4. INTRODUCTION
Lucky Cement Ltd was founded in 1993 by
Tabba Memons. The company initially stared with
factories in the province of KPK. It also owns a
factory in Karachi.
Lucky Cement Ltd recorded its highest ever
profit after tax of Rs 11.344 Billion for the year
ending 30 June,2014.
5. Ensure sustainable leadership
position in Pakistan & increase
global footprint in the cement
sector. Identify & capitalize on
diversification opportunities to
maximize shareholders’ value while
remaining socially responsive in all
spheres of operations.
6. We strive to be a growth oriented
company by identifying
opportunities, making the right
investments, producing high
quality cement and using
innovative technology to achieve
cost competitiveness and customer
satisfaction. We endeavor to
harness the best human resources
and providing them a level playing
field in achieving long term goals.
7.
8. Lucky Cement (Regular):
Lucky Cement (Regular) is our OPC
brand and sells primarily in the
North region markets of Pakistan.
Lucky Sulphate Resistant Cement:
Developed specially for use along
shorelines and canal-linings, Lucky SRC
sells across the entire country.
Lucky Block Cement:
Developed specially for
makers with quick setting
Lucky Block Cementisan
block
time,
OPC
product which sells primarily in the
Karachi market.
Lucky Raj:
In order to attract the price
conscious consumer, Lucky Raj is an
OPC product introduced in the
Karachi markets.
Lucky Star:
Lucky Star is our OPC brand which sells
primarily in the South region markets
of Pakistan.
Lucky Gold:
Lucky Gold is our OPC brand which
was introduced to penetrate into the
Faisalabad market and which now sells
primarily in Faisalabad and surrounding
areas.
9.
10. 2014
2011
2013 2012
-------------- Rupees in '000' --------------
Gross Sales 51,412,926 43,738,002 39,123,147 31,767,053
Less: Sales tax and Excise duty 7,708,848 5,547,756 5,485,629 5,545,549
Rebates Commission 620,909 379,790 314,983 203,985
8,329,757 5,927,546 5,800,612 5,749,534
Net Sales 43,083,169 37,810,456 33,322,535 26,017,519
Cost of Sales (24,393,064) (21,054,058) (20,601,261) (17,306,400)
Gross Profit 18,690,105 16,756,398 12,721,274 8,711,119
Distribution Costs (3,382,156) (3,664,019) (3,236,721) (3,236,425)
Administrative expenses (760,269) (680,347) (474,135) (313,389)
Finance costs (34,225) (75,829) (253,234) (517,788)
Other charges (1,035,032) (824,834) (438,411) (325,482)
Other income 977,942 234,499 5,204 2,486
(4,233,740) (5,010,530) (4,397,297) (4,390,598)
Profit before taxation 14,456,365 11,745,868 8,323,977 4,320,521
Taxation - Current (2,890,619) (269,494) (333,225) (260,175)
Taxation - Deferred (221,343) (1,727,612) (1,208,336) (89,946)
(3,111,962) (1,997,106) (1,541,561) (350,121)
Profit after taxation 11,344,403 9,748,762 6,782,416 3,970,400
Other Comprehensive income not to be reclassified to profit and loss account in subsequentperiod:
Loss on remeasurement of post retirement benefitobligations
Deferred taxation
(912)
249
(45,334)
10,520
-
-
-
-
(663) (34,814) - -
11,343,740 9,713,948
Earnings per Share - basic and diluted 33 35.08
(Rupees)
30.15 20.97 12.28
11.
12. 6,078,915 5,179,055 5,396,220
1,638,984 1,431,157 1,276,433
2,077,714 1,668,299 1,050,639
161,625 253,266 148,189
57,699 41,814 67,894
527,052 692,191 105,677
110,062
538,812 538,812 538,812
- 286,096 126,361
8,519,082 2,805,840 844,422
2014 2013 2012 2011
------------------------------- Rupees in '000' ----------------------------
ASSETS
NON-CURRENTASSETS
FixedAsset
Property, plant and equipment 31,937,211 31,008,392 31,016,532 31,705,156
IntangibleAssets 27,652 4,711 1,514 1,685
31,964,863 31,013,103 31,018,046 31,706,841
Long term Investment 8,127,550 5,619,000
Long term loans and advances 72,445 554,305 55,373 55,373
Long term deposits 3,175 3,175 3,175 3,175
40,168,033 37,189,583 31,076,594 31,765,389
CURRENTASSETS
Stores and spares 6,313,584
Stock-in-trade 1,248,538
Trade debts 620,961
Loans and advances 72,164
Trade deposits and short-term prepayment 38,669
Other receivables 218,884
Investments
Tax refunds due from Government 538,812
Taxation - net 41,652
Cash and bank balances 351,202
19,599,883 13,006,592 9,554,647 9,444,466
TOTALASSETS 59,767,916 50,196,175 40,631,241 41,209,855
13. 2014 2013 2012 2011
------------------------------- Rupees in '000' ----------------------------
EQUITY AND LIABILITIES
SHARE CAPITAL AND RESERVES
Share Capital 3,233,750 3,233,750 3,233,750 3,233,750
Reserves 46,558,433 37,801,693 30,027,995 24,539,079
49,792,183 41,035,443 33,261,745 27,772,829
NON-CURRENT LIABILITIES
Long-term finance - 127,498 392,898 658,298
Long-term Deposits 67,971 57,125 52,752 37,306
Deferred liabilities 5,453,512 5,130,265 3,299,522 2,044,633
CURRENT LIABILITIES
5,521,483 5,314,888 3,745,172 2,740,237
Trade and other payables 4,096,255 3,572,282 3,345,605 4,043,689
Taxation – net 257,446
Accrued mark-up 3,051 8,162 13,319 85,448
Short-term borrowings 6,302,252
Current maturity of long termfinance 127,498 265,400 265,400 265,400
4,484,250 3,845,844 3,624,324 10,696,789
TOTAL EQUITY AND LIABILITIES 59,797,916 50,196,175 40,631,241 41,209,855
14.
