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BUSINESS Saturday, 30 March, 2013

ABL earns Rs8.3bn for conventional, Shariah-compliant banking in CY12 KARACHI: The Bank Alfalah Limited (ABL) posted a cumulative profit before tax of Rs 8.3 billion for its conventional and Shariah-compliant banking in the calendar year 2012. This was observed during the bank’s 21st Annual General Meeting (AGM) held here Friday. Chaired by Abdullah Khalil Al Mutawa, the meeting was attended by other board members including Khalid Mana Saeed Al Otaiba, Ikram Ul Majeed Sehgal, Nadeem Iqbal Sheikh and Atif Bajwa, CEO ABL, as well as the bank’s shareholders. The shareholders were informed that the bank earned a profit before taxation of Rs 6.783 billion for the year 2012, as compared to Rs 5.434 billion in 2011, registering a significant rise of 24.8 percent. The bank’s deposits grew from last year by 14 percent to Rs 457.119 billion. Total gross advances increased from Rs 211.397 billion to Rs 248.346 billion reflecting a year-on-year growth of 18 percent. The net investments increased by 13.8 percent during the period under review. The overall balance sheet growth has been 14.6 percent in 2012. The current Capital Adequacy Ratio is 12.67 percent for the year 2012. The bank’s Islamic banking group has made strides right from inception and in 2012 generated a profit before tax of Rs 1.517 billion for the year. “I am pleased that our key performance indicators for 2012 indicate promising results and growth in an increasingly difficult environment,” CEO ABL Atif Bajwa told the AGM. STAFF REPORT

Pak-China leadership focusing on strengthening economic ties. – Masood Khalid

Equity market rallies 6% in 1Q2013 as election nears KARACHI STAFF REPORT

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OPES for change in the political setup along with strong foreign inflows were the major drivers of the country’s equity market during the first quarter of calendar year 2013 (1Q2013). The market observers believe that while the May 11 election are around the corner, the equity investors were cautiously looking at the fast-changing political developments in the country. “We anticipate market activity to hinge on political temperature of the country,” viewed Topline analyst Nauman Khan. The heightened investors’ confidence was also attributed to significant reduction in the policy rate that had facilitated the funds flows towards equity market, said the analysts. The benchmark KSE 100-share index posted a gain of 6 percent, 5 percent in dollar terms, during the quarter to close at

cent from preceding quarter, while are highest since 1Q2008 (19-quarters high). In addition to higher foreign buying, we believe increased participation by individual investors have also contributed to improved depth of the market. Individual participation on an average improved to 50 percent in 1Q2013 as against 48 percent in the preceding quarter. The foreigners, that hold $3.3 billion worth of Pakistan shares that is 31 percent of free-float and 8 percent of market capital, remained net buyers in 1Q2013. The offshore investors in the quarter bought shares worth $228 million and sold $158 million resulting in net buying of $70 million as of March 28. The numbers compare favorably with $65 million net inflow registered in previous quarter. Giving their future outlook, the analysts reiterated that the market participants were likely to cheer signs of change in the political setup. “Mid caps with high leverage and consumer related business can perform better than large caps in 2013,” said Khan.

