ASSIGNMENT NO: 01

FINANCIAL STATEMENTS OF SAPPHIRE TEXTILE

MILLS LIMITED 2021.

BY

Muhammad Sajid
BBA (Agribusiness)
2019-ag-6416

Submitted To:
(Ms. Saba Nasir)
BBA Agribusiness
7th Semester

UNIVERSITY OF AGRICULTURE,
FAISALABAD
SUB CAMPUS BUREWALA-VEHARI,
2022
 Topic: FINANCIAL STATEMENTS OF SAPPHIRE TEXTILE
MILLS LIMITED.

STML:
Sapphire is a leading textile mill in Pakistan with capacity to produce millions of yards a
month of highest quality fabrics. We are based in Lahore Punjab. Sapphire Retail Limited (SRL) is a
wholly owned subsidiary of Sapphire Textile Mills Limited. The principal business of SRL is to operate
“Sapphire” brand retail outlets for the sale of textile and other products. Sapphire International APS
is wholly owned subsidiary of Sapphire Textile Mills Limited and a limited liability Company
incorporated in Denmark formed to strengthen exports.

Income statement Review data for 2021:

The Company’s financial results have been encouraging. The Summary of key financial
numbers are presented below:

2021 in millions 2020 in millions

Net turnover 38,470,987 34,030,186
Gross Profit 6,350,113 4,834,691
Profit from Operations 5,341,902 3,866,062
Other Income 1,097,563 721,187
Finance cost (1,582,533) (2,556,977)
Profit before taxation 3,759,369 1,309,085
Profit after taxation 3,262,935 1,179,089

Financial Highlights:
Sales 38,470,987
Gross profit 6,350,113
Operating expenses 401,133
Operating income 1,097,563
Income/ (loss) before taxes 3,759,369
Profit after taxation 3,262,935
Shareholder 10
Net turnover 38.471 billion

Balance sheet data:

Rs millions
Total assets 51,798,412
Total non-current liabilities 14,658,569
Total debt 24,306,018
Total shareholders’ equity 21,018,585
Net profit margin 8.48%
 Financial statements analysis.

Key Ratios:
1:- Net profit margin=Net profit after taxes/net sales

8/100 =net profit/38,470,987

Net profit = 0.08*38,470,987

Net profit = 3077678.96

2:- Debt to equity = total debt/shareholder equity

= 24,306,018/21,018,585

= 1.1564

3:- Debt to total assets=Total debt / total assets

= 24,306,018/51,798,412

= 0.4692

4:- Current liquidity = current assets/ current liabilities

= 51,798,412/14,658

= 3533.79

5:- Return on investment=net profit/total assets

=3077678.96/51,798,412

=0.059

6:- R.T = CREDIT Sales/receivables

1677 = 347654/Receivable

R.A = 347654/1677

R.A = 207.30