15. Financial statements analysis is the process of examining relationships
among elements of the company's "accounting statements" or financial statements
(balance sheet, income statement, statement of cash flow and the statement of
retained earnings) and making comparisons with relevant information.
Financial statements analysis is a valuable tool used by investors, creditors,
financial analysts, owners, managers and others in their decision-making process.
The most common known types of financial statements analysis are:
Ratio Analysis: compare items on a single financial statement or examine the
relationships between items on two financial statements.
Trend analysis: is a method of analysis that allows traders to predict what will
happen with a stock in the future.
16.
17. 2014 2013 2012 2011
Current Ratio =
Total CurrentAsset 19,599,883 13,006,592 9,554,647 9,444,466
Total Current Liabilities 4,484,250
4.37:1
3,845,844
3.38:1
3,624,324
2.64:1
10,696,789
0.88:1
Comments Here :
Entity has sufficient resources to meet its current obligations. In fact
company has current asset 4 time greater than current liability that shows company
has sound liquidity position. Further it also indicates company is following a
conservative approach towards its fund as sufficient are idle that can be invested in
profitable arena.
18. 2014 2013 2012 2011
Total Current Asset -
Acid Test Ratio = Inventory - Prepaid Expense
11,881,984 6,396,380 2,881,994 1,882,344
Total Current Liabilities 4,484,250 3,845,844 3,624,324 10,696,789
2.65 1.66 0.80 0.18
Comments Here :
Its shows company has ability to meet its current obligation with further
delay of time as inventory and prepayments are not constituting sufficient portion of
current assets. From Business point of view it can provide company a competitive
edge.
19. 2014 2013 2012 2011
Asset Turnover =
Net Sales 43,083,169 37,810,456 33,322,535 26,017,519
Total AverageAssets 59,797,916 50,196,175 40,631,241 41,209,855
0.72 0.75 0.82 0.63
Comments Here :
Its shows company is generating Rs. 0.72 revenue per rupees of Assets of
the company which is highest Asset efficiency ratio is cement industry.
20. 2014 2013 2012 2011
Stock Turnover Ratio =
Cost of Goods Sold 24,393,064 21,054,058 20,601,261 17,306,400
Average Inventory 7,164,056 6,641,433 7,117,388 6,089,612
3.40 3.17 2.89 2.84
Comments Here :
It measure liquidity of inventory which is in running trend a positive stance for the
company. on other hand its also shows inefficient buying of inventory. If the company
buys in bulk it will reduce transportation cost subject to maintaining a balance
between transportation and holding cost.
BAC
21. 2014 2013 2012 2011
Average Trade
Debtors Days = Receivable ×365 Days
Annual Credit Sales
1,873,007 1,359,469 835,800 700,133
43,083,169 37,810,456 33,322,535 26,017,519
15.87 13.12 9.15 9.82
Comments Here :
Company recovery policy is highly commendable as debtors day are very low but
company may also afford higher debtors days by giving relax credit term to attract
more customers that will enhance its revenue.
BAC
22. 2014 2013 2012 2011
Profit Margin=
Net income 11,344,403 9,748,762 6,782,416 3,970,400
Net Sales (Revenue) 43,083,169 37,810,456 33,322,535 26,017,519
26.33% 25.78% 20.35% 15.26%
Comments Here :
Company has very appropriate profit margin which is consistent over the cost per
and as compared to industry profit margin is very ideal in current economic
conditions. Most of the companies total revenue is absurd by transportation faced
and power expense under the head of cost of sales which are company's core
expenses further the distributes cost is very high which can be minimized by efficient
planning and process.
