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Interim Financial Report | for the half year ended 30 June 2017
Upgrading your Business
TECHNOLOGY & INNOVATION
future through
Corporate Information
Director’s Review
Director’s Review
Auditor’s Review
Condensed Interim Financial Statements
Condensed Interim Balance Sheet
Condensed Interim Profit and Loss Account
Condensed Interim Statement of Comprehensive Income
Condensed Interim Cash Flow Statement
Condensed Interim Statement of Changes in Equity
Selected Notes to the Condensed Interim Financial Information
Condensed Interim Consolidated Financial Statements
Condensed Interim Consolidated Balance Sheet
Condensed Interim Consolidated Profit and Loss Account
Condensed Interim Consolidated Statement of Comprehensive Income
Condensed Interim Consolidated Cash Flow Statement
Condensed Interim Consolidated Statement of Changes in Equity
Selected Notes to the Condensed Interim Consolidated Financial Information
Contents02
03
05
09
10
12
13
14
15
16
32
34
35
36
37
38
Corporate Information
Director’s Review
Director’s Review
Auditor’s Review
Condensed Interim Financial Statements
Condensed Interim Balance Sheet
Condensed Interim Profit and Loss Account
Condensed Interim Statement of Comprehensive Income
Condensed Interim Cash Flow Statement
Condensed Interim Statement of Changes in Equity
Selected Notes to the Condensed Interim Financial Information
Condensed Interim Consolidated Financial Statements
Condensed Interim Consolidated Balance Sheet
Condensed Interim Consolidated Profit and Loss Account
Condensed Interim Consolidated Statement of Comprehensive Income
Condensed Interim Consolidated Cash Flow Statement
Condensed Interim Consolidated Statement of Changes in Equity
Selected Notes to the Condensed Interim Consolidated Financial Information
Contents02
03
05
09
10
12
13
14
15
16
32
34
35
36
37
38
SHARES REGISTRAR
THK Associates (Private) Limited.1st Floor, 40-C, Block-6P.E.C.H.S, Karachi.
T: +92 21 111-000-322F: +92 21 34168271
Systems Campus
Software Technology Park
E-1, Sehjpal Near DHA Phase-VIII,
(Ex-Air Avenue), Lahore Cantt.
UAN: +92 42 111-797-836
T: +92 42 37319401
LAHORE OFFICE - HEAD OFFICE
KARACHI OFFICE
E-5, Central Commercial Area,Shaheed-e-Millat Road,Karachi, PakistanT: +92 21 34549385-87F: +92 21 34549389
WEB PRESENCE
www.systemsltd.com
DIRECTOR’S REVIEWCORPORATE INFORMATION
Revenue
Gross Profit
Operating Profit
Profit After Taxation
Basic Earnings Per share (Rs)
Diluted Earnings Per Share (Rs)
Six months ended
30 June 2017
Six months ended
30 June 2016
Change
%
Unconsolidated
Consolidated:
During the half year ended 2017, the Company's consolidated revenues grew by 8%. Gross profit and operating profits showed growth of 16% and 34% respectively due to operational efficiency and profitable operations of TVS. Resultantly, Profit after tax, basic and diluted earnings also increase by nearly 21-22%.
AUDIT COMMITTEE
Mr. Ayaz DawoodChairman
Mr. Omer SaeedMember
Mr. Tahir MasaudMember
HUMAN RESOURCE & COMPENSATION COMMITTEE
Mr. Omar SaeedChairman
Mr. Asif JoomaMember
Mr. Tahir MasaudMember
COMPANY SECRETARY & CHIEF FINANCIAL OFFICER
Mr. Muhammad Khurram Iqbal
LEGAL ADVISOR
Hassan & Hassan Advocates
Mr. Aezaz Hussain Non-executiveChairman
Mr. Asif Peer ExecutiveCEO and Managing Director
Mr. Arshad Masood Non-executiveDirector
Mr. Omar Saeed IndependentDirector
Mr. Ayaz Dawood IndependentDirector
Mr. Asif Jooma IndependentDirector
Mr. Tahir Masaud IndependentDirector
BOARD OF DIRECTORS
AUDITORS
Chartered Accountants
Lahore
EY Ford Rhodes
Interim Financial Reprot 32 Systems Limited
1,364,858,943
435,168,166
252,095,670
241,078,507
2.16
2.16
1,338,353,187
390,551,260
239,649,323
252,543,532
2.27
2.26
2%
11%
5%
(5)%
(5)%
(5)%
DUBAI OFFICE
TechVista Systems FZ-LLC
O�ce 1905, Regal Tower
Business Bay,
Dubai, UAE
Tel: + 9714 369 3525
Fax: + 9714 456 3761
On behalf of the Board of Directors we are pleased to present the Financial Statements together with the Consolidated Financial Statements for the half year ended 30 June 2017.
MARKET OUTLOOK
We have seen sustained growth of our software development services and business process outsourcing services. With our customer focused delivery we are able to retain and grow most of our customers in first half of 2017.
Keeping in line with our history we continue to invest in innovation and stay at the cutting edge of Information Technology. We developed business solutions in the Apparel/Retail vertical for Omni Channel Retail, Business Partner Integrations, and apparel/retail specific templates for Business Intelligence solutions. Our focused and result oriented effort in this space has paid off and we are able to sign up many new logos in this space.
We have also diversified in the digital marketing and call center business and we are able to sign up customer to perform their digital marketing and sales through our call center agents. This business vertical has stabilized and has growth potential in the near future.
Our operations based in Dubai through our subsidiary TechVista Systems (TVS) have grown as our client base in this region. For last 3 years we have invested in client acquisition and building our brand name in these markets, with our meticulous focus and customer oriented strategy we have been able to sign up about a number of recurring customers both in Public and Private Sector. We are expecting a sustainable future growth and quality revenue through these markets. We have already started to get our Return on Investment in this region during 2017.
Our subsidiary EP Systems' product OneLoad has been successfully integrated with all the telecom service providers as well as most of the banks. As a result the total monthly transactions of OneLoad have dramatically increased to nearly two (2) million. This increase in transaction volume was only achieved through word of mouth and minimum sales effort. EP Systems is targeting to do aggressive marketing campaign during 2017.
FINANCIAL RESULTS
Unconsolidated:
During the half year ended 2017, the Company's revenues showed steady growth of 2%. Gross profit and operating profits showed growth of 11% and 5% respectively due to operational efficiency. Profit after tax, basic and diluted earnings per share showed decline of nearly 5% due to other operating expenses.
Revenue
Gross Profit
Operating Profit
Profit After Taxation
Basic Earnings Per share (Rs)
Diluted Earnings Per Share (Rs)
Six months ended
30 June 2017
Six months ended
30 June 2016
Change
%
Consolidated
1,682,399,849
497,127,883
293,215,171
277,604,364
2.53
2.53
1,562,677,245
427,528,679
218,696,669
229,517,399
2.09
2.07
8%
16%
34%
21%
21%
22%
BANKERS
Habib Metropolitan Bank Limited
United Bank Limited
Standard Chartered Bank (Pakistan) Limited
Albaraka Bank Limited
Bank Alfalah Limited
Bank Islami Limited
Meezan Bank Limited
Dubai Islamic Bank
Faysal Bank Limited
Deutsche Bank AGHabib Bank LimitedMCB Bank Limited
Chamber of Commerce Building,
11 Shara-e-Aiwane Tijarat,
Lahore, Pakistan.
T: +92 42 36304825-35
F: +92 42 36368857
REGISTERED OFFICE
SHARES REGISTRAR
THK Associates (Private) Limited.1st Floor, 40-C, Block-6P.E.C.H.S, Karachi.
T: +92 21 111-000-322F: +92 21 34168271
Systems Campus
Software Technology Park
E-1, Sehjpal Near DHA Phase-VIII,
(Ex-Air Avenue), Lahore Cantt.
UAN: +92 42 111-797-836
T: +92 42 37319401
LAHORE OFFICE - HEAD OFFICE
KARACHI OFFICE
E-5, Central Commercial Area,Shaheed-e-Millat Road,Karachi, PakistanT: +92 21 34549385-87F: +92 21 34549389
WEB PRESENCE
www.systemsltd.com
DIRECTOR’S REVIEWCORPORATE INFORMATION
Revenue
Gross Profit
Operating Profit
Profit After Taxation
Basic Earnings Per share (Rs)
Diluted Earnings Per Share (Rs)
Six months ended
30 June 2017
Six months ended
30 June 2016
Change
%
Unconsolidated
Consolidated:
During the half year ended 2017, the Company's consolidated revenues grew by 8%. Gross profit and operating profits showed growth of 16% and 34% respectively due to operational efficiency and profitable operations of TVS. Resultantly, Profit after tax, basic and diluted earnings also increase by nearly 21-22%.
AUDIT COMMITTEE
Mr. Ayaz DawoodChairman
Mr. Omer SaeedMember
Mr. Tahir MasaudMember
HUMAN RESOURCE & COMPENSATION COMMITTEE
Mr. Omar SaeedChairman
Mr. Asif JoomaMember
Mr. Tahir MasaudMember
COMPANY SECRETARY & CHIEF FINANCIAL OFFICER
Mr. Muhammad Khurram Iqbal
LEGAL ADVISOR
Hassan & Hassan Advocates
Mr. Aezaz Hussain Non-executiveChairman
Mr. Asif Peer ExecutiveCEO and Managing Director
Mr. Arshad Masood Non-executiveDirector
Mr. Omar Saeed IndependentDirector
Mr. Ayaz Dawood IndependentDirector
Mr. Asif Jooma IndependentDirector
Mr. Tahir Masaud IndependentDirector
BOARD OF DIRECTORS
AUDITORS
Chartered Accountants
Lahore
EY Ford Rhodes
Interim Financial Reprot 32 Systems Limited
1,364,858,943
435,168,166
252,095,670
241,078,507
2.16
2.16
1,338,353,187
390,551,260
239,649,323
252,543,532
2.27
2.26
2%
11%
5%
(5)%
(5)%
(5)%
DUBAI OFFICE
TechVista Systems FZ-LLC
O�ce 1905, Regal Tower
Business Bay,
Dubai, UAE
Tel: + 9714 369 3525
Fax: + 9714 456 3761
On behalf of the Board of Directors we are pleased to present the Financial Statements together with the Consolidated Financial Statements for the half year ended 30 June 2017.
MARKET OUTLOOK
We have seen sustained growth of our software development services and business process outsourcing services. With our customer focused delivery we are able to retain and grow most of our customers in first half of 2017.
Keeping in line with our history we continue to invest in innovation and stay at the cutting edge of Information Technology. We developed business solutions in the Apparel/Retail vertical for Omni Channel Retail, Business Partner Integrations, and apparel/retail specific templates for Business Intelligence solutions. Our focused and result oriented effort in this space has paid off and we are able to sign up many new logos in this space.
We have also diversified in the digital marketing and call center business and we are able to sign up customer to perform their digital marketing and sales through our call center agents. This business vertical has stabilized and has growth potential in the near future.
Our operations based in Dubai through our subsidiary TechVista Systems (TVS) have grown as our client base in this region. For last 3 years we have invested in client acquisition and building our brand name in these markets, with our meticulous focus and customer oriented strategy we have been able to sign up about a number of recurring customers both in Public and Private Sector. We are expecting a sustainable future growth and quality revenue through these markets. We have already started to get our Return on Investment in this region during 2017.
Our subsidiary EP Systems' product OneLoad has been successfully integrated with all the telecom service providers as well as most of the banks. As a result the total monthly transactions of OneLoad have dramatically increased to nearly two (2) million. This increase in transaction volume was only achieved through word of mouth and minimum sales effort. EP Systems is targeting to do aggressive marketing campaign during 2017.
FINANCIAL RESULTS
Unconsolidated:
During the half year ended 2017, the Company's revenues showed steady growth of 2%. Gross profit and operating profits showed growth of 11% and 5% respectively due to operational efficiency. Profit after tax, basic and diluted earnings per share showed decline of nearly 5% due to other operating expenses.
Revenue
Gross Profit
Operating Profit
Profit After Taxation
Basic Earnings Per share (Rs)
Diluted Earnings Per Share (Rs)
Six months ended
30 June 2017
Six months ended
30 June 2016
Change
%
Consolidated
1,682,399,849
497,127,883
293,215,171
277,604,364
2.53
2.53
1,562,677,245
427,528,679
218,696,669
229,517,399
2.09
2.07
8%
16%
34%
21%
21%
22%
BANKERS
Habib Metropolitan Bank Limited
United Bank Limited
Standard Chartered Bank (Pakistan) Limited
Albaraka Bank Limited
Bank Alfalah Limited
Bank Islami Limited
Meezan Bank Limited
Dubai Islamic Bank
Faysal Bank Limited
Deutsche Bank AGHabib Bank LimitedMCB Bank Limited
Chamber of Commerce Building,
11 Shara-e-Aiwane Tijarat,
Lahore, Pakistan.
T: +92 42 36304825-35
F: +92 42 36368857
REGISTERED OFFICE
Interim Financial Reprot 54 Systems Limited
25 August 2017
Lahore
Asif Peer
Chief Executive
On behalf of the Board
FUTURE OUTLOOK
Our 2017 budget is focused on achieving steady growth. This growth is going to be attributed to following factors:
• Strong and consistent pipeline and recurring business from North America.
• Our Investment in the new tools, technologies and completion of our business solutions for the North American Apparel and Retail Vertical will provide us steady growth and recurring revenue.
• We are expecting further growth from our MEA business since we have established credible references in the region which will help us in getting recurring business and winning new logos.
• In domestic market we are strongly aligned with two major Principals - Microsoft and IBM and expect business from their partnerships.
• We are targeting to complete the Pakistan Civil Aviation Authority project by end of 2017 and kick-off 3 year support immediately after completion. This project will not only add growth to our top and bottom line but also enable us to do more projects with other airports locally and internationally.
• We have moved to our new building in Lahore which would be fully operational by end of 3rd quarter. We have already registered our new building in Lahore as Software Technology Park with Pakistan Software Export Board (PSEB). This will not only result in enhancing image of brand but also help us in reducing our overheads and bring efficiency by putting all teams under one roof and most importantly we will have immediate space available to double our capacity without further investing in infrastructure.
• With Pakistan Law and Order getting better we envision significant opportunities in our business, as our foreign customers/prospects will feel comfortable in visiting us and this will spur the growth in Pakistan IT Sector.
• We are expecting growth in our export revenue. Any Dollar depreciation will provide additional profitability.
ACKNOWLEDGEMENT
The Board takes this opportunity to thank the Company's valued customers, bankers and other stakeholders for their corporation and support. The Board greatly appreciates hard work and dedication of all employees of the Company.
DIRECTOR’S REVIEW
30 June 201730 June 2016
30 June 201730 June 2016
(Basic)
(Diluted)
1,364,858,943
435,168,166
252,095,670
241,078,507
2.16
2.16
1,338,353,187
390,551,260
239,649,323
252,543,532
2.27
2.26
2%
11%
5%
(5)%
(5)%
(5)%
1,682,399,849
497,127,883
293,215,171
277,604,364
2.53
2.53
1,562,677,245
427,528,679
218,696,669
229,517,399
2.09
2.07
8%
16%
34%
21%
21%
22%
(Basic)
(Diluted)
Interim Financial Reprot 54 Systems Limited
25 August 2017
Lahore
Asif Peer
Chief Executive
On behalf of the Board
FUTURE OUTLOOK
Our 2017 budget is focused on achieving steady growth. This growth is going to be attributed to following factors:
• Strong and consistent pipeline and recurring business from North America.
• Our Investment in the new tools, technologies and completion of our business solutions for the North American Apparel and Retail Vertical will provide us steady growth and recurring revenue.
• We are expecting further growth from our MEA business since we have established credible references in the region which will help us in getting recurring business and winning new logos.
• In domestic market we are strongly aligned with two major Principals - Microsoft and IBM and expect business from their partnerships.
• We are targeting to complete the Pakistan Civil Aviation Authority project by end of 2017 and kick-off 3 year support immediately after completion. This project will not only add growth to our top and bottom line but also enable us to do more projects with other airports locally and internationally.
• We have moved to our new building in Lahore which would be fully operational by end of 3rd quarter. We have already registered our new building in Lahore as Software Technology Park with Pakistan Software Export Board (PSEB). This will not only result in enhancing image of brand but also help us in reducing our overheads and bring efficiency by putting all teams under one roof and most importantly we will have immediate space available to double our capacity without further investing in infrastructure.
• With Pakistan Law and Order getting better we envision significant opportunities in our business, as our foreign customers/prospects will feel comfortable in visiting us and this will spur the growth in Pakistan IT Sector.
• We are expecting growth in our export revenue. Any Dollar depreciation will provide additional profitability.
ACKNOWLEDGEMENT
The Board takes this opportunity to thank the Company's valued customers, bankers and other stakeholders for their corporation and support. The Board greatly appreciates hard work and dedication of all employees of the Company.
DIRECTOR’S REVIEW
30 June 201730 June 2016
30 June 201730 June 2016
(Basic)
(Diluted)
1,364,858,943
435,168,166
252,095,670
241,078,507
2.16
2.16
1,338,353,187
390,551,260
239,649,323
252,543,532
2.27
2.26
2%
11%
5%
(5)%
(5)%
(5)%
1,682,399,849
497,127,883
293,215,171
277,604,364
2.53
2.53
1,562,677,245
427,528,679
218,696,669
229,517,399
2.09
2.07
8%
16%
34%
21%
21%
22%
(Basic)
(Diluted)
Condensed Interim
Financial Information
6 Systems Limited
25-08-2017
Condensed Interim
Financial Information
6 Systems Limited
25-08-2017
AUDITORS' REPORT TO THE MEMBERS ON
REVIEW OF INTERIM FINANCIAL INFORMATION
Interim Financial Reprot 9
Introduction
We have reviewed the accompanying condensed interim balance sheet of Systems Limited as at 30 June 2017 and the related condensed interim profit and loss account, condensed interim statement of comprehensive income, condensed interim cash flow statement and condensed interim statement of changes in equity together with the notes forming part thereof, for the six-month period then ended (here-in-after referred to as the “interim financial information”). Management is responsible for the preparation and presentation of this interim financial information in accordance with approved accounting standards as applicable in Pakistan for interim financial reporting. Our responsibility is to express a conclusion on this interim financial information based on our review.
