Jamal Din Wali Sugar Mills Project

8/3/2019 Jamal Din Wali Sugar Mills Project

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JAMAL DIN WALI SUGAR Mills

Location:

Head office:

JDW Sugar Mills Ltd,17-Abid Majeed Road,Lahore Cantt, Lahore.

UNIT I:

Mauza Sharin, Jamal Din Wali,Distt. Rahim Yar Khan.

UNIT II:

Machi Goth, Sadiqabad,Distt. Rahim Yar Khan.

UNIT III:

Mauza Laluwali, Near Village Islamabad,Distt. Ghotki.

Directors:

Syed Ahmed MahmudDirector/Chairman

Mr. Jahangir Khan Tareen

Director/Chief Executive

Mr. Ijaz Ahmed PhulpotoMr. Asim Nisaar Bajwa

Mr. Zafar Iqbal

Mr. Muhammad IsmailMr. Abdul Ghaffar


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Product:

These mills produce CRYSTALINE SUGAR.

RAW Materials:Sugar Cane

Process:

The ManufacturingProcess:

1)Planting and harvesting


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2)Preparation and processing

3)Juice extraction pressing

4)P

urification of juice

clarificationand evaporation

5) Crystallization6) Centrifugaling

7)Drying and packaging


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Industry Profile:

Unit-I:

JDW Sugar Mills Limited (the Company) was incorporated in Pakistan on 31 May 1990

as a private limited company under the Companies Ordinance, 1984 and was

subsequently converted into a public limited Company on 24 August 1991. Shares of

the Company are listed on the Karachi and Lahore Stock Exchanges. Crushing capacity

of this Unit is 20,000 TCD and is located in District Rahim Yar Khan. The principal

activity of the Company is production and sale of crystalline sugar.

Unit-II:

JDW Unit-II (formerly United Sugar Mills Limited) was acquired by JDWSML inNovember 2005 and after four years successful operations this was merged into

JDWSML w.e.f. October 1, 2008. USML was incorporated in Pakistan on February 5,

1970 and listed on Karachi Stock Exchange until 14 September 2008 when this was got

de-listed. Crushing capacity of this Unit is 8,000 TCD and is located near Sadiqabad at

distance of 45 Kms from JDW Unit-I in District Rahim Yar Khan. Since acquisition, JDW

has invested approximately Rs. 620 million in up gradation & improving the efficiency

and bringing it upto the level of JDW Unit I.

Unit-III:

JDW Unit-III (formerly Ghotki Sugar Mills (pvt) Limited) was incorporated on 02 June

2006 as a Private Limited Company under the Companies Ordinance, 1984. JDW Unit-

III started crushing in year 2007-2008. The crushing capacity of this unit is 10,000 TCD


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and is located in District Ghotki, Sindh Province. It is located at a distance of 145 Kms

from JDW Unit-I and 100 Kms from JDW Unit-II. It was setup in the record time of 11

months between ground breaking and production and in the first year of production it

reached 90,918 Tons with a recovery of 10.55 % which was the highest in the country.

Mission: To be the market leader and a world-class organization by meeting and proactively

anticipating customer needs.

To maximize the wealth of stakeholders by optimizing the long term returns and

growth of the business.

To be amongst the most efficient and lowest cost producers in the industry.

To ensure a safe, harmonious and challenging working environment for the

employees.

Strategy: To grow our base business in sugar and build those related activities where there is

opportunity to smooth the impact of sugar price cycles.

To produce sugar which is of highest international standards?

To make investment in sugarcane crop to ensure regular supply of cane and

profitability of growers.

To offer equal and fair growth opportunities to all employees.

To undertake and support community development and welfare projects in order to

fulfill social commitments.


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Cost analysis:

a) Sales.?

b) CGS-details-RAW material, direct labor, F.O.H

c) Operating Expenses: detail selling, general and administrative

d) Calculate % of all above individual cost components to sale.

e) Comparison of cost in two years increase or decrease

f) Share price in stock market.


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2010 2009

Rupees Rupees

Gross sales 21,387,670,717 11,253,260,871

Sales tax, SED & others (995,462,924) (1,354,802,114)

Net sales 20,392,207,793 9,898,458,757Cost of sales (16,744,461,278) (7,510,054,464)

Gross profit 3,647,746,515 2,388,404,293

Administrative expenses (344,195,411) (227,193,383)Distribution and (11,956,057) (15,187,696)

marketing expensesOther operating expenses (212,051,150) (115,552,852)

Other operating income 47,729,198 24,438,859

(520,473,420) (333,495,072)Operating profit 3,127,273,095 2,054,909,221

Finance cost (1,168,439,503) (1,127,467,695)Share of loss of

associated companies (6,957,792) (405,913)

Profit before taxation 1,951,875,800 927,035,613Taxation (711,473,399) (339,381,836)

Profit after taxation 1,240,402,401 587,653,777

Basic and diluted earnings per share 3828.20 13.50


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ADMINISTRATIVE EXPENSES

Salaries, wages and other benefits 137,308,215 80,494,367

Depreciation 54,016,100 25,292,582

Charity and donations 41,013,848 35,035,435

Traveling and conveyance 27,088,130 28,058,605

Legal and professional services 16,036,266 8,737,634

Office rent and renovation 11,650,604 11,720,838

Vehicle running and maintenance 11,205,399 7,187,945

Consultancy and advisory 7,453,000 2,250,000

Subscription and renewals 5,492,223 2,575,542

Telephone, fax and postage 5,401,447 3,410,244

Insurance 3,973,966 2,498,132

Printing and stationery 3,794,536 2,913,774

Fee and taxes 3,660,417 4,976,743

Auditors remuneration 2,650,000 1,680,000

Electricity and power 1,884,239 1,594,090

Computer software and maintenance 1,443,599 607,665

Advertisement 2,018,558 3,243,534

Entertainment 770,393 383,030

Arms and ammunition 132,631 -

Newspapers, books and periodicals 42,892 62,084

Other expenses 7,158,948 4,471,139

344,195,411 227,193,383


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Cost of goods manufactured

Cost of sugarcane consumed

(including procurement and other costs)13,767,259,9016,610,001,177

Salaries, wages and other benefits 27.1.1535,540,073474,230,381

Depreciation 16.2371,168,043391,236,264

Stores and spares consumed 316,166,756201,853,657

Packing materials consumed 101,459,430 96,399,049

Oil, lubricants and fuel consumed 58,387,59562,284,608

Insurance 40,155,509 33,195,173

Vehicle running expenses 56,112,36250,328,865

Chemicals consumed 61,818,88356,946,936

Electricity and power32,562,889 24,876,732

Repairs and maintenance 30,154,33030,895,838

Provision for obsolescence 44,082,604

Provision for doubtful advances 24,959,525

Assets written off20,213,356

Freight and octroi 13,681,6488,625,577

Mud and bagasse shifting expenses 11,554,84610,707,545

Handling and storage 9,330,5261,552,802

Printing and stationery 4,624,0704,322,748

Traveling and conveyance 2,556,3362,968,950

Telephone and fax 1,857,0941,174,684

Other expenses 11,200,6088,358,510

15,514,846,3848,069,959,496

Documents

Jamal Din Wali Sugar Mills Project