Rupali Polyester Limited — Interim / Quarterly Report 2025

Apr 30, 2025

3rd Quarterly Accounts 2025

1

==> picture [97 x 63] intentionally omitted <==

2025

~~-~~ Quarterly Accounts (Un audited)

for the 3rd Quarter ended 31 March 2025

Corporate Data

Board of Directors

Chairman

Shehzad Feerasta

Chief Executive Officer Nooruddin Feerasta

Directors

Muhammad Rashid Zahir - Non-Executive Zeeshan Feerasta - Non-Executive Shahid Hameed - Independent Non-Executive

Amyna Feerasta - Non-Executive Yaseen M. Sayani - Independent Non-Executive Abdul Hayee - Non-Executive

Audit Committee

Yaseen M. Sayani - Chairman Muhammad Rashid Zahir - Member Zeeshan Feerasta - Member

Human Resource & Remuneration Committee

Shahid Hameed – Chairman Nooruddin Feerasta - Member Zeeshan Feerasta - Member

Chief Financial Officer

Muhammad Ahsan Iqbal

Company Secretary

S. Ghulam Shabbir Gilani

Bankers

Askari Bank Limited Bank Alfalah Limited Faysal Bank Limited Habib Bank Limited Habib Metropolitan Bank Limited MCB Bank Limited Meezan Bank Limited Soneri Bank Limited The Bank of Punjab

Auditors

RSM Avais Hyder Liaquat Nauman Chartered Accountants

Registered Office

Rupali House, 241-242 Upper Mall Scheme, Anand Road, Lahore - 54000 PAKISTAN

Plant

30.2 Kilometer Lahore - Sheikhupura Road Sheikhupura - 39350 PAKISTAN

2 Rupali Polyester Limited

Directors’ Review

We are pleased to present the Company’s un-audited financial statements for the third quarter and nine-month period ended 31 March 2025.

Overview

The third quarter of FY 2024-25 continued to present significant challenges for Pakistan’s polyester industry, with persistent economic headwinds impacting Rupali Polyester Limited’s performance. High interest rates, escalating energy costs, and the ongoing influx of dumped imports from China severely constrained the Company’s operations. Despite efforts to stabilize the economy through monetary policies and IMF-backed reforms, rising input costs and competitive pressures from unfairly priced imports of Polyester Filament Yarn (PFY) led to reduced sales volumes and increased financial strain. The Company implemented strategic pricing adjustments and cost optimization measures to mitigate losses, demonstrating resilience in a volatile market environment.

However, in a positive development, the Government has reduced the energy tariff by approximately Rs. 7.59 per unit effective from April-May 2025. Additionally, the National Tariff Commission (NTC) has conducted investigations of Chinese exporters, held a Public Hearing on March 20, 2025 and a Special Meeting with the representatives of Pakistan Yarn Merchants Association (PYMA) on April 15, 2025, to give them an opportunity to present their case. A Statement of Essential Effects and the Final Anti-Dumping Duty decision are expected to be announced in May 2025. Furthermore, interest rates have also been reduced, which may provide some relief moving forward.

Polyester Market Conditions

The polyester industry remains under pressure due to weak domestic demand of domestic PFY, tight liquidity and intense competition with dumped imports. Local manufacturers, operating at significantly reduced capacities, faced challenges from high raw material costs (PTA and MEG) and soaring energy tariffs, which eroded gross margins. The provisional anti-dumping duties imposed by the National Tariff Commission (NTC) on Drawn Textured Yarn (DTY) imported from China, ranging from 2.13% to 20.78%, have been rendered ineffective due to legal challenges and stays granted by the High Courts. Additionally, the low dumping margin of 5.00% applied to major Chinese exporters fails to address severe price distortions in the market. This situation continues to threaten the sustainability of the domestic polyester industry, prompting urgent signaling calls for the Government to implement robust anti-dumping duties and higher customs tariffs for at least five years to protect local manufacturers and preserve employments.