PM for mobilizing resources to ensure sustainable economic development

Urea off-take down 19% in February KARACHI: The urea off-take during February registered a massive decline of 19 percent standing at 419k tons during the month in review, said the market observers Friday. The urea availability on the other hand declined by 23 percent on MoM basis to 590k tons during last month, said InvestCap analyst Abdul Azeem. Overall, he said, urea production declined by 10 percent MoM to 306k tons while the imports were at 27.6k tones levels. The FFC’s off-take declined by 15 percent to 179k tones (+51 percent YoY in 2MCY13) similarly the Engro’s off-take declined by 31 percent to 84k tones (+210 percent YoY). However, FATIMA’s off-take stepped up by a massive 106 percent to 30k tones. During Jan-Feb13 total urea off-take stood at 936k tons compared to 770k tons during the same period last year, showing an increase of 22 percent. Of the total, the offtake of imported urea stood at 282k tones during 2MCY13 contributing 30 percent. During Feb-13, off-take of DAP posted a decline of 57 percent to 76.5k tons while during 2MCY13 the product’s off-take stood at 76.5k tones, showing a huge increase of 88 percent. Similarly, the production of DAP jumped by a gigantic 133 percent to 89.8k tons. However, as far as overall DAP availability is concerned, the latter declined by 11 percent to 230k tones during Feb-13. During Feb-13, Abdul Azeem said, the retail prices of urea stood at Rs 1,745 per bag showing an increase of 1.3 percent, while the retail prices of DAP declined by 0.8 percent to Rs 3,925 per bag. While the DAP prices mostly move in line with international prices, the price of urea is expected to remain stable in the near future. As the gas available from the exploration companies would be on higher rate as compared to gas available from SNGPL network therefore leaving no room to reduce prices in the present high cost of production scenario. STAFF REPORT

18,043 and overall market capitalization reached Rs4.4 trillion or $45.2 billion. “Though the index made a new high of 18,185, on March 01, 2013, the market capitalization was still seven percent, 40 percent in dollar terms, down from its record high of Rs 4.8 trillion ($74.9 billion) achieved on April 18, 2008,” said Khan. With index achieving our midyear target of 18,000, we re-iterate that index can make a new high by crossing 19,500 in calendar year 2013 as mentioned in our strategy note date December 12, 2012. Abrupt PKR deprecation due to weakness in external account remains the major risk to our assessment. The positive momentum was accompanied by higher traded volumes. During 1Q2013, average daily traded volumes stood at Rs5.7 billion (US$58.4 million) which compares favorably with Rs4.5 billion (US$46.6 million) recorded in the previous quarter. The average traded volumes are the highest in last 12-quarters. In terms of shares, average volume stood at 210.6 million which is up 25 per-

ISLAMABAD APP

Prime Minister Justice (R) Mir Hazar Khan Khoso on Friday emphasized the need to reduce reliance on external financial assistance and mobilize internal resources to ensure sustainable economic development in the country. The Prime Minister made these ob-

servations while reviewing the current revenue situation during a briefing given to him by the Federal Board of Revenue (FBR) at the Prime Minister’s Secretariat. The Prime Minister was informed that the revenue target that was set at Rs.2381 billion for the current financial year had been revised to Rs.2126 billion. The Chairman FBR informed the Prime Minister that due to narrow tax base, fall in imports and the overall situation in the country, the FBR was experiencing difficulties in attaining the tax targets set by the government. Prime Minister Khoso was informed that Rs 1,210 billion had so far been collected and efforts were being made to achieve the set targets. He said that the need for finances cannot be overemphasized and directed the FBR to make all out efforts to attain the revised target. Mir Hazar Khan Khoso observed that the revenue collected by FBR so far warrants immediate attention and necessary measure needed to be taken to meet the targets. The Prime Minister sought proposals and recommendations to augment revenue collection for the approval of the government within the next three to four

Due to narrow tax base, fall in imports and the overall situation in the country, the FBR is experiencing difficulties in attaining the tax targets set by the government. – FBR chairman days. The meeting was attended by the senior officials of the Prime Minister’s Secretariat, the Federal Board of Revenue and the Ministry of Finance.

