Minail Paint Co. (Pvt.

) Limited

Sales Assumptions
Sales Commissions (% of GS) 5.00%

1st Year (FY2022)

Price per unit Qty
Rockwall 1,000 10,000
Weathershield 1,500 12,000
Matt Emulsion 1,200 15,000

FY2022 FY2023 FY2024

Annual Increase (Price) 10% 15%
Annual Increase (Qty) 100% 80%

COS Assumptions
FY2022 FY2023 FY2024
Infaltion Rate 0% 7% 6%
Raw Materials
Solvent (Cost per unit) PKR 100 107.0 113.4
Pigment (Cost per unit) PKR 75 80.3 85.1
Adhesives (Cost per unit) PKR 60 64.2 68.1
Packaging Material (Cost per unit) PKR 50 53.5 56.7
Labels (Cost per unit) PKR 20 21.4 22.7

Salaries/ Direct Labor

Avg Salary per Staff (Monthly) PKR 20,000 21,400 22,684
FY2022 FY2023 FY2024
No. of Staff 100 120 150

S&A Assumptions (PKR Mn)

Marketing 8.00
Transportation 2.50
Admin Salaries 7.00
Utility Bills 3.00
Rents 1.50
Others 2.00

Depreciation Assumptions
Dep Method Straight Line Amortization
Dep Rate 20% 15%
Sales Tax Rate 17.00%
Income Tax Rate 29.00%

Working Capital Assumptions

FY2022 FY2023 FY2024
Account Receivable Days Days 30 25 25
Inventory Turnover Days Days 45 40 35
Account Payable Days Days 30 35 40

Capital Expenditure (CAPEX)

FY2022 FY2023 FY2024
Land (PKR Mn) 20.00 - -
Building & Machinery (PKR Mn) 10.00 5.00 5.00
Total 30.00 5.00 5.00

Debt Assumptions
FY2022 FY2023 FY2024
KIBOR 9.50% 10.00% 10.50%
Spread (STL) 2.50% 2.50% 2.50%
Spread (LTL) 3.00% 3.00% 3.00%

LTL Disbursement (PKR Mn) 50.00 0.00 0.00

Tenure of LTL Years 5.00

Equity Assumptions
Par Value PKR 10.0
FY2022 FY2023 FY2024
Beginning Shares No. of Shares - 2,500,000 2,500,000
New Issue No. of Shares 2,500,000 - -
Shares Buyback No. of Shares - - -
Outstanding Shares No. of Shares 2,500,000 2,500,000 2,500,000
Dividend Paid (%) % 0% 0% 0%

Long Term Investments Assumptions

Rate of Return 7.00%
(PKR Mn) FY2022 FY2023 FY2024
Beginning Balance - 5.00 5.00
New Investment 5.00 - 3.00
Disinvestment - - -
Ending Balance 5.00 5.00 8.00
Return 0.35 0.35 0.46

Valuation Assumptions
Discount Rate 40%
Terminal growth rate 1%
FY2025 FY2026
15% 15%
50% 30%

FY2025 FY2026
5% 4%

119.1 123.9
89.3 92.9
71.5 74.3
59.5 61.9
23.8 24.8

23,818 24,771
FY2025 FY2026
200 250
FY2025 FY2026
20 15
30 25
40 40

FY2025 FY2026
10.00 -
10.00 5.00
20.00 5.00

FY2025 FY2026
11.00% 11.50%
2.50% 2.50%
3.00% 3.00%

0.00 0.00

FY2025 FY2026
2,500,000 2,500,000
- -
- -
2,500,000 2,500,000
0% 0%

FY2025 FY2026
8.00 8.00
 - -
- -
8.00 8.00
0.56 0.56
Minail Paint Co. (Pvt.) Limited
Income Statement
Revenue Working
FY2022 FY2023 FY2024 FY2025
Price per Unit
Rockwall (PKR) 1,000 1,100 1,265 1,455
Weathershield (PKR) 1,500 1,650 1,898 2,182
Matt Emulsion (PKR) 1,200 1,320 1,518 1,746

Qty Sold
Rockwall 10,000 20,000 36,000 54,000
Weathershield 12,000 24,000 43,200 64,800
Matt Emulsion 15,000 30,000 54,000 81,000
37,000 74,000 133,200 199,800

Sales
Rockwall (PKR Mn) 10.00 22.00 45.54 78.56
Weathershield (PKR Mn) 18.00 39.60 81.97 141.40
Matt Emulsion (PKR Mn) 18.00 39.60 81.97 141.40

Gross Sales (PKR Mn) 46.00 101.20 209.48 361.36

Sales Tax (PKR Mn) 7.82 17.20 35.61 61.43
Commissions (PKR Mn) 2.30 5.06 10.47 18.07
Net Sales (PKR Mn) 35.88 78.94 163.40 281.86