Scope of Review
We conducted our review in accordance with International Standard on Review Engagements 2410, “Review of Interim Financial Information Performed by the Independent Auditor of the Entity.” A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.
Conclusion
Based on our review, nothing has come to our attention that causes us to believe that the accompanying condensed interim financial information as at and for the six-month period ended 30 June 2017 is not prepared, in all material respects, in accordance with approved accounting standards as applicable in Pakistan for interim financial reporting.
This page has been left blank intentionally
Chartered Accountants
Engagement Partner: Naseem AkbarLahore: 28 August 2017
AUDITORS' REPORT TO THE MEMBERS ON
REVIEW OF INTERIM FINANCIAL INFORMATION
Interim Financial Reprot 9
Introduction
We have reviewed the accompanying condensed interim balance sheet of Systems Limited as at 30 June 2017 and the related condensed interim profit and loss account, condensed interim statement of comprehensive income, condensed interim cash flow statement and condensed interim statement of changes in equity together with the notes forming part thereof, for the six-month period then ended (here-in-after referred to as the “interim financial information”). Management is responsible for the preparation and presentation of this interim financial information in accordance with approved accounting standards as applicable in Pakistan for interim financial reporting. Our responsibility is to express a conclusion on this interim financial information based on our review.
Scope of Review
We conducted our review in accordance with International Standard on Review Engagements 2410, “Review of Interim Financial Information Performed by the Independent Auditor of the Entity.” A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.
Conclusion
Based on our review, nothing has come to our attention that causes us to believe that the accompanying condensed interim financial information as at and for the six-month period ended 30 June 2017 is not prepared, in all material respects, in accordance with approved accounting standards as applicable in Pakistan for interim financial reporting.
This page has been left blank intentionally
Chartered Accountants
Engagement Partner: Naseem AkbarLahore: 28 August 2017
Interim Financial Reprot 11
EQUITY AND LIABILITIES
Share capital and reserves
Authorized share capital
200,000,000 (2016: 150,000,000) ordinary shares of Rs. 10 each
Issued, subscribed and paid up share capital 15
Capital reserves
Unappropriated profit
Total shareholders' equity
Non-current liabilities
Long term advances 16
Current liabilities
Trade and other payables 17
Short term borrowings 18
Unearned revenue
Current portion of long term advances
Total current liabilities
TOTAL EQUITY AND LIABILITIES
2,000,000,000
1,118,276,520 480,932,799
1,377,571,530
2,976,780,849
11,987,624
11,987,624
190,849,432
150,000,000
11,556,688
2,550,000
354,956,120
3,343,724,593
1,500,000,000
1,110,784,920 461,091,227
1,344,492,456
2,916,368,603
10,910,791
10,910,791
226,689,126
-
14,387,586
6,109,697
247,186,409
3,174,465,803
Contingencies and commitments 20
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
ASIF PEER
Chief Executive
CONDENSED INTERIM BALANCE SHEET
AEZAZ HUSSAIN
Chairman
as at 30 June 2017
10 Systems Limited
The annexed notes from 1 to 28 form an integral part of this condensed interim financial information.
ASSETS
Non-current assets
Property and equipment 6
Intangibles 7
Long term investments 8
Long term deposits
Deferred taxation
Total non-current assets
Current assets
Unbilled revenue
Trade debts 9
Advances - considered good 10
Trade deposits and short term prepayments 11
Interest accrued
Other receivables 12
Short term investments 13
Tax refunds due from the Government
Cash and bank balances 14
Total current assets
TOTAL ASSETS
785,472,580 557,598,452
55,795,799
51,467,435
51,077,980
51,077,980
6,130,852
6,130,852
25,276,863
25,276,863
923,754,074
691,551,582
435,522,419
320,894,130
1,162,559,435
1,290,766,880
55,020,662
31,158,750
59,543,557
59,561,630
13,439,799
11,863,416
270,654,118
226,917,525
160,000,000
253,000,000
121,794,682
105,551,702
141,435,847
183,200,188
2,419,970,519 2,482,914,221
3,343,724,593 3,174,465,803
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
Interim Financial Reprot 11
EQUITY AND LIABILITIES
Share capital and reserves
Authorized share capital
200,000,000 (2016: 150,000,000) ordinary shares of Rs. 10 each
Issued, subscribed and paid up share capital 15
Capital reserves
Unappropriated profit
Total shareholders' equity
Non-current liabilities
Long term advances 16
Current liabilities
Trade and other payables 17
Short term borrowings 18
Unearned revenue
Current portion of long term advances
Total current liabilities
TOTAL EQUITY AND LIABILITIES
2,000,000,000
1,118,276,520 480,932,799
1,377,571,530
2,976,780,849
11,987,624
11,987,624
190,849,432
150,000,000
11,556,688
2,550,000
354,956,120
3,343,724,593
1,500,000,000
1,110,784,920 461,091,227
1,344,492,456
2,916,368,603
10,910,791
10,910,791
226,689,126
-
14,387,586
6,109,697
247,186,409
3,174,465,803
Contingencies and commitments 20
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
ASIF PEER
Chief Executive
CONDENSED INTERIM BALANCE SHEET
AEZAZ HUSSAIN
Chairman
as at 30 June 2017
10 Systems Limited
The annexed notes from 1 to 28 form an integral part of this condensed interim financial information.
ASSETS
Non-current assets
Property and equipment 6
Intangibles 7
Long term investments 8
Long term deposits
Deferred taxation
Total non-current assets
Current assets
Unbilled revenue
Trade debts 9
Advances - considered good 10
Trade deposits and short term prepayments 11
Interest accrued
Other receivables 12
Short term investments 13
Tax refunds due from the Government
Cash and bank balances 14
Total current assets
TOTAL ASSETS
785,472,580 557,598,452
55,795,799
51,467,435
51,077,980
51,077,980
6,130,852
6,130,852
25,276,863
25,276,863
923,754,074
691,551,582
435,522,419
320,894,130
1,162,559,435
1,290,766,880
55,020,662
31,158,750
59,543,557
59,561,630
13,439,799
11,863,416
270,654,118
226,917,525
160,000,000
253,000,000
121,794,682
105,551,702
141,435,847
183,200,188
2,419,970,519 2,482,914,221
3,343,724,593 3,174,465,803
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME
Interim Financial Reprot 13
for the six months ended 30 June 2017
30 June 30 June
2017 2016
Rupees Rupees
Profit for the period 241,078,507
252,543,532
Other comprehensive income -
-
Total comprehensive income for the period 241,078,507 252,543,532
The annexed notes from 1 to 28 form an integral part of this condensed interim financial information.
Six Months Ended
AEZAZ HUSSAIN
Chairman
ASIF PEER
Chief Executive
Note
Revenue - net
Cost of sales
Gross profit
Distribution expenses
Administrative expenses
Research and development expenses
Operating profit
Other income
Other operating expenses
Finance costs
Profit before taxation
Taxation
Profit for the period
Earnings per share:
Basic earnings per share 22
Diluted earnings per share
The annexed notes from 1 to 28 form an integral part of this condensed interim financial information.
CONDENSED INTERIM PROFIT AND LOSS ACCOUNTfor the six and three months ended 30 June 2017
12 Systems Limited
30 June 30 June 30 June 30 June2017 2016 2017 2016
Rupees Rupees Rupees Rupees
1,364,858,943 1,338,353,187
698,102,599
692,959,932
929,690,777
947,801,927
466,006,704
490,958,636
435,168,166 390,551,260 232,095,895 202,001,296
46,794,289
20,368,955
40,909,008
3,285,669
136,278,207 128,751,392 71,207,806 69,974,091
- 1,781,590 - (2,687,921)
183,072,496 150,901,937 112,116,814 70,571,839
252,095,670 239,649,323 119,979,081 131,429,457 32,885,669 15,640,677 28,133,240 4,531,816
284,981,339
255,290,000
148,112,321
135,961,273
37,074,557
-
37,074,557
-
1,579,506
774,055
1,142,937
411,557
246,327,276
254,515,945
109,894,827
135,549,716
5,248,769
1,972,413
3,048,769
(27,587)
241,078,507 252,543,532 106,846,058 135,577,303
2.27 0.96 1.22
2.26 0.95 1.22
Six Months Ended Three Months Ended
2.16
2.16
AEZAZ HUSSAIN
Chairman
ASIF PEER
Chief Executive
21
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME
Interim Financial Reprot 13
for the six months ended 30 June 2017
30 June 30 June
2017 2016
Rupees Rupees
Profit for the period 241,078,507
252,543,532
Other comprehensive income -
-
Total comprehensive income for the period 241,078,507 252,543,532
The annexed notes from 1 to 28 form an integral part of this condensed interim financial information.
Six Months Ended
AEZAZ HUSSAIN
Chairman
ASIF PEER
Chief Executive
Note
Revenue - net
Cost of sales
Gross profit
Distribution expenses
Administrative expenses
Research and development expenses
Operating profit
Other income
Other operating expenses
Finance costs
Profit before taxation
Taxation
Profit for the period
Earnings per share:
Basic earnings per share 22
Diluted earnings per share
The annexed notes from 1 to 28 form an integral part of this condensed interim financial information.
CONDENSED INTERIM PROFIT AND LOSS ACCOUNTfor the six and three months ended 30 June 2017
12 Systems Limited
30 June 30 June 30 June 30 June2017 2016 2017 2016
Rupees Rupees Rupees Rupees
1,364,858,943 1,338,353,187
698,102,599
692,959,932
929,690,777
947,801,927
466,006,704
490,958,636
435,168,166 390,551,260 232,095,895 202,001,296
46,794,289
20,368,955
40,909,008
3,285,669
136,278,207 128,751,392 71,207,806 69,974,091
- 1,781,590 - (2,687,921)
183,072,496 150,901,937 112,116,814 70,571,839
252,095,670 239,649,323 119,979,081 131,429,457 32,885,669 15,640,677 28,133,240 4,531,816
284,981,339
255,290,000
148,112,321
135,961,273
37,074,557
-
37,074,557
-
1,579,506
774,055
1,142,937
411,557
246,327,276
254,515,945
109,894,827
135,549,716
5,248,769
1,972,413
3,048,769
(27,587)
241,078,507 252,543,532 106,846,058 135,577,303
2.27 0.96 1.22
2.26 0.95 1.22
Six Months Ended Three Months Ended
2.16
2.16
AEZAZ HUSSAIN
Chairman
ASIF PEER
Chief Executive
21
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
CO
ND
EN
SE
D I
NTE
RIM
STA
TE
ME
NT O
F C
HA
NG
ES
IN
EQ
UIT
Y
Interim Financial Reprot 15
for
the s
ix m
onth
s ended 3
0 J
une 2
017
Bala
nce
as
at
31 D
ece
mber
2015
- (
Audit
ed)
Share
iss
ued a
gain
st E
mplo
yees'
Share
Opti
on S
chem
e
Share
base
d p
aym
ents
Final
div
idend @
Rs.
1.25
per
share
for
the y
ear
ended 3
1st
Dece
mber
2015
Tota
l co
mpre
hensi
ve i
nco
me f
or
the p
eri
od
Bala
nce
as
at
30 J
une 2
016
- (
Unaudit
ed)
Bala
nce
as
at
31 D
ece
mber
2016
- (
Audit
ed)
Transf
er
from
com
pensa
tion r
ese
rve t
o s
hare
pre
miu
m r
ese
rve
Share
iss
ued a
gain
st E
mplo
yees'
Share
Opti
on S
chem
e
Share
base
d p
aym
ents
Final
div
idend @
Rs.
1.86 p
er
share
for
the y
ear
ended 3
1st
Dece
mber
2016
Tota
l co
mpre
hensi
ve i
nco
me f
or
the p
eri
od
Bala
nce
as
at
30 J
une 2
017
- (U
naudit
ed)
The a
nnexe
d n
ote
s fr
om
1 t
o 2
8 f
orm
an i
nte
gra
l part
of
this
condense
d i
nte
rim
financi
al
info
rmati
on.
Re
ve
nu
e r
ese
rve
Cap
ital
rese
rve
s
411,
302,
586
11
,321
,362
-
-
-
422,
623
,948
42
2,623
,948
43,0
68,4
02
7,597
,289
- - -
473
,28
9,6
39
Sh
are
cap
ital
pre
miu
m
9,25
5,4
67
4,550,1
00
-
-
13,8
05,5
67
38,4
67,
279
(43,
068,4
02)
-
12,2
44,2
83
- -
7,643,1
60
Em
plo
ye
e
com
pe
nsa
tio
n
rese
rve
1,10
6,8
08,7
60
3,
976,1
60
-
-
-
1,11
0,7
84,
920
1,
110,7
84,
920
7,49
1,600
- - -
1,11
8,2
76,5
20
Issu
ed
,
sub
scri
be
d
an
d p
aid
up
share
cap
ital
2,49
5,6
27,4
37
15,2
97,5
22
4,550,1
00
(138
,848
,114
)
252,
543
,532
2,629
,170
,477
2,9
16,3
68
,60
3 -
15,0
88
,88
9
12,2
44,2
83
(20
7,999,4
33)
241,
078
,50
7
2,9
76,7
80
,849
Ru
pe
es
Tota
l
968,2
60,6
24
- -
(138
,848
,114
)
252,
543
,532
1,081,
956,0
42
1,34
4,49
2,45
6
- -
(207,
999,
433)
241,
078
,507
1,377
,571
,530
Un
ap
pro
pri
ate
d
pro
fit
Ru
pe
es
Ru
pe
es
Ru
pe
es
Ru
pe
es
AE
ZA
Z H
US
SA
IN
Chair
man
AS
IF P
EE
R
Chie
f Exe
cuti
ve
CONDENSED INTERIM CASH FLOW STATEMENT
14 Systems Limited
for the six months ended 30 June 2017
CASH FLOWS FROM OPERATING ACTIVITIES
Net cash generated from / (used in) operations
Finance costs paid
Taxes paid
Net cash flows from / (used in) operating activities
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of property and equipment
Development expenditure
Proceeds from the disposal of property and equipment
Purchase / (disposal) of short term investments - net
Profit received on bank deposits
Net cash flows (used in) / from investing activities
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from exercise of share options
Increase in short term borrowings
Dividend paid
Increase / (decrease) in long term advances
Net cash flows used in financing activities
Net (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of the period
Cash and cash equivalents at closing of the period
The annexed notes from 1 to 28 form an integral part of this condensed interim financial information.
Note 2017 2016
Rupees Rupees
24 205,795,576
(91,404,464)
(1,579,506) (774,055)
(21,491,749)
(29,424,646)
(23,071,255) (30,198,701)
182,724,321 (121,603,165)
(243,956,841) (111,213,777)
(16,887,688) (12,733,160)
(12,556,203) 2,955,805
93,000,000 432,799,398 1,305,478 2,436,539
(179,095,254)
314,244,805
15,088,889
15,297,522
150,000,000
110,000,000
(207,999,433)
(138,848,114)
(2,482,864)
3,994,528
(45,393,408)
(9,556,064)
(41,764,341)
183,085,576
183,200,188 144,644,586
141,435,847 327,730,162
AEZAZ HUSSAIN
Chairman
ASIF PEER
Chief Executive
MU
HA
MM
AD
KH
UR
RA
M I
QA
BL
Chie
f Fi
nanci
al O
ffic
er
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
CO
ND
EN
SE
D I
NTE
RIM
STA
TE
ME
NT O
F C
HA
NG
ES
IN
EQ
UIT
Y
Interim Financial Reprot 15
for
the s
ix m
onth
s ended 3
0 J
une 2
017
Bala
nce
as
at
31 D
ece
mber
2015
- (
Audit
ed)
Share
iss
ued a
gain
st E
mplo
yees'
Share
Opti
on S
chem
e
Share
base
d p
aym
ents
Final
div
idend @
Rs.
1.25
per
share
for
the y
ear
ended 3
1st
Dece
mber
2015
Tota
l co
mpre
hensi
ve i
nco
me f
or
the p
eri
od
Bala
nce
as
at
30 J
une 2
016
- (
Unaudit
ed)
Bala
nce
as
at
31 D
ece
mber
2016
- (
Audit
ed)
Transf
er
from
com
pensa
tion r
ese
rve t
o s
hare
pre
miu
m r
ese
rve
Share
iss
ued a
gain
st E
mplo
yees'
Share
Opti
on S
chem
e
Share
base
d p
aym
ents
Final
div
idend @
Rs.
1.86 p
er
share
for
the y
ear
ended 3
1st
Dece
mber
2016
Tota
l co
mpre
hensi
ve i
nco
me f
or
the p
eri
od
Bala
nce
as
at
30 J
une 2
017
- (U
naudit
ed)
The a
nnexe
d n
ote
s fr
om
1 t
o 2
8 f
orm
an i
nte
gra
l part
of
this
condense
d i
nte
rim
financi
al
info
rmati
on.
Re
ve
nu
e r
ese
rve
Cap
ital
rese
rve
s
411,
302,
586
11
,321
,362
-
-
-
422,
623
,948
42
2,623
,948
43,0
68,4
02
7,597
,289
- - -
473
,28
9,6
39
Sh
are
cap
ital
pre
miu
m
9,25
5,4
67
4,550,1
00
-
-
13,8
05,5
67
38,4
67,
279
(43,
068,4
02)
-
12,2
44,2
83
- -
7,643,1
60
Em
plo
ye
e
com
pe
nsa
tio
n
rese
rve
1,10
6,8
08,7
60
3,
976,1
60
-
-
-
1,11
0,7
84,
920
1,
110,7
84,
920
7,49
1,600
- - -
1,11
8,2
76,5
20
Issu
ed
,
sub
scri
be
d
an
d p
aid
up
share
cap
ital
2,49
5,6
27,4
37
15,2
97,5
22
4,550,1
00
(138
,848
,114
)
252,
543
,532
2,629
,170
,477
2,9
16,3
68
,60
3 -
15,0
88
,88
9
12,2
44,2
83
(20
7,999,4
33)
241,
078
,50
7
2,9
76,7
80
,849
Ru
pe
es
Tota
l
968,2
60,6
24
- -
(138
,848
,114
)
252,
543
,532
1,081,
956,0
42
1,34
4,49
2,45
6
- -
(207,
999,
433)
241,
078
,507
1,377
,571
,530
Un
ap
pro
pri
ate
d
pro
fit
Ru
pe
es
Ru
pe
es
Ru
pe
es
Ru
pe
es
AE
ZA
Z H
US
SA
IN
Chair
man
AS
IF P
EE
R
Chie
f Exe
cuti
ve
CONDENSED INTERIM CASH FLOW STATEMENT
14 Systems Limited
for the six months ended 30 June 2017
CASH FLOWS FROM OPERATING ACTIVITIES
Net cash generated from / (used in) operations
Finance costs paid
Taxes paid
Net cash flows from / (used in) operating activities
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of property and equipment
Development expenditure
Proceeds from the disposal of property and equipment
Purchase / (disposal) of short term investments - net
Profit received on bank deposits
Net cash flows (used in) / from investing activities
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from exercise of share options
Increase in short term borrowings
Dividend paid
Increase / (decrease) in long term advances
Net cash flows used in financing activities
Net (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of the period
Cash and cash equivalents at closing of the period
The annexed notes from 1 to 28 form an integral part of this condensed interim financial information.
