Karachi: Ellcot Spinning Mills Ltd. released its condensed interim statement of financial position for the period ending December 31, 2024. The report reveals a total equity of 4.28 billion rupees, marking an increase from the 4.21 billion rupees recorded as of June 30, 2024. The company's issued share capital remains consistent at 109.50 million rupees, while capital reserves experienced an increase from 18.84 million rupees to 45.38 million rupees. Retained earnings saw a rise to 4.13 billion rupees from the previous 4.08 billion rupees.
Non-current liabilities decreased to 3.84 billion rupees from 4.04 billion rupees. This change is attributed to a reduction in long-term borrowings, which fell from 3.44 billion rupees to 3.21 billion rupees. Employees' retirement benefits and deferred taxation both saw increases, reaching 228.63 million rupees and 199.01 million rupees, respectively. Deferred grants, however, showed a decline to 199.96 million rupees from 232.23 million rupees.
Current liabilities rose to 2.44 billion rupees from 2.02 billion rupees. This increase is primarily due to a rise in short-term borrowings from 147.51 million rupees to 361.67 million rupees. Trade and other payables also increased to 1.26 billion rupees from 1.13 billion rupees. The total liabilities, therefore, amounted to 6.28 billion rupees, up from 6.06 billion rupees as of June 30, 2024.
The total equity and liabilities stood at 10.56 billion rupees as of December 31, 2024, up from 10.27 billion rupees on June 30, 2024.
In terms of cash flows, Ellcot Spinning Mills Ltd. reported a profit before income tax of 226.44 million rupees as of December 31, 2024, compared to 78.44 million rupees the previous year. Operating activities resulted in a net cash outflow of 1.01 billion rupees, compared to a cash inflow of 578.94 million rupees in the previous year. According to information available from the Pakistan Stock Exchange (PSX), cash used in operations was significantly impacted by changes in working capital, particularly in stock in trade and trade receivables.
Investing activities yielded a net cash inflow of 1.02 billion rupees, contrasting with a cash outflow of 659.98 million rupees in the previous year. This change was primarily driven by proceeds from the disposal of short-term investments, amounting to 1.62 billion rupees.
Financing activities resulted in a net cash outflow of 23.72 million rupees, compared to a net cash inflow of 66.34 million rupees in the previous year. The net increase in short-term borrowings was 214.23 million rupees.
Overall, the company experienced a net decrease in cash and cash equivalents of 15.90 million rupees for the period ending December 31, 2024. Cash and cash equivalents at the end of the period stood at 97.61 million rupees, down from 113.51 million rupees at the beginning of the period.