Though the index made a new high of 18,185, on March 01, the market capitalization was still seven percent, 40 percent in dollar terms, down from its record high of Rs 4.8 trillion ($74.9 billion) achieved on April 18, 2008 Sensitive Price Indicator increase by 0.49 percent ISLAMABAD: The Sensitive Price Indicator (SPI), for the week ended march 28 has registered an increase of 0.49% over the previous week for the lowest income group. The SPI for the week under review for the above mentioned group was recorded at 187.94 points against 187.02 points registered in the previous week, according provisional figures from the Pakistan Bureau of Statistics. The SPI for combined groups was up 0.49%; up from 191.97 points in the previous week to 192.91 points this week. The PBS data stated that the weekly inflation for the income group earning between Rs 8,001 and Rs 12,000 per month witnessed an increase of 0.50 percent, while the SPI for the mid-level income group earning Rs 12,001 to Rs 18,000 per month witnessed a surge of 0.50 percent as compared to the previous week. The SPI for the group earning between Rs 18,001 to Rs 35,000 witnessed increase of 0.50% while for the segment earning above Rs 35,000 showed surge of 0.47%. PBS statistical data further revealed that average price of 17 items registered increased. These items includes, onion, chicken live, sugar, bananas, cooked dal plate, garlic, motton, rice basmati broken, beef, cooked beef plate, moong pulsed washed, and cooking oil. 13 items that registered decreased were tomatoes, egg, potatoes, wheat, red chillies, veg ghee loose, gur, LPG (11 kg cylinder), wheat flour bag, masoor pulse washed, and mustard oil. ONLINE

Nigeria to enhance trade with Pakistan to $1b by 2013 end ISLAMABAD STAFF REPORT

Nigeria would enhance two-way trade with Pakistan to $1 billion by the end of 2013by enhancing interaction between the business communities of both the countries. This was stated by High Commissioner of Nigeria to Pakistan Dauda Danladi Mni while addressing business community at Islamabad Chamber of Commerce & Industry (ICCI). He attached great importance to boost economic interaction with the Government of Pakistan, particularly the business community. High Commissioner said that Nigerian economy largely dependent on oil which accounts 40% of country’s GDP, 90% of its export revenue and 80% of government’s budget. He said that Nigeria is amongst the Africa’s 10th largest economies that contribute 77% of Africa’s GDP. He said that in order to boost foreign investment, Nigerian government created

free zone in its territories to favour foreign investments as no custom duty applicable within the free zone. Dauda said that trade with Nigeria is also quite beneficial for Pakistan as Nigeria can serve as a window o f

business opportunity to the whole of West Africa. He said that great opportunities are being explored by the Nigerian High Commission in the area of Agricultural machinery like tractors, Pharmaceuticals and export

of garments including electro-medical apparatus to Nigeria from Pakistan. He further said that Nigeria offers great investment opportunities to Pakistan in a number of areas including oil and gas, minerals and mining, agriculture and livestock, poultry and fisheries. Speaking on the occasion, Zafar Bakhtawari, President ICCI said that Pakistan and Nigeria are very important countries of Asia andAfrica with very strong potential to rise and lead their respective regions but unfortunately both countries have been facing issues which could be solved by devising a common strategy. Bakhtawari said that Pakistan want to enhance its trade and economic relation with Nigeria, therefore both the countries must practice liberal visa policy and grant multiple visa of at least 5years to businessmen of Nigeria and Pakistan so that they could visit each other’s country freely and enhance their mutual relations.


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The revenue collected by FBR so far warrants immediate attention and necessary measures are needed to meet the targets. – Prime Minister Mir Hazar Khan Khoso

CORPORATE CORNER

PESHAWAR: Mir JavedHashmat, Acting Managing Director Bank of Khyber (BOK), addresses the 22nd Annual General Meeting (AGM) of Shareholders at BOK Head Office. PR

SSGC inks MoUs for CSR KARACHI: SSGC inked Memorandums of Understanding (MoUs) related to the Company’s Corporate Social Responsibility initiatives for FY 2012-13, with eleven partner organizations in an exclusive ceremony held at the Head Office on March 27. Picture shows Zuhair Siddiqui, MD, SSGC (6th from left), Sr. General Manager (Corporate and Legal Affairs ) (7th from left) and Nasreen Hussain, DGM (Corporate Communications) and head of CSR Unit (far right) with the senior officials of the educational institutions and NGOs collaborating with SSGC, after the exchange of MoU documents. PR

