899 108,493 1,499 43,361 204,672 4,768 6,234 3,082 1,946 813 43,889 217,178 2,949 37,034 4,246 907,063 387,532 (1,264,971) 12,093,270 922,624 (1,814,228) 11,201,666 805,138 12,006,804

6.3 Gross profit Manufacturing Trading 2,189,885 285,228 2,475,113 1,052,839 311,661 1,364,500 1,064,813 155,145 1,219,958 344,351 133,356 477,707


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Notes to and forming part of the Condensed Interim Financial Information7 TRANSACTIONS WITH RELATED PARTIES The related parties comprise of associated companies, staff retirement funds and key management personnel. Transactions carried out with related parties during the period are as follows: Half year ended December 31 2011 2010 Quarter ended December 31 2011 2010

---------------------- (Rupees in '000) ---------------------Sales Purchases Insurance premium Agency commission Running royalty Rent expense Technical fee Return on bank deposits Proceeds from disposal of fixed assets / insurance claim With key management personnel: Salaries and benefits Post employment benefits Sale of fixed assets 37,568 925 34,685 958 785 13,818 467 13,779 489 4,059 2,758 1,831 2,758 55,901 19,380,058 61,559 28,037 437,955 6,257 2,756 256,192 53,275 16,693,996 56,805 22,817 465,583 6,257 4,115 238,966 27,167 9,247,812 33,431 18,331 207,991 3,129 2,304 100,015 30,431 7,968,467 32,437 14,144 219,323 3,129 2,949 109,414

The related party balances outstanding as at period / year end are as follows: December 31 2011 (Unaudited) June 30 2011 (Audited)

(Rupees in '000) Long-term deposits Short-term prepayments Bank balances Warranty claims, agency commission and other receivables Trade and other payables 2,005 3,129 3,547,315 100,581 2,159,588 2,005 9,385 4,778,371 10,910 2,116,635

14



Notes to and forming part of the Condensed Interim Financial Information8 SEGMENT REPORTING Half year ended December 31, 2011 Half year ended December 31, 2010 Manufacturing Trading Total Manufacturing Trading Total

(Rupees in '000) Net sales Profit before taxation 31,190,775 1,808,796 32,999,571 24,605,047 2,223,052 26,828,099 2,281,903 322,157 2,604,060 1,082,348 347,400 1,429,748

Quarter ended December 31, 2011 Manufacturing Trading Total

Quarter ended December 31, 2010 Manufacturing Trading Total

(Rupees in '000) Net sales Profit before taxation 15,002,273 1,026,886 851,005 15,853,278 11,546,017 169,848 1,196,734 335,877 938,494 12,484,511 144,994 480,871

9

NON-ADJUSTING EVENT AFTER THE BALANCE SHEET DATE The Board of Directors in its meeting held on February 22, 2012 have proposed an interim cash dividend of Rs 8 per share (December 31, 2010: Rs 5 per share) in respect of the year ending June 30, 2012. The condensed interim financial information for the half year ended December 31, 2011, do not include the effect of this dividend which will be accounted for in the condensed interim financial information for the quarter ending March 31, 2012.


15


Notes to and forming part of the Condensed Interim Financial Information

10

CORRESPONDING FIGURES Corresponding figures have been rearranged and reclassified wherever necessary, for the purpose of better presentation and comparison. There have been no significant rearrangements or reclassifications in this condensed interim financial information, except for the following:

Reclassification from component

Reclassification to component

Half year Quarter ended ended December 31, 2010(Rupees in '000)

Cost of sales - Running royalty Finance costs - Unrealised gain on revaluation of foreign exchange contracts - net

Finance costs - Exchange loss Cost of sales - Purchases

47,149

12,025

83,578

19,412

11

DATE OF AUTHORIZATION OF ISSUE This condensed interim financial information was authorized for issue on February 22, 2012 by the Board of Directors of the Company.

12

GENERAL Figures in this condensed interim financial information has been rounded off to the nearest thousand rupees.



16


Company Information

Board of Directors Mr. Ali S. Habib Mr. Koji Hyodo Mr. Parvez Ghias Mr. Mitoshi Okimoto Mr. Farhad Zulficar Mr. Mohamedali R. Habib Mr. Takahiro Iwase Mr. Hiroyuki Niwa Mr. Raza Ansari Chairman Vice Chairman Chief Executive Officer Director Director Director Director Director Director

Bankers Askari Bank Limited Bank Alfalah Limited Barclays Bank PLC Pakistan Bank Al-Habib Limited Citibank N.A. Habib Bank Limited Habib Metropolitan Bank Limited HSBC Bank Middle East Limited MCB Bank Limited National Bank of Pakistan NIB Bank Limited Soneri Bank Limited Standard Chartered Bank (Pakistan) Limited The Bank of Tokyo-Mitsubishi UFJ Limited United Bank Limited Registrar Noble Computer Services (Private) Limited First Floor, House of Habib Building (Siddiqsons Tower), 3-Jinnah C. H. Society, Main Shahrah-e-Faisal, Karachi-75350. Phone: (PABX) (92-21) 34325482-87 Fax: (92-21) 34325442 Factory / Registered Office Plot No. N.W.Z/1/P-1, Port Qasim Authority, Bin Qasim, Karachi. Phone: (PABX) (UAN) Fax: Website: (92-21) 34720041-48 (92-21) 111-TOYOTA (869-682) (92-21) 34720056 www.toyota-indus.com

Chief Financial Officer & Company Secretary Muhammad Faisal

Audit Committee Members Mr. Mohamedali R. Habib Mr. Farhad Zulficar Mr. Takahiro Iwase Mr. Hiroyuki Niwa Mr. Raza Ansari Mr. Ahmed Waseem Khan Auditors A.F. Ferguson & Co. Chartered Accountants, State Life Building No.1-C, I.I. Chundrigar Road, Karachi. Legal Advisors A.K. Brohi & Company Mansoor Ahmed Khan & Co. Mahmud & Co. Sayeed & Sayeed Co. Committee Chairman Member Member Member Member Secretary


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Documents

Toyota Annual Rreport Dec2011