Pakage Limited

Slide 1

Introduction &HISTORY: Packages Limited was established in 1956 as a joint venture between the Ali Group of Pakistan and Akeund & Rausing of Sweden, to convert paper and paperboard into packaging for consumer industry The capacity has been increased eventually at 110,000 tonnes per year. Provides premium packaging solutions for exceptional value to individuals and businesses. Since 1982, Packages Limited has a joint venture with Tetra Pak International in Tetra Pak Pakistan Limited to manufacture paperboard for liquid food packaging and to market Tetra Pak packaging equipment. In 1996, a joint venture agreement was signed with Printcare (Ceylon) Limited for the production of flexible packaging materials in Sri Lanka. This project Packages Lanka (Pivate) Limited commenced production in 1998. Packages Limited now owns 79% of this companyVISION:Position ourselves to be a regional player of quality packaging and consumer products AWARD:December 31, 2010 was awarded third position in its category by the joint committee of Institute of Chartered Accountants of Pakistan (ICAPCompany won the National Forum for Environment and Health (NFEH) Environment excellence Award 2011 Shahrah-e-Roomi P.O. Amer-sidhu, Lahore-54760, Pakistan Tel: + 92 42 35811541-6, 35811191-4 Fax: + 92 42 35811195, 35820147 For Customer Queries: [email protected] For Vendor Queries : [email protected] For Human Resource : [email protected] For General Info : [email protected] For Blow Your Whistle : [email protected] & OPERATIONS HEAD OFFICE & WORKS PAPER & BOARD

STATIONARY

CARTON BUSINESS UNIT

UNIT FLEXIBLE

BUSINESS UNIT

CONSUMER PRODUCTS

Products

Manpower Less Than 10 Years Service 1,358 Between 11 And 20 Years 582 Between 21 And 30 Years 512 Above 30 Years 439

Executive And Management Staff 506 Supervisors 246 Workers 2,139

TOTAL 2,891Manpower

Corporate strcture:

Packages Limited has two main manufacturing divisions: The Packaging Division, provides multi-dimensional and multi productpackaging solutions to clients that are involved in manufacturing consumerproduct across industries.

2. The Consumer Products Division, which manufactures off-the-shelf branded consumer productsBoard of Directors

Mr. Towfiq Habib ChinoyMr. Khalid YacobMr. Shamim Ahmad KhanMr. Mats NordlanderMr. Alamuddin BulloMr. Tariq Iqbal KhanMr. Muhammad AurangzebSyed Shahid AliSyed Hyder AliSyed Aslam Mehdi Packages limited company ratio analysis (2012,2013) Ratio analysis: (1)Liquidity ratio: Current ratio: Current assets/Current liabilities 7,029899/4481500 8359417/5331298 =1.5 =1.5Quick ratio: Current assets- Inventories/ Current liabilities

7029899-1909807/ 8359417-2064901/ 4481500 5331298 = 1.1 =1.1Absolute liquid ratio: cash+marketable security+cash bank/ 362380/4481500 235874/5331298 Current liabilities =0.080 =0.044

2012 20132)Asset management ratio:Inventory turnover: Sales/Inventories 11,745290/1909807 14887857/2064901 =6.1times =7.2timesDays sales outstanding: Receviable/annual sales/365 2279915/11745,2901/ 1622809/14887857/ 365 365 =70.8times =39.7times

Fixed assets turnover: Sales/net fixed assets 11745290/24418764 14887857/44909885 =0.4 times =0.3timesTotal assets turnover: Sales /total assets 11745290/45991954 14887857/53,269302 =0.25 times =0.27timesPayable deffered period : Payables/cost of good sold/365 1977498/10270143/ 3052362/12892590/ 365 365 =70.2 days =86.4 days Inventory conversion period: Inventory/cost of good Sold per day 2371432/10270143/ 2633494/12892590/ 365 365 =84.2 days =74.55days

Working capital turnover ratio: Cost of good sold/average Net working capital 10270143/2548399 12892590/3028119 = 4.0 time 4.2 times (3)Debt management ratio:Total debt to total assets: total debt/total assets 2279.915/45991954 1622809/53269,302 =0.04% = 0.03%2012 2013Time interest earned: EBIT/interest charges 1010928/528371 996571/845253 =1.91 = 1.17 ( 4) Profitability ratio: Operating margin: EBIT/SALES 1010928/11745290 996571/14887857 =0.086 =0.06Profit margin: Net income/sales 1488082/11745290 1795812/14887857 = 0.126 =0.120 Return on total assets: Net income/total assets 1488082/45991954 1795812/53269302 =0.032 =0.033

2012 2013 Gross profit margin: gross profit/ Net sales *100 1475147/11745290*100 1995267/14887857*100 =12.55% =13.4%Operating profit margin: operating profit /Net sales *100 1488082/11745290*100 1795812/14887857*100 =12.6 =12.0 (5) Efficiency ratio: Cash turnover: Net sales/cash 11745290/362380 14887857/235874 =32.4 =63.11Basic earning power: EBIT/total assets 1010928/45991954 996571/53269302 =0.021 =0.018Return on common equity: Net income/common equity 1488082/1909807 1795812/2064901 =0.77 = 0.86

Comparison ratio:Liquidity ratio: There is no effect of current & quick ratio in 2012,2013. Absolute liquid ratio will be decrease in 2013.Asset Management ratio: In inventory turnover & total asset turnover working capital ratio will be increase in 2013 as compare to 2012 & Days sales outstanding & fixed asset turnover is decrease in 2013 as compare to 2012.Debt Management ratio: Debt management is decrease in 2013 as compare to 2012.Profitability ratio: Profit made in 2013 is less than 2012.Efficiency ratio: Efficiency ratio is increase year after yearConclusion:The company goes day by day. company goes on the way they may be close if they want to survive they increase there financial resource and develop management.

Pakage Limited

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