Note 2017 2016
Rupees Rupees
24 205,795,576
(91,404,464)
(1,579,506) (774,055)
(21,491,749)
(29,424,646)
(23,071,255) (30,198,701)
182,724,321 (121,603,165)
(243,956,841) (111,213,777)
(16,887,688) (12,733,160)
(12,556,203) 2,955,805
93,000,000 432,799,398 1,305,478 2,436,539
(179,095,254)
314,244,805
15,088,889
15,297,522
150,000,000
110,000,000
(207,999,433)
(138,848,114)
(2,482,864)
3,994,528
(45,393,408)
(9,556,064)
(41,764,341)
183,085,576
183,200,188 144,644,586
141,435,847 327,730,162
AEZAZ HUSSAIN
Chairman
ASIF PEER
Chief Executive
MU
HA
MM
AD
KH
UR
RA
M I
QA
BL
Chie
f Fi
nanci
al O
ffic
er
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
Interim Financial Reprot 17
The adoption of the above amendment to accounting standards did not have any material effect on the
condensed interim financial information.
5 ACCOUNTING ESTIMATES AND JUDGMENTS
The preparation of condensed interim financial information requires management to make judgments,
estimates and assumptions that affect the application of accounting policies and reported amount of
assets and liabilities, incomes and expenses. Actual results may differ from these estimates. The
significant judgments made by management in applying the Company's accounting policies and the key
sources of estimation are the same as those that applied to the financial statements for the year ended 31
December 2016.
Note
6. PRPOERTY AND EQUIPMENT
Opening balance - net book value
Additions during the period / year - cost 6.1
Less:
Disposals during the period / year 6.2
Depreciation during the period / year
Book value at the end of the period / year
6.1 Additions during the period/year-cost
Computers
Computer equipment and installations
Other equipment and installations
Furniture and fittings
O�ce equipment
Vehicles
Project assets
Mobile sets
Capital work in progress
Un-audited Audited
30 June 31 December
2017 2016
557,598,452 359,204,912
269,069,247 281,640,741
826,667,699 640,845,653
7,318,420 10,606,471
33,876,699 72,640,730
785,472,580 557,598,452
5,725,481
21,208,723
4,854,345
4,407,210
772,645
1,170,889
562,500
1,280,747
1,869,718
5,172,978
13,482,500
31,139,108
-
1,353,000
-
991,774
241,802,058
214,916,312
269,069,247 281,640,741
Rupees Rupees
1. THE COMPANY AND ITS OPERATIONS
1.1 The Company is a public limited Company incorporated in Pakistan under the repealed Companies
Ordinance 1984, and is listed on the Pakistan Stock Exchange (formerly Karachi, Islamabad and Lahore
Stock Exchanges). The Company is principally engaged in the business of software development, trading
of software and business process outsourcing services. The registered office of the Company is situated at
Chamber of Commerce building, 11- Shahra-e-Aiwan-e-Tijarat, Lahore.
1.2 This financial information is the separate financial information of the company in which investment in
subsidiary is stated at cost less impairment losses, if any. The condensed interim consolidated financial
statements are prepared separately.
2. STATEMENT OF COMPLIANCE
2.1 During the year, the Companies Act 2017 (the Act) has been promulgated with effect from 30 May 2017.
However, Securities and Exchange Commission of Pakistan vide its circular no.17 of 2017 dated July 20, 2017
communicated that the companies whose financial year closes on or before June 30, 2017 shall prepare
their financial statements in accordance with the provisions of the repealed Companies Ordinance, 1984.
2.2 Accordingly, these unconsolidated condensed interim financial information of the Company for the six
months period ended 30 June 2017 has been prepared in accordance with the requirements of the
International Accounting Standard 34 - Interim Financial Reporting as are notified under the repealed
Companies Ordinance, 1984, provisions of and directives issued under the repealed Companies
Ordinance,1984. In case requirements differ, the provisions or directives of the repealed Companies
Ordinance, 1984 shall prevail.
2.3 This is condensed interim financial information is un-audited and is being submitted to shareholders, as
required by section 245 of the Companies ordinance, 1984.
3 BASIS OF PREPARATION
3.1 These unconsolidated condensed interim financial information of the Company for the six months period
ended 30 June 2017 has been prepared in accordance with the requirements of the International
Accounting Standard 34 - Interim Financial Reporting as are notified under the repealed Companies
Ordinance, 1984, provisions of and directives issued under the repealed Companies Ordinance,1984.
3.2 This condensed interim financial information does not include all the information and disclosures required
in annual financial statements, and should be read in conjunction with the Company's annual financial
statements as at 31 December 2016.
3.3 This condensed interim financial statements have been prepared under the historical cost convention.
4 ACCOUNTING POLICIES
The accounting policies adopted for the preparation of this condensed interim financial information are
the same as those applied in the preparation of the preceding annual published financial statements of
the Company for the year ended 31 December 2016 except as follows:
The Company has adopted the following standards and amendment to IFRSs which became effective for
the current period:
IFRS 7-Financial Instruments: Disclosures - Disclosure Initiative - (Amendment)
IAS 12 -Income Taxes – Recognition of Deferred Tax Assets for Unrealized losses (Amendments)
SELECTED NOTES TO THE CONDENSED INTERIM FINANCIAL INFORMATION
16 Systems Limited
for the six months ended 30 June 2017
Interim Financial Reprot 17
The adoption of the above amendment to accounting standards did not have any material effect on the
condensed interim financial information.
5 ACCOUNTING ESTIMATES AND JUDGMENTS
The preparation of condensed interim financial information requires management to make judgments,
estimates and assumptions that affect the application of accounting policies and reported amount of
assets and liabilities, incomes and expenses. Actual results may differ from these estimates. The
significant judgments made by management in applying the Company's accounting policies and the key
sources of estimation are the same as those that applied to the financial statements for the year ended 31
December 2016.
Note
6. PRPOERTY AND EQUIPMENT
Opening balance - net book value
Additions during the period / year - cost 6.1
Less:
Disposals during the period / year 6.2
Depreciation during the period / year
Book value at the end of the period / year
6.1 Additions during the period/year-cost
Computers
Computer equipment and installations
Other equipment and installations
Furniture and fittings
O�ce equipment
Vehicles
Project assets
Mobile sets
Capital work in progress
Un-audited Audited
30 June 31 December
2017 2016
557,598,452 359,204,912
269,069,247 281,640,741
826,667,699 640,845,653
7,318,420 10,606,471
33,876,699 72,640,730
785,472,580 557,598,452
5,725,481
21,208,723
4,854,345
4,407,210
772,645
1,170,889
562,500
1,280,747
1,869,718
5,172,978
13,482,500
31,139,108
-
1,353,000
-
991,774
241,802,058
214,916,312
269,069,247 281,640,741
Rupees Rupees
1. THE COMPANY AND ITS OPERATIONS
1.1 The Company is a public limited Company incorporated in Pakistan under the repealed Companies
Ordinance 1984, and is listed on the Pakistan Stock Exchange (formerly Karachi, Islamabad and Lahore
Stock Exchanges). The Company is principally engaged in the business of software development, trading
of software and business process outsourcing services. The registered office of the Company is situated at
Chamber of Commerce building, 11- Shahra-e-Aiwan-e-Tijarat, Lahore.
1.2 This financial information is the separate financial information of the company in which investment in
subsidiary is stated at cost less impairment losses, if any. The condensed interim consolidated financial
statements are prepared separately.
2. STATEMENT OF COMPLIANCE
2.1 During the year, the Companies Act 2017 (the Act) has been promulgated with effect from 30 May 2017.
However, Securities and Exchange Commission of Pakistan vide its circular no.17 of 2017 dated July 20, 2017
communicated that the companies whose financial year closes on or before June 30, 2017 shall prepare
their financial statements in accordance with the provisions of the repealed Companies Ordinance, 1984.
2.2 Accordingly, these unconsolidated condensed interim financial information of the Company for the six
months period ended 30 June 2017 has been prepared in accordance with the requirements of the
International Accounting Standard 34 - Interim Financial Reporting as are notified under the repealed
Companies Ordinance, 1984, provisions of and directives issued under the repealed Companies
Ordinance,1984. In case requirements differ, the provisions or directives of the repealed Companies
Ordinance, 1984 shall prevail.
2.3 This is condensed interim financial information is un-audited and is being submitted to shareholders, as
required by section 245 of the Companies ordinance, 1984.
3 BASIS OF PREPARATION
3.1 These unconsolidated condensed interim financial information of the Company for the six months period
ended 30 June 2017 has been prepared in accordance with the requirements of the International
Accounting Standard 34 - Interim Financial Reporting as are notified under the repealed Companies
Ordinance, 1984, provisions of and directives issued under the repealed Companies Ordinance,1984.
3.2 This condensed interim financial information does not include all the information and disclosures required
in annual financial statements, and should be read in conjunction with the Company's annual financial
statements as at 31 December 2016.
3.3 This condensed interim financial statements have been prepared under the historical cost convention.
4 ACCOUNTING POLICIES
The accounting policies adopted for the preparation of this condensed interim financial information are
the same as those applied in the preparation of the preceding annual published financial statements of
the Company for the year ended 31 December 2016 except as follows:
The Company has adopted the following standards and amendment to IFRSs which became effective for
the current period:
IFRS 7-Financial Instruments: Disclosures - Disclosure Initiative - (Amendment)
IAS 12 -Income Taxes – Recognition of Deferred Tax Assets for Unrealized losses (Amendments)
SELECTED NOTES TO THE CONDENSED INTERIM FINANCIAL INFORMATION
16 Systems Limited
for the six months ended 30 June 2017
9.
9.1 930,335,427 1,054,908,632
236,099,491 251,404,144
1,166,434,918 1,306,312,776
10,442,367 11,179,257
(10,442,367) (11,179,257)
- -
TRADE DEBTS
Considered good - unsecured
Export
Local
Considered doubtful - unsecured
Local
Less: Provision for doubtful debts
Less: Written o� (3,875,483)
(15,545,896)
1,162,559,435 1,290,766,880
Interim Financial Reprot 19
8.
8.1
8.2
49,700,030
1,377,950
51,077,980
49,700,030
1,377,950
51,077,980
LONG TERM INVESTMENTS
Investment in Subsidiaries - at cost - unquoted
140,004 (2016: 140,004) fully paid
ordinary shares of Rs. 10/- each
50 (2016: 50) fully paid ordinary shares of AED 1000/- each
Tech Vista Systems FZ-LLC
E - Processing Systems (Private) Limited
Un-audited Audited
30 June 31 December
Note 2017 2016
Rupees Rupees
8.1 This represents 63% share in Company's subsidiary E-Processing Systems (Private) Limited, a company
engaged in the business of purchase and sale of airtime and related services in Pakistan.
8.2 This represents 100% share in Company's subsidiary, TechVista Systems FZ- LLC, a company set up in Dubai
Technology and Media Free Zone Authority engaged in providing a host of services including enterprise
application integration and software development and has been registered as a limited liability company
on 03 April 2013.
Un-audited Audited
30 June 31 December
Note 2017 2016
Rupees Rupees
9.1 This includes receivables from related parties i.e. Visionet Systems Incorporation and Tech Vista Systems
FZ-LLC amounting to Rs. 576.36 million (2016: Rs 646.4 million) and Rs.326.636 million (2016: Rs 366.9 million)
respectively.
18 Systems Limited
6.2 Disposals during the period / year
30 June 2017
Computers
Vehicles
31 December 2016
Computers
Computer equipment and installations
Other equipment and installations
Generator
Furniture and fittings
Vehicles
O�ce equipment
Project assets
Mobile sets
1,392,881 8,338,740 9,731,621
23,161,593
4,252,261
1,213,226
226,267
2,171,557
10,910,334
510,000
40,543
106,157
42,591,938
Accumulated
Depreciation
293,330 7,025,090 7,318,420
672,577
14,167
106,667
133,233
-
9,646,494
-
-
33,333
10,606,471
Written Down
Value
1,686,211 15,363,830 17,050,041
23,834,170
4,266,428
1,319,893
359,500
2,171,557
20,556,828
510,000
40,543
139,490
53,198,409
Cost
Rupees Rupees Rupees
7. INTANGIBLES
Opening balance - net book value
Additions during the period / year - cost
Less:
Amortization during the period / year
Book value at the end of the period / year
51,467,435
16,887,688
68,355,123
12,559,324
55,795,799
42,247,518
29,003,609
71,251,127
19,783,692
51,467,435
Un-audited Audited
30 June 31 December
Note 2017 2016
Rupees Rupees
9.
9.1 930,335,427 1,054,908,632
236,099,491 251,404,144
1,166,434,918 1,306,312,776
10,442,367 11,179,257
(10,442,367) (11,179,257)
- -
TRADE DEBTS
Considered good - unsecured
Export
Local
Considered doubtful - unsecured
Local
Less: Provision for doubtful debts
Less: Written o� (3,875,483)
(15,545,896)
1,162,559,435 1,290,766,880
Interim Financial Reprot 19
8.
8.1
8.2
49,700,030
1,377,950
51,077,980
49,700,030
1,377,950
51,077,980
LONG TERM INVESTMENTS
Investment in Subsidiaries - at cost - unquoted
140,004 (2016: 140,004) fully paid
ordinary shares of Rs. 10/- each
50 (2016: 50) fully paid ordinary shares of AED 1000/- each
Tech Vista Systems FZ-LLC
E - Processing Systems (Private) Limited
Un-audited Audited
30 June 31 December
Note 2017 2016
Rupees Rupees
8.1 This represents 63% share in Company's subsidiary E-Processing Systems (Private) Limited, a company
engaged in the business of purchase and sale of airtime and related services in Pakistan.
8.2 This represents 100% share in Company's subsidiary, TechVista Systems FZ- LLC, a company set up in Dubai
Technology and Media Free Zone Authority engaged in providing a host of services including enterprise
application integration and software development and has been registered as a limited liability company
on 03 April 2013.
Un-audited Audited
30 June 31 December
Note 2017 2016
Rupees Rupees
9.1 This includes receivables from related parties i.e. Visionet Systems Incorporation and Tech Vista Systems
FZ-LLC amounting to Rs. 576.36 million (2016: Rs 646.4 million) and Rs.326.636 million (2016: Rs 366.9 million)
respectively.
18 Systems Limited
6.2 Disposals during the period / year
30 June 2017
Computers
Vehicles
31 December 2016
Computers
Computer equipment and installations
Other equipment and installations
Generator
Furniture and fittings
Vehicles
O�ce equipment
Project assets
Mobile sets
1,392,881 8,338,740 9,731,621
23,161,593
4,252,261
1,213,226
226,267
2,171,557
10,910,334
510,000
40,543
106,157
42,591,938
Accumulated
Depreciation
293,330 7,025,090 7,318,420
672,577
14,167
106,667
133,233
-
9,646,494
-
-
33,333
10,606,471
Written Down
Value
1,686,211 15,363,830 17,050,041
23,834,170
4,266,428
1,319,893
359,500
2,171,557
20,556,828
510,000
40,543
139,490
53,198,409
Cost
Rupees Rupees Rupees
7. INTANGIBLES
Opening balance - net book value
Additions during the period / year - cost
Less:
Amortization during the period / year
Book value at the end of the period / year
51,467,435
16,887,688
68,355,123
12,559,324
55,795,799
42,247,518
29,003,609
71,251,127
19,783,692
51,467,435
Un-audited Audited
30 June 31 December
Note 2017 2016
Rupees Rupees
14.
14.1
288,893
35,803,394
101,878,515
137,681,909
3,465,045
141,146,954
141,435,847
47,660
38,931,750
142,712,134
181,643,884
1,508,644
183,152,528
183,200,188
14.1
CASH AND BANK BALANCES
Cash in hand
Cash at bank:
Local currency:
Current accounts
Deposit accounts
Foreign currency - current accounts
These carry interest rate of 3.19% to 4% (2016: 3.29% to 4.04%) per annum.
Interim Financial Reprot 21
Un-audited Audited
30 June 31 December
Note 2017 2016
Rupees Rupees
15.
15.1
111,078,492
110,680,876
1,110,784,920
1,106,808,760
749,160 397,616
7,491,600
3,976,160
111,827,652 111,078,492 1,118,276,520 1,110,784,920
ISSUED, SUBSCRIBED AND PAID UP SHARE CAPITAL
Reconciliation of issued, subscribed and paid-up share capital:
Balance as at 1st January
Stock options exercised
Ordinary shares of Rs. 10/- each
fully paid up as bonus shares
Ordinary shares of Rs. 10/- each fully
paid in cash 22,226,927
89,600,725
111,827,652
30 June
2017
No of Shares
222,269,270
896,007,250
1,118,276,520
30 June
2017
Rupees
22,226,927
88,851,565
111,078,492
31 December
2016
No of Shares
222,269,270
888,515,650
1,110,784,920
31 December
2016
Rupees
30 June
2017
No of Shares
30 June
2017
Rupees
31 December
2016
No of Shares
31 December
2016
Rupees
Un-audited Audited
10.
11.
11.1
ADVANCES - considered good
Advances- considered good
against salary
against expenses
To suppliers-against goods
TRADE DEPOSITS AND SHORT TERM PREPAYMENTS
Security deposits
Prepayments
2,869,408
14,163,134
17,032,542
37,988,120
55,020,662
31,667,050
27,876,507
59,543,557
2,160,096
20,605,249
22,765,345
8,393,405
31,158,750
32,693,991
26,867,639
59,561,630
11.1 This represents interest free security bid bonds deposited with customers.
12.
