The principal activity of Treet Corporation Limited is manufacture and sale of razors and razor blades.
The company is also engaged in the business of soaps. Soaps are manufactured by Khatoon Soap Industries (Pvt) Limited for the company.
As the company has entered into an agreement with Khatoon Industries for manufacture and sale of laundry and perfumed soaps.
Treet Corporation shares are listed on Karachi and Lahore Stock Exchange. At present the company's share has been quoted at a very high price - at Rs 300 per share which is 30 times of the par value.
During the last one year the share has been transacted between Rs 217 to Rs 413.85 per share. But the turnover remained relatively low at 36 thousand shares from January 04 to July 04.
The financial position of the company remained strong as can be seen from the solvency and liquidity ratios as well as earning per share EPS and break-up value of its share. The total assets on March 31, 2004 increased to Rs 1.152 billion from Rs 969.32 billion on June 30, 2003 showing 18.8% expansion in the asset base.
Investment portfolio enlarged from Rs 121.06 millions in June 30, 2003 to Rs 145.84 millions posted on March 31, 2004 showing increase by 20.5%.
The directors informed that the company purchased two millions equity shares of interbank for an amount of Rs 20 millions. The directors emphasised that this investment will prove to be good addition in the prosperity of the company.
During nine month of the financial year 2003-04, the company's sales at Rs 694.98 millions (9M 2002-03: Rs 764.82 millions) and operating profit at Rs 206.45 (9M 2002-03: Rs 291.18 millions) showed 9.13% and 29.10% respectively decline as compared to the figures in the SPLY. Net Profit After Taxation (NPAT) declined to Rs 135.29 millions from Rs 190.19 millions in SPLY showing 28.86%.
NPAT margin was lower at 38.62% compared to 44.42% in the SPLY. However export sales of blade was 11.53% higher. Soap business suffered massive decline.
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Performance Statistics (Million Rupees)
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Balance sheet -As At-
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March 31 June 30
2004 2003
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Share Capital-Paid-up: 41.82 41.82
Revenue & Surplus: 709.80 574.51
Shareholder Equity: 751.62 616.33
L.T. Debts: 1.24 1.45
Deferred Income: 38.91 38.91
Deferred Liabilities: 7.36 7.36
L.T. Deposits: 0.76 0.06
Current Liabilities: 351.94 305.21
Fixed Capital Expenditure: 188.58 182.60
L.T. Investments: 145.84 121.06
L.T. Deposits: 0.58 1.27
Current Assets: 816.56 664.39
Total Assets: 1,151.83 969.32
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Profit & Loss A/C For
Nine Months Ended March 31 2004 2003
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Sales: 694.98 764.82
Gross Profit: 268.38 339.77
Fair Value Adjustment of
Available for Sale Investment: 4.79 17.01
Operating Profit: 206.45 291.18
Other Income: 14.26 26.56
Financial (Expenses) (2.82) (3.45)
Profit Before Taxation: 202.86 292.60
Profit After Taxation: 135.29 190.19
Earning Per Share (Rs): 32.35 45.48
Share Price (Rs) on 30/07/04 300.00 -
Price/Earning Ratio: 9.27 -
Book Value of Share (Rs) 179.73 147.38
Current Ratio: 2.32 2.18
Debt/Equity Ratio: 0:100 0:100
Gross Profit Margin (%): 38.62 44.42
Net Profit Margin (%): 19.46 24.87
R.O.A: 11.75 19.62
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COMPANY INFORMATION: Chairman: Syed Wajid Ali; Chief Executive Officer: Syed Shahid Ali; Director Ahmed Salahuddin; Company Secretary & Chief Financial Officer: Amir Zia; Registered Office & Share Department: 72-B Kot Lakhpat Industrial Area, Lahore; Factories: Hali Road P.O. Box No. 308 Hyderabad 72-B, Kot Lakhpat Industrial Area, Lahore.