Promoting Investments

198 Pages·2012·6.87 MB·English

Promoting Investments
a n n u a l r e p o r t 2 0 1 1
Arif Habib Corp
annual report 2011
Promoting
Investments
Our market responsive
corporate strategy
strives towards
enhancing
shareholders’
satisfaction through
creation of value and
accumulation of
economic worth over
the long run. We aim at
creating value for all the
stakeholders by
creating a competitive
edge over others in the
market. We consider
diversification of our
investments as a
significant factor behind
our continuous growth
and sustainability in the
ever changing
operating environment.
02 Arif Habib Corp.
contents
Corporate Objectives 64 Directors’ Report
05 Overall Corporate Strategy 72 Statement showing shares bought and sold
05 Vision 73 Statement showing attendance at Board Meetings
05 Mission
06 Core values and code of conduct & ethics 74 Report of the Audit Committee
08 Company Information 76 Statement of Compliance with Best Practices of Code
of Corporate Governance
10 Our Partners
12 Pakarab Fertilizers Limited 78 Auditors’ Review Report to the Members on Statement
14 Fatima Fertilizer Company Limited of Compliance
16 Arif Habib Limited
18 Arif Habib Investments Limited 79 Audited Financial Statements
20 Aisha Steel Mills Limited 80 Auditors‘ Report to the Members
22 Al Abbas Cement Industries Limited 82 Balance Sheet
24 Sweet Water Dairies Pakistan (Pvt.) Limited 84 Profit and Loss Account
26 Sachal Energy Development (Pvt.) Limited 85 Statement of Comprehensive Income
28 Other Companies having Group’s Shareholding 86 Cash Flow Statement
28 Arif Habib REIT Management Limited 87 Statement of Changes in Equity
28 Dolmen City 88 Notes to the Financial Statements
29 Javedan Corporation Limited
124 Audited Consolidated Financial Statements
Corporate Structure 125 Auditors’ Report to the Members
30 Company Profile 126 Consolidated Balance Sheet
32 Organization Chart 128 Consolidated Profit and Loss Account
33 Profiles of Directors and Key Executives 129 Consolidated Statement of Comprehensive Income
34 Chairman’s Profile 130 Consolidated Cash Flow Statement
36 Board of Directors 131 Consolidated Statement of Changes in Equity
39 Other Management Heads 132 Notes to the Consolidated Financial Statements
40 Board & Management Committees
42 Criteria to Evaluate Board‘s Performance 180 Pattern of Shareholding
43 Chief Executive’s Performance Review
184 Calendar of Major Events
44 Notice of Seventeenth Annual General Meeting
185 Statement under Section (160)(1)(b) of the Companies
Information to Stakeholders Ordinance, 1984
46 Financial & Business Highlights
48 Graphs Form of Proxy
50 Horizontal Analysis of Financial Statements
52 Vertical Analysis of Financial Statements
54 Summary of Cash Flow Statement
55 Statement of Value Added and its Distribution
56 Share Price / Volume Analysis
58 Shareholders‘ Information s
60 Corporate Social Responsibility nt
63 Corporate Memberships e
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Annual Report 2011 03
04 Arif Habib Corp.
Overall Corporate Strategy
Our corporate strategy strives towards enhancing shareholders’
satisfaction by growing the economic worth of the business through
remaining energetic and responsive to ever changing economic and
business circumstances. Towards this end, we continually seek to
maintain and improve our competitiveness, create a high
performance culture and have in place the ability to recognize weak
areas and the ability to respond against any threats to the business’s
worth. We consider diversification of our investments as a material
factor behind corporate sustainability in the significantly changing
investment market environment.
vision
To be the leading investment company and to achieve excellence in every aspect of its
business while discharging its obligations as a good corporate citizen to the satisfaction of
all the stakeholders.
mission
To excel in conceiving, developing and executing exclusive and exciting projects across
business sectors with a focus on chemical & fertilizers, financial services, construction
materials, energy, steel and other sectors, with the aim of maximizing returns for
shareholders, while playing a significant role in developing Pakistan’s economy and in its
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integration into the world markets. n
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Annual Report 2011 05
Core Values and Code of Conduct & Ethics
The code of conduct provides the guidelines to the decisions,
procedures and system of the Company in a way that it contributes
to the welfare of all the stakeholders and fulfill their objectives.
The summary of the Code of Conduct is on the following page:
06 Arif Habib Corp.
• Respect for the Individual:
We are an equal opportunity employer. Discrimination on any grounds is fundamentally
unacceptable.
• Conflict of Interest:
The employees are required to act in the Company’s best interest and the Company has
developed policies in a way that the interests of all the stakeholders, including the employees,
coincide with the objectives of the Company.
• Financial and Operational Integrity:
Compliance with the accepted accounting principles and procedures is required at all times.
• Regulatory Compliance and Corporate Governance:
The Company endeavors to comply with all the applicable requirements of Laws and
Regulations. The Company is committed to high standards of corporate governance.
• Bribery
All kinds of bribes or facilitation payments or receipt in cash or in kind are strictly prohibited.
• High Standards
Voluntarily sets, and adhere to, the highest standards of professional conduct: this will assure
peace of mind and fair treatment for all stakeholders.
• Efficiency
Efficiencies, appropriate risk management measure and pricing strategies should enable
profitable operations and good shareholder returns in all market scenarios.
• Growth and Development
The Company’s social responsibility and it’s intend role in the growth and development of
capital markets, must always be kept in mind in choosing the projects and business offered by
the market opportunity, considered adequacy at the appropriate forums may also be taken up
as a contributory tool.
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Annual Report 2011 07
Company Information
Board of Directors Audit Committee
Arif Habib Muhammad Akmal Jameel
Chairman & Chief Executive Chairman
Nasim Beg Kashif A. Habib
Director Member
Asadullah Khawaja Tahir Iqbal
Director Member
Samad A. Habib Management
Director
Arif Habib
Kashif A. Habib Chief Executive Officer
Director
Zeeshan
Muhammad Akmal Jameel Group Chief Financial Officer
Director
Zeshan Afzal
Tahir Iqbal Group Head - Strategic Investments
Director
Chief Financial Officer & Company Secretary
Zeeshan

08 Arif Habib Corp.
Bankers Registered & Corporate Office
Allied Bank Limited Arif Habib Centre
Askari Bank Limited 23, M.T. Khan Road
Atlas Bank Limited Karahi-74000
Bank Al Falah Limited Phone: [phone]
Bank Al-Habib Limited Fax: [phone]
Bank of Khyber Email: [email protected]
Barclays Bank (Pakistan) Limited Website: www.arifhabibcorp.com
Faysal Bank Limited
First Women Bank Limited Registrar & Share Transfer Agent
Habib Bank Limited
Habib Metropolitan Bank Limited Central Depository Company of Pakistan
KASB Bank Limited Limited
MCB Bank Limited
My Bank Limited Share Registrar Department
National Bank of Pakistan
NIB Bank Limited CDC House, 99-B, Block-B, S.M.C.H.S, Main
Standard Chartered Bank (Pakistan) Limited Shahrah-e-Faisal, Karachi
Soneri Bank Limited Phone: [phone]
Summit Bank Limited Toll Free:0800-23275
The Bank of Punjab Fax: [phone]
United Bank Limited URL: www.cdcpakistan.com
Email: [email protected]
Auditors
KPMG Taseer Hadi & Co., Chartered
Accountants
Legal Advisors
Bawaney & Partners
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Annual Report 2011 09
Our Partners
10 Arif Habib Corp.