6,894,277
2,593,326
107,139,351
76,552,155
156,620,490
147,772,044
270,654,118 226,917,525
13.
OTHER RECEIVABLES
These represent receivables from the following related parties:
Considered good - unsecured
Visionet Systems Incorporation - USA
E-processing Systems (Private) Limited
Tech Vista Systems FZ LLC - UAE
SHORT TERM INVESTMENTS
Term deposit receipts 13.1 160,000,000 253,000,000
20 Systems Limited
Un-audited Audited
30 June 31 December
Note 2017 2016
Rupees Rupees
Un-audited Audited
30 June 31 December
Note 2017 2016
Rupees Rupees
13.1 These carry interest at the rate of 5.75% (2016: 5.85% per annum).
14.
14.1
288,893
35,803,394
101,878,515
137,681,909
3,465,045
141,146,954
141,435,847
47,660
38,931,750
142,712,134
181,643,884
1,508,644
183,152,528
183,200,188
14.1
CASH AND BANK BALANCES
Cash in hand
Cash at bank:
Local currency:
Current accounts
Deposit accounts
Foreign currency - current accounts
These carry interest rate of 3.19% to 4% (2016: 3.29% to 4.04%) per annum.
Interim Financial Reprot 21
Un-audited Audited
30 June 31 December
Note 2017 2016
Rupees Rupees
15.
15.1
111,078,492
110,680,876
1,110,784,920
1,106,808,760
749,160 397,616
7,491,600
3,976,160
111,827,652 111,078,492 1,118,276,520 1,110,784,920
ISSUED, SUBSCRIBED AND PAID UP SHARE CAPITAL
Reconciliation of issued, subscribed and paid-up share capital:
Balance as at 1st January
Stock options exercised
Ordinary shares of Rs. 10/- each
fully paid up as bonus shares
Ordinary shares of Rs. 10/- each fully
paid in cash 22,226,927
89,600,725
111,827,652
30 June
2017
No of Shares
222,269,270
896,007,250
1,118,276,520
30 June
2017
Rupees
22,226,927
88,851,565
111,078,492
31 December
2016
No of Shares
222,269,270
888,515,650
1,110,784,920
31 December
2016
Rupees
30 June
2017
No of Shares
30 June
2017
Rupees
31 December
2016
No of Shares
31 December
2016
Rupees
Un-audited Audited
10.
11.
11.1
ADVANCES - considered good
Advances- considered good
against salary
against expenses
To suppliers-against goods
TRADE DEPOSITS AND SHORT TERM PREPAYMENTS
Security deposits
Prepayments
2,869,408
14,163,134
17,032,542
37,988,120
55,020,662
31,667,050
27,876,507
59,543,557
2,160,096
20,605,249
22,765,345
8,393,405
31,158,750
32,693,991
26,867,639
59,561,630
11.1 This represents interest free security bid bonds deposited with customers.
12.
6,894,277
2,593,326
107,139,351
76,552,155
156,620,490
147,772,044
270,654,118 226,917,525
13.
OTHER RECEIVABLES
These represent receivables from the following related parties:
Considered good - unsecured
Visionet Systems Incorporation - USA
E-processing Systems (Private) Limited
Tech Vista Systems FZ LLC - UAE
SHORT TERM INVESTMENTS
Term deposit receipts 13.1 160,000,000 253,000,000
20 Systems Limited
Un-audited Audited
30 June 31 December
Note 2017 2016
Rupees Rupees
Un-audited Audited
30 June 31 December
Note 2017 2016
Rupees Rupees
13.1 These carry interest at the rate of 5.75% (2016: 5.85% per annum).
Interim Financial Reprot 23
2017 2016
Revenue - Net 920,499,835 821,940,545 181,920,643
152,143,471
262,438,465
364,269,171
1,364,858,943
1,338,353,187
Cost of sales (566,853,340) (474,982,240) (142,868,194)
(137,996,618)
(219,969,243)
(334,823,069)
(929,690,777)
(947,801,927)
Gross profit 353,646,495 346,958,305 39,052,449
14,146,853
42,469,222
29,446,102 435,168,166 390,551,260
Distribution expenses (1,451,188) (1,416,546) (31,979,675) (1,590,484) (13,363,426) (17,361,925) (46,794,289) (20,368,955)
Research and development expenses - (457,171) - (624,831) - (699,589) - (1,781,590)
Administrative expenses (97,454,405) (84,901,196) (19,078,259) (15,554,977) (19,745,543) (28,295,219) (136,278,207) (128,751,392)
(98,905,593) (86,774,913) (51,057,934) (17,770,292) (33,108,969) (46,356,733) (183,072,496) (150,901,937)
Profit / (loss) before taxation and
Unallocated income and expenses 254,740,902 260,183,392 (12,005,485) (3,623,439) 9,360,253 (16,910,631) 252,095,670 239,649,323
Rupees
North America Middle East Pakistan Total
Un-audited
Six Months Ended
30 June
Rupees
2017 2016
Rupees
Un-audited
Six Months Ended
30 June
Rupees
2017 2016
Rupees
Un-audited
Six Months Ended
30 June
Rupees
2017 2016
Rupees
Un-audited
Six Months Ended
30 June
Rupees
Unallocated income and expenses:
Other operating expenses (37,074,557)
Other income 32,885,669
Finance cost (1,579,506)
(5,768,394)
Profit before taxation 246,327,276
Taxation 5,248,769
Profit for the year 241,078,507
-
15,640,677 (774,055)
14,866,622
254,515,945
1,972,413
252,543,532
2017 2016
Rupees Rupees
20. CONTINGENCIES AND COMMITMENTS
Contingencies
There is no significant change in the contigencies since the date of preceding published annual financial
statements.
Commitments:
20.1 Guarantees issued by the financial institutions on behalf of the Company amount to Rs. 211.369 (2016: Rs.
199.9) million.
20.2 Commitments include capital commitments for construction of building of the Company amounting to Rs.
52.34 (2016: 427.6) million.
22 Systems Limited
16. LONG TERM ADVANCES
This represents advances received from staff and will be adjusted as per Company's car policy against sale
of vehicles.
18. SHORT TERM BORROWINGS
This represents export running finance ERF II facility obtained from Habib Bank Limited. The facility has a
limit of Rs. 150 million for working capital requirement and carries interest rate at State Bank of Pakistan
(SBP) rate for ERF + 1% per annum. The facility is mainly secured alongwith letter of guarantee facility of Rs.
150 million by way of first charge over present and future current and fixed assets of the Company and
collateral of land and building to the effect of Rs. 400 million each.
19. OPERATING SEGMENT INFORMATION
Geographical segments
For management purposes, the Systems Limited is organized into business units based on their
geographical areas and has three reportable operating segments as follows:
North America
Middle East
Pakistan
No other operating segments have been aggregated to form the above reportable operating segments.
Management monitors the operating results of its operating segments separately for the purpose of
performance assessment. Segment performance is evaluated based on operating profit or loss and is
measured consistently with operating profit or loss in the consolidated financial statements.
Transfer prices between operating segments are on arm's length basis in a manner similar to transactions
with third parties.
Un-audited Audited
30 June 31 December
Note 2017 2016
Rupees Rupees
17. TRADE AND OTHER PAYABLES
Creditors
Advance from customers
Retention Money
Accrued liabilities
Withholding income tax payable
Provident fund payable
Provision for Worker's Welfare Fund
Sales tax payable
Unclaimed dividend
115,265,645
4,035,271
335,116
67,544,408
1,215,257
-
-
-
2,453,735
190,849,432
14,752,641
3,759,560
11,604,035
152,684,704
6,913,335
10,345,091
17,930,514
5,007,552
3,691,694
226,689,126
Un-audited
30 June 30 June
Note 2017 2016
Rupees Rupees
21. OTHER OPERATING EXPENSES
Provision for doubtful debts
Unbilled and bad debt written-o�
840,484
36,234,073
37,074,557
-
-
-
Un-audited
Interim Financial Reprot 23
2017 2016
Revenue - Net 920,499,835 821,940,545 181,920,643
152,143,471
262,438,465
364,269,171
1,364,858,943
1,338,353,187
Cost of sales (566,853,340) (474,982,240) (142,868,194)
(137,996,618)
(219,969,243)
(334,823,069)
(929,690,777)
(947,801,927)
Gross profit 353,646,495 346,958,305 39,052,449
14,146,853
42,469,222
29,446,102 435,168,166 390,551,260
Distribution expenses (1,451,188) (1,416,546) (31,979,675) (1,590,484) (13,363,426) (17,361,925) (46,794,289) (20,368,955)
Research and development expenses - (457,171) - (624,831) - (699,589) - (1,781,590)
Administrative expenses (97,454,405) (84,901,196) (19,078,259) (15,554,977) (19,745,543) (28,295,219) (136,278,207) (128,751,392)
(98,905,593) (86,774,913) (51,057,934) (17,770,292) (33,108,969) (46,356,733) (183,072,496) (150,901,937)
Profit / (loss) before taxation and
Unallocated income and expenses 254,740,902 260,183,392 (12,005,485) (3,623,439) 9,360,253 (16,910,631) 252,095,670 239,649,323
Rupees
North America Middle East Pakistan Total
Un-audited
Six Months Ended
30 June
Rupees
2017 2016
Rupees
Un-audited
Six Months Ended
30 June
Rupees
2017 2016
Rupees
Un-audited
Six Months Ended
30 June
Rupees
2017 2016
Rupees
Un-audited
Six Months Ended
30 June
Rupees
Unallocated income and expenses:
Other operating expenses (37,074,557)
Other income 32,885,669
Finance cost (1,579,506)
(5,768,394)
Profit before taxation 246,327,276
Taxation 5,248,769
Profit for the year 241,078,507
-
15,640,677 (774,055)
14,866,622
254,515,945
1,972,413
252,543,532
2017 2016
Rupees Rupees
20. CONTINGENCIES AND COMMITMENTS
Contingencies
There is no significant change in the contigencies since the date of preceding published annual financial
statements.
Commitments:
20.1 Guarantees issued by the financial institutions on behalf of the Company amount to Rs. 211.369 (2016: Rs.
199.9) million.
20.2 Commitments include capital commitments for construction of building of the Company amounting to Rs.
52.34 (2016: 427.6) million.
22 Systems Limited
16. LONG TERM ADVANCES
This represents advances received from staff and will be adjusted as per Company's car policy against sale
of vehicles.
18. SHORT TERM BORROWINGS
This represents export running finance ERF II facility obtained from Habib Bank Limited. The facility has a
limit of Rs. 150 million for working capital requirement and carries interest rate at State Bank of Pakistan
(SBP) rate for ERF + 1% per annum. The facility is mainly secured alongwith letter of guarantee facility of Rs.
150 million by way of first charge over present and future current and fixed assets of the Company and
collateral of land and building to the effect of Rs. 400 million each.
19. OPERATING SEGMENT INFORMATION
Geographical segments
For management purposes, the Systems Limited is organized into business units based on their
geographical areas and has three reportable operating segments as follows:
North America
Middle East
Pakistan
No other operating segments have been aggregated to form the above reportable operating segments.
Management monitors the operating results of its operating segments separately for the purpose of
performance assessment. Segment performance is evaluated based on operating profit or loss and is
measured consistently with operating profit or loss in the consolidated financial statements.
Transfer prices between operating segments are on arm's length basis in a manner similar to transactions
with third parties.
Un-audited Audited
30 June 31 December
Note 2017 2016
Rupees Rupees
17. TRADE AND OTHER PAYABLES
Creditors
Advance from customers
Retention Money
Accrued liabilities
Withholding income tax payable
Provident fund payable
Provision for Worker's Welfare Fund
Sales tax payable
Unclaimed dividend
115,265,645
4,035,271
335,116
67,544,408
1,215,257
-
-
-
2,453,735
190,849,432
14,752,641
3,759,560
11,604,035
152,684,704
6,913,335
10,345,091
17,930,514
5,007,552
3,691,694
226,689,126
Un-audited
30 June 30 June
Note 2017 2016
Rupees Rupees
21. OTHER OPERATING EXPENSES
Provision for doubtful debts
Unbilled and bad debt written-o�
840,484
36,234,073
37,074,557
-
-
-
Un-audited
Interim Financial Reprot 25
22. EARNINGS PER SHARE
2017 2016 2017 2016
Basic earnings per share
Profit for the period 241,078,507
252,543,532
106,846,058
106,846,058
135,577,303
Weighted-average number of ordinary shares
outstanding during the period 111,413,751
111,023,630
111,745,327
111,078,492
Basic - in Rupees 2.16 2.27 0.96 1.22
Three Month EndedSix Month Ended
24 Systems Limited
Diluted earnings per share
Profit for the period 241,078,507 252,543,532 135,577,303
Weighted-average number of ordinary
shares (basic) 111,413,751 111,023,630 111,745,327 111,078,492
E�ect of share options 210,965
811,500
237,032
413,884
111,624,716
111,835,130
111,982,359
111,492,376
Diluted - in Rupees 2.16 2.26 0.95 1.22
Subsidiary 30,587,197 53,557,127
Interest income 1,966,102
624,352
32,553,299
54,181,479
Sales 164,591,417
127,389,018
Payment for
expenses8,848,446
41,479,407
173,439,863 168,868,425
Payment for
expenses
SubsidiaryTech Vista Systems FZ - LLC
E Processing Systems (Pvt.) Ltd.
23. TRANSACTIONS WITH RELATED PARTIES
Related parties comprises of associated companies, staff retirement fund, directors and key management
personnel. Transactions with related parties other than remuneration and benefits to key management
personnel under the terms of their employment, are as follows:
Related party RelationshipNature of
transactions 2017 2016
30 June
Un-audited
Rupees
Six Months Ended
Rupees
Sales 899,311,716
799,124,973
Payment for
expenses4,300,951 5,431,134
903,612,667 804,556,107
Provident fund Employee benefit plan Contributions 43,455,174 37,047,292
Visionet Systems Incorporation Common directorship
Interim Financial Reprot 25
22. EARNINGS PER SHARE
2017 2016 2017 2016
Basic earnings per share
Profit for the period 241,078,507
252,543,532
106,846,058
106,846,058
135,577,303
Weighted-average number of ordinary shares
outstanding during the period 111,413,751
111,023,630
111,745,327
111,078,492
Basic - in Rupees 2.16 2.27 0.96 1.22
Three Month EndedSix Month Ended
24 Systems Limited
Diluted earnings per share
Profit for the period 241,078,507 252,543,532 135,577,303
Weighted-average number of ordinary
shares (basic) 111,413,751 111,023,630 111,745,327 111,078,492
E�ect of share options 210,965
811,500
237,032
413,884
111,624,716
111,835,130
111,982,359
111,492,376
Diluted - in Rupees 2.16 2.26 0.95 1.22
Subsidiary 30,587,197 53,557,127
Interest income 1,966,102
624,352
32,553,299
54,181,479
Sales 164,591,417
127,389,018
Payment for
expenses8,848,446
41,479,407
173,439,863 168,868,425
Payment for
expenses
SubsidiaryTech Vista Systems FZ - LLC
E Processing Systems (Pvt.) Ltd.
23. TRANSACTIONS WITH RELATED PARTIES
Related parties comprises of associated companies, staff retirement fund, directors and key management
personnel. Transactions with related parties other than remuneration and benefits to key management
personnel under the terms of their employment, are as follows:
Related party RelationshipNature of
transactions 2017 2016
30 June
Un-audited
Rupees
Six Months Ended
Rupees
Sales 899,311,716
799,124,973
Payment for
expenses4,300,951 5,431,134
903,612,667 804,556,107
Provident fund Employee benefit plan Contributions 43,455,174 37,047,292
Visionet Systems Incorporation Common directorship
Interim Financial Reprot 2726 Systems Limited
25. FINANCIAL RISK MANAGEMENT
25.1 Financial risk factors
There is no change in the company's objectives, policies, procedures for measuring and managing the
financial risks including capital management risk, since the preceding annual financial year ended 31
December 2016.
25.2 Fair values of financial assets and liabilities
The carrying values of all financial assets and liabilities reflected in financial statements approximate to
their fair values. Fair value is determined on the basis of objective evidence at each reporting date.
Accordingly, detailed disclosure with reference to fair value has not been given in this condensed interim
financial information.
Fair value hierarchy
The Company uses the following hierarchy for determining and disclosing the fair value of financial
instruments by valuation technique:
Level 1: quoted (unadjusted) prices in active markets for identical assets or liabilities
Level 2: other techniques for which all inputs which have a significant effect on the recorded fair value are
observable either, directly or indirectly
Level 3: techniques which use inputs that have a significant effect on the recorded fair value that are not
based on observable market data
- There were no financial assets and liabilities measured at fair value as at 30 June 2017.
- During the six month period ended 30 June 2017, there were no transfers between Level 1 and Level 2 fair
value measurements.
- There were no financial assets and liabilities measured at fair value as at 31 December 2016.
24.
254,515,945
35,191,550
9,318,658
(1,469,520)
4,550,100
774,055
(2,035,732)
(2,436,539)
(7,905,210)
(1,747,534)
34,239,828
288,755,773
(20,704,863)
(111,559,013)
(20,051,895)
(60,446,685)
19,022,175
(79,486,662)
(273,226,943)
(106,933,294)
(380,160,237)
CASH FLOWS FROM OPERATING ACTIVITIES
Profit before taxation
Adjustments for:
Depreciation on property and equipment
Amortization of intangibles
Provision for bad debts
Bad debts - written o�
Share based payment expense
Finance costs
Exchange gain - net
Profit on bank deposits
Gain on short term investments
Gain on disposal of property and equipment
Profit before working capital changes
E�ect on cash flow due to working capital changes
(Increase) / decrease in current assets:
Unbilled revenue - net
Trade debts
Advances
Trade deposits and short term prepayments
Interest accrued
Other receivables
(Decrease) / increase in current liabilities:
Trade and other payables
Net cash generated from / (used in) operations
246,327,276
33,876,699
12,559,324
840,484
36,234,073
12,244,283
1,579,506
(610,210)
(1,305,478)
(5,632,814)
(5,237,783)
84,548,084
330,875,360
(117,459,187)
91,743,098
(23,861,912)
18,073
4,056,431
(43,736,593)
(89,240,090)
(35,839,694)
(125,079,784)
205,795,576 (91,404,464)
2017 2016
30 June
Un-audited
Rupees
Six Months Ended
Rupees
-
Interim Financial Reprot 2726 Systems Limited
25. FINANCIAL RISK MANAGEMENT
25.1 Financial risk factors
There is no change in the company's objectives, policies, procedures for measuring and managing the
financial risks including capital management risk, since the preceding annual financial year ended 31
December 2016.