Financial Performance

For the third quarter ended 31 March 2025, sales revenue significantly declined to Rs. 622.74 million from Rs. 2,486.48 million in the corresponding period of FY 2023-24, driven by a sharp reduction in sales volumes of Polyester Staple Fiber (PSF) and Polyester Filament Yarn (PFY). The Company incurred a gross loss of Rs. 158.03 million in Q3, contributing to a cumulative gross loss of Rs. 593.43 million for the nine-month period, primarily due to high raw material and energy costs. Finance costs, although reduced to Rs. 79.78 million in Q3 from Rs. 156.43 million in the prior year’s corresponding quarter, remained elevated for the nine-month period at Rs. 349.71 million due to high mark-up rates and reliance on financing facilities. The loss after tax for Q3 was Rs. 289.33 million, bringing the nine-month loss after tax to Rs. 1,025.16 million, compared to Rs. 650.22 million in the same period of the previous year.

3rd Quarterly Accounts 2025 3

Earnings per share

The Company reported a loss per share of Rs. 8.50 for the third quarter and Rs. 33.02 for the nine-month period ended 31 March 2025, compared to a loss per share of Rs. 7.88 and Rs. 21.36 for the respective periods in FY 2023-24.

Future Outlook

Despite the challenging environment, there is cautious optimism for the polyester industry, with anticipated improvements in economic activity expected to drive demand for PSF and PFY in the coming months. However, the persistent threat of dumped imports underscores the need for immediate and decisive government intervention through effective anti-dumping measures and long-term economic policies. The Company remains committed to enhancing operational efficiency, optimizing costs, and advocating for protective trade policies to strengthen its competitive position. By leveraging advanced machinery and focusing on import substitution, the polyester sector has the potential to reduce foreign exchange outflows and contribute significantly to Pakistan’s economic resilience.

A Note of Gratitude

The Board extends its heartfelt gratitude to the Ministries of Finance, Industries and Production, Commerce, Communication and IT, and Textile Industry, as well as the Federal Board of Revenue, Customs, and the Government of Punjab for their continued support. We deeply appreciate the trust and collaboration of Development Financial Institutions, Commercial Banks, and our valued customers, whose partnerships are integral to our operations. We also recognize the unwavering dedication of our management and staff, whose hard work and commitment drive the Company’s resilience. Finally, we thank our stakeholders for their enduring confidence in Rupali Polyester Limited.

On behalf of the Board

Nooruddin Feerasta Chief Executive Officer

Zeeshan Feerasta Director

Lahore

28 April 2025

4 Rupali Polyester Limited

نی صصح آندنی 31 نرنونے ی ہصح اک اسخنرنہ وہنا نو33.02 نرنونے انونرنو امنی ےک دنونرنانن8.50 م ی ہصح اسخنرنہتنی ہس امن ںنو متخ وہنے ونان رس[�ن][2025] نامنرنچ31 یپ و نرنونے ی ہصح اھتن۔21.36 نرنونےنانونر7.88 نونمتخ وہنے ونانی انی دنت نںیم[�ن][2024] نامنرنچ نلبق اک اجنزنہ یم وتمنع رتہبنی ےک اسنھ آنے ونانے ونیہمنں صندنی رسنرنوین ندنر شیپ اسمنل ونانے امنونل ےک ابنونوندن، نونرٹس انڈنرٹنی ےک ےیل اتحمنط اندی ےہن، ) نی امنگ ںیم انانہ وتمنع ےہن۔. نانمن، نڈنپ دشنہ دنرنآندنانت ےک لقتسم PFY( ) نانونر ونرٹس الفنٹن اینرننPSF( نںیم ونرٹس ال افنرب[س�ٹ�ی�پ] گ اندنن حنیت دنانتل ی انتی اک اقتمنی ےہن۔ ینپ نانین و صندنی اپنویسنں ےک ذنرنےع وفنرنی انونر ہلصیف منت انونر وطنل دنی ن پ�[م�] نرطنہ ؤمنر انیٹ ڈ ک ک ےیل افحنیت اجتنرنی اپنویسنں ی وناکنت رکن ش و وبضمنط رکن جنت و رتہب انبنےن، نانونر انین اسمنیت ونزرکندنی و ڑبنانےن، نانرنننآنرنلن اکر نونابندنل دنرنآند ےک وطنرنانس ر وتنہ رمنونز رکنے وہنےن، نونرٹس رٹکیس ریغ PFY نےیل رنزنم ےہن۔ انیل دنرنے رنھنے وہنے انونرشمنی اک افندنہ ن اینں وطنر ر ہصح ڈنانےن ی الصنتی رنات ےہن۔ صندناینت نںیم نیک رکنیس ےک انرنانج و مک رکنے انونر اپناتنن ی ن