Cost of Sales (PKR Mn) FY2022 FY2023 FY2024 FY2025

Solvent 3.70 7.92 15.11 23.79
Pigment 2.78 5.94 11.33 17.85
Adhesives 2.22 4.75 9.06 14.28
Packaging Material 1.85 3.96 7.55 11.90
Labels 0.74 1.58 3.02 4.76
Salaries 24.00 30.82 40.83 57.16
Total COS 35.29 54.97 86.91 129.74

Gross Profit 0.60 23.97 76.49 152.12

GPM 1.29% 23.69% 36.51% 42.10%

Selling & Admin. Costs (PKR Mn) FY2022 FY2023 FY2024 FY2025
Marketing 8.00 8.56 9.07 9.53
Transportation 2.50 2.68 2.84 2.98
Admin Salaries 7.00 7.49 7.94 8.34
Utility Bills 3.00 3.21 3.40 3.57
Rents 1.50 1.61 1.70 1.79
Others 2.00 2.14 2.27 2.38
Total S&A 24.00 25.68 27.22 28.58

EBITDA (23.41) (1.71) 49.27 123.54

Depreciation 2.00 3.00 4.00 6.00
Amortization - - - -
EBIT (25.41) (4.71) 45.27 117.54
Other Income 0.35 0.35 0.46 0.56
Interest 5.63 5.58 4.91 2.57
EBT (30.68) (9.94) 40.82 115.53
Tax (8.90) (2.88) 11.84 33.50
Net Income (21.78) (7.06) 28.98 82.03

Balance Sheet
FY2022 FY2023 FY2024 FY2025
Current Assets (PKR Mn)
Cash 4.99 0.00 0.00 47.92
Marketable Securities - - - -
Account Receivables 3.78 6.93 14.35 19.80
Inventory 4.35 6.02 8.33 10.66
Other CA - - - -
13.12 12.96 22.68 78.38

Non-Current Assets (PKR Mn)

Land 20.00 20.00 20.00 30.00
Building & Machinery 8.00 10.00 11.00 15.00
Long Term Investments 5.00 5.00 8.00 8.00
Goodwill - - - -
33.00 35.00 39.00 53.00
Total Assets 46.12 47.96 61.68 131.38

Current Liabilities (PKR Mn)

Accounts Payable 2.90 5.27 9.52 14.22
Short Term Loans - 16.53 7.02 -
Current Portion of LTD 10.00 10.00 10.00 10.00
Accruals - - - -
Other CL - - - -
12.90 31.80 26.54 24.22

Non-Current Liabilities (PKR Mn)

Long Term Debt 30.00 20.00 10.00 -
Directors Loan - - - -
30.00 20.00 10.00 -
Total Liabilities 42.90 51.80 36.54 24.22
Equity (PKR Mn)
Share Capital 25.00 25.00 25.00 25.00
Retained Earnings (21.78) (28.84) 0.14 82.16
3.22 (3.84) 25.14 107.16
Total Liabilities & Equity 46.12 47.96 61.68 131.38
Balance - - - -

Cash Flow Statement

FY2022 FY2023 FY2024 FY2025
Cash From Sales (PKR Mn) 42.22 98.05 202.07 355.91
COS Cash Outflows (PKR Mn)
Solvent (3.70) (7.92) (15.11) (23.79)
Pigment (2.78) (5.94) (11.33) (17.85)
Adhesives (2.22) (4.75) (9.06) (14.28)
Packaging Material (1.85) (3.96) (7.55) (11.90)
Labels (0.74) (1.58) (3.02) (4.76)
Cash Salaries (24.00) (30.82) (40.83) (57.16)
(35.29) (54.97) (86.91) (129.74)
S&A Outflows (24.00) (25.68) (27.22) (28.58)
LT Interest (5.63) (4.55) (3.38) (2.10)
ST Interest - (1.03) (1.53) (0.47)
Interest Earned 0.35 0.35 0.46 0.56
Dividend - - - -
Comissions (2.30) (5.06) (10.47) (18.07)
Taxes 1.08 (14.32) (47.45) (94.93)
WC Changes
Inventory (4.35) (1.67) (2.31) (2.33)
Other CA - - - -
Accounts Payable 2.90 2.37 4.25 4.69
Accruals - - - -
Other CL - - - -
(1.45) 0.70 1.94 2.36
Cash from Operating Activities (25.01) (6.51) 27.51 84.94

Land (20.00) - - (10.00)

Building & Machinery (10.00) (5.00) (5.00) (10.00)
Long Term Investments (5.00) - (3.00) -
Marketable Securities - - - -
Cash from Investing Activities (35.00) (5.00) (8.00) (20.00)

Short Term Loans - 16.53 (9.51) (7.02)

