3I? 20lg - AXIS GLOBAL LIMITED
Transcript of 3I? 20lg - AXIS GLOBAL LIMITED
YEAR ENDEN
3I? 20lg
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& Co.
It* TE R t{
Report
Report on review of the condensed rnterim Financiar statements
As disclosed in note 17.2 of the interim financial statrements, during the year ended JuneCEO of the Company was convicted under the National Accountability Ordinance, 19ggof Rs. 16, 691,,255/ '- from his clients. However, h is offer for plea bargain of payment of Rs.accepted by the Chairman NAB This amount h as been recognized as receivable from
Qualified Conclusion
we have reviewed the accompanying condensed interim statement of financial position of Axis GlobalLimited as at December 31,2019 and the retated .ona.n."Jini"ii, rr".r;;J;;or toss, condensedinterim statement of other comprehensive income, .".;;;;l ;;terim statem;r;;.r,rng., in equity, andcon'densed interim statement of cash flows, and no,"r Jil',"ii"ri.irr'"."ri.';;;;;ffi si*-monthrperiod:,then ended (htsr.e-in-after: rererred i;;;;; ,,interimlinar;i.r ;;;r.,;"1.'#:;i;ill',r,n.rponsibre ror ,the preparation and presentation of these interim finan;iaist;lments in ...oior'*" *,6 accounting andreportins standards as ap.plicable in Pakistan r* irt"ri, ii;;*''.r;;;j;;.il;;ol*,,,r, is to express aconclusidnontheseinterimfinancialstatementsbasedon;;';;*.
ScoFeof,Review " l
we'conducted,our review in accordance with lnternationalstandard on Review Engagementsl2zll0, ,,Review,of lnterim Financial lnformation Performed bv ttre ;;;p;il;fuditor
"f t#€"'titfi'o'iffilt ili"*,
l::lt'il statements consists "r ,rr.i.g"inquiries, prirrriiv-oi persons responsibte for financi;il andaccounting matters, and applying analytiial and othei review pro..drr.r.
^ il;;'; ,;:#;',i;l:.: ;;scope than an,:audit conducted in accordance with rnternationa r,gr1$i;;ililild'.ncilgnseguentry ,does notlenable us to obtain tt.ur.n.. ir'rri *" *"rrl 0".;;; fi;" of alt significant matters that rniirht be, identifted:in an audit. Accordingry, we do not "*prnrriii;;n;il;".. . ,i ; i- -_'- -F"".
Basis for Qualified Conctusion
30, 2019, the ex-m isappropriation1,5,731,000/- was
Date:Place: EB 2020
is Sohail*,:nil:tu"'ent partner on the review resulting in this, independent auditor,s:review, r$nort
Based on our review, with the exception of the matter described in the preceding paragraph, nothing hascome to our attention that causes us to believe that the ...ornprnfirc i"i;;;i;inloif,.,"rents are notprepared' in all material respeas, * ;;;;;r.e with the accounting ana reporting standards as appricabrein Pakistan for interim financial reporting, !r 'e svwvu' 'r" I
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Executlve 8,
Other Offices:
Block
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:
OF FINANCIAL POSITION
and reseruescapital
(June 3O 2019: 20,000,000) Ordinary Shares of Rs. 101_ each
(Audited)
lune 30
..::::
84,
050,0008,930
26,644,210
I 413,1362,500,000
20,838,389
27 ,7A4,125
108,096,906
i Issued/ subscribed and paid-up capitalAccumulated loss
Deficit on revaluation of investmenb
6
Long term loanDeferred taxation
Current liabilitiesCreditors, accrued and other liabilitiesShort term running financeAccrued mark-up
Contingencies and commitments
ASSETS::Non.cufrent assetsProperty, plant and equipmentIntangible asset
rLong term,investment
,Long ter.m,deposib
Current assets,Trade iJebts
,ReceiGbles from margin flnancing:Short term investmenbDeposits, prepaymenls and other receivables
,Taxation - net.Cash and bank balances
Chief Executive
,891
7
8
9
10
11
L213
t4
15
16t7
18
614
100,000.000(8,708,49s)
31,
Note
24t376,495
fi?The annexed notes form an integrar part of these interim financiar statements.