ہنِرنرک ین، نزمٹ انونر ٹن، نانونر اٹسکیٹنل انڈنرٹنی ےک اسنھ اسنھ ڈیفنرنل وبنرنڈ آنف رنلصنت انونر آن نوبنرنڈ ے ونزنانرنت زخنانہن، نتع و دیپنانونانرن، ناجتنرنتن، نونن ی حنت ےک ےیل نہہِ ندنل ےسنرکنزنانر ےہن۔ م امناینی رتناینی اندنانرنونںن، نرمنل وکنیبنںن، نانونر امہنرنے اقنل دنر اصنر ا نوکحنت اجنپنب و انن ی ظنہی انونر مند انونر اعتنونن ی دنل ی رہگنانوینں ےس رعتنف رکنے ںیہن، نن ی رشنا نت دنانرنی امہنرنے اکنونں ےک ےیل النزنم و زلمنونم ےہن۔ م انےن ننےک ن پ نو آنے ڑبنانا ےہن۔ آنر ںیمن، نم رنوناپنی ونرٹس ڈٹیمل ںیم انےن انکی وہنڈنرنز غ زتمنزنل نگل و یھب میلست رکنے ںیہن، نن ی تنحم انونر زم ینےل ر مند ےک ےیل نُانن اکنرکنہ اندنا رکنے ںیہن۔نےک لقتسم ن

==> picture [47 x 62] intentionally omitted <==

ناجنب وبنرنڈ آنف ڈنانرنرٹنز: نونرناندنن ریفنانہت نفی انزگنوٹ آنرس نالنوہنر : 2025 نانرنل28

3rd Quarterly Accounts 2025 5

نڈنانرنرٹنانن اک اجنزنہ تنی ہس امنی انونر و امنی دنت ےک ےئل ینپ ےک ریغنڑنانل دشنہ امناینی وگنونانرنے شیپ رکنے وہنے وخنی وسحمنس 2025 نامنرنچ31 نم نو متخ وہنے ونان رس نرکنر ےہ ںیہن۔ نومنی اجنزنہ 2025 2024 �ن) ناکنی الکشمنت اک دنونر رنا ن،نس ںیم رنوناپنی ونرٹس ڈٹیمل نونلسلسم اعمنی الکشمنت ناکناسنان رکنا ڑنان۔ندن رشنح �ننےس امنرنچ نزنہت و امنہ (نونالنی IMF )ندنرنآندنانت ے ینپ ےک اکنرنونابنر و تخس اتمنر ایکن۔ امناینی اپنویسنں انونرDumped( نوندن، نوتنانانی ےک ڑبنےت وہنے انرننجنتن، نانونر نیچ ےس لسلسم و پنانونانرنی النت انونر ریغ افصنمنہ تمیق ونانی دنرنآندنانت ےس کحتسم رکنے ی ونوشنں ےک ابنونوندن، نڑبنیت وہن د لصنانت ےک ذنرنےع نی امحنت اینہت ن انت و مک رکنے ٹی ےک ریغ مکحتسم امنونل ںیم کچل اک اظمنرنہ رکنے وہنے پ ے امرناسمنیت دنابنؤ ے رفنونت ےک مجح ںیم یمک انونر امنی دنابنؤ ںیم انانہ ایک۔ ی منتر لمع دنرنآند ایکن۔لصنح ےک اندننم انونر النت ی ن� جک وتمیقنں ی انڈٹ[�ی�ٹ] نےک ےیل انرٹ

نےسنؤمنر ےہن۔ 2025 نیئ- نرنونے ی ونٹ ی یمک ی ےہن،نو ہک نانرنل7.59 نانمن، اک تبثم شیپ رنت ںیمن، نوکحنت ے وتنانانی ےک ریٹنف ںیم رقتنًاب نو 2025 نانرنل15 نو وعنانی امسنت ی انونر2025 نامنرنچ20 ) نے ینیچ ربنآند دننکنانن اققحتنت ےکنےیلNTC( نزند ربنآنںن، لش ریٹنف نشیمک ش ک ےیل ونع رفنانم ن سیک شیپ رکن م ین، نانہک انںی نونں ےک اسنھ انک وصخن گنٹ ) نےک PYMA( ناپناتنن اینرنن رمنسٹ انوسنی ا