65th AGM of MCB Bank approves 30% cash dividend and 10% Bonus Issue

BUSINESS B Saturday, 30 March, 2013

Major Gainers year. Earnings per share (EPS) for the year came to Rs. 22.77 compared to Rs. 21.12 for December 31, 2011. Return on assets came to 2.95%, return on equity was recorded at 25.07% and book value per share improved to 95.84. Total assets of MCB Bank Limited grew by 17% to Rs. 765.899 billion. The analysis of the asset mix highlights 27% increase in investments to Rs. 402.069 billion and 5% increase in gross advances to Rs. 262.392 billion. The quality of asset saw considerable improvement as the non-performing loans of the Bank reduced by 4% to Rs. 25.562 billion reflecting improvement in infection ratio as at December 31, 2012. The deposit base of the Bank grew by 11% closing at Rs. 545.061 billion with 18% increase in saving deposits, 13% increase in current deposits and 12% decrease in fixed deposits. CASA base, as a result has further strengthened to 85% compared to 81% last year. The administrative block of the Bank registered an increase of 10% over 2011, which considering the inflationary pattern followed during the year, falls within the acceptable levels. The provision charge of the Bank decreased significantly by Rs. 3.176B, primarily on the back of strengthened risk management framework. PR

NFEH organizes Fifth Int’l Summit on CSR

Allied Bank approves 65% cash dividend, 10% bonus

LAHORE: The 67th Annual General Meeting (AGM) of Allied Bank Limited was held on Wednesday, March 27, 2013. The meeting was chaired by Mohammad NaeemMukhtar, Chairman Board of Directors and was attended by the Directors, SBP representatives, various institutional investors and number of individual shareholders. The external auditors and Bank’s Share Registrar were also present in the meeting. The Shareholders adopted the annual accounts of the Bank for the year 2012 and accorded approval for the payment of final cash dividend @ 20 percent, i.e., Rs. 2.00 per share. This would be in addition to the interim cash dividends already paid aggregating Rs. 4.50 per share, i.e. 45 percent, thereby increasing the total cash dividend for the year 2012 to 65 percent. The shareholders also approved issuance of 10 percent bonus shares. PR

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KARACHI: Former federal information minister Javed Jabbar has said that corporate organizations have started contribution in social development which is a good omen but they need to do more in this regard. This he said while addressing at the 5th international summit on CSR 2013 organized by National Forum for Environment (NFEH) with the support of United Nations Environment Program, Karachi Chamber of Commerce & Institute of Cost and Management Accountants of Pakistan, at a local hotel. Javed Jabbar said that corporate sector gives lot of jobs and also spending on education, health and training of people. CSR should be linked to corporate fiscal responsibility and organizations should file their tax returns, he said. FPCCI and other big organizations should make a statement that how much money corporate sector is contributing in social development. A low amount of money is being spent on social science research, which should be raised, he stressed. Jabbar said that Zulfikarabad project has been launched without conducting basic environment assessment. We pointed out authorities but they did not respond positively, he added. “FBR has declared that 300 textile mills are not paying tax returns in due manner. Organizations must pay tax returns so as to ensure their contribution in social sector development, Javed Jabbar concluded. Muhammad Haroon Agar, President KCCI, said several organizations are providing food and other social services to people in Karachi. He said that Pakistan bureaucracy do not want our economy to grow. He said CSR can be simply defined as achieving commercial success in ways that honor ethical values and respect people, communities, and the natural environment. PR

