BECO Steel : Transmission of quarterly accounts for the period ended 30 September 2022

INTERIM FINANCIAL REPORT (UNAUDITED) FOR THE QUARTER ENDED SEPTEMBER 30, 2022

COMPANY INFORMATION

BOARD OF DIRECTORS
1.	Miss Afifa Shafique	Chairperson/Non-Executive Director
2.	Mr. Ali Shafique Chaudhary	Chief Executive Officer
3.	Mr. Muhammad Hashim Tareen	Independent Director
4.	Mr. Muhammad Asim Raza	Non-Executive Director
5.	Miss. Eman Shafique	Non-Executive Director
6.	Mr. Mahmood Aslam	Independent Director
7.	Mr. Waheed Akbar	Executive Director
AUDIT COMMITTEE
1.	Mr. Muhammad Hashim Tareen	Chairman/Independent Director
2. Mr. Muhammad Asim Raza	Member
3.	Miss Eman Shafique	Member
HR & REMUNERATION COMMITTEE
1.	Mr. Muhammad Hashim Tareen	Chairman/Independent Director
2.	Mr. Ali Shafique Chaudhary	CEO/Member
3.	Miss Eman Shafique	Member
4.	Mr. Muhammad Asim Raza	Member
CHIEF FINANCIAL OFFICER	COMPANY SECRETARY
Mr. Kamran Munawar	Mr. Zahur Ahmad
HEAD OF INTERNAL AUDITOR
Abida Kamran & Co.,
Chartered Accountants
EXTERNAL AUDITORS	SHARE REGISTRAR
Tariq Abdul Ghani Maqbool & Co.,	Hameed Majeed Associates (Private) Limited
Chartered Accountants

REGISTERED OFFICE

Florets Luxury Apartments, Ground Floor,

G-7,127-Ahmad Block,

New Garden Town, Lahore

COMPANY'S BANKER

Soneri Bank Limited

JS Bank Limited

Habib Metropolitan Bank Limited

Meezan Bank Limited

Directors' Review

Dear Valued Shareholders,

On behalf of the Board of Directors of Beco Steel Limited, we take this opportunity to place before you unaudited condensed interim financial statements of thecompany for the quarter ended 30 September 2022.

Financial performance

The summary of financial results of the Company for the quarter ended 30 September 2022:

	Quarter ended 30
	September
Particular	2022	2021	Percentage Change
	Rupees	Rupees	Increase/(decrease)
Sales-net	3,173,846,282	694,734,202	357%
Gross Profit	203,724,201	53,240,580	283%
Profit before taxation	175,159,641	46,204,105	279%
Provision for taxation	39,673,079	8,684,178	357%
Profit after tax	135,486,562	37,519,927	261%
EPS (in Rupees)	1.08	1.50

Business, financial & operational review

During the period, political tensions, floods, current account deficit, depreciating currency, struggling foreign exchange reserves, rising inflation and significant increase in energy cost, impacted the overall performance of the Company. Amidst the prevailing adversities, the Company managed to maintain its topline. Resultantly, the Company posted profit for the period amounting to Rs. 135.486 million as compared to Rs. 37.519 million in corresponding period resulting in increase of 261%. Earnings per share (EPS) for the current period stood at Rs. 1.08 as compared to EPS of Rs. 1.50 in the corresponding period, the statement of financial position footing stood at Rs. 4,616 million as of September 30, 2022, compared to Rs.4,548 million as of June 30, 2022. Breakup value per share increased to Rs. 27.98 as of September 30, 2022 from Rs. 26.89 as at June 30, 2022. Current ratio as at September 30, 2022 stood at 1.40:1 as compared to 1.25:1 as at June 30, 2022.

Future Outlook

It is expected that increase in construction activities; post floods will improve demand for long -rolled products. Further, the Company, will continue to maintain its topline operations and make efforts to further increase them.

Acknowledgement

We would like to take this opportunity to thank our customer, suppliers and bankers for their continued support and cooperation towards the progress of the company. We hope that this support would continue in the future as well.

We would also like to thank our dedicated and talented team of executive, staff and workers for the hard work put in duringthe period. We expect continued efforts from our employees to achieve even better results in the next year and last, but notthe least, the management is thankful to the board for its usual support and guidance in executing the vision and objective set for the company.

On behalf of the board

Ali Shafique Chaudhary	Afifa Shafique
Chief Executive Officer	Director/Chairperson
Lahore: 29 October 2022

BECO STEEL LIMITED

CONDENSED INTERIM STATEMENT OF FINANCIAL POSITION (UN-AUDITED)

AS AT 30 SEPTEMBER 2022

		30-Sep-2022		30-Jun-2022
EQUITY AND LIABILITIES	Notes	Rupees		Rupees
Share capital and reserves
Authorized share capital:
150,000,000 (2021: 150,000,000) ordinary
of Rs. 10/- each		1,500,000,000	1,500,000,000
Issued, subscribed and paid up capital	6	1,249,625,100	1,249,625,100
Share Premium		1,999,250,200	1,999,250,200
Loan from directors		217,072,420	217,072,420
Revenue reserve		9,000,000	9,000,000
Accumulated losses		21,678,422		(113,808,140)
		3,496,626,142	3,361,139,580
Non current liabilities
Deffered Liabilities		-	-
Current liabilities
Trade and other payable		998,647,829		1,105,942,115
Accrued mark up		850,000		850,000
Unclaimed dividend		1,034,090		1,034,090
Provision for taxation		118,970,084		79,297,005
		1,119,502,003	1,187,123,210
Contingencies and commitments			-
		4,616,128,145	4,548,262,790
ASSETS
Non current assets
Property, plant and equipment	7	2,996,449,583	3,014,759,336
Long term deposits		450,000		450,000
Deferred tax asset		49,119,289		49,119,289
		49,569,289		49,569,289
		3,046,018,871	3,064,328,625
Current assets
Stock in trade	8	432,838,291		458,151,183
Stores spares and loose tools		683,728		819,832
Trade debts		999,691,187		901,779,197
Income tax due from Government		91,729,274		86,587,437
Trade deposits and short term prepayments		160,000		160,000
Short term investment		1,103,997		1,103,997
Cash and bank balances		43,902,796		35,332,519
		1,570,109,273	1,483,934,165
		4,616,128,145	4,548,262,790

The annexed notes from 01 to 13 form an integral part of these financial statements.

CHIEF EXECUTIVE OFFICER

DIRECTOR

CHIEF FINANCIAL OFFICER