گ ےہن، 2025 نی اجنب ےس انیٹ ڈلنن وتمنع ےہن۔ زند ربنآنںن، نرشنح وند و یھب مک رک دن ا نںیم ن گ ڈنونیٹ ےک یمتح ےلصیف اک یئNTC نایک اج ےکسن۔پ�[م�] نو آنے ڑبنےن ںیم ھچک رنفی رفنانم رک اتکس ےہن۔

لنت ٹی ےک نونرٹس امر اینں منرچکنرنزنو نونرٹس انڈنرٹنی زمکنونر اقمنی بلطن، نتخس وکیلنڈنیٹن، نانونر ڈنپ دشنہ دنرنآندنانت ےس دشند اسمنتق ی ونہ ےس دنابنؤ ںیم ےہن۔ اقمن ون ت نانونر وتنانانی ےک ڑبنےت وہنے ریٹنف ےس وجنلیچنں اک اسنان رکنا MEG نانونرPTA( نوطنر ر مک الصنوتنں ر اکنم رکنے وہنےن، نانم امنل) نی دن ال ٹ ونانی ی انیٹ NTC( ) نر لنش ریٹنف نشیمکDTY( نڑنان، نس ے ومنی امنرنن و مک ایکن۔ نیچ ےس دنرنآند دشنہ ڈن ) نی رطنف ےس اعند رکندنہ اعر ی ی ونہ ےس ریغ ونر وہ 20.78 ندصنےس2.13 ،نڈکنم ِ نانئگ نچنں انونر دعنانت انے انٰیل نی رطنف ےس دن ندصنکن، ناقنون وجنل گ ڈنونیٹنپ�[م�] کنم رنان۔ 5.00 نیئ ےہن۔ زند ربنآنںن، نڑبنے ینیچ ربنآند دننکنانن ر النوگیقنں ےک دشند اگبنڑ و دنونر رکنے ںیم ٹی وتگ امنرنن امرپ�[م�] ندصناک مک ڈ منرچکنرنز ےک ظفحت انونر المنزنوتمنں و وفحمنظ نہ وصنرنت انل اقمنی ونرٹس انڈنرٹنی ی اپندینانرنی ےک ےیل رطنہ ینب وہنی ےہن، نس ےس وکحنت ےس اقمن ون ک ےیل وفنرنی اطمنابنت ےیک اج رنےہ ںیہن۔گ ڈنونیٹ انونرنزنایندنہ مٹسک ریٹنف انذ رکن پ�[م�] نرنےن ےک ےیل مک انز مک اپنچ اسنل ک وبضمنط انیٹ ڈ

ی رکدنامناینی اکر 31 ی رنونے یھت ےس2،ن486.48 نی انی دنت ںیم2023-24 نو متخ وہنے ونان رسی و ہک امنی اسنل2025 نامنرنچتنی ہس امنی ےک ےیلن، نزل رن ل افنرب622.74 ) ن[س�ٹ�ی�پ] ی رنونے رنہ یئ ۔ س ی ڑبنی ونہ ونرٹس ا اینں وطنر ر مک وہ رکPSF( ) نانونر ونرٹس الفنٹن اینرننPFY( نی رفنونت م ی رنونے ناک593.43 ن وہنا و ینپ و نو امنہ ی دنت ےک ےیل ی رنونے اک انم 158.03 نےک مجح ںیم تہب نیمک ےہ ینپ و رسیتنی ہس امن ں م جنتن،نو ےلھچپ اسنل ےک انی ہس امن ںجنت ںیہن۔ ا نرنہ امناینی انرننن نںیم اشنل نےہنانس ی نایندنی نونہ انم امنل انونر وتنانانی ےک زنایندنہ انرنن نومنی صنر ی79.78 ی رنون ک انپ ی دن رشنونں انونر امناینی وہسناینت ر نی رنونے وہ ےئگن۔ و امنہ ی دنت ےک ےئل. نامر ھت ےس مک رک ےک156.43 ی رنونے رنا انونر و امنہ ںیم دعب انز سکیٹ اسخنرنہ289.33 ی رنونے رنےہ ۔ رسیتنی ہس امنی ےک ےیل دعب انز سکیٹ اسخنرنہ349.71 نونہ ےس امناینی انرننجنت ی نرنونے اھتن۔650.22 ی رنونے ک چنہپ ایگ ن، نو ےلھچپ اسنل ی انی دنت1،ن025.16