)
2,410,3 13
1 1,072.99514,750,65046,967,749t6,\77,663
it)
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a,,i n,}:irb;**Bq@.{fur
(205,705)
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Note
statements.'
19
financialinterim
at fair value
expenses
the period
diluted
paft of these
nvestment
fortaxation
AXIS
Operating revenue
Operating profit/(toss)
Other income
Finance cost
Profit/(Loss) before taxation
L3t722,892 16,456,433
L3t722,992 t6,456,433
December 312019
,.r390r550
(14,175,955)
927,487
5rO57rg56
December 31
2018
20
5r985,443
(1,942,396)
1,956,5 1g
411431056 ,t (455,728)
(1,205,996)(4,500)
0.29
(661,433 )
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Note
(loss) for the period
l
AXISOF INCOME
31, 2019
December 31
2,932,57O
Other comprehensive income
Other comprehensive loss which willnot be reclassified to statement ofprofit or loss in subseguent periods
Unrealized loss on remeasurement of equityinvestment at fair value through othercomprehensive income (833,535)
2,099.03s
The annexed notes form an integral part of these interim financial statements.
December 31
2018(Rupees)
(66 1,433)
(9,906,250)
r/)
\
Chief Executive Director
Balance as at July 1, 2018
Total Comprehensive income for the half yearended December 31, 2018Loss for the perlod
Other comprehenslve loss
31, 2019
EQUITY (UN-AUDITED)
Issued,subscribed andpaid-up capital
100,000,000 1616701109
(551,433)
(661,433)
IOO"OOO"OOO 15"008"6?5
100,000,000 (8,708,495)
Balance as at December 31, 2018
Balan€e as at Iuly 1, 2019
Total Compr€hensive income for the half yearended December 31, 2019Profit for the period
Other comprehensive loss
Accumulated(loss)/profit
LzOt296A28
,683)
84,097,891
IOOpOO"OOO
integral part ofthese lnterim financial statements.
Executive
)
(Deficit)/surpluson revaluation of
investmentsTotal Eguity
(Rupees)
I6-270_q?t \ 1o9,724.745
2,932,570
2,932,570
(833.535)
(833,s3s) 2,099,03 5
(5.775.92s\ (a,o27.L49'l
lit
& L^---e
Director
Taxes
before working
current asgeb:
other receivables
current liabilities:
accrued and other liabilities
the period
activities
activities
cash equivalents
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4,257,86
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t57,779
1,687,840
STATEMENT OF CASH FLOWS (UN-AUDTTED)ENDED DECEMBER 31, 2019
December2019
Note
31.I
(Rupees)2018
(455,728)CASH FLOWS FROM OPERATING ACTIVITIESProfit/(Loss) before taxationAdjustments for :
- Depreciation- gain on disposal- Unreallsed (gain)iloss on investments- Finance cost
dtr43;056i
3,802,138
(2,025,434)
(10,000,000)(10,000,000)
(18,718,835)
21
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LEGAL STATUS AND NATURE OF BUSINESS
NANCIA L INFORMATION31,2019
incorporated in Pakistan in 2005 as a p limited company uncinto public ,
Exchange Limittand oth
offi,State Bank
2019 has bee
Interim Financirequiremenl
2.L
2.2
2.3
These interim financial statements are presented in Pak Rupees which is also the company,s functionrcurrency and figures presented in these interim financial statements has been rounded off to the nearesrupees.
f
AXIS
THE
1
(TREC) holderof shares,
BASIS OF PREPARATION
These interim financial statements of the Company for the six monthsprepared in accordance with the requirements of the internationalReporting and provisions of and directives issued under the Companies Act,differ,' thg provisions of or directives issued under Companies Act,unconsolidated condensed interim financial
the
The Company is a Trading Right Entitlement Certificate(''PSX"). The Company is princilal[ engaged in brokeragefinancial instruments, securities research seruices, Rnanciatof the Company is situated at Office No. 806, Bth floor,Pakistan, I.I. Chundrigar Road, Karachi.
