Page 150 - Interloop Annual Report 2018-2019

NOTES TO THE UNCONSOLIDATED NOTES TO THE UNCONSOLIDATED

FINANCIAL STATEMENTS FINANCIAL STATEMENTS

FOR THE YEAR ENDED JUNE 30, 2019 FOR THE YEAR ENDED JUNE 30, 2019

43.1 Following are the related parties with whom the Company had entered into transactions or have arrangements / agreements in place.
46. OPERATING SEGMENTS
Basis of Common Directorship /
Company Name Address and Country of Incorporation
Relationship Percentage of shareholding Management has determined the operating segments based on the information that is presented to the Board of Directors of the Company for allocation of re-
sources and assessment of performance. Operating segments are reported in a manner consistent with internal reporting provided to the Chief Operating De-
IL Bangla Limited Associate 31.61% House # 267, Road # 19, New DOHS Mohakhali, Dhaka. cision Maker ('CODM'). Segment performance is generally evaluated based on certain key performance indicators including business volume and gross profit.
IL Apparel (Pvt) Limited Subsidiary 100.00% Al-Sadiq Plaza, P-157, Railway Road, Faisalabad, Pakistan
Interloop Holdings (Pvt) Limited Associate Common Directors Al-Sadiq Plaza, P-157, Railway Road, Faisalabad, Pakistan Based on internal management reporting structure and products produced and sold, the Company is organized into the following operating segments:
Interloop Dairies Limited Associate Common Directors Al-Sadiq Plaza, P-157, Railway Road, Faisalabad, Pakistan
Momentum Logistics (Pvt) Limited Associate Subsidiary of Associate Al-Sadiq Plaza, P-157, Railway Road, Faisalabad, Pakistan a) Hosiery
Printkraft (Pvt) Limited Associate Subsidiary of Associate Al-Sadiq Plaza, P-157, Railway Road, Faisalabad, Pakistan This segment relates to the sale of socks.
Texlan Center (Pvt) Limited Associate Common Directors Dagonna Road, Minuwangoda, sri lanka.
Global Veneer Trading Limited Associate N/A Bahnhofasteasse22, 6300 Zug, Switzerland.
Eurosox Plus BV Associate N/A Constructieweg 1, 7451 PS Holten, Netherlands b) Spinning
Interloop Welfare Trust Trustee N/A Al-Sadiq Plaza, P-157, Railway Road, Faisalabad, Pakistan This segment relates to the sale of yarn.
Interloop Limited ESOS Management Trust Trustee N/A Al-Sadiq Plaza, P-157, Railway Road, Faisalabad, Pakistan
Interloop Provident Fund Trust Trustee N/A Al-Sadiq Plaza, P-157, Railway Road, Faisalabad, Pakistan
c) Other operating segments
This represent various segments of the Company which currently do not meet the minimum reporting threshold mention in international financial reporting
standards. These mainly includes domestic sales, energy, yarn dyeing, denim and active wear.
2019 2018
46.1 Segment information
44. NUMBER OF EMPLOYEES
Elimination of Interseg-
Hosiery Spinning Others Total Company
Average number of employees during the year 16,402 15,373 ment Transactions
Number of employees at end of the year 17,395 15,409 2019 2018 2019 2018 2019 2018 2019 2018 2019 2018
Rupees in ‘000 Rupees in ‘000 Rupees in ‘000 Rupees in ‘000 Rupees in ‘000
45. UTILIZATION OF PROCEEDS FROM INITIAL PUBLIC OFFERING Sales
External sale 31,629,791 26,046,247 5,519,785 4,953,944 328,745 138,545 - - 37,478,321 31,138,736
The Company planned for setting up two new projects. Intersegment sale 2,647,665 890,842 2,950,757 2,209,589 3,137,202 2,706,186 (8,735,624) (5,806,617) - -
34,277,456 26,937,089 8,470,542 7,163,533 3,465,947 2,844,731 (8,735,624) (5,806,617) 37,478,321 31,138,736
- A socks knitting unit in Khurrianwala, Faisalabad, "Hosiery Division - V".
- A denim stitching unit in Lahore, "Denim Division". Cost of sales (23,184,918) 18,616,006) (7,893,280) (6,567,880) (3,181,033) (2,616,968) 8,735,624 5,806,617 (25,523,607) (21,994,237)
Gross profit 11,092,538 8,321,083 577,262 595,653 284,914 227,763 - - 11,954,714 9,144,499
2019
Estimated cost of these two projects is as under; Rupees in ‘000
Distribution cost (2,705,674) (2,578,206) (60,302) (51,066) (17,743) (11,741) - - (2,783,719) (2,641,013)
Administrative expenses (1,854,486) (1,531,475) (69,243) (36,969) (60,480) (29,360) - - (1,984,209) (1,597,804)
Hosiery Division - V 4,454,000 (4,560,160) (4,109,681) (129,545) (88,035) (78,223) (41,101) - - (4,767,928) (4,238,817)
Denim Division 6,750,423
11,204,423 Profit before taxation and
unallocated income and 6,532,378 4,211,402 447,717 507,618 206,691 186,662 - - 7,186,786 4,905,682
expenses
These projects are financed through issuance of share capital to general public and financing from banks. For this purpose, the Company carried out a suc-
cessful IPO during the year and have secured islamic long term finance facilities from banks. Detail of the proceeds from IPO and financing required from banks
is as under; Unallocated income and
expenses
Proceeds from IPO 5,024,900
Financing from banks 6,179,523 Other operating expenses (784,540) (425,429)
Other income 14,444 9,164
11,204,423 Finance cost (995,707) (483,654)
Taxation (226,216) (119,954)
As on June 30, 2019 progress of both the projects is as under; Profit after taxation 5,194,767 3,885,809

Denim Division Hosiery Division-V

Amount Utilized Outstanding LCs PRs/POs Issued Amount Utilized
Rupees in ‘000

Land and building 578,637 - 1,413,736 412,708
Plant and machinery 339,803 912,123 265,892 40,744 2018 - 19
-
83,288
Power and utilities
426,445
10,168
Interloop Limited Miscellaneous expenses 1,894,292 912,123 2,119,232 531,871 Annual Report
103,440
13,159
68,251
-
-
789,124
-
Advances to suppliers
-
148 149