6 Rupali Polyester Limited

Condensed Interim Statement of Financial Position (Un-audited) as at March 31, 2025

as at March 31, 2025
(Rupees in’000) Note	Un-audited 31 March 2025	Audited 30 June 2024
ASSETS NON-CURRENT ASSETS Property, plant and equipment 4 Investment properties 5 Long term security deposits Deferred tax assets 6 CURRENT ASSETS Stores, spares and loose tools Stock in trade Trade receivables Advances, deposits and other receivables Other financial assets Tax refunds due from government Cash and cash equivalents 7 EQUITY AND LIABILITIES SHARE CAPITAL AND RESERVES Authorised share capital 35,000,000 (30 June 2024: 35,000,000) ordinary shares of Rs. 10 each Issued, subscribed and paid-up capital Capital reserves Share premium Surplus on revaluation of land Revenue reserves General reserve Unappropriated losses NON-CURRENT LIABILITIES Deferred liabilities Staff retirement gratuity CURRENT LIABILITIES Trade and other payables 8 Short term borrowings 9 Accrued markup on borrowings Unclaimed dividend Provision for taxation-Income tax CONTINGENCIES AND COMMITMENTS 10	7,034,823 800,000 4,481 450,000 8,289,304 1,132,713 1,223,425 16,059 761,749 - 161,541 85,892 3,381,379 11,670,683 350,000 340,685 71,490 5,697,866 1,664,125 (2,191,778) 5,582,388 5,582,388 341,880 1,134,828 4,388,218 218,774 4,595 - 5,746,415 11,670,683
		7,121,367 800,000 4,481 440,359
		8,366,207
		1,128,897 2,541,632 27,429 800,559 - 171,218 260,598
		4,930,333
		13,296,540
		350,000
		340,685 71,490 5,697,866 1,664,125 (1,166,622)
		6,607,544
		6,607,544 318,957
		2,144,900 3,981,857 148,611 4,599 90,072
		6,370,039
		13,296,540

The annexed notes 1 to 14 form an integral part of these condensed interim financial statements.

Nooruddin Feerasta Chief Executive Officer

Zeeshan Feerasta Director

Muhammad Ahsan Iqbal Chief Financial Officer

3rd Quarterly Accounts 2025 7

Condensed Interim Statement of Profit or Loss (Un-audited) for the nine months ended March 31, 2025

(Rupees in’000) Note	Quarter Ended 31 March 2025 2024	Quarter Ended 31 March 2025 2024	Quarter Ended 31 March 2025 2024	Quarter Ended 31 March 2025 2024	Nine Months Ended 31 March	Nine Months Ended 31 March
	2025				2025	2024
Sales - net Cost of goods sold 11 Gross profit/(loss) Other income Distribution costs Administrative expenses Finance costs Other operating expenses (Loss) for the period before the taxation Minimum tax differential (Loss) for the period Provision for taxation Loss for the period	622,739 780,767 (158,028) 19,440 (138,588)		2,486,479 2,484,325 2,154 5,496 7,650			7,860,085 7,823,238
						36,847 44,407
						81,254
	6,115		8,300		20,461	23,414 200,227 469,421 27,355
	48,237		63,871		165,485
	79,776		156,430		349,711
	8,832		16,355		32,842
						720,417
						(639,163) 88,450
						(727,613) (77,391)
						(650,222)
Earnings per share - basic and diluted	(8.49)		(7.88)		(33.02)	(21.36)

The annexed notes 1 to 14 form an integral part of these condensed interim financial statements.

Nooruddin Feerasta Chief Executive Officer

Zeeshan Feerasta Director

Muhammad Ahsan Iqbal Chief Financial Officer

8 Rupali Polyester Limited

Condensed Interim Statement of other Comprehensive Income (Un-audited) for the nine months ended March 31, 2025

(Rupees in’000)	Quarter Ended 31 March 2025 2024	Quarter Ended 31 March 2025 2024	Nine Months Ended 31 March	Nine Months Ended 31 March
	2025		2025	2024
Loss for the Period Other Comprehensive Income for the period Items that may not be subsequently reclassified to profit or loss -Reversal of deferred tax related to staff retirement gratuity Total Comprehensive (loss)/Income for the period	(289,332) (289,332)	(268,387) (268,387)	(1,025,156) (1,025,156)	(650,222)
				(650,222)

The annexed notes 1 to 14 form an integral part of these condensed interim financial statements.