:.t:(UN-AUDI]TED)
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financial statements and therefore should
thoseapplied in the preparation of the
statements do not include allbe read in conjunction with
below.
, Thes
the fu
statements of the Company for the year ended June 30, 2019.
SIGNIFICANT ACCOUNTING POLICIES
3.1 The accounting policies and methods of computation adopted in the
financii
Act, 2017 ha
has beer
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statements are consistent with thosethe year ended June 30, 2019 except that stated in note 3.2 (a) ti
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2019
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SHORTTERM RUNNTNG
SecurcdJS Bank Limited (lsBL)
(No. of shares) -----
508,s00
the pertod/year
end of the period/yQrr
llote
ln cash
Particulars / Name of Shareholder
Khawaia Amir Ishaq
Samat Amk Ishaq
tta, Kumar
Ms Jamna Devl Meeha Kumari
Khawala Adil
Fafey Amlr Ishaq
company durirE the period.
as lessee:
under llarah
(Un-audited) (Audited)
Decemb€r 31 lune 302019 2019
---..- (RuP€es) ------
5.1olo
L6,7o/o
5.1olo
23,sl4,57s46,64515,347
are five years. The company intends to
998,102- 6!91?9_- 1,656.231
6.1
6.1 100.000.000
(Un-auditsd)Decemb€r 31
2019
(Audlted)
June 302019
(Un-audited)December 31
2019
--(Percentage
0.8q,/q
1OO.Oolo
(Audited)lune 30
2019of holding)--
16.6%
16.7olo
39,00h
5, lolq
76,70k
5.10/o
0,80/o
100.0o/o
6,2
7,L loan obtained from directors through executlon of an
AND OTHER LIABILITIES
7.1 -----lE9!0-000- -----25.050.a!0-agreement, The loan carries rnark-up of 10o/o per annum
26$7t.t27440,856
24,12897,140
10,25+59837.387,848
o t 2n,o23,477
1,450,768
9.1
10
10.1
10.2
of running flnancerate of 3
change! in conungencles as disclos€d ln annual financlal statements for the year ended ,une 30, 2019
Not later than one YearLater than one year and not later than five years
(737.,1r7)
(300,51s)
413.135
/t// -,/tt,./
11
413;135
(e14591
11.1
ar< aAt
I
change in accounting standards, interpretations and amendments to published accounting anreporting standards r.'vlelrvrrl' qrru dmenoments to pub
standards and amendments to published accounting and reporting standards which wereffective during the hatf year endej Oecember 31, 2019
ACCOUNTING ESTIMATES AN D JUDGEMENTS
The preparation of interim financial statements are in conformity with approved accountin g standards requirmanagement to make estimates, assumptions and use of judgments that affect the application of policies anrepoted amounts of assets and liabilities, income and expense. assumptions and judgments arcontinually evaluated and are based on historical experience and othq factors, including reasonabiexpectations of future events. Revision to accounting estimates are prospectively commencing frorthe period of revision.
Judgements and estimates made by the management in the preparation of the interim financial statementwere the same as those applied to the financiatslarements ur-.i.;;;;ffi";.ilil:H;.:;:;;L:*'"
FINANCIAL RISK MANAGEMENT
disclosed in thr
3.2
-.!
(a)
(b) :ffiili"
and amendments to approved accounting and reporting
betwee
right i
not to b
are not ye
standard
202(L,
financi;
4
5
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The company's financiar risk management objective and poricies are consistentrepresented financiar statements as at and for the y"u,. "nJ.i
Julre 30, 2019.with
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to fulfil the requlrement of Base Minimum Capital.