25.2 Fair values of financial assets and liabilities
The carrying values of all financial assets and liabilities reflected in financial statements approximate to
their fair values. Fair value is determined on the basis of objective evidence at each reporting date.
Accordingly, detailed disclosure with reference to fair value has not been given in this condensed interim
financial information.
Fair value hierarchy
The Company uses the following hierarchy for determining and disclosing the fair value of financial
instruments by valuation technique:
Level 1: quoted (unadjusted) prices in active markets for identical assets or liabilities
Level 2: other techniques for which all inputs which have a significant effect on the recorded fair value are
observable either, directly or indirectly
Level 3: techniques which use inputs that have a significant effect on the recorded fair value that are not
based on observable market data
- There were no financial assets and liabilities measured at fair value as at 30 June 2017.
- During the six month period ended 30 June 2017, there were no transfers between Level 1 and Level 2 fair
value measurements.
- There were no financial assets and liabilities measured at fair value as at 31 December 2016.
24.
254,515,945
35,191,550
9,318,658
(1,469,520)
4,550,100
774,055
(2,035,732)
(2,436,539)
(7,905,210)
(1,747,534)
34,239,828
288,755,773
(20,704,863)
(111,559,013)
(20,051,895)
(60,446,685)
19,022,175
(79,486,662)
(273,226,943)
(106,933,294)
(380,160,237)
CASH FLOWS FROM OPERATING ACTIVITIES
Profit before taxation
Adjustments for:
Depreciation on property and equipment
Amortization of intangibles
Provision for bad debts
Bad debts - written o�
Share based payment expense
Finance costs
Exchange gain - net
Profit on bank deposits
Gain on short term investments
Gain on disposal of property and equipment
Profit before working capital changes
E�ect on cash flow due to working capital changes
(Increase) / decrease in current assets:
Unbilled revenue - net
Trade debts
Advances
Trade deposits and short term prepayments
Interest accrued
Other receivables
(Decrease) / increase in current liabilities:
Trade and other payables
Net cash generated from / (used in) operations
246,327,276
33,876,699
12,559,324
840,484
36,234,073
12,244,283
1,579,506
(610,210)
(1,305,478)
(5,632,814)
(5,237,783)
84,548,084
330,875,360
(117,459,187)
91,743,098
(23,861,912)
18,073
4,056,431
(43,736,593)
(89,240,090)
(35,839,694)
(125,079,784)
205,795,576 (91,404,464)
2017 2016
30 June
Un-audited
Rupees
Six Months Ended
Rupees
-
Interim Financial Reprot 2928 Systems Limited
Rupees
Financial liabilities as per balance sheet
Trade and other payables 185,598,904
30 June 2017
Financial Liabilities
at amortized cost
Long term deposits - 6,130,852 6,130,852
Unbilled revenue - 320,894,130 320,894,130
Loans to employees - 2,160,096 2,160,096
Trade debts - 1,290,766,880 1,290,766,880
Trade deposits - 32,693,991 32,693,991
Interest accrued - 11,863,416 11,863,416
Other receivables - 226,917,525 226,917,525
Short term investments - 253,000,000 253,000,000
Cash and bank balances 183,200,188 - 183,200,188
183,200,188 2,144,426,890 2,327,627,078
Financial assets as per balance
sheet
31 December 2016
Cash and cash
equivalents
Loans and
advances Total
- 6,130,852 6,130,852
- 435,522,419 435,522,419
- 2,869,408 2,869,408
-
1,162,559,435
1,162,559,435
-
31,667,050
31,667,050
13,439,799
13,439,799
-
270,654,118
270,654,118
-
160,000,000
160,000,000
25.3 Financial instruments by categories
Financial assets as per balance sheet
Long term deposits
Unbilled revenue
Loans to employees
Trade debts
Trade deposits
Interest accrued
Other receivable
Short term investments
Cash and bank balances 141,435,847
-
141,435,847
141,435,847
2,082,843,081
2,224,278,928
30 June 2017
Rupees Rupees Rupees
Cash and cash
equivalents
Loans and
advances Total
Rupees Rupees Rupees
31 December
2016
Reclassification from component Reclassification to component
Rupees
Trade Debtor Tax refunds due from the Government 6,593,361
Rupees
Financial liabilities as per balance sheet
Trade and other payables 182,733,074
Financial Liabilities
at amortized cost
31 December 2016
26. DATE OF AUTHORIZATION FOR ISSUE
This condensed interim financial information was authorized for issue on 25 August 2017 by the Board of
Directors of the Company.
27. CORRESPONDING FIGURES
Corresponding figures have been re-arranged or re-classified where necessary for the purpose of
comparison, however no significant re-classification or re-arrangements have been made in this
condensed interim financial information.
28. GENERAL
28.1 Figures have been rounded off to the nearest rupees, unless otherwise stated.
28.2 Corresponding figures have been rearranged or reclassified, wherever necessary, for the purpose of
comparison. However, no significant reclassification has been made in these financial statements except
for the following in order to comply with requirements of International Financial Reporting Standards:
AEZAZ HUSSAIN
Chairman
ASIF PEER
Chief Executive
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
Interim Financial Reprot 2928 Systems Limited
Rupees
Financial liabilities as per balance sheet
Trade and other payables 185,598,904
30 June 2017
Financial Liabilities
at amortized cost
Long term deposits - 6,130,852 6,130,852
Unbilled revenue - 320,894,130 320,894,130
Loans to employees - 2,160,096 2,160,096
Trade debts - 1,290,766,880 1,290,766,880
Trade deposits - 32,693,991 32,693,991
Interest accrued - 11,863,416 11,863,416
Other receivables - 226,917,525 226,917,525
Short term investments - 253,000,000 253,000,000
Cash and bank balances 183,200,188 - 183,200,188
183,200,188 2,144,426,890 2,327,627,078
Financial assets as per balance
sheet
31 December 2016
Cash and cash
equivalents
Loans and
advances Total
- 6,130,852 6,130,852
- 435,522,419 435,522,419
- 2,869,408 2,869,408
-
1,162,559,435
1,162,559,435
-
31,667,050
31,667,050
13,439,799
13,439,799
-
270,654,118
270,654,118
-
160,000,000
160,000,000
25.3 Financial instruments by categories
Financial assets as per balance sheet
Long term deposits
Unbilled revenue
Loans to employees
Trade debts
Trade deposits
Interest accrued
Other receivable
Short term investments
Cash and bank balances 141,435,847
-
141,435,847
141,435,847
2,082,843,081
2,224,278,928
30 June 2017
Rupees Rupees Rupees
Cash and cash
equivalents
Loans and
advances Total
Rupees Rupees Rupees
31 December
2016
Reclassification from component Reclassification to component
Rupees
Trade Debtor Tax refunds due from the Government 6,593,361
Rupees
Financial liabilities as per balance sheet
Trade and other payables 182,733,074
Financial Liabilities
at amortized cost
31 December 2016
26. DATE OF AUTHORIZATION FOR ISSUE
This condensed interim financial information was authorized for issue on 25 August 2017 by the Board of
Directors of the Company.
27. CORRESPONDING FIGURES
Corresponding figures have been re-arranged or re-classified where necessary for the purpose of
comparison, however no significant re-classification or re-arrangements have been made in this
condensed interim financial information.
28. GENERAL
28.1 Figures have been rounded off to the nearest rupees, unless otherwise stated.
28.2 Corresponding figures have been rearranged or reclassified, wherever necessary, for the purpose of
comparison. However, no significant reclassification has been made in these financial statements except
for the following in order to comply with requirements of International Financial Reporting Standards:
AEZAZ HUSSAIN
Chairman
ASIF PEER
Chief Executive
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
Condensed Interim
Consolidated Financial Information
This page has been left blank intentionally
Condensed Interim
Consolidated Financial Information
This page has been left blank intentionally
Interim Financial Reprot 33
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
EQUITY AND LIABILITIES
Share capital and reserves
Authorized share capital
200,000,000 (2016: 150,000,000) ordinary shares of Rs. 10 each
Issued, subscribed and paid up share capital 14
Capital and reserve
Unappropriated profit
Total shareholders' equity
Non-controlling interest
Non-current liabilities
Convertible loan
Long term advances 15
Provision for gratuity
Current liabilities
Trade and other payables 16
Short term borrowings 17
Unearned revenue
Current portion of long term advances
Total current liabilities
TOTAL EQUITY & LIABILITIES
Contingencies and commitments 19
2,000,000,000
1,118,276,520
480,783,758 1,322,143,967
2,921,204,245
(23,776,155)
2,897,428,090
10,423,914
11,987,624
5,500,555
27,912,093
216,779,108
150,000,000
11,556,688
2,550,000
380,885,796
3,306,225,979
-
1,500,000,000
1,110,784,920
460,774,513 1,244,108,681
2,815,668,114
(15,568,020)
2,800,100,094
-
10,910,791
4,009,766
14,920,557
271,567,025
-
14,387,586
6,109,697
292,064,308
3,107,084,959
-
CONDENSED INTERIM CONSOLIDATED BALANCE SHEET
32 Systems Limited
as at 30 June 2017
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
The annexed notes from 1 to 27 form an integral part of this condensed interim financial information.
ASSETS
Non-current assets
Property and equipment 6
Intangible assets 7
Long term deposits
Deferred taxation
Total non-current assets
Current assets
Unbilled revenue
Trade debts 8
Advances - considered good 9
Trade deposits and short term prepayments 10
Interest accrued
Other receivables 11
Short term investments 12
Tax refunds due from the Government
Cash and bank balances 13
Total current assets
797,888,601
135,355,324
9,136,852
25,276,863
967,657,640
262,384,124
1,172,761,511
55,020,662
101,354,386
1,884,623
148,481,078
160,000,000
121,794,682
314,887,273
2,338,568,339
571,175,127
118,945,145
9,136,852
25,276,863
724,533,987
393,659,781
1,108,405,149
33,871,434
67,903,663
2,274,342
150,344,859
253,000,000
98,958,341
274,133,403
2,382,550,972
TOTAL ASSETS 3,306,225,979
3,107,084,959
AEZAZ HUSSAIN
Chairman
ASIF PEER
Chief Executive
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
Interim Financial Reprot 33
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
EQUITY AND LIABILITIES
Share capital and reserves
Authorized share capital
200,000,000 (2016: 150,000,000) ordinary shares of Rs. 10 each
Issued, subscribed and paid up share capital 14
Capital and reserve
Unappropriated profit
Total shareholders' equity
Non-controlling interest
Non-current liabilities
Convertible loan
Long term advances 15
Provision for gratuity
Current liabilities
Trade and other payables 16
Short term borrowings 17
Unearned revenue
Current portion of long term advances
Total current liabilities
TOTAL EQUITY & LIABILITIES
Contingencies and commitments 19
2,000,000,000
1,118,276,520
480,783,758 1,322,143,967
2,921,204,245
(23,776,155)
2,897,428,090
10,423,914
11,987,624
5,500,555
27,912,093
216,779,108
150,000,000
11,556,688
2,550,000
380,885,796
3,306,225,979
-
1,500,000,000
1,110,784,920
460,774,513 1,244,108,681
2,815,668,114
(15,568,020)
2,800,100,094
-
10,910,791
4,009,766
14,920,557
271,567,025
-
14,387,586
6,109,697
292,064,308
3,107,084,959
-
CONDENSED INTERIM CONSOLIDATED BALANCE SHEET
32 Systems Limited
as at 30 June 2017
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
The annexed notes from 1 to 27 form an integral part of this condensed interim financial information.
ASSETS
Non-current assets
Property and equipment 6
Intangible assets 7
Long term deposits
Deferred taxation
Total non-current assets
Current assets
Unbilled revenue
Trade debts 8
Advances - considered good 9
Trade deposits and short term prepayments 10
Interest accrued
Other receivables 11
Short term investments 12
Tax refunds due from the Government
Cash and bank balances 13
Total current assets
797,888,601
135,355,324
9,136,852
25,276,863
967,657,640
262,384,124
1,172,761,511
55,020,662
101,354,386
1,884,623
148,481,078
160,000,000
121,794,682
314,887,273
2,338,568,339
571,175,127
118,945,145
9,136,852
25,276,863
724,533,987
393,659,781
1,108,405,149
33,871,434
67,903,663
2,274,342
150,344,859
253,000,000
98,958,341
274,133,403
2,382,550,972
TOTAL ASSETS 3,306,225,979
3,107,084,959
AEZAZ HUSSAIN
Chairman
ASIF PEER
Chief Executive
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
CONDENSED INTERIM CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
Interim Financial Reprot 35
for the half year ended 30 June 2017
Profit for the period
Other comprehensive income
Exchange di�erence on transaltion of foreign operations
Total comprehensive income for the period
Attributable to:
Equity holders of the parent
Non-controlling interest
30 June 30 June
2017 2016
Rupees Rupees
Half year Ended
277,604,364
167,673
277,772,037
282,429,851
(4,657,814)
277,772,037
229,517,399
114,244
229,631,643
231,663,912
(2,032,269)
229,631,643
The annexed notes from 1 to 27 form an integral part of this condensed interim financial information.
CONDENSED INTERIM CONSOLIDATED PROFIT AND LOSS ACCOUNT
34 Systems Limited
Note
for the half year ended 30 June 2017
30 June 30 June 30 June 30 June2017 2016 2017 2016
Rupees Rupees Rupees Rupees
Half year Ended Quarter Ended
1,682,399,849
1,185,271,966
497,127,883
42,681,500
161,231,212
-
203,912,712
293,215,171
30,021,069 323,236,240
37,074,557
2,835,021
283,326,662
5,722,298
277,604,364
282,262,178
(4,657,814)
277,604,364
2.53
2.53
1,562,677,245
1,135,148,566
427,528,679
60,412,536
146,637,883
1,781,591
208,832,010
218,696,669
14,570,115 233,266,784
-
1,776,972
231,489,812
1,972,413
229,517,399
231,549,668
(2,032,269)
229,517,399
2.09
2.07
808,594,080
582,605,405
225,988,675
19,887,032
81,647,474
(2,687,920)
98,846,586
127,142,089
3,888,531 131,030,620
-
894,188
130,136,432
(27,587)
130,164,019
131,090,257
(926,238)
130,164,019
1.18
1.18
Revenue
Cost of sales
Gross profit
Distribution cost
Administrative expenses
Research & development expenses
Operating profit
Other income
Other operating expenses
Finance cost
Profit before taxation
Taxation
Profit after taxation
Attributable to:
Equity holders of the parent
Non-controlling interest
Earnings per share:
Basic earnings per share 21
Diluted earnings per share
The annexed notes from 1 to 27 form an integral part of this condensed interim financial information.
864,752,662
605,600,006
259,152,656
22,063,241
85,106,918
-
107,170,159
151,982,497
26,371,466 178,353,963
37,074,557
225,070
141,054,336
3,522,298
137,532,038
140,283,006
(2,750,968)
137,532,038
1.26
1.25
20
AEZAZ HUSSAIN
Chairman
ASIF PEER
Chief Executive
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
AEZAZ HUSSAIN
Chairman
ASIF PEER
Chief Executive
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
CONDENSED INTERIM CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
Interim Financial Reprot 35
for the half year ended 30 June 2017
Profit for the period
Other comprehensive income
Exchange di�erence on transaltion of foreign operations
Total comprehensive income for the period
Attributable to:
Equity holders of the parent
Non-controlling interest
30 June 30 June
2017 2016
Rupees Rupees
Half year Ended
277,604,364
167,673
277,772,037
282,429,851
(4,657,814)
277,772,037
229,517,399
114,244
229,631,643
231,663,912
(2,032,269)
229,631,643
The annexed notes from 1 to 27 form an integral part of this condensed interim financial information.
CONDENSED INTERIM CONSOLIDATED PROFIT AND LOSS ACCOUNT
34 Systems Limited
Note
for the half year ended 30 June 2017
30 June 30 June 30 June 30 June2017 2016 2017 2016
Rupees Rupees Rupees Rupees
Half year Ended Quarter Ended
1,682,399,849
1,185,271,966
497,127,883
42,681,500
161,231,212
-
203,912,712
293,215,171
30,021,069 323,236,240
37,074,557
2,835,021
283,326,662
5,722,298
277,604,364
282,262,178
(4,657,814)
277,604,364
2.53
2.53
1,562,677,245
1,135,148,566
427,528,679
60,412,536
146,637,883
1,781,591
208,832,010
218,696,669
14,570,115 233,266,784
-
1,776,972
231,489,812
1,972,413
229,517,399
231,549,668
(2,032,269)
229,517,399
2.09
2.07
808,594,080
582,605,405
225,988,675
19,887,032
81,647,474
(2,687,920)
98,846,586
127,142,089
3,888,531 131,030,620
-
894,188
130,136,432
(27,587)
130,164,019
131,090,257
(926,238)
130,164,019
1.18
1.18
Revenue
Cost of sales
Gross profit
Distribution cost
Administrative expenses
Research & development expenses
Operating profit
Other income
Other operating expenses
Finance cost
Profit before taxation
Taxation
Profit after taxation
Attributable to:
Equity holders of the parent
Non-controlling interest
Earnings per share:
Basic earnings per share 21
Diluted earnings per share
The annexed notes from 1 to 27 form an integral part of this condensed interim financial information.
