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PRESENTATION AT MILLAT TRACTOR LIMITED

1. ABDUL WAHEED AHMAD AWAN……………………………………. 3038

2. MUHAMMAD QURBAN …………………………………….. 3015

3. SAJID ALI ……………………………………… 3011

4. USMAN ……………………………………… 3036

Presented By:

Submitted To:Ms. Mehvish

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CONTENTS

Company ◦ Introduction……………………………………………………………………………………..◦ Nature Of Business……………………………………………………………………………◦ Products……………………………………………………………………………………………◦ Financial Sources……………………………………………………………………………….◦ Example of company conducting same nature of business………………..◦ Documents of company…………………………………………………………………….◦ Market strategy…………………………………………………………………………………◦ Conclusion ………………………………………………………………………………………..

References Link http://www.millatgears.com/index.php?option=com_content&view=article&id=4&Itemid=101

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INTRODUCTION1. Millat Tractors Limited (MTL) was established in 1964 to introduce and market Massey Ferguson (MF) Tractors in

Pakistan. An assembly plant was set up in 1967 to assemble tractors imported in semi-knocked down (SKD) condition.

2. The company was nationalized under Economic Reforms Order in 1972 and started assembling and marketing tractors

on behalf of Pakistan Tractor Corporation (PTC) which was formed by the Government for import of tractors in SKD

condition. In 1980 the Government decided on indigenization of the tractors and entrusted this task to PTC (Pakistan

Tractor Corporation).

3. In 1992, the company was privatized. The employees joined hands and took over the management by winning an open

bid. The Tractor Assembly Plant is part of this philosophy. This plant started its production in 1992. The establishment of

this modern plant not only increased production capacity to 16000 tractors per year on a single shift basis

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Board of Directors

Sikandar Mustafa Khan (Chairman)Ahsan Imran Shaikh (Chief Executive)Sohail Bashir RanaMian Muhammad SaleemLatif Khalid HashmiLaeeq-ud-Din AnsariS M Irfan Aqueel

Company Secretary

Mian Muhammad Saleem

Chief Financial Officer

Sohail Ahmed Nisar , FCA

Auditors

A.F Ferguson & Co.(Chartered Accountants Lahore)

Legal Advisors

Walker Martineau Saleem(Advocate & Legal Consultants)

Registered Address

8.8-K.M. Lahore Sheikhupura Road,Shahdra, Lahore.

Plant Site

10-K.M. Raiwind Road, Lahore.

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NATURE OF BUSINESS Millat Tractors Limited is a public limited company incorporated in Pakistan under the

companies ordinance 1984, and is listed on the Karachi, Islamabad and Lahore Stock Exchanges.

The registered office of the company is situated at Sheikhupura Road, District Sheikhupura. It is

principally engaged in assembly and manufacture of agriculture tractors, implements and

equipment.

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PRODUCTS Millat Tractors Limited is principally engaged in assembly and manufacture of

agriculture tractors, implements and agriculture equipment.

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Products Millat Tractors Limited Tractors

1. MF-240

2. MF-260(TURBO)

3. MF-350

4. MF-350+

5. MF-375

6. MF-385

7. MF-385(4WD)

8. MF- 455

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Agricultural Instruments

Mould board plough

Chisel plough

Disc plough

Tine Tiller

Disc harrow

Rigger

Lawn mover

Post hole digger

Adjustable Pintle hook

Jib crane

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Vision & Mission Our Vision

◦ Aspired to reach and sustain at ultimate heights of value and excellence in engineering.

Our Mission◦ “To be a preferred choice for customers and suppliers, competing in the domestic and overseas

markets by continuously delivering value on a long term basis through a high performance team driven by innovation and adherence to Health, Safety and Environmental standards benefiting all stake holders. ”

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FINANCIAL SOURCES

PRINCIPAL BANKERS

◦ HABIB BANK LIMITED

◦ HABIB METTROPOLITAN BANK LIMITED

◦ MCB (MUSLIM COMMERCIAL BANK)

◦ UNITED BANK LIMITED

◦ FAISAL BANK LIMITED

◦ MEEZAN BANK LIMITED

GENERAL PUBLIC

◦ by issue shares

◦ By issue denetures

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EXAMPLE OF COMPANY CONDUCTING SAME NATURE OF BUSINESS

AL-GHANI TRACTORS Ltd. COMPANY

ROSSI TRACTOR Ltd. COMPANY

FOARD TRACTOR Ltd. COMPANY

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CONSOLIDATE BALANCE SHEETAs on 30 june 2012.

Equity and liabilities (RUPEES IN THOUSANDS)

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ASSETS (RUPEES IN THOUSANDS)

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CONSOLIDATE PROFIT AND LOSS ACCOUNTFor As on 30 june 2012.

(RUPEES IN THOUSANDS)

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STATEMENT OF COMPREHENSIVE INCOME STATEMENT

For As on 30 june 2012.(RUPEES IN THOUSANDS)

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Marketing department has following braches.

