This subsidiary of Swiss multinational company has scaled new heights in performance in its field speciality chemicals products. It achieved 12% growth in gross sales which is the record highest figure of Rs 4.34 billion as compared to last year at Rs 3.89 billion.
The company was selected for two years in running by the Karachi Stock Exchange for Top 25 Companies Awards.
The current selection pertains to operation year 2002. During the year under review, financial charges reduced to 63% despite considerable volume growth.
The profit after tax stood at Rs 284.01 million against Rs 222.79 million for the last year.
The directors recommended final cash dividend of 70% in addition to the interim cash dividend of 40% already paid for the year under review.
The total cash dividend for the year thus comes to 110% showing a considerable improvement of 38% over the last year, and this is the record highest payout rate since its inception.
Clariant Pakistan Limited, is a public limited company incorporated in the province of Sindh. The address of its registered office is 1-A/1 Sector 20 Korangi Industrial Area Karachi.
Its shares are quoted on the Karachi Stock Exchange.
The company was listed on the stock exchange in 1997. Clariant shares have been invariably been considered blue chips. During the last one year the bull run at the stock exchange has shot up its market value by 154.4% from Rs 59.35 per share to Rs 151.00 per share.
At present the share is trading at the price of Rs 150 per share. The company's shares registrars are Ferguson Associates (Pvt) Ltd State Life Building 1-A I.I. Chundrigar Road Karachi.
The company manufactures and sells chemicals, dyestuff, emulsions and master-batches. Hence its shares are quoted in the chemical sector at the stock exchange.
Clariant Pakistan also acts as an indenting agent. Hence substantial income are earned as indent commission.
The company is a subsidiary of Swiss multinational company Clariant International AG Muttenz incorporated in Switzerland. Its holding company and its nominees hold 11.697 million paid up shares of the company.
This works out to 75% of the company's total 15.597 million paid-up shares of Rs 10 each. National Investment Trust holds 11.54% the share. Its 815 individual shareholders hold 7.80% of the share.
During the year under review, the company registered net sales at Rs 3.362 billion exhibiting 12.4% increase over net sales of Rs 2.991.08 million posted in the preceding year.
Net sales was computed from gross sales out after deduction of Rs 326.56 million on account of discount and commission and Rs 651.47 million on account of excise duty and sales tax.
During the year the company's export sales increased to Rs 24.24 million from Rs 22.29 million in the preceding year.
From the break-up of the sales in various segments it clearly shows that there was impressive growth except for leather related chemical business.
Favourable sales growth in textile sector was recorded at 13% in Masterbatches 14%. Emulsion for paint and other industries was also 14% as compared to the last year.
During the year the company's production increased by 18.03% to Rs 29,581 tonnes as compared to Rs 25,063 tonnes recorded for the previous year.
The company's manufacturing facilities are located at three places. One factory is located at Petaro Road Jamshoro (Sindh).
The other is situated at Korangi Industrial Area Karachi (Sindh). Third factory is located in the province of Punjab at Katarband Road, Thokar Niaz Baig Lahore.
The company's main thrust is to be leader in speciality chemicals industry through leading edge technology and innovation with superior applications and customer service skills.
The directors emphasised that at the Korangi scientific centre they continue to invest in improving equipment to match the growing need of time.
The integration of two emulsion plants at Jamshoro site shifted from two different locations as a consequence of merger with Hoechst Specialty Chemicals now runs at a fair capacity.
The Business Line Emulsions develops satisfactorily in which the company is rapidly gaining market share.
The money market position remained favourable for treasury department hence substantial reduction was achieved in financial charges.
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Performance Statistics (Million Rupees)
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31 December 2003 2002
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Share Capital-Paid-up: 155.97 155.97
Reserves & Surplus: 491.46 379.01
Shareholders Equity: 647.43 534.98
L.T Debts: 541.67 333.33
Current Liabilities: 1,445.29 1,629.25
Fixed Assets: 584.08 617.65
L.T Loans & Advances: 17.05 6.08
L.T Deposits: 1.50 1.85
Deferred Tax: 38.11 50.64
Current Assets: 1,993.65 1,821.34
Total Assets: 2,634.39 2,497.56
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Sales, Profit & Pay Out
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Net Sales: 3,362.09 2,991.08
Gross Profit: 873.92 860.21
Indent Commission: 19.64 17.63
Operating Profit: 604.90 574.68
Other Income: 7.12 5.47
Financial (Charges): (112.81) (179.32)
(Depreciation): (79.30) (77.93)
Profit Before Taxation: 463.07 367.45
Profit After Taxation: 284.01 222.79
(Dividend) Cash
@ 110% (2000:@ 80%): (171.56) 124.77
Earnings Per Share (Rs): 18.21 14.28
Share Price (Rs)
Dated 18.03.2004: 150.00 -
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Financial Ratios
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Price/Earning Ratio: 8.23 -
Book Value Per Share: 41.50 34.30
Price/Book Value Ratio: 3.61 -
Debt/Equity Ratio: 46:54 38:62
Current Ratio: 1.38 1.12
Asset Turn Over Ratio: 1.28 1.20
Days Receivables: 103 107
Days Inventory: 116 115
Gross Profit Margin (%): 25.99 28.76
Net Profit Margin (%): 8.44 7.49
R.O.A (%): 10.78 8.92
R.O.C.E (%): 23.89 25.65
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Production (Tonnes)
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Production: 29,581 25,063
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