LAFARGE PAKISTAN-

FINANCIAL ANALYSIS OF
ANNUAL REPORT-2014
SUMMA RY
1) Introduce: The company and the industry the company
operates in.
2)Calculate: All the possible ratios that are taught in the
class
3) Interpret: The values that are found
4.Explain: Why the values are so
LAFARGEPAKISTAN 5)Compare: Do a comparison analysis for past four years
sales and profits,.
18-B,KAGHAN ROAD,F-8
MARKAZ,ISLAMABAD

(051 111 111 722)

(051) 2817300

5/23/2015
 LAFARGE PAKISTAN
CEMENT COMPANY

DEDICA T I O N

Lafarge Pakistan, inspired by its vision of People Development, goes an extra mile by delivering
for its employees an inspiring culture and a fulfilling work environment which is brimming with
personal and professional growth opportunitiesLafarge is a leader unlike the others!
It is a Group founded on humanist values: From its earliest days in 1833, the Group had
adopted the humanist principles of respect, care and rigor before sustainable development had
even emerged as a concept!
Sustainability is a constant concern: Lafarge has been committed to achieving sustainable
industrial growth over the long term. It has become the n°1 in the "Materials" category.

Lafarge encourages geographical and professional mobility. Long- or short-term international

assignments, internal promotions or simply a change of role...

1
LAFARGE PAKISTAN FINANCIAL ANALYSIS
 LAFARGE PAKISTAN
CEMENT COMPANY

C Contents
addfddff

ACKNOWLEDGEMENT 1

INTRODUCTION 2

FINANCIAL ANALYSIS 3

COMPARISON ANALYSIS 4

SUMMARY 5

BIBLOGRAPHY 6

2
LAFARGE PAKISTAN FINANCIAL ANALYSIS
 LAFARGE PAKISTAN
CEMENT COMPANY

Acknowledgements

Contributing to social and economic conditions of the local communities in which Lafarge
operates is key to achieving the Company’s sustainability ambitions. To reach the Company’s
sustainability ambitions, Lafarge Pakistan implements training sessions, local job creation
plans, health programs, education programs and various community development initiatives.

A world leader in building materials, Lafarge employs 64,000 people in 62 countries, and
posted sales of €15.2 billion in 2013. As a top-ranking player in its Cement, Aggregates and
Concrete businesses, it contributes to the construction of cities around the world, through its
innovative solutions providing them with more housing and making them more compact, more
durable, more beautiful, and better connected. With the world's leading building materials
research facility, Lafarge places innovation at the heart of its priorities in order to contribute
to more sustainable construction and to better serve architectural creativity.

Lafarge Pakistan is the only Cement Company in Pakistan that is substituting such high
volume of fuel with bio mass and other cheaper alternative fuels. The Company increased the
use of alternate fuel from 28% in December 2012 to 32% in
December 2013.

In order to provide clean drinking water to the people in

Chakwal, the Company contributed Rs.1million to the local
administration of Chakwal. Two water filteration plants were
installed with this amount and local population is benefiting from
this facility.

3
LAFARGE PAKISTAN FINANCIAL ANALYSIS
 LAFARGE PAKISTAN
CEMENT COMPANY

Introduction

Lafarge Pakistan is a subsidiary of Lafarge Group, listed on Paris stock exchange and a world

leader of building materials .It is the first and only multinational cement manufacturer in

Pakistan. The plant state of the art plant is located at Kallar Kahar, District Chakwal in the

Province of Punjab. The plant commenced its commercial operations in December 2006 with

an annual cement production capacity of 2.4m tons, thus pioneering to be the largest cement

production line in country.

Our innovative product portfolio, which includes Ordinary Portland Cement(PAKCEM),

High quality cement(Stallion) and innovative tile bond (Xtreme Bond) contribute to building

better cities across Pakistan. Our ambitions is to offer innovative solutions

to market needs for affordable housing and road infrastructure. Lafarge Pakistan has taken vital

steps in introducing cutting-edge methodologies and created Stallion, early –setting cement

specialized for the precast industry; Pakcem Eco introduced for Tajikistan Market, an optimized

construction solution for an ideal balance between economy for users and strength; and Stallion,

high quality cement specially made for Afghanistan.

Lafarage’s leadership in Health and Safety enables it to provide a safe and healthy work
environment, ensuring the protection of its employees and stakeholders as its first priority.

4
LAFARGE PAKISTAN FINANCIAL ANALYSIS
 LAFARGE PAKISTAN
CEMENT COMPANY

Since its inception, the Company has been proactively contributing to the improvement and

safety of life in local communities. Our commitment extends to sharing best practices at work,

at home and across communities. Company’s corporate social responsibility and sustainability

ambitions include volunteering initiatives, health and safety, environment, local job creation,

community development and education.

5
LAFARGE PAKISTAN FINANCIAL ANALYSIS
 LAFARGE PAKISTAN
CEMENT COMPANY

Financial Analysis
LIQUIDITY RATIOS
(1) CURRENT RATIO = Current Assets /Current Liabilities

2014 2013 2012 2011

(Rupees) (Rupees) (Rupees) (Rupees)

Current Assets 3,218,188,613 3,390,714,951 2,930,522,978 2,525,673,817

Current Liabilities 4,382,921,925 3,427,199,917 4,332,812,064 3,560,744,911

Ratio 0.734 0.989 0.676 0.709

(2) QUICK RATIO = Current Assets-Inventory /Current Liabilities

2014 2013 2012 2011

(Rupees) (Rupees) (Rupees) (Rupees)

Current Assets* 1,914,313,032 1,524,406,022 1,916,643,633 1,460,932,895

Current Liabilities 4,382,921,925 3,427,199,917 4,332,812,064 3,560,744,911

Ratio 0.436 0.444 0.442 0.410

* (TOTAL CURRENT ASSETS-INVENTORY)

6
LAFARGE PAKISTAN FINANCIAL ANALYSIS
 LAFARGE PAKISTAN
CEMENT COMPANY

7
LAFARGE PAKISTAN FINANCIAL ANALYSIS