864,752,662
605,600,006
259,152,656
22,063,241
85,106,918
-
107,170,159
151,982,497
26,371,466 178,353,963
37,074,557
225,070
141,054,336
3,522,298
137,532,038
140,283,006
(2,750,968)
137,532,038
1.26
1.25
20
AEZAZ HUSSAIN
Chairman
ASIF PEER
Chief Executive
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
AEZAZ HUSSAIN
Chairman
ASIF PEER
Chief Executive
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
CO
ND
EN
SE
D I
NTE
RIM
CO
NS
OLI
DA
TED
STA
TEM
EN
T O
F C
HA
NG
ES
IN
EQ
UIT
Y
Interim Financial Reprot 37
for
the h
alf
year
ended 3
0 J
une 2
017
Bala
nce
as
at
31 D
ece
mber
2015
(A
udit
ed)
Share
s is
sued u
nder
em
plo
yees
share
opti
on s
chem
e
Adju
stm
ent
ot
em
plo
yee c
om
pensa
tion r
ese
rve
Cash
div
idend
Tota
l co
mpre
hensi
ve i
nco
me f
or
the p
eri
od
Bala
nce
as
at
30 J
une 2
016
(U
n-a
udit
ed)
Bala
nce
as
at
31 D
ece
mber
2016
(A
udit
ed)
Transf
er
from
com
pensa
tion r
ese
rve t
o s
hare
pre
miu
m r
ese
rve
Share
iss
ued a
gain
st E
mplo
yees'
Share
Opti
on S
chem
e
Share
base
d p
aym
ents
Share
iss
ued t
o N
CI again
st c
ash
Adju
stm
en o
n a
ccount
of
issu
e o
f sh
are
s to
NCI
Final div
idend @
Rs.
1.86 p
er
share
for
the y
ear
ended 3
1st
Dece
mber
2016
Tota
l co
mpre
hensi
ve i
nco
me f
or
the p
eri
od
Oth
er
com
pre
hensi
ve i
nco
me f
or
the p
eri
od
Bala
nce
as
at
30
Ju
ne
20
17 (
Un
-au
dit
ed
)
The a
nnexe
d n
ote
s fr
om
1 t
o 2
7 fo
rm a
n i
nte
gra
l part
of
this
condense
d i
nte
rim
financi
al in
form
ati
on.
Cap
ital
rese
rve
2,4
13,5
74,2
01
15,2
97,
522
4,5
50
,10
0
(138
,848
,114
)
229,6
31,
643
2,5
24,2
05,3
52
2,8
00
,10
0,0
94
-
15,0
88
,88
9
12,2
44,2
83
222,2
20
-
(20
7,999,4
33)
277
,60
4,3
64
167,
673
2,8
97,
428
,090
Ru
pe
es
To
tal
(9,7
46,7
36)
- - -
(2,0
32,2
69)
(11,
779,
005)
(15,5
68,0
20)
- - -
222,
220
(3,7
72,5
41)
-
(4,6
57,
814
)
-
(23,7
76,1
55)
No
n-
con
tro
llin
g
inte
rest
Ru
pe
es
2,42
3,32
0,9
37
15,2
97,5
22
4,550,1
00
(138
,848
,114
)
231,
663,
912
2,535
,984,
357
2,815
,668,1
14
-
15,0
88,8
89
12,2
44,2
83
-
3,77
2,541
(207,
999,
433)
282,
262,
178
167,
673
2,9
21,
20
4,2
45
To
tal
eq
uit
y
att
rib
uta
ble
to
share
ho
lde
rs o
f p
are
nt
com
pan
y
Ru
pe
es
895
,921
,042
- -
(138
,848
,114
)
231,
549
,668
988,6
22,5
96
1,24
4,10
8,6
81
- - - -
3,77
2,541
(207,
999,
433)
282,
262,
178 -
1,322,1
43,9
67
Un
ap
pro
pri
ate
d
pro
fit
Ru
pe
es
33,0
82
11
4,24
4
147,
326
(316
,714
)
-
-
-
- - - -
167,
673
(149,0
41)
Fo
reig
n c
urr
en
cy
tran
salt
ion
rese
rve
Ru
pe
es
9,25
5,4
67
4,550,1
00
-
-
13,8
05,5
67
38,4
67,
279
(43,
068,4
02)
-
12,2
44,2
83
- - - - -
7,643,1
60
Em
plo
ye
e
com
pe
nsa
tio
n
rese
rve
Ru
pe
es
411,
302,
586
11,3
21,3
62
-
-
-
422,
623
,948
422,
623
,948
43,0
68,4
02
7,597
,289
-
-
-
-
-
-
473
,28
9,6
39
Sh
are
cap
ital
pre
miu
m
Ru
pe
es
1,10
6,8
08,7
60
3,97
6,1
60
-
-
-
1,11
0,7
84,
920
1,11
0,7
84,
920
-
7,49
1,600
-
-
-
-
-
1,11
8,2
76,5
20
Issu
ed
,
sub
scri
be
d
an
d p
aid
up
share
cap
ital
Ru
pe
es
Re
ve
nu
e r
ese
rve
AE
ZA
Z H
US
SA
IN
Chair
man
AS
IF P
EE
R
Chie
f Exe
cuti
ve
CONDENSED INTERIM CONSOLIDATED CASH FLOW STATEMENT
3 6 Systems Limited
for the half year ended 30 June 2017
Note
Rupees Rupees
23
262,617,867
(1,579,506)
(335,941)
(21,965,278)
(23,880,725)
238,737,142
(259,075,327)
(16,887,688)
(12,556,203)
93,000,000
1,305,478
(194,213,740)
15,088,889
222,220
180,587,197
10,423,914
(207,999,433)
(2,482,864)
(4,160,077)
40,363,325
390,545
274,133,403
314,887,273
(46,884,201)
(1,776,972)
(328,871)
(29,425,346)
(31,531,189)
(78,415,390)
(113,543,471)
(27,025,564)
2,955,805
(5,717,351)
432,799,398
11,494,808
2,444,058
303,407,683
15,297,522
110,000,000
(138,848,114)
3,994,528
(9,556,064)
215,436,229
114,244
193,593,856
409,144,329
CASH FLOWS FROM OPERATING ACTIVITIES
Net cash flows from/(used in) operations
Finance costs paid
Gratuity paid
Taxes paid
Net cash flows from/(used in) operating activities
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of property and equipment
Development expenditure
Proceeds from the disposal of property and equipment
Increase in long term deposits
Purchase / (disposal) of short term investments - net
Profit received on short term investment
Profit received on bank deposits
Net cash flows used in/from investing activities
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from exercise of share options
Proceeds from issue of shares
Increase in short term borrowings
Proceeds from convertible loan
Dividend paid
Increase / (decrease) in long term advances
Net cash flows used in financing activities
Net (decrease) in cash and cash equivalents
E�ect of exchange translation reserve
Cash and cash equivalents at 1st January
Cash and cash equivalents at 30 June
The annexed notes from 1 to 27 form an integral part of this condensed interim financial information.
(Un-audited)
30 June
2017
(Un-audited)
30 June
2016
AEZAZ HUSSAIN
Chairman
ASIF PEER
Chief Executive
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
MU
HA
MM
AD
KH
UR
RA
M I
QA
BL
Chie
f Fi
nanci
al O
ffic
er
CO
ND
EN
SE
D I
NTE
RIM
CO
NS
OLI
DA
TED
STA
TEM
EN
T O
F C
HA
NG
ES
IN
EQ
UIT
Y
Interim Financial Reprot 37
for
the h
alf
year
ended 3
0 J
une 2
017
Bala
nce
as
at
31 D
ece
mber
2015
(A
udit
ed)
Share
s is
sued u
nder
em
plo
yees
share
opti
on s
chem
e
Adju
stm
ent
ot
em
plo
yee c
om
pensa
tion r
ese
rve
Cash
div
idend
Tota
l co
mpre
hensi
ve i
nco
me f
or
the p
eri
od
Bala
nce
as
at
30 J
une 2
016
(U
n-a
udit
ed)
Bala
nce
as
at
31 D
ece
mber
2016
(A
udit
ed)
Transf
er
from
com
pensa
tion r
ese
rve t
o s
hare
pre
miu
m r
ese
rve
Share
iss
ued a
gain
st E
mplo
yees'
Share
Opti
on S
chem
e
Share
base
d p
aym
ents
Share
iss
ued t
o N
CI again
st c
ash
Adju
stm
en o
n a
ccount
of
issu
e o
f sh
are
s to
NCI
Final div
idend @
Rs.
1.86 p
er
share
for
the y
ear
ended 3
1st
Dece
mber
2016
Tota
l co
mpre
hensi
ve i
nco
me f
or
the p
eri
od
Oth
er
com
pre
hensi
ve i
nco
me f
or
the p
eri
od
Bala
nce
as
at
30
Ju
ne
20
17 (
Un
-au
dit
ed
)
The a
nnexe
d n
ote
s fr
om
1 t
o 2
7 fo
rm a
n i
nte
gra
l part
of
this
condense
d i
nte
rim
financi
al in
form
ati
on.
Cap
ital
rese
rve
2,4
13,5
74,2
01
15,2
97,
522
4,5
50
,10
0
(138
,848
,114
)
229,6
31,
643
2,5
24,2
05,3
52
2,8
00
,10
0,0
94
-
15,0
88
,88
9
12,2
44,2
83
222,2
20
-
(20
7,999,4
33)
277
,60
4,3
64
167,
673
2,8
97,
428
,090
Ru
pe
es
To
tal
(9,7
46,7
36)
- - -
(2,0
32,2
69)
(11,
779,
005)
(15,5
68,0
20)
- - -
222,
220
(3,7
72,5
41)
-
(4,6
57,
814
)
-
(23,7
76,1
55)
No
n-
con
tro
llin
g
inte
rest
Ru
pe
es
2,42
3,32
0,9
37
15,2
97,5
22
4,550,1
00
(138
,848
,114
)
231,
663,
912
2,535
,984,
357
2,815
,668,1
14
-
15,0
88,8
89
12,2
44,2
83
-
3,77
2,541
(207,
999,
433)
282,
262,
178
167,
673
2,9
21,
20
4,2
45
To
tal
eq
uit
y
att
rib
uta
ble
to
share
ho
lde
rs o
f p
are
nt
com
pan
y
Ru
pe
es
895
,921
,042
- -
(138
,848
,114
)
231,
549
,668
988,6
22,5
96
1,24
4,10
8,6
81
- - - -
3,77
2,541
(207,
999,
433)
282,
262,
178 -
1,322,1
43,9
67
Un
ap
pro
pri
ate
d
pro
fit
Ru
pe
es
33,0
82
11
4,24
4
147,
326
(316
,714
)
-
-
-
- - - -
167,
673
(149,0
41)
Fo
reig
n c
urr
en
cy
tran
salt
ion
rese
rve
Ru
pe
es
9,25
5,4
67
4,550,1
00
-
-
13,8
05,5
67
38,4
67,
279
(43,
068,4
02)
-
12,2
44,2
83
- - - - -
7,643,1
60
Em
plo
ye
e
com
pe
nsa
tio
n
rese
rve
Ru
pe
es
411,
302,
586
11,3
21,3
62
-
-
-
422,
623
,948
422,
623
,948
43,0
68,4
02
7,597
,289
-
-
-
-
-
-
473
,28
9,6
39
Sh
are
cap
ital
pre
miu
m
Ru
pe
es
1,10
6,8
08,7
60
3,97
6,1
60
-
-
-
1,11
0,7
84,
920
1,11
0,7
84,
920
-
7,49
1,600
-
-
-
-
-
1,11
8,2
76,5
20
Issu
ed
,
sub
scri
be
d
an
d p
aid
up
share
cap
ital
Ru
pe
es
Re
ve
nu
e r
ese
rve
AE
ZA
Z H
US
SA
IN
Chair
man
AS
IF P
EE
R
Chie
f Exe
cuti
ve
CONDENSED INTERIM CONSOLIDATED CASH FLOW STATEMENT
3 6 Systems Limited
for the half year ended 30 June 2017
Note
Rupees Rupees
23
262,617,867
(1,579,506)
(335,941)
(21,965,278)
(23,880,725)
238,737,142
(259,075,327)
(16,887,688)
(12,556,203)
93,000,000
1,305,478
(194,213,740)
15,088,889
222,220
180,587,197
10,423,914
(207,999,433)
(2,482,864)
(4,160,077)
40,363,325
390,545
274,133,403
314,887,273
(46,884,201)
(1,776,972)
(328,871)
(29,425,346)
(31,531,189)
(78,415,390)
(113,543,471)
(27,025,564)
2,955,805
(5,717,351)
432,799,398
11,494,808
2,444,058
303,407,683
15,297,522
110,000,000
(138,848,114)
3,994,528
(9,556,064)
215,436,229
114,244
193,593,856
409,144,329
CASH FLOWS FROM OPERATING ACTIVITIES
Net cash flows from/(used in) operations
Finance costs paid
Gratuity paid
Taxes paid
Net cash flows from/(used in) operating activities
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of property and equipment
Development expenditure
Proceeds from the disposal of property and equipment
Increase in long term deposits
Purchase / (disposal) of short term investments - net
Profit received on short term investment
Profit received on bank deposits
Net cash flows used in/from investing activities
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from exercise of share options
Proceeds from issue of shares
Increase in short term borrowings
Proceeds from convertible loan
Dividend paid
Increase / (decrease) in long term advances
Net cash flows used in financing activities
Net (decrease) in cash and cash equivalents
E�ect of exchange translation reserve
Cash and cash equivalents at 1st January
Cash and cash equivalents at 30 June
The annexed notes from 1 to 27 form an integral part of this condensed interim financial information.
(Un-audited)
30 June
2017
(Un-audited)
30 June
2016
AEZAZ HUSSAIN
Chairman
ASIF PEER
Chief Executive
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
MU
HA
MM
AD
KH
UR
RA
M I
QA
BL
Chie
f Fi
nanci
al O
ffic
er
Interim Financial Reprot 39
6. PRPOERTY AND EQUIPMENT
Opening balance - net book value
Additions during the period/ year - cost 6.1
Less:
Disposals - net book value 6.2
Depreciation during the period / year
Closing balance - net book value
571,414,145
270,216,180
841,630,325
7,318,420
36,423,304
797,888,601
362,703,298
294,443,247
657,146,545
10,606,471
75,364,947
571,175,127
4 ACCOUNTING POLICIES
The accounting policies adopted for the preparation of this condensed interim consoidated financial
information are the same as those applied in the preparation of the preceding annual published financial
statements of the Group for the year ended 31 December 2016 except as follows:
The Group has adopted the following standards and amendment to IFRSs which became effective for the
current period:
I FRS 7 -F inanc ia l Ins t ruments : D i sc losures - D isc losure In i t ia t i ve - (Amendment )
IAS 12 -Income Taxes – Recognition of Deferred Tax Assets for Unrealized losses (Amendments)
The adoption of the above amendment to accounting standards did not have any material effect on the
condensed interim financial information.
5 ACCOUNTING ESTIMATES AND JUDGMENTS
The preparation of condensed interim financial information requires management to make judgments,
estimates and assumptions that affect the application of accounting policies and reported amount of
assets and liabilities, incomes and expenses. Actual results may differ from these estimates. The
significant judgments made by management in applying the Group's accounting policies and the key
sources of estimation are the same as those that applied to the financial statements for the year ended 31
December 2016.
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
SELECTED NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL INFORMATION
38 Systems Limited
1. THE GROUP AND ITS OPERATIONS
Holding company
Systems Limited (the Company) is a public limited company incorporated in Pakistan under the Companies
Ordinance 1984, and is listed on the Pakistan Stock Exchange (formerly Karachi, Islamabad and Lahore
Stock Exchanges). The Company is principally engaged in the business of software development, trading of
software and business process outsourcing services. The registered office of the Company is situated at
Chamber of Commerce building, 11- Shahra-e-Aiwan-e-Tijarat, Lahore.
Subsidiary company
TechVista Systems FZ - LLC, a limited liability company incorporated in Dubai Technology and Media Free
Zone Authority, is a 100% owned subsidiary of Systems Limited. The Company is engaged in the business of
developing software and providing ancillary services.
E-Processing Systems (Private) Limited, a private limited company registered under Companies Ordinance,
1984 incorporated on 06 February 2013, is a 63% owned subsidiary of Systems Limited. The Company is
principally engaged in the business of purchase and sale of airtime and related services.
2. STATEMENT OF COMPLIANCE
2.1 During the year, the Companies Act 2017 (the Act) has been effective from 30 May 2017. However, Securities
and Exchange Commission of Pakistan vide its circular no.17 of 2017 dated July 20, 2017 communicated that
the companies whose financial year closes on or before June 30, 2017 shall prepare their financial
statements in accordance with the provisions of the repealed Companies Ordinance, 1984.
2.2 Accordingly, these consolidated condensed interim financial information of the Group for the six months
period ended 30 June 2017 has been prepared in accordance with the requirements of the International
Accounting Standard 34 - Interim Financial Reporting as are notified under the repealed Companies
Ordinance, 1984, provisions of and directives issued under the repealed Companies Ordinance,1984. In case
requirements differ, the provisions or directives of the repealed Companies Ordinance, 1984 shall prevail.
2.3 This consolidated condensed interim financial information is un-audited and is being submitted to
shareholders, as required by section 245 of the Companies ordinance, 1984.
3 BASIS OF PREPARATION
This condensed interim consolidated financial information is not audited and has been prepared in
condensed form and does not include all the information as is required to be provided in full set of annual
financial statements. This condensed interim consolidated financial information should be read in
conjunction with the audited financial statements of the Group for the year ended 31 December 2016.
3.1 Consolidated financial satements
This condensed interim consolidated financial information comprises the financial information of Systems
Limited and its subsidiaries, here-in-after referred to as "the Group".
3.2 Basis of measurement
This condensed interim consolidated financial information has been prepared under the historical cost
convention.
for the six months ended 30 June 2017
Interim Financial Reprot 39
6. PRPOERTY AND EQUIPMENT
Opening balance - net book value
Additions during the period/ year - cost 6.1
Less:
Disposals - net book value 6.2
Depreciation during the period / year
Closing balance - net book value
571,414,145
270,216,180
841,630,325
7,318,420
36,423,304
797,888,601
362,703,298
294,443,247
657,146,545
10,606,471
75,364,947
571,175,127
4 ACCOUNTING POLICIES
The accounting policies adopted for the preparation of this condensed interim consoidated financial
information are the same as those applied in the preparation of the preceding annual published financial
statements of the Group for the year ended 31 December 2016 except as follows:
The Group has adopted the following standards and amendment to IFRSs which became effective for the
current period:
I FRS 7 -F inanc ia l Ins t ruments : D i sc losures - D isc losure In i t ia t i ve - (Amendment )
IAS 12 -Income Taxes – Recognition of Deferred Tax Assets for Unrealized losses (Amendments)
The adoption of the above amendment to accounting standards did not have any material effect on the
condensed interim financial information.