COMPANY OPEN two sister companies reside under one Nestle Pakistan Ltd. 5499.00 roof. The event was attended by the Colgate Palmolive 1741.11 President LCCI (Lahore Chamber of Island Textile 902.50 Commerce and Industries), Mr. Farooq Wyeth Pak Ltd XD 850.00 Iftikhar and many high esteemed VIP Rafhan Maize XD 3750.00 guests from the local trade business. H.E. Mr. Axel Wech, Ambassador of Major Losers Austria represented together with the Hon. Counsel of the German Embassy, Unilever Food 4400.00 Mr. Anees Ur Rehman, the two home Sitara Chemical 193.00 bases of MAN. MAN Diesel & Turbo Sapphire Fiber 185.00 Pakistan’s exceptional performance J.D.W.Sugar 88.75 and impeccable credentials were key Service Industries 170.00 factors when MAN Truck & Bus decided to choose its representative in Volume Leaders Pakistan. We see Pakistan as an important market with a lot of Wateen Telecom Ltd 3.84 potential”, says David van Graan, Head P.I.A.C.(A) 7.23 of MAN Center Middle East and Vice Maple Leaf Cement 16.76 President Sales and Marketing. “I am TRG Pakistan Ltd. 7.46 confident that we can deliver a world P.T.C.L.A 19.90 class value proposition through MAN Diesel & Turbo Pakistan backed by a Interbank Rates MAN trained service team, customer oriented mind-set, and our innovative USD brand heritage to emerge as the GBP leading player in Pakistan’s commercial JPY vehicle industry.” MAN Diesel & Turbo EURO Pakistan started in Lahore in 2008 and currently offers its customers after Forex sales services for large bore diesel engines and turbomachinery, including workshops and field service activities. US Dollar Pakistan is a significant market for Euro both marine and power applications of Great Britain Pound MAN Diesel & Turbo. The 225 MW Atlas Japanese Yen Power Plant in Lahore with eleven MAN Canadian Dollar 18V48/60 engines and a ten-year Hong Kong Dollar Operation & Maintenance contract UAE Dirham along with 225MW HUBCO Power Plant Saudi Riyal in Narowal with same number of engines and a six-year long term service agreement are important reference for the power generation business, for instance. PR

PMEX and Tameer Microfinance Bank sign MoU

KARACHI: Pakistan Mercantile Exchange Limited and Tameer Microfinance Bank Limited (TMFB) signed a MoU on introducing a gold-based investment product. The MoU was signed by Mr. Amjad Khan, CEO PMEX and Mr.Tariq Mohar, Deputy CEO, Tameer Bank in the presence of Mr. Shazad Dada, Chairman PMEX & CEO Barclays Bank PLC, Pakistan and representatives from both organizations at the PMEX Office in Karachi. A press release issued after the event stated that the PMEX and TMFB have developed an understanding that TMFB shall introduce and provide an E-Gold products through the trading platform of PMEX to its customers. The investors shall be able to buy/sell gold through TMFB branches/agents and Branchless banking Channels using their Mobile Accounts (MWallet) through the trading platform of PMEX. The proposed product offered by PMEX and TMFB will give an opportunity to the common man to invest in Gold with trust, security and convenience. PR