Nooruddin Feerasta Chief Executive Officer

Zeeshan Feerasta Director

Muhammad Ahsan Iqbal Chief Financial Officer

3rd Quarterly Accounts 2025 9

Condensed Interim Statement of Cash Flows (Un-audited) for the nine months ended March 31, 2025

(Rupees in’000) Note	Quarter Ended 31 March	Quarter Ended 31 March
	2025	2024
Cash flow from operating activities Profit before taxation Adjustments for non-cash and other items Depreciation 5 Staff retirement benefits Loss on disposal of fixed assets Interest income Workers Welfare Fund Workers Profit Participation Fund Finance cost Effect on cash flow due to working capital changes (Increase)/decrease in current assets Stores, spares and loose tools Stock-in-trade Trade debts Trade deposits and short term prepayments and receivables Increase / (decrease) in current liabilities Trade and other payables Cash generated from operations Finance costs paid Income tax paid Long term deposits Workers Profit Participation Fund Paid Staff retirement benefits paid Net cash inflow / (outflow) from operating activities Cash flow from investing activities Additions in property, plant and equipment Mark-up / Interest income received Proceeds from disposal of operating assets Net cash outflow from investing activities	(1,059,042) 113,599 22,923 - (8,133) - 8,832 349,711 486,933 (572,109) (4,227) 1,318,207 11,370 53,774 1,379,124 (1,033,288) (226,273) (279,548) (56,319) - - - (562,140) (27,055) 8,133 - (18,923)	(639,163)
		116,515 - - (12,175) - 7,355 469,421
		581,116
		(58,047)
		(112,994) (389,469) (13,773) (629,474)
		(1,145,710) 874,143
		(329,614) (392,381) (86,204) - - 34,892
		(773,307)
		(114,271) 12,175 -
		(102,096)

10 Rupali Polyester Limited

Condensed Interim Statement of Cash Flows (Un-audited) for the nine months ended March 31, 2025

for the nine months ended March 31, 2025
(Rupees in’000)	Quarter Ended 31 March
	2025	2024
Cash flows from financing activities Short-term borrowings (paid) / obtained - net Repayment of long-term financing Dividend paid Net Cash Inflow / (Outflow) from Financing Activities Net increase / (decrease) in cash and cash equivalents Cash and cash equivalents at the beginning of the period Cash and cash equivalents at the end of the period 14	406,361 - (4) 406,357 (174,706) 260,598 85,892	1,100,571 - (283)
		1,100,288 224,885 35,767
		260,652

The annexed notes 1 to 14 form an integral part of these condensed interim financial statements.

Nooruddin Feerasta Chief Executive Officer

Zeeshan Feerasta Director

Muhammad Ahsan Iqbal Chief Financial Officer

3rd Quarterly Accounts 2025 11

																3	rd	Qu	ar	terly	Acc	ounts 2025 11
	Total Reserves Surplus on Revaluation of Freehold Land Total		1,738,788 5,697,866 7,436,654	- - -		(650,222) - (650,222)		- - -	1,088,566 5,697,866 6,786,432	1,088,566 5,697,866 6,786,432	- - -	- - -		(178,888) - (178,888)	909,678 5,697,866 6,607,544	909,678 5,697,866 6,607,544	- - -	(1,025,156) - (1,025,156)		- - -	(115,478) 5,697,866 5,582,388	Muhammad Ahsan Iqbal	Chief Financial Officer
	Issued Subscribed and Paid up Capital Capital reserves Revenue reserves Share Premium General reserve Accumulated loss	(Rupees in’000)	Balance as on 01 July 2023 - Audited ( Restated) 340,685 71,490 1,664,125 (337,512)	Final Dividend for the year ended 30 June 2023 - - - -		Loss for the nine months ended 31 March 2024 - - - (650,222)	Other comprehensive income	for the nine months ended 31 March 2024 - - - -	Balance as on March 31 2023 - Unaudited 340,685 71,490 1,664,125 (987,734)	Balance as on April 01 2023- Unaudited 340,685 71,490 1,664,125 (987,734)	Final Dividend for the year ended 30 June 2024 - - - -	Profit for the quarter ended 30 June 2024 - - - -	Other comprehensive loss	for the last quarter ended June 30, 2024 - - - (178,888)	Balance as on 30 June 2024 - Audited 340,685 71,490 1,664,125 (1,166,622)	Balance as on 01 July 2024 - Audited 340,685 71,490 1,664,125 (1,166,622)	Final Dividend for the year ended 30 June 2024 - - - -	Loss for the nine months ended 31 March 2025 - - - (1,025,156)	Other comprehensive income	for the nine months ended 31 March 2025 - - - -	Balance as on March 31, 2025 - Unaudited 340,685 71,490 1,664,125 (2,191,778)	The annexed notes 1 to 14 form an integral part of these condensed interim financial statements. Nooruddin Feerasta Zeeshan Feerasta	Chief Executive Officer Director