5 ACCOUNTING ESTIMATES AND JUDGMENTS
The preparation of condensed interim financial information requires management to make judgments,
estimates and assumptions that affect the application of accounting policies and reported amount of
assets and liabilities, incomes and expenses. Actual results may differ from these estimates. The
significant judgments made by management in applying the Group's accounting policies and the key
sources of estimation are the same as those that applied to the financial statements for the year ended 31
December 2016.
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
SELECTED NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL INFORMATION
38 Systems Limited
1. THE GROUP AND ITS OPERATIONS
Holding company
Systems Limited (the Company) is a public limited company incorporated in Pakistan under the Companies
Ordinance 1984, and is listed on the Pakistan Stock Exchange (formerly Karachi, Islamabad and Lahore
Stock Exchanges). The Company is principally engaged in the business of software development, trading of
software and business process outsourcing services. The registered office of the Company is situated at
Chamber of Commerce building, 11- Shahra-e-Aiwan-e-Tijarat, Lahore.
Subsidiary company
TechVista Systems FZ - LLC, a limited liability company incorporated in Dubai Technology and Media Free
Zone Authority, is a 100% owned subsidiary of Systems Limited. The Company is engaged in the business of
developing software and providing ancillary services.
E-Processing Systems (Private) Limited, a private limited company registered under Companies Ordinance,
1984 incorporated on 06 February 2013, is a 63% owned subsidiary of Systems Limited. The Company is
principally engaged in the business of purchase and sale of airtime and related services.
2. STATEMENT OF COMPLIANCE
2.1 During the year, the Companies Act 2017 (the Act) has been effective from 30 May 2017. However, Securities
and Exchange Commission of Pakistan vide its circular no.17 of 2017 dated July 20, 2017 communicated that
the companies whose financial year closes on or before June 30, 2017 shall prepare their financial
statements in accordance with the provisions of the repealed Companies Ordinance, 1984.
2.2 Accordingly, these consolidated condensed interim financial information of the Group for the six months
period ended 30 June 2017 has been prepared in accordance with the requirements of the International
Accounting Standard 34 - Interim Financial Reporting as are notified under the repealed Companies
Ordinance, 1984, provisions of and directives issued under the repealed Companies Ordinance,1984. In case
requirements differ, the provisions or directives of the repealed Companies Ordinance, 1984 shall prevail.
2.3 This consolidated condensed interim financial information is un-audited and is being submitted to
shareholders, as required by section 245 of the Companies ordinance, 1984.
3 BASIS OF PREPARATION
This condensed interim consolidated financial information is not audited and has been prepared in
condensed form and does not include all the information as is required to be provided in full set of annual
financial statements. This condensed interim consolidated financial information should be read in
conjunction with the audited financial statements of the Group for the year ended 31 December 2016.
3.1 Consolidated financial satements
This condensed interim consolidated financial information comprises the financial information of Systems
Limited and its subsidiaries, here-in-after referred to as "the Group".
3.2 Basis of measurement
This condensed interim consolidated financial information has been prepared under the historical cost
convention.
for the six months ended 30 June 2017
Interim Financial Reprot 41
Un-audited Audited
30 June 31 December
Note 2017 2016
Rupees Rupees
7. INTANGIBLES ASSETS
Opening Balance - net book valueAdditions during the period / year
Less:Amortization during the period / yearClosing Balance - net book value
118,945,14430,677,800
149,622,944
14,267,620135,355,324
83,233,40056,349,585
139,582,985
20,637,840118,945,145
8.
8.1 603,699,130 855,144,096572,937,864 268,806,949
1,176,636,994 1,123,951,045
10,442,367 20,114,301(10,442,367)
(20,114,301)
-
TRADE DEBTS
Considered good - unsecuredExport Local
Considered doubtful - unsecuredLocalLess: Provision for doubtful debts
Less: Written o� (3,875,483)
(15,545,896)
1,172,761,511 1,108,405,149
8.1 This includes receivable from related parties i.e. Visionet Systems Incorporation amounting to Rs. 576.36
million (2016: Rs 664.4 million).
9.
2,869,408 4,872,78114,163,134 20,605,25017,032,542 25,478,03137,988,120 8,393,40355,020,662 33,871,434
10.
33,144,419 35,670,879
ADVANCES - considered good
Advances- considered goodagainst salaryagainst expenses
To suppliers-against goods
TRADE DEPOSITS AND SHORT TERM PREPAYMENTS
Security deposits
Prepayments 68,209,967 32,232,784
101,354,386 67,903,663
Un-audited Audited
30 June 31 December
Note 2017 2016
Rupees Rupees
6.1 Additions during the period/year-cost
Land- freeholdComputersComputer equipment and installationsOther equipment and installationsGeneratorFurniture and fittingsO�ce equipmentVehiclesProject assetsMobile setsCapital work in progress
-
5,725,481
6,001,278
772,645
- 562,500
1,869,718 13,482,500
- -
241,802,058 270,216,180
-
22,133,397
4,407,210
1,170,889
- 2,611,883 5,569,666 41,289,116 1,353,000
991,774
214,916,312 294,443,247
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
40 Systems Limited
6.2 Disposals of disposals
30 June 2017
Computers
Vehicles
31 December 2016
Computers
Computer equipment and installations
Other equipment and installations
Generator
Furniture and fittings
Vehicles
O�ce equipment
Project assets
Mobile sets
1,392,881 8,338,740 9,731,621
23,161,593
4,252,261
1,213,226
226,267
2,171,557
10,910,334
510,000
40,543
106,157
42,591,938
Accumulated
Depreciation
293,330 7,025,090 7,318,420
672,577
14,167
106,667
133,233
-
9,646,494
-
-
33,333
10,606,471
Written Down
Value
1,686,211 15,363,830 17,050,041
23,834,170
4,266,428
1,319,893
359,500
2,171,557
20,556,828
510,000
40,543
139,490
53,198,409
Cost
Rupees Rupees Rupees
Interim Financial Reprot 41
Un-audited Audited
30 June 31 December
Note 2017 2016
Rupees Rupees
7. INTANGIBLES ASSETS
Opening Balance - net book valueAdditions during the period / year
Less:Amortization during the period / yearClosing Balance - net book value
118,945,14430,677,800
149,622,944
14,267,620135,355,324
83,233,40056,349,585
139,582,985
20,637,840118,945,145
8.
8.1 603,699,130 855,144,096572,937,864 268,806,949
1,176,636,994 1,123,951,045
10,442,367 20,114,301(10,442,367)
(20,114,301)
-
TRADE DEBTS
Considered good - unsecuredExport Local
Considered doubtful - unsecuredLocalLess: Provision for doubtful debts
Less: Written o� (3,875,483)
(15,545,896)
1,172,761,511 1,108,405,149
8.1 This includes receivable from related parties i.e. Visionet Systems Incorporation amounting to Rs. 576.36
million (2016: Rs 664.4 million).
9.
2,869,408 4,872,78114,163,134 20,605,25017,032,542 25,478,03137,988,120 8,393,40355,020,662 33,871,434
10.
33,144,419 35,670,879
ADVANCES - considered good
Advances- considered goodagainst salaryagainst expenses
To suppliers-against goods
TRADE DEPOSITS AND SHORT TERM PREPAYMENTS
Security deposits
Prepayments 68,209,967 32,232,784
101,354,386 67,903,663
Un-audited Audited
30 June 31 December
Note 2017 2016
Rupees Rupees
6.1 Additions during the period/year-cost
Land- freeholdComputersComputer equipment and installationsOther equipment and installationsGeneratorFurniture and fittingsO�ce equipmentVehiclesProject assetsMobile setsCapital work in progress
-
5,725,481
6,001,278
772,645
- 562,500
1,869,718 13,482,500
- -
241,802,058 270,216,180
-
22,133,397
4,407,210
1,170,889
- 2,611,883 5,569,666 41,289,116 1,353,000
991,774
214,916,312 294,443,247
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
40 Systems Limited
6.2 Disposals of disposals
30 June 2017
Computers
Vehicles
31 December 2016
Computers
Computer equipment and installations
Other equipment and installations
Generator
Furniture and fittings
Vehicles
O�ce equipment
Project assets
Mobile sets
1,392,881 8,338,740 9,731,621
23,161,593
4,252,261
1,213,226
226,267
2,171,557
10,910,334
510,000
40,543
106,157
42,591,938
Accumulated
Depreciation
293,330 7,025,090 7,318,420
672,577
14,167
106,667
133,233
-
9,646,494
-
-
33,333
10,606,471
Written Down
Value
1,686,211 15,363,830 17,050,041
23,834,170
4,266,428
1,319,893
359,500
2,171,557
20,556,828
510,000
40,543
139,490
53,198,409
Cost
Rupees Rupees Rupees
Interim Financial Reprot 43
Issued, subscribed and paid-up share capital14.2
14.2.1
111,078,492
110,680,876
1,110,784,920
1,106,808,760
749,160 397,616
7,491,600
3,976,160
111,827,652 111,078,492 1,118,276,520 1,110,784,920
Reconciliation of issued, subscribed and paid-up share capital:
Balance as at 1st January
Stock options exercised
Ordinary shares of Rs. 10/- each
fully paid up as bonus shares
Ordinary shares of Rs. 10/- each fully
paid in cash 22,226,927
89,600,725
111,827,652
30 June
2017
No of Shares
222,269,270
896,007,250
1,118,276,520
30 June
2017
Rupees
22,226,927
88,851,565
111,078,492
31 December
2016
No of Shares
222,269,270
888,515,650
1,110,784,920
31 December
2016
Rupees
30 June
2017
No of Shares
30 June
2017
Rupees
31 December
2016
No of Shares
31 December
2016
Rupees
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
14. SHARE CAPITAL
14.1 Authorized share capital
Ordinary shares of Rs. 10/- each 2,000,000,000
1,500,000,000
15. LONG TERM ADVANCES
This represents advances received from staff and will be adjusted as per Company's car policy against sale
of vehicles.
Un-audited Audited
11. RECEIVABLE FROM RELATED PARTIES
Visionet Systems Incorporation - USA
TechVista Information Technology - Qatar
TechVista Information Technology - Australia
TechVista Systems LLC
12. SHORT TERM INVESTMENTS
Term deposit receipts 12.1
9,686,822
115,191,159
23,077,717
525,380
148,481,078
160,000,000
160,000,000
2,593,326
129,120,377
18,277,609
353,547
150,344,859
253,000,000
253,000,000
12.1 These carry interest at the rate of 5.75% (2016: 5.85% per annum).
13.
301,234 49,000
205,726,922 48,880,189
13.1 105,394,072 223,695,570
311,120,994 272,575,759
CASH AND BANK BALANCES
Cash in hand
Cash at bank:
Local currency:
Current accounts
Deposit accounts
Foreign currency - current accounts 3,465,045 1,508,644
314,586,039 274,084,403
314,887,273 274,133,403
13.1 These carry interest rate of 3.19% to 4% (2016: 3.29% to 4.04%) per annum.
42 Systems Limited
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
Interim Financial Reprot 43
Issued, subscribed and paid-up share capital14.2
14.2.1
111,078,492
110,680,876
1,110,784,920
1,106,808,760
749,160 397,616
7,491,600
3,976,160
111,827,652 111,078,492 1,118,276,520 1,110,784,920
Reconciliation of issued, subscribed and paid-up share capital:
Balance as at 1st January
Stock options exercised
Ordinary shares of Rs. 10/- each
fully paid up as bonus shares
Ordinary shares of Rs. 10/- each fully
paid in cash 22,226,927
89,600,725
111,827,652
30 June
2017
No of Shares
222,269,270
896,007,250
1,118,276,520
30 June
2017
Rupees
22,226,927
88,851,565
111,078,492
31 December
2016
No of Shares
222,269,270
888,515,650
1,110,784,920
31 December
2016
Rupees
30 June
2017
No of Shares
30 June
2017
Rupees
31 December
2016
No of Shares
31 December
2016
Rupees
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
14. SHARE CAPITAL
14.1 Authorized share capital
Ordinary shares of Rs. 10/- each 2,000,000,000
1,500,000,000
15. LONG TERM ADVANCES
This represents advances received from staff and will be adjusted as per Company's car policy against sale
of vehicles.
Un-audited Audited
11. RECEIVABLE FROM RELATED PARTIES
Visionet Systems Incorporation - USA
TechVista Information Technology - Qatar
TechVista Information Technology - Australia
TechVista Systems LLC
12. SHORT TERM INVESTMENTS
Term deposit receipts 12.1
9,686,822
115,191,159
23,077,717
525,380
148,481,078
160,000,000
160,000,000
2,593,326
129,120,377
18,277,609
353,547
150,344,859
253,000,000
253,000,000
12.1 These carry interest at the rate of 5.75% (2016: 5.85% per annum).
13.
301,234 49,000
205,726,922 48,880,189
13.1 105,394,072 223,695,570
311,120,994 272,575,759
CASH AND BANK BALANCES
Cash in hand
Cash at bank:
Local currency:
Current accounts
Deposit accounts
Foreign currency - current accounts 3,465,045 1,508,644
314,586,039 274,084,403
314,887,273 274,133,403
13.1 These carry interest rate of 3.19% to 4% (2016: 3.29% to 4.04%) per annum.
42 Systems Limited
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
Interim Financial Reprot 45
Unallocated income and expenses:
Other operating expenses
Other income
Finance cost
Profit before taxation
Taxation
Profit for the year
2017 2016
Sales 982,837,029 821,940,545 609,438,537 538,738,958 286,114,899
364,799,435
195,990,617 (162,801,693) 1,682,399,849 1,562,677,245
Cost of sales 566,853,340 474,982,240 540,076,105 484,197,974 242,933,937
338,770,045
164,591,417 (162,801,693) 1,185,271,966 1,135,148,566
Gross profit 353,646,495 346,958,305 131,699,627 54,540,984 43,180,962
26,029,390
497,127,883 427,528,679
Distribution cost 1,451,188 1,416,542 53,487,287 39,265,604 19,142,225
19,730,390
31,399,200
-
-
-
--
--
42,681,500
60,412,536
R & D 457,171 624,831 699,589 -
1,781,591
Administrative expenses 97,454,405 85,591,389 38,612,293 32,841,858 25,164,515 28,204,636 161,231,212
146,637,883
98,905,592 87,465,102 92,099,579 72,732,293 44,306,740
48,634,615
203,912,712 208,832,010
Profit / (loss) before taxation andunallocated income and expenses 254,740,902 259,493,203 39,600,047 (18,191,309) (1,125,778)
(22,605,225)
293,215,171
(37,074,557)
30,021,069
(2,835,021)
(9,888,509)
283,326,662
5,722,298277,604,364
218,696,669
Half year ended
North America Middle East Pakistan Total
Rupees
Inter Segment Elimination
Un-audited
Rupees
2017 2016
Half year ended
Rupees
Un-audited
Rupees
2017 2016
Half year ended
Rupees
Un-audited
Rupees
2017 2016
Half year ended
Rupees
Un-audited
Rupees
2017 2016
Half year ended
Rupees
Un-audited
Rupees
-
-
-
-
-
2017 2016
Rupees Rupees
-
14,570,115
(1,776,972)
12,793,143
231,489,812
1,972,413
229,517,399
19. CONTINGENCIES AND COMMITMENTS
Contingencies
There is no significant change in the contigencies since the date of preceding pusblished annual financail
statements.
Commitments:
19.1 Guarantees issued by the financial institutions on behalf of the Group amounts to Rs. 319.379 (2016: Rs.
279.47) million.
19.2 Commitments include capital commitments for construction of building of the Company amounting to Rs.
52.34 (2016: 427.6) million.
16.
TRADE AND OTHER PAYABLES
Creditors
Advance from customers
Retention Money
Accrued liabilities
Withholding income tax payable
Provident fund payable
Provision for WWF
Sales tax payable
Unclaimed dividend
87,427,109
4,035,271
335,116
119,950,185
2,577,692
-
-
-
2,453,735
216,779,108
16,868,179
4,270,423
11,604,035
194,071,875
7,117,368
10,345,091
17,930,514
5,007,552
4,351,988
271,567,025
44 Systems Limited
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
17. SHORT TERM BORROWINGS
This represents export running finance ERF II facility obtained from Habib Bank Limited. The facility has a
limit of Rs. 150 million for working capital requirement and carries interest rate at State Bank of Pakistan
(SBP) rate for ERF + 1% per annum. The facility is mainly secured alongwith letter of guarantee facility of Rs.
150 million by way of first charge over present and future current and fixed assets of the Company and
collateral of land and building to the effect of Rs. 400 million each.
18. OPERATING SEGMENT INFORMATION
Geographical segments
For management purposes, the Group is organized into business units based on their geographical areas
and has three reportable operating segments as follows:
North America
Middle East
Pakistan
No other operating segments have been aggregated to form the above reportable operating segments
Management monitors the operating results of its operating segments separately for the purpose of
performance assessment. Segment performance is evaluated based on operating profit or loss and is
measured consistently with operating profit or loss in the consolidated financial statements.
Transfer pricing between operating segments are at arm's length basis in a manner similar to ransactions
with third parties.