Long Term Debt 40.00 (10.00) (10.00) (10.00)
Directors Loan - - - -
Share Capital 25.00 - - -
Cash from Financing Activities 65.0 6.5 (19.5) (17.0)
Net change in Cash Position 4.99 (4.99) - 47.92
Beginning Cash Position - 4.99 - -
Ending Cash Position 4.99 - - 47.92

Fixed Assets Schedule (PKR Mn)

FY2022 FY2023 FY2024 FY2025
Land
Beginning Balance - 20.00 20.00 20.00
Ending Balance 20.00 20.00 20.00 30.00

Building & Machinery

Beginning Balance - 8.00 10.00 11.00
Depreciation
FY2022 2.00 2.00 2.00 2.00
FY2023 1.00 1.00 1.00
FY2024 1.00 1.00
FY2025 2.00
FY2026
Total Dep 2.00 3.00 4.00 6.00
Ending Balance 8.00 10.00 11.00 15.00
Fixed Assets Balance 28.00 30.00 31.00 45.00

Debt & Equity Schedule (PKR Mn)

FY2022 FY2023 FY2024 FY2025
Long Term Loan
Beginning Balance - 40.00 30.00 20.00
New Disbursement 50.00 - - -
Repayments 10.00 10.00 10.00 10.00
Ending Balance 40.00 30.00 20.00 10.00
Current Portion of LTL 10.00 10.00 10.00 10.00
Non-Current Portion of LTL 30.00 20.00 10.00 -
Interest Expense 5.63 4.55 3.38 2.10

Short Term Loan

FY2022 FY2023 FY2024 FY2025
Beginning Balance - - 16.53 7.02
New Disbursement/ Settlement - 16.53 (9.51) (7.02)
Ending Balance - 16.53 7.02 -
Interest Expense 0.00 1.03 1.53 0.47
Equity
FY2022 FY2023 FY2024 FY2025
Beginning Balance - 25.00 25.00 25.00
Share Subscription 25.00 - - -
Share Buyback - - - -
Ending Balance 25.00 25.00 25.00 25.00
Dividend Paid - - - -
Beginning Retained Earnings - (21.78) (28.84) 0.14
Ending Retained Earnings (21.78) (28.84) 0.14 82.16
FY2026

1,673
2,509
2,008

70,200
84,240
105,300
259,740

117.44
211.40
211.40

540.23
91.84
27.01
421.38

FY2026
32.17
24.13
19.30
16.09
6.43
74.31
172.43

248.95
46.08%

FY2026
9.91
3.10
8.67
3.72
1.86
2.48
 29.73

219.23
7.00
-
212.23
0.56
0.73
212.06
61.50
150.56

FY2026

191.61
-
22.20
11.81
-
225.62

30.00
13.00
8.00
-
51.00
276.62

18.90
-
-
-
-
18.90

-
-
-
18.90
 25.00
232.73
257.73
276.62
-

FY2026
537.83

(32.17)
(24.13)
(19.30)
(16.09)
(6.43)
(74.31)
(172.43)
(29.73)
(0.73)
-
0.56
-
(27.01)
(153.34)

(1.15)
-
4.68
-
-
3.53
158.69

-
(5.00)
-
-
(5.00)

-
(10.00)
-
-
(10.0)
 143.69
47.92
191.61

FY2026

30.00
30.00

15.00

2.00
1.00
1.00
2.00
1.00
7.00
13.00
43.00

FY2026

10.00
-
10.00
-
-
-
0.73

FY2026
-
-
-
0.00
FY2026
25.00
-
-
25.00
-
82.16
232.73
 FY2022 FY2023 FY2024 FY2025 FY2026
Gross Sales 46.0 101.2 209.5 361.4 540.2
Net Sales 35.9 78.9 163.4 281.9 421.4
Sales Growth 120% 107% 73% 50%
GP Margin 1.29% 23.69% 36.51% 42.10% 46.08%
EBITDA (23.41) (1.71) 49.27 123.54 219.23
OP Margin -55% -5% 22% 33% 39%
Net Margin -47% -7% 14% 23% 28%
Interest Coverage (4.52) (0.84) 9.23 45.67 292.72
Current Ratio 1.02 0.41 0.85 3.24 11.94
Debt to Equity 12.43 (12.11) 1.07 0.09 -
ROE -677% 184% 115% 77% 58%

DCF Valuation FY2022 FY2023 FY2024 FY2025 FY2026

EBITDA (23.41) (1.71) 49.27 123.54 219.23
Tax paid 8.90 2.88 (11.84) (33.50) (61.50)
Capex (30.00) (5.00) (5.00) (20.00) (5.00)
WC Changes (1.45) 0.70 1.94 2.36 3.53
Free Cash Flow to Firm(FCFF) (45.96) (3.13) 34.37 72.40 156.26
404.67 Terminal Value
FCFF Including Terminal Value (45.96) (3.13) 34.37 72.40 560.93
Net Present Value(NPV) 101.25
Terminal Value