Notes to the condensed interim financial statement (un-audited)

For the Half Year Ended December 31, 2024

3.2 Standards and amendments to published accounting and reporting standards which were effective during the
half year ended 31 December 2024

There are other new standards which are effective from 01 July 2024 but they do not have a material effect on the Modara-
ba’s condensed interim financial statements.

3.3 Standards and amendments to approved accounting and reporting standards that are not yet effective

There are other new standards and certain amendments and interpretations to the accounting and reporting standards
that will be mandatory for the Modaraba’s annual accounting periods beginning on or after 01 July 2024. However, these
standards, amendments and interpretations will not have any significant impact on the financial reporting of the Modaraba
and, therefore, have not been disclosed in these condensed interim financial statements.

Un-audited Audited
31 December 30 June
2024 2024
Note (Rupees in thousand)
4. PROPERTY, PLANT AND EQUIPMENT

Operating fixed assets - tangible owned 4.1 787,259 771,085

Capital work-in-progress (CWIP) 4.2 34,036 60,347
821,295 831,432

4.1 Operating fixed assets - tangible owned

Opening balance - net book value 771,085 663,783
Surplus on revaluation of property, plant and equipment
recognized during the period/ year - 114,785
Transferred from CWIP 39,056 33,824
Depreciation charged during the period / year 4.1.1 (22,882) (41,307)
Closing balance - net book value 787,259 771,085

4.1.1 The depreciation charged for the period/ year has been
allocated as under:
Cost of sales
Packaging solutions - corrugated boxes 11.1 20,971 35,762
Soaps 11.2 184 282
Administration and general expenses 1,002 4,052
Selling and distribution expenses 725 1,211
22,882 41,307

12 FIRST TREET MANUFACTURING MODARABA

Notes to the condensed interim financial statement (un-audited)
For the Half Year Ended December 31, 2024

4.2 Capital work-in-progress (CWIP)

The movement under this head of account is as follows:

Opening Additions during Transferred to Operating

Description Closing balance
balance the period fixed assets

(Rupees in thousand)
Civil works 7,469 - - 7,469
Plant and machinery 52,434 8,774 (34,641) 26,567
Vehicles - 2,234 (2,234) -
Furniture, fittings and equipments 444 1,483 (1,927) -
Computer equipments - 254 (254) -
60,347 12,745 (39,056) 34,036

Un-audited Audited
31 December 30 June
2024 2024
Note (Rupees in thousand)
5. STOCK-IN-TRADE

Raw material and chemicals 235,827 264,572

Packing material 15,290 14,701
Work-in-process 10,146 11,702
Finished goods 182,514 96,440
443,777 387,415

6. ADVANCES, DEPOSITS, PREPAYMENTS AND OTHER RECEIVABLES

Considered good 6.1 90,896 89,450

Related parties:
Treet Corporation Limited - parent company 385,220 106,579
Treet Battery Limited - associated undertaking 307,788 302,023
Treet Holdings Limited - Modaraba Management Company - 523
Pakistan Standard and Quality Control Authority 48 -
693,056 409,125
783,952 498,575

6.1 This includes Rs. 33.655 million (30 June 2024: Rs. 31.133 million) as advances to suppliers.

Half Yearly Report 2024 13

Notes to the condensed interim financial statement (un-audited)
For the Half Year Ended December 31, 2024

Un-audited Audited
31 December 30 June
2024 2024
Note (Rupees in thousand)
7 DEFERRED TAXATION 7.1 95,131 70,952

7.1 Deferred tax liabilities in respect of taxable temporary differences:

Property, plant and equipment 125,081 91,389
Deferred tax assets in respect of deductible temporary differences:
Provision for slow moving/ obsolete stores (1,921) (1,921)
Impairment allowance for expected credit loss (4,397) (3,049)
Unused tax depreciation loss (23,632) (15,467)
95,131 70,952
95,131 70,952

7.2 Closing deferred tax liability

Less:
Opening deferred tax liability 70,952 (87,584)
Deferred tax liability attributable to other comprehensive income - (33,288)
70,952 (120,872)
Deferred tax expense/ (income) recognized in the statement of
profit and loss: 24,179 (49,920)

8 TRADE AND OTHER PAYABLES 8.1 553,374 471,622

8.1 These include balances on account of the following:

Associated undertakings
Treet Holdings Limited 14,276 14,799
Renacon Pharma Limited 1,009 -
Gulab Devi Chest Hospital 18 -
15,303 14,799

9 CONTINGENCIES AND COMMITMENTS

9.1 Contingencies
There are no material changes in contingencies from the preceding annual published financial statements of the
Modaraba for the year ended 30 June 2024.

Un-audited Audited
31 December 30 June
2024 2024
(Rupees in thousand)
9.2 Commitments

9.2.1 Bank guarantees

MCB Islamic Bank Limited 7,245 7,245

9.2.2 Outstanding letters of credit - 5,900

14 FIRST TREET MANUFACTURING MODARABA