Un-audited
30 June 30 June
Note 2017 2016
Rupees Rupees
20. OTHER OPERATING EXPENSES
Provision for doubtful debts
Unbilled and bad debt written-o�
840,484
36,234,073
37,074,557
-
-
-
Un-audited
Interim Financial Reprot 45
Unallocated income and expenses:
Other operating expenses
Other income
Finance cost
Profit before taxation
Taxation
Profit for the year
2017 2016
Sales 982,837,029 821,940,545 609,438,537 538,738,958 286,114,899
364,799,435
195,990,617 (162,801,693) 1,682,399,849 1,562,677,245
Cost of sales 566,853,340 474,982,240 540,076,105 484,197,974 242,933,937
338,770,045
164,591,417 (162,801,693) 1,185,271,966 1,135,148,566
Gross profit 353,646,495 346,958,305 131,699,627 54,540,984 43,180,962
26,029,390
497,127,883 427,528,679
Distribution cost 1,451,188 1,416,542 53,487,287 39,265,604 19,142,225
19,730,390
31,399,200
-
-
-
--
--
42,681,500
60,412,536
R & D 457,171 624,831 699,589 -
1,781,591
Administrative expenses 97,454,405 85,591,389 38,612,293 32,841,858 25,164,515 28,204,636 161,231,212
146,637,883
98,905,592 87,465,102 92,099,579 72,732,293 44,306,740
48,634,615
203,912,712 208,832,010
Profit / (loss) before taxation andunallocated income and expenses 254,740,902 259,493,203 39,600,047 (18,191,309) (1,125,778)
(22,605,225)
293,215,171
(37,074,557)
30,021,069
(2,835,021)
(9,888,509)
283,326,662
5,722,298277,604,364
218,696,669
Half year ended
North America Middle East Pakistan Total
Rupees
Inter Segment Elimination
Un-audited
Rupees
2017 2016
Half year ended
Rupees
Un-audited
Rupees
2017 2016
Half year ended
Rupees
Un-audited
Rupees
2017 2016
Half year ended
Rupees
Un-audited
Rupees
2017 2016
Half year ended
Rupees
Un-audited
Rupees
-
-
-
-
-
2017 2016
Rupees Rupees
-
14,570,115
(1,776,972)
12,793,143
231,489,812
1,972,413
229,517,399
19. CONTINGENCIES AND COMMITMENTS
Contingencies
There is no significant change in the contigencies since the date of preceding pusblished annual financail
statements.
Commitments:
19.1 Guarantees issued by the financial institutions on behalf of the Group amounts to Rs. 319.379 (2016: Rs.
279.47) million.
19.2 Commitments include capital commitments for construction of building of the Company amounting to Rs.
52.34 (2016: 427.6) million.
16.
TRADE AND OTHER PAYABLES
Creditors
Advance from customers
Retention Money
Accrued liabilities
Withholding income tax payable
Provident fund payable
Provision for WWF
Sales tax payable
Unclaimed dividend
87,427,109
4,035,271
335,116
119,950,185
2,577,692
-
-
-
2,453,735
216,779,108
16,868,179
4,270,423
11,604,035
194,071,875
7,117,368
10,345,091
17,930,514
5,007,552
4,351,988
271,567,025
44 Systems Limited
Note
Un-audited Audited
30 June 31 December
2017 2016
Rupees Rupees
17. SHORT TERM BORROWINGS
This represents export running finance ERF II facility obtained from Habib Bank Limited. The facility has a
limit of Rs. 150 million for working capital requirement and carries interest rate at State Bank of Pakistan
(SBP) rate for ERF + 1% per annum. The facility is mainly secured alongwith letter of guarantee facility of Rs.
150 million by way of first charge over present and future current and fixed assets of the Company and
collateral of land and building to the effect of Rs. 400 million each.
18. OPERATING SEGMENT INFORMATION
Geographical segments
For management purposes, the Group is organized into business units based on their geographical areas
and has three reportable operating segments as follows:
North America
Middle East
Pakistan
No other operating segments have been aggregated to form the above reportable operating segments
Management monitors the operating results of its operating segments separately for the purpose of
performance assessment. Segment performance is evaluated based on operating profit or loss and is
measured consistently with operating profit or loss in the consolidated financial statements.
Transfer pricing between operating segments are at arm's length basis in a manner similar to ransactions
with third parties.
Un-audited
30 June 30 June
Note 2017 2016
Rupees Rupees
20. OTHER OPERATING EXPENSES
Provision for doubtful debts
Unbilled and bad debt written-o�
840,484
36,234,073
37,074,557
-
-
-
Un-audited
Interim Financial Reprot 47
23. CASH FLOWS FROM OPERATING ACTIVITIES
Profit before taxation 283,326,662
231,489,812
Adjustments of recincile profit before tax to meet cash flows:
Depreciation on property and equipment 36,423,304 36,216,087
Amortization of intangible assets 14,267,620
9,318,658
Provision for bad debts 840,484
(1,469,520)
Bad debts - written o� 36,234,073
-
Share based payment expense 12,244,283
4,550,100
Gratuity expense 1,808,602 -
Finance cost 1,579,506 1,776,972
Exchange gain - net (610,210) (1,582,003)
Other income 55,624 - Profit on bank deposits (1,305,478) (2,444,058) Gain on short term investments (5,632,814)
(7,905,210)
Gain on disposal of property and equipment (5,237,783)
(1,747,534)
90,667,211 36,713,492
Profit before working capital changes 373,993,873
268,203,304
E�ect on cash flow due to working capital changes
(Increase) / decrease in current assets:
Trade debts (28,688,723)
(33,315,141)
Unbilled revenue - net 48,476,154
(90,886,760)
Other receivables (28,056,496)
(5,431,134)
Trade deposits and short term prepayments (30,744,742) (25,442,639)
Advances (23,861,912)
(43,682,505)
Interest accrued 6,022,533
-
(56,853,186)
(198,758,179)
(Decrease) / increase in current liabilities:
Trade and other payables (54,522,820) (116,329,326)
(111,376,006)
Net cash flows from operations 262,617,867 (46,884,201)
2017 2016
Rupees Rupees
21. EARNINGS PER SHARE
2016
Un-audited
131,090,257
111,078,492
1.18
2017
Un-audited
140,283,006
111,745,327
1.26
2016
Un-audited
231,549,668
111,023,630
2.09
2017
Un-audited
282,262,178
111,413,751
2.53
Basic earnings per share
Profit for the period attributable to equity holder of parent
Basic - in Rupees
Weighted average number of ordinary shares in issue during the period
Half year ended 30 June Quarter ended 30 June
46 Systems Limited
131,090,257
111,078,492
413,884
111,492,376
1.18
140,283,006
111,745,327
237,032
111,982,359
1.25
231,549,668
111,023,630
811,500
111,835,130
2.07
282,262,178
111,413,751
210,965
111,624,716
2.53
Diluted earnings per share
Profit for the period attributable to equity holder of parent
E�ect of share options
Diluted - in Rupees
Weighted-average number of ordinary sahres (basic)
22. TRANSACTIONS WITH RELATED PARTIES
Related parties comprises of associated companies, staff retirement fund, directors and key management
personnel. Transactions with related parties other than remuneration and benefits to key management
personnel under the terms of their employment, are as follows:
Related party
Un-audited Un-audited
2017 2016
Sales 961,648,911
799,124,973
Reimbursement of
expenses 4,300,951
5,431,134
965,949,862 804,556,107
Provident fund Employee benefit plan Contributions 43,455,174
37,047,292
Nature of
transactions
Half year ended 30 June
Rupees
Visionet Systems Incorporation
Associate
Relationship
Rupees
(315,087,505)
Interim Financial Reprot 47
23. CASH FLOWS FROM OPERATING ACTIVITIES
Profit before taxation 283,326,662
231,489,812
Adjustments of recincile profit before tax to meet cash flows:
Depreciation on property and equipment 36,423,304 36,216,087
Amortization of intangible assets 14,267,620
9,318,658
Provision for bad debts 840,484
(1,469,520)
Bad debts - written o� 36,234,073
-
Share based payment expense 12,244,283
4,550,100
Gratuity expense 1,808,602 -
Finance cost 1,579,506 1,776,972
Exchange gain - net (610,210) (1,582,003)
Other income 55,624 - Profit on bank deposits (1,305,478) (2,444,058) Gain on short term investments (5,632,814)
(7,905,210)
Gain on disposal of property and equipment (5,237,783)
(1,747,534)
90,667,211 36,713,492
Profit before working capital changes 373,993,873
268,203,304
E�ect on cash flow due to working capital changes
(Increase) / decrease in current assets:
Trade debts (28,688,723)
(33,315,141)
Unbilled revenue - net 48,476,154
(90,886,760)
Other receivables (28,056,496)
(5,431,134)
Trade deposits and short term prepayments (30,744,742) (25,442,639)
Advances (23,861,912)
(43,682,505)
Interest accrued 6,022,533
-
(56,853,186)
(198,758,179)
(Decrease) / increase in current liabilities:
Trade and other payables (54,522,820) (116,329,326)
(111,376,006)
Net cash flows from operations 262,617,867 (46,884,201)
2017 2016
Rupees Rupees
21. EARNINGS PER SHARE
2016
Un-audited
131,090,257
111,078,492
1.18
2017
Un-audited
140,283,006
111,745,327
1.26
2016
Un-audited
231,549,668
111,023,630
2.09
2017
Un-audited
282,262,178
111,413,751
2.53
Basic earnings per share
Profit for the period attributable to equity holder of parent
Basic - in Rupees
Weighted average number of ordinary shares in issue during the period
Half year ended 30 June Quarter ended 30 June
46 Systems Limited
131,090,257
111,078,492
413,884
111,492,376
1.18
140,283,006
111,745,327
237,032
111,982,359
1.25
231,549,668
111,023,630
811,500
111,835,130
2.07
282,262,178
111,413,751
210,965
111,624,716
2.53
Diluted earnings per share
Profit for the period attributable to equity holder of parent
E�ect of share options
Diluted - in Rupees
Weighted-average number of ordinary sahres (basic)
22. TRANSACTIONS WITH RELATED PARTIES
Related parties comprises of associated companies, staff retirement fund, directors and key management
personnel. Transactions with related parties other than remuneration and benefits to key management
personnel under the terms of their employment, are as follows:
Related party
Un-audited Un-audited
2017 2016
Sales 961,648,911
799,124,973
Reimbursement of
expenses 4,300,951
5,431,134
965,949,862 804,556,107
Provident fund Employee benefit plan Contributions 43,455,174
37,047,292
Nature of
transactions
Half year ended 30 June
Rupees
Visionet Systems Incorporation
Associate
Relationship
Rupees
(315,087,505)
Interim Financial Reprot 49
24.3 Financial instruments by categories
Financial assets as per balance sheet
Long term deposits
Unbilled revenue
Loans to employees
Trade debts
Trade deposits
Interest accrued
Other receivable
Short term investments
Cash and bank balances
Financial liabilities as per balance sheet
Trade and other payables
Financial instruments by categories
Financial assets as per balance sheet
Long term deposits
Unbilled revenue
Loans to employees
Trade debts
Trade deposits
Interest accrued
Other receivable
Short term investments
Cash and bank balances
Cash and cash Loans and
equivalents advances
9,136,852 9,136,852
262,384,124
262,384,124
2,869,408
2,869,408
1,172,761,511
1,172,761,511
33,144,419
33,144,419
1,884,623
1,884,623
148,481,078
148,481,078
160,000,000
160,000,000
314,887,273
-
314,887,273
314,887,273
1,790,662,014
2,105,549,288
30 June 2017
Rupees
210,166,145
9,136,852 9,136,852
393,659,781 393,659,781
4,872,781 4,872,781
1,108,405,149 1,108,405,149 35,670,879 35,670,879
2,274,342
2,274,342
150,344,859
150,344,859
253,000,000
253,000,000 274,133,403
274,133,403
274,133,403
1,957,364,643 2,231,498,046
30-Jun-17
Rupees
30-Jun-16
Total
Financial Liabilities
at amortized cost
RupeesRupees
Cash and cash Loans and
equivalents advances
Rupees
Total
RupeesRupees
48 Systems Limited
24. FINANCIAL RISK MANAGEMENT
24.1 Financial risk factors
There is no change in the company's objectives, policies, procedures for measuring and managing the
financial risks including capital management risk, since the preceding annual financial year ended 31
December 2016.
24.2 Fair values of financial assets and liabilities
The carrying values of all financial assets and liabilities reflected in financial statements approximate to
their fair values. Fair value is determined on the basis of objective evidence at each reporting date.
Accordingly, detailed disclosure with reference to fair value has not been given in this condensed interim
financial infromation.
Fair value hierarchy
The Company uses the following hierarchy for determining and disclosing the fair value of financial
instruments by valuation technique:
Level 1: quoted (unadjusted) prices in active markets for identical assets or liabilities
Level 2: other techniques for which all inputs which have a significant effect on the recorded fair value are
observable either, directly or indirectly
Level 3: techniques which use inputs that have a significant effect on the recorded fair value that are not
based on observable market data
- There were no financial assets and liabilities measured at fair value as at 30 June 2017.
- During the six month period ended 30 June 2017, there were no transfers between Level 1 and Level 2 fair
value measurements.
- There were no financial assets and liabilities measured at fair value as at 31 December 2016.
Interim Financial Reprot 49
24.3 Financial instruments by categories
Financial assets as per balance sheet
Long term deposits
Unbilled revenue
Loans to employees
Trade debts
Trade deposits
Interest accrued
Other receivable
Short term investments
Cash and bank balances
Financial liabilities as per balance sheet
Trade and other payables
Financial instruments by categories
Financial assets as per balance sheet
Long term deposits
Unbilled revenue
Loans to employees
Trade debts
Trade deposits
Interest accrued
Other receivable
Short term investments
Cash and bank balances
Cash and cash Loans and
equivalents advances
9,136,852 9,136,852
262,384,124
262,384,124
2,869,408
2,869,408
1,172,761,511
1,172,761,511
33,144,419
33,144,419
1,884,623
1,884,623
148,481,078
148,481,078
160,000,000
160,000,000
314,887,273
-
314,887,273
314,887,273
1,790,662,014
2,105,549,288
30 June 2017
Rupees
210,166,145
9,136,852 9,136,852
393,659,781 393,659,781
4,872,781 4,872,781
1,108,405,149 1,108,405,149 35,670,879 35,670,879
2,274,342
2,274,342
150,344,859
150,344,859
253,000,000
253,000,000 274,133,403
274,133,403
274,133,403
1,957,364,643 2,231,498,046
30-Jun-17
Rupees
30-Jun-16
Total
Financial Liabilities
at amortized cost
RupeesRupees
Cash and cash Loans and
equivalents advances
Rupees
Total
RupeesRupees
48 Systems Limited
24. FINANCIAL RISK MANAGEMENT
24.1 Financial risk factors
There is no change in the company's objectives, policies, procedures for measuring and managing the
financial risks including capital management risk, since the preceding annual financial year ended 31
December 2016.
24.2 Fair values of financial assets and liabilities
The carrying values of all financial assets and liabilities reflected in financial statements approximate to
their fair values. Fair value is determined on the basis of objective evidence at each reporting date.
Accordingly, detailed disclosure with reference to fair value has not been given in this condensed interim
financial infromation.
Fair value hierarchy
The Company uses the following hierarchy for determining and disclosing the fair value of financial
instruments by valuation technique:
Level 1: quoted (unadjusted) prices in active markets for identical assets or liabilities
Level 2: other techniques for which all inputs which have a significant effect on the recorded fair value are
observable either, directly or indirectly
Level 3: techniques which use inputs that have a significant effect on the recorded fair value that are not
based on observable market data
- There were no financial assets and liabilities measured at fair value as at 30 June 2017.
- During the six month period ended 30 June 2017, there were no transfers between Level 1 and Level 2 fair
value measurements.
- There were no financial assets and liabilities measured at fair value as at 31 December 2016.
50 Systems Limited
30 June 2016
Rupees
Financial liabilities as per balance sheet
Trade and other payables 226,896,077
Financial Liabilities
at amortized cost
25. DATE OF AUTHORIZATION FOR ISSUE
This condensed interim financial information was authorized for issuance on 25 August 2017 by the Board
of Directors of the Company.
26. CORRESPONDING FIGURES
Corresponding figures have been re-arranged where necessary for the purpose of comparison, however no
significant re-arrangements have been made.
27. GENERAL
27.1 The figures of condensed interim profit and loss account and condensed interim statement of
comprehensive income for the three months ended 30 June 2017 and 30 June 2016 were not subject to
limited scope review by the auditors as scope of review covered only the cumulative figures.
27.2 Figures have been rounded off to the nearest rupee unless otherwise stated.
Interim Financial Reprot 51
Notes
AEZAZ HUSSAIN
Chairman
ASIF PEER
Chief Executive
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
50 Systems Limited
30 June 2016
Rupees
Financial liabilities as per balance sheet
Trade and other payables 226,896,077
Financial Liabilities
at amortized cost
25. DATE OF AUTHORIZATION FOR ISSUE
This condensed interim financial information was authorized for issuance on 25 August 2017 by the Board
of Directors of the Company.
26. CORRESPONDING FIGURES
Corresponding figures have been re-arranged where necessary for the purpose of comparison, however no
significant re-arrangements have been made.
27. GENERAL
27.1 The figures of condensed interim profit and loss account and condensed interim statement of
comprehensive income for the three months ended 30 June 2017 and 30 June 2016 were not subject to
limited scope review by the auditors as scope of review covered only the cumulative figures.
27.2 Figures have been rounded off to the nearest rupee unless otherwise stated.
Interim Financial Reprot 51
Notes
AEZAZ HUSSAIN
Chairman
ASIF PEER
Chief Executive
MUHAMMAD KHURRAM IQABL
Chief Financial Officer
Notes
KarachiE-5, Central Commercial Area,Shaheed-e-Millat Road,Karachi, PakistanT: +92 21 34549385-87F: +92 21 34549389
DubaiTechVista Systems FZ-LLCO�ce 1905, Regal TowerBusiness Bay,Dubai, UAETel: + 9714 369 3525Fax: + 9714 456 3761
Registered O�ce
Lahore O�ce - Head O�ceSystems Campus Software Technology ParkE-1, Sehjpal Near DHA Phase-VIII,(Ex-Air Avenue), Lahore Cantt.UAN: +92 42 111-797-836T: +92 42 37319401
52 Systems Limited
Chamber of Commerce Building,11 Shara-e-Aiwane Tijarat,Lahore, Pakistan.T: +92 42 36304825-35F: +92 42 36368857
Notes
KarachiE-5, Central Commercial Area,Shaheed-e-Millat Road,Karachi, PakistanT: +92 21 34549385-87F: +92 21 34549389
DubaiTechVista Systems FZ-LLCO�ce 1905, Regal TowerBusiness Bay,Dubai, UAETel: + 9714 369 3525Fax: + 9714 456 3761
Registered O�ce
Lahore O�ce - Head O�ceSystems Campus Software Technology ParkE-1, Sehjpal Near DHA Phase-VIII,(Ex-Air Avenue), Lahore Cantt.UAN: +92 42 111-797-836T: +92 42 37319401
52 Systems Limited
Chamber of Commerce Building,11 Shara-e-Aiwane Tijarat,Lahore, Pakistan.T: +92 42 36304825-35F: +92 42 36368857