23. 2014 2013 2012 2011
Gross Profit Margin=
Gross Profit 18,690,105 16,756,398 12,721,274 8,711,119
×100
Net Sales (Revenue) 43,083,169 37,810,456 33,322,535 26,017,519
43.38% 44.32% 38.18% 33.48%
Comments Here :
Gross profit shows rising trend over history but not ideal. It can further be better.
Factors that contributed to improve gross profit margin are use of alternative energy
sources to overcome furnace and coal usage. Also installation of waste heat
recovery project helped to overcome power cost and attributed to an increase in
gross profit
24. 2014 2013 2012 2011
Return on Equity =
Net income 11,343,740 9,713,948 6,782,416 3,970,400
×100
Shareholders Equity 49,792,183 41,035,443 33,261,745 27,772,829
22.78% 23.67% 20.39% 14.30%
Comments Here :
In cement industry 25% is considered to be the most appropriate figure, The
company is more close to it. It is one of the reason to attract more investor interest in
the company.
25. 2014 2013 2012 2011
Net income - Preferred
Earning Per Shares = Dividends
11,344,403 9,748,762 6,782,416 3,970,400
Common Outstanding
Shares
32,337,500 32,337,500 32,337,500 32,337,500
35.08 30.15 20.97 12.28
Comments Here :
A higher EPS is the sign of higher earnings and company has strong financial
position.
26. 2014 2013 2012 2011
Price Earning Ratio =
Market Value Per Shares 410.45 209.82 115.36 70.84
Earning Per Shares 35.08 30.15 20.97 12.28
11.70 6.96 5.50 5.77
Comments Here :
Earnings per share increased from Rs 5.77 in 2011 to Rs 11.70 with an increase of
103%. Company with a high P/E ratio its indicate positive future performance and
investors are willing to pay more for company's shares.
27. 2014 2013 2012 2011
Debt to Equity Ratio =
Total Liabilities 10,005,733 9,160,732 7,369,496 13,437,026
Share Holder Equity 49,792,183 41,035,443 33,261,745 41,209,885
0.20 0.22 0.22 0.33
Comments Here :
Its depict gearing is very low and occurs stake in the company is very high.
Company used to mostly retain large portion of its profit with payment of
comparatively small portion as dividend. It is also evident from revenue remain of
Rs. 11.9 Billion. Again the company following very conservative approach it can take
more risk expose to maximize it profit.
28.
29. A Trend analysis is a method of analysis that allows traders to predict what
will happen with a stock in the future.
Trend analysis is based on historical data about the stock'sperformance
given the overall trendsof the market and particular indicators within the
market.
How it works/Example:
A trend analysis is a method of analysis that allows traders to predict what
will happen with a stock in the future. Trend analysis is based on historical
data about the stock's performance given the overall trends of the market
and particular indicators within the market.
Trend analysis takes into account historical data points for a stock and,
controlling for other factors like the general changes in the sector, market
conditions, competition for similar stocks, it allows traders to forecast short,
intermediate, and long term possibilities for the stock.
30. 2014 2013 2012 2011
Sales =
Sales Index Year
×100
43,083,169.00 37,810,456.00 33,322,535.00 26,017,519.00
Sales BaseYear 26,017,519.00 26,017,519.00 26,017,519.00 26,017,519.00
166% 145% 128% 100%
Cost of Sales =
Cost of Sales Index Year
×100
24,393,064.00 21,054,058.00 20,601,261.00 17,306,400.00
Cost of Sales Base Year 17,306,400.00 17,306,400.00 17,306,400.00 17,306,400.00
141% 122% 119% 100%
Gross Profit =
Gross Profit Index Year
×100
18,690,105.00 16,756,398.00 12,721,274.00 8,711,119.00
Gross Profit Base Year 8,711,119.00 8,711,119.00 8,711,119.00 8,711,119.00
215% 192% 146% 100%
31. 2014 2013 2012 2011
Distribution Cost =
Distribution Cost Index Year
×100
3,382,156.00 3,664,019.00 3,236,721.00 3,236,424.00
Distribution Cost BaseYear 3,236,424.00 3,236,424.00 3,236,424.00 3,236,424.00
105% 113% 100% 100%
Administrative Exp=
Administrative Exp Index Year
×100
760,269.00 680,347.00 474,135.00 313,389.00
Administrative Exp Base Year 313,389.00 313,389.00 313,389.00 313,389.00
243% 217% 151% 100%
Finance Costs =
Finance Costs Index Year
×100
34,225.00 75,829.00 253,234.00 517,788.00
Finance Costs BaseYear 517,788.00 517,788.00 517,788.00 517,788.00
7% 15% 49% 100%
32. 2014 2013 2012 2011
Other Charges =
Other Charges Index Year
×100
1,035,032.00 824,834.00 438,411.00 325,482.00
Other Charges Base Year 325,482.00 325,482.00 325,482.00 325,482.00
318% 253% 135% 100%
Other Income =
Other Income Index Year
×100
977,942.00 234,499.00 5,204.00 2,486.00
Other Income BaseYear 2,486.00 2,486.00 2,486.00 2,486.00
39338% 9433% 209% 100%
Profit Before Tax =