Tractors sales

Area Development

Institutional Sales and Export

Sales support

Service Department

Distribution Department

Parts

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Marketing Strategy /Network

Market strategy /NetworkRegional Offices 5

Sales Regions 13

Main Dealers 74

Authorized Workshops 458

Parts Dealers 45

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Pakistan’s EconomyThe economy on average grew 2.94% per annum since 2008-09. During FY12 and FY13 the power shortage became so severe that it wiped out 2% from our GDP. Agriculture, Manufacturing and the Services sector performed below their capacities. The adverse impact of the economic crunch was further aggravated by the war on terror causing irreversible damage to the economy.

The Agriculture sector managed a growth of 3.3%, against the previous year’s growth rate of 3.5%. Large Scale Manufacturing (LSM) sector grew by 2.8%, compared to the growth of 1.2% last year. The Services sector witnessed a growth of 3.7%, as compared to 5.3% in 2012.

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Sale/Production VolumeUnits

No of Units ProducedNo. of Units Sold

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

45,000

27,260

27,5

06

30,2

44

40,1

78

42,1

88

32,0

04

32,0

16

30,677

40,14042,011

2008 2009 2010 2011 2012 2013

32,006 32,023

Years

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2013 2012

Sales Revenue Rs. in Million 22,699 20,133

Profit After Tax Rs. in Million 2,139 1,978

Number of Outstanding Shares (000’s) 40,266 36,606

Earnings per Share-Basic and Diluted Rs. 53.11 49.11

Dividend Rs. / Share 55.00 65.00

Capital Expenditure Rs. in Million 204 168

Long Term Investments Rs. in Million 354 288

Total Assets Rs. in Million 10,125 10,289

Shareholders Equity Rs. in Million 4,764 5,162

Return on Capital Employed Percentage 45.38 38.50

Current Ratio Times 1.64 : 1 1.77 : 1

Debt : Equity Ratio Times 0 : 100 0 : 100

Market Capitalization (Year End) Rs. in Million 21,139 17,675

Market Capitalization (Year End) US$ in Million 214 188

Price to Earning Ratio Times 9.88 8.94

Net Assets per Share Rs. 118.31 141.01

Conclusion on financial sources

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Dividends

Dividend   Based on 2014 Final Rs. 40.00 Dividend Yield   Based on 2014 Final 6.68

Interim Dividend   Based on 2015 2Q Rs. 25.00   Dividend Last Quarter   Based on 2015 2Q Rs. 25.00

Exp Dividend   Based on 2015 2Q Rs. 63.55 Exp Dividend Yield   Based on 2015 2Q 10.62

Exp Dividend Growth   Based on 2015 2Q 58.88 Dividend Cover   Based on 2014 Final 0.84

Payout Ratio   Based on 2014 Final 119.55 Exp Payout Ratio   Based on 2015 2Q 119.55

Sales

Sales Per Share   Based on 2014 Final 374.56 Exp Sales Per Share   Based on 2015 2Q 459.10

Price To Sales   Based on 2014 Final 1.60 Exp Price To Sales   Based on 2015 2Q 1.30

Sales P-S Growth   Based on 2014 Final -26.91 Exp Sales P-S Growth   Based on 2015 2Q 22.57

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Enterprise Value (EV)

EV To Sales   Based on 2014 Final 1.53 Exp EV To Sales   Based on 2015 2Q 1.23

Enterprise Value   Based on 2015 2Q 25.07 B Market Capitalization 26.48 B

EV To EBITDA   Based on 2014 Final 11.64 EV Per Share   Based on 2015 2Q 566.00

Cash

Cash Flow Per Share   Based on 2015 2Q 33.10 Cash Per Share   Based on 2015 2Q 33.10

Net Asset Value (NAV)

Net Asset Value    N/A Discount To NAV    N/A

Exp Net Asset Value    N/A   Exp Discount To NAV    N/A

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Advances & DepositsEquity To Advances    N/A Advance Deposite Ratios    N/A

Cash To Deposits Ratio    N/A    

InsuranceUnderwriting Result To PAT    N/A    Investment Income To PAT    N/A

ProfitablilityNet Profit Margin   Based on 2014 Final 8.93 Gross Profit Margin   Based on 2014 Final 17.94

EBIT Margin   Based on 2014 Final 12.80 EBITDA Margin   Based on 2014 Final 13.17

Net Interest Margin    N/A    

LiquidityInterest Cover   Based on 2014 Final 28.57 Times Interest Earned   Based on 0 N/A

Inventory Turnover   Based on 2014 Final 6.82 Asset Turnover   Based on 2014 Final 236.39

Current Ratio   Based on 2015 2Q 1.79 Effective Tax Rate   Based on 2014 Final 32.13

Quick Ratio   Based on 2014 Final 1.19 Net Interest To Assets   Based on 2014 Final N/A

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Solvency

Long Debt To Equity   Based on 2015 2Q 0.56 % Total Debt To Equity   Based on

2015 2Q 84.76 %

Long Debt To Assets   Based on 2015 2Q 0.30 % Total Debt To Assets   Based on

2015 2Q 45.87 %

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