HIGH 5773.95 1828.16 945.00 892.50 3790.00

LOW 5500.00 1825.00 945.00 849.00 3562.50

CLOSE CHANGE 5773.95 274.95 1828.16 87.05 945.00 42.50 892.50 42.50 3790.00 40.00

TURNOVER 40 1,150 100 20,100 2,140

4250.00 190.25 180.00 85.00 169.00

4250.00 187.00 180.00 85.00 165.00

4250.00 187.97 180.00 85.00 167.70

-150.00 -5.03 -5.00 -3.75 -2.30

20 54,500 200 1,200 1,900

4.42 7.79 17.76 8.15 20.58

4.05 7.26 16.89 7.45 19.87

4.20 7.76 17.76 7.86 20.30

0.36 0.53 1.00 0.40 0.40

28,348,500 22,035,000 14,721,500 14,482,000 11,860,000

PKR 98.4290 PKR 149.5431 PKR 1.0461 PKR 126.1662 BUY 98.85 125.08 148.04 1.0309 95.32 12.39 26.60 26.10

SELL 99.10 125.34 148.32 1.0417 97.02 12.65 26.85 26.35

Soneri Bank declares after tax profit of Rs1104.19m KARACHI: The annual financial statements of Soneri Bank Limited for the year ended 31 December 2012 were approved by the shareholders of the Bank in its 21st AGM held on Thursday, 28 March 2013. The meeting was chaired by Mr. Alauddin Feerasta, Chairman of the Bank. Bank declared Rs.1, 104.19 million after tax profit for the year ended 31 December 2012 which is up from Rs.783.53 million for the year 2011. This was mainly driven by growth in net mark-up / interest income which registered a growth of 23.81 percent. During the year bank declared 11 percent bonus shares amounting to Rs.993.21million increasing the paid up capital to Rs.9, 021.03 million, thus complying with the Minimum Capital Requirement of State Bank of Pakistan. PR

Profitable year for world’s first equity alliance KARACHI: Etihad Airways heralded a successful first year of its equity alliance strategy, after a financial reporting season which saw each of the five airlines within the alliance – airberlin, Air Seychelles, Virgin Australia, Aer Lingus and Etihad Airways – announce profitable performance. The airlines’ individual and collective results were boosted by a number of measures, including growing codeshare traffic between their networks, successful joint sales and marketing efforts, and a range of increasing business and cost synergies. James Hogan, Etihad Airways’ President and Chief Executive Officer, welcomed the success of the airlines. PR

MAN Diesel & Turbo P&G Pakistan UMT hosts 4th Conference Pakistan expands service launches its Social on Textile and Clothing facilities in Lahore Commitment Report 2013 KARACHI: The 65th Annual General Meeting of the shareholders of MCB Bank Limited under the chairmanship of Aftab Ahmad Khan has approved the recommendation of Board of Directors for final cash dividend @ 30% and 10% bonus issue. The chairman informed the members that MCB completed yet another remarkable year in terms of financial performance and growth. The Bank reported profit before tax of Rs. 32.054 billion and profit after tax of Rs. 20.941 billion with an increase of 2% and 8%, respectively. Net markup income of the Bank was reported at Rs. 40.856 billion whereas non-markup income came to Rs. 9.153 billion. Non-markup income registered an increase of Rs. 1 billion (13%) owing to 16% increase in fee, commission and brokerage income and 19% increase in dividend income during the

LAHORE: With a launch event, MAN Diesel & Turbo Pakistan announced the expansion of its premises in Lahore. At the same time the company joins hands with its sister company MAN Truck & Bus for the launch of the commercial vehicles division in Pakistan and its latest product, the TGS WW. The MAN location in Lahore will be the first where the

KARACHI: P&G Pakistan recently announced the launch of its Social Commitment Report - 2013 at its Annual Stakeholders’ Dinner reception hosted by Mr. Faisal Sabzwari, Country Manager P&G Pakistan. The report encompasses P&G’s efforts to touch and improve lives of Pakistani children in need through its Live, Learn and Thrive (LLT) corporate cause. P&G’s LLT program focuses on 3 aspects of a child’s development. It aims to provide children with: i) opportunities that can help ensure a healthy start to life through safe drinking water, nutrition and hygiene programs, ii) access to educational facilities, tools and programs that enhance the ability to learn by building schools and providing supplies and iii) programs that build selfesteem, life skills, inter-personal skills and independent-living skills for disabled children. PR

LAHORE: The School of Textile and Design at University of Management and Technology (UMT), Lahore, hosted the 4th International Conference on Textile and Clothing (ICTC) 2013 today, at Lahore Expo Center. This conference has brought together renowned conglomerates and experts from UK, Germany, China, and Italy at a single platform to discuss a diverse range of topics such as nanoscience in textiles, non-wovens, geo-textiles, conductive textiles, recyclable textiles. PR

Profit E-paper 30th March, 2013  

Profit E-paper 30th March, 2013