Profit Before Tax Index Year
×100
14,456,365.00 11,745,868.00 8,323,977.00 4,320,521.00
Profit Before Tax Base Year 4,320,521.00 4,320,521.00 4,320,521.00 4,320,521.00
335% 272% 193% 100%
33. 2014 2013 2012 2011
Taxation =
Taxation Index Year
×100
3,111,962.00 1,997,106.00 1,541,561.00 350,121.00
Taxation Base Year 350,121.00 350,121.00 350,121.00 350,121.00
889% 570% 440% 100%
Profit After Tax =
Profit After Tax Index Year
×100
11,344,403.00 9,748,762.00 6,782,416.00 3,970,400.00
Profit After Tax Base Year 3,970,400.00 3,970,400.00 3,970,400.00 3,970,400.00
286% 246% 171% 100%
34. Lucky Cement Limited is one of the largest cement company in
Pakistan is financial performance 2012 is so good as compared to
the previous years. Company management is so strong and
strategies that are used is very useful for the company betterment
and its growth.
Due to state issues like electricity, gas and other factors not effect
on the company performance but also company dramatically
company growth going high. Company should grow their business
as multinational and export the product in the other countries.
35.
36. Habit #1: Be Proactive
Habit #2: Begin with the End in Mind
Habit #3: Put First Things First
Habit #4: Think Win/Win
Habit #5: Seek First to Understand, Then to Be
Understood
Habit #6: Synergize
Habit #7: Sharpen the Saw
7 Habits of Highly Effective
People
37. Habit #1: Be Proactive
Change starts from within and highly effective people make the
decision to improve their lives through the things that they can
influence rather than simply reacting to external forces.
Proactive Model
RESPONSESTIMULU
S
FREEDOM
TO
CHOOSE
SELF-
AWARENESS
IMAGINATIO
N
CONSCIENCE
INDEPENDEN
T
WILL
38. Habit #2: Begin with the End in
Mind
Develop a principle-centered personal mission statement.
Extend the mission statement into long-term goals based on
personal principles.
“The personal mission statement gives us a changeless
core from which we can deal with external change.”
39. Habit #3: Put First Things First
Spend time doing what fits into your personal mission, observing
the balance between production and building production capacity
proper . Identify the key roles that you take on in life, and make
time for each of them.
• Based on your personal mission, are you putting first things first?
• Do you feel out of balance? What actions should be taken to put you
back in balance?
• What ways can we, as business analysts, put first things first?
40. Habit #4 : Think Win/Win
Seek agreements and relationships that are mutually beneficial. Win-Win
Agreements take a lot of courage and a lot of kindness – in short, a lot of
integrity.
41. Use empathetic listening to genuinely understand a person, which
compels them to reciprocate the listening and take an open mind to
being influenced by you. This creates an atmosphere of caring, and
positive problem solving. The Habit 5 is greatly embraced in the
Greek philosophy represented by 3 words:
1) Ethos - your personal credibility. It's the trust that you inspire,
your Emotional Bank Account.
2) Pathos is the empathic side -- it's the alignment with the
emotional trust of another person communication.
3) Logos is the logic -- the reasoning part of the presentation. The
order is important: ethos, pathos, logos -- your character, and
your relationships, and then the logic of your presentation.
Habit #5: Seek First to Understand, Then to Be
Understood
42. Habit #6: Synergize
Combine the strengths of people through positive teamwork, so as to achieve
goals that no one could have done alone.
Habit #7: Sharpen the Saw
Balance and renew your resources, energy, and health to create a sustainable, long-
term, effective lifestyle. It primarily emphasizes exercise for physical renewal, good
prayer (meditation, yoga, etc.) and good reading for mental renewal. It also
mentions service to society for spiritual renewal. Covey explains the "Upward
Spiral" model in the sharpening the saw section. Through our conscience, along
with meaningful and consistent progress, the spiral will result in growth, change,
and constant improvement. In essence, one is always attempting to integrate and
master the principles outlined in The 7 Habits at progressively higher levels at each
iteration. Subsequent development on any habit will render a different experience
and you will learn the principles with a deeper understanding. The Upward Spiral
model consists of three parts: learn, commit, do. According to Covey, one must be
increasingly educating the conscience in order to grow and develop on the upward
spiral. The idea of renewal by education will propel one along the path of personal
freedom, security, wisdom, and power.