16.1
(Un-audited)Decemb€r 3l
2019------- (Rup€es)72 INTANGIBLE ASSETS
15.1
(Audited)
June 30
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The Company has pledged the shares with pSX
LOT{G TER,H DEPOSITS
Paklstan Stock Exchange LimitedNational Clearing Company of paktstan LimjtedCentral Depository CompanyLease secudty depositOther deposits
TRADE DEBTS
Uns€ure4 and constdetd gdProvision of doubtful debts
_ 2,352,600
r=srr?3 ---...J.g5,.6r,0
100,000r,300,000
100,000
28,227,393 34,897,044
21,13+535 3,443,L05
The aginq for kade debtors at the balance sheet date is as follows:
Upto flve daysMore than five days
:IglI IStM rNvEsrMENrS cLAssrFrED As 'Ar FArR vALUETHROUGH PROFT OR LOSS'
Listed Sha16
7.086,85a_____29.4_&39L
10,518,205
__-__E2qul!-
----Erilb---lffiIil-
16
16.1
L7
This represents lnvestrnent ln shares of companies listed at paktstan Stock Exchange
DEFOSITS, PREPAYT,TEilTS AI{D OTHER RECEIVABLES
Staff Loans aod advancesReceivable from Nauonal ClarinoExposure Deposits patistan Stm[Security depositsOther
Company pak,stan LimitedExchange Limited
827,000995,86s
25,8s0,000
734,OOO
2,587,70226,6s0,000
17,2
This represents deDosits with pakistafl Stock Exchanqe Limlted against ready and future
L7.429,A79
-__45.102.24;LqDosures.
55,97316,940,074
-______16-962J49_
of Rs. 16.731
18
18,1 Detail ofpustomer assets held in designated bbnk accounts and Central depository company (CDC) are as follows:
4,444,259______!ee_
5,544,708I <ao E20-----------:J1:
Customer assets held in designated bankCustomer assets held ln centrdl depository companySecurjties pledqed with financial insfltution
_______1Eqea9g_ _______lf919tl____gE_r,!31d1l ___.l3?Lqtgsll_
32,848.351 46,611d11_
frs
I19 OTHER INCOME
(Un-audited)December 31
2019--------- (Rup€)
(Un-audited)December 31
_.--l!.19.lVote
Rup€es
Numfur of shares
Ru@es
Settlement charges r€coveredInltial public offering CommissionProfit disbursement on depositsDividend
Income from margin financingOther
CASH AND CASH EQUIVALENTS
Key manatementpersonnel
Key managementpersonnel
Key manaBementpersonnel
Key managementpersonnel
Key mana8ementpersonnel
to staff
Key managementpersonnel
Key managementpersonnel
Key managementpersonnel
Key managementpersonnel
FOR. ISSUE
interim financlal statements were approved and authorized
1848t7-56 4,650,965
4.574,957 8.299.407
__2!32E29_ ___________156!0
10,oo0,ooo 10.000.000
0,29 10,07)
2,182,039 1,061,739
4Sn OnO
lune 30
555.388
146,187 r2g
827,000 74s,0oo
Board of Directors
997,arB238,000
1,444,2'42
20 Earning/(loss) per share - bagic and diluted
Profiv(loss) after taxation for the year
weighted average number of ordhary shares
Earning/(loss) per share - baslc
There is no dilutive effect on earnlngs per share.
(Un-audited) (Audited)December 31 June 30
2019 2019------ (Rup€es) ------
Short tem rrnning finance g (ZO$23,A77) (2,,110,313)Cash and bank balances 18 a.ut z;',18 4,444,267 5,549.538
(15.s79,[!0L 3,139,225
TRANSACTIONS WITH RELATED PARTIES
Parties are consldered to be related it one party has the ability to contml the other party or exercise slgniffcant influence over the otherparty in maklng financial or operauonal declslons and includes major shareholders, associated companies with or without commondirectors, retirement b€neflt funds and directors and key management personnel and their close famlly members, Anounts due frory'torelated parties, and remuneGtion of directors and executives are disclosed ln the relevant notes.
(Un-audited) (Un-audited)December 3l December 31
2019 2018
Nature ofr€latlonshlp
Markup paid to director loan
Proprietory trade payables
Proprietory trade receivables
long term loan repaid
1,420.9s8
146,058
10.000_000
Salaries, benefits and other allowances
(Un-audited)Decemb€r 31
2019
Natur€ of relatlonshlp
22
r,j
Transactions durlnSthe period
1777,7r4\
900.000
(Audited)l
----- (Rupees) -------
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CHIEF EXECUTIVE DIRECTOR