12 Rupali Polyester Limited

Notes to the Condensed Interim Financial Statements (Un-audited) for the nine months ended March 31, 2025

• 1 Legal status and nature of business Rupali Polyester Limited (the Company) was incorporated in Pakistan on 24 May 1980 as a Public Limited Company under the repealed Companies Ordinance, 1984 now Companies Act, 2017 and is listed on Pakistan Stock Exchange. The Company is principally engaged in manufacture and sale of polyester products. The registered office is located at 241-242 Upper Mall Scheme, Anand Road, Lahore, in the province of Punjab and regional office is situated at 1st Floor, Gul Tower, I.I Chundrigar Road, Karachi, in the province of Sindh. The manufacturing facility is situated at 30.2 KM Lahore - Sheikhupura Road, Sheikhupura, in the province of Punjab.

2 Basis of preparation

• 2.1 Statement of compliance

• These condensed interim financial statements are un-audited and have been prepared in accordance with accounting and reporting standards as applicable in Pakistan for interim financial reporting. The accounting and reporting standards as applicable in Pakistan for interim financial reporting comprise of:

• (i) International Accounting Standard (IAS) 34, Interim Financial Reporting, issued by International Accounting Standard Board (IASB) as notified under the Companies Act, 2017;

• (ii) Provisions of or directives issued under the Companies Act, 2017.

In case where the provisions of or directives issued under the Companies Act, 2017 differ with the requirements of IAS 34, the provisions of or directives issued under the Companies Act, 2017 have been followed.

• 2.2 These condensed interim financial statements should be read in conjunction with annual audited financial statements of the Company for the year ended June 30, 2023.

3 Summary of Significant Accounting Policies

• 3.1 The significant accounting policies and the methods of computation adopted in the preparation of these condensed interim financial statements are consistent with those applied in the preparation of annual audited financial statements of the Company for the year ended June 30, 2023.

• 3.2 There are certain amendments to standards that became effective during the period and are mandatory for accounting periods of the Company beginning on or after July 01, 2023 but are considered not to be relevant to the Company’s operations and are, therefore, not disclosed in these condensed interim financial statements.

3rd Quarterly Accounts 2025 13

There are certain new standards, amendments to standards and interpretations that are effective from different future periods but are considered not to be relevant to the Company’s operations, therefore, not disclosed in these condensed interim financial statements.

• 3.3 These condensed interim financial statements are presented in Pakistani Rupees which is the Company’s functional and presentation currency.

• 3.4 Significant accounting estimates and judgments

The preparation of these condensed interim financial statements in conformity with the approved accounting standards requires the use of certain critical accounting estimates. It also requires management to exercise its judgment in the process of applying the Company’s accounting policies. Estimates and judgments are continually evaluated and are based on historical experience and other factors, including the expectation of future events that are believed to be reasonable under the circumstances. Actual results may differ from these estimates.

During the preparation of these condensed interim financial statements, the significant judgments made by management in applying the Company’s accounting policies and the key sources of estimation uncertainty were the same as those that were applied in the preparation of annual audited financial statements of the Company for the year ended June 30, 2023.

3.5 Financial risk management

Risk management policies and procedures are consistent with those disclosed in the annual audited financial statements of the Company for the year ended June 30, 2023.

(Rupees in’000) Note	Un-audited 31 March 2025	Audited 30 June 2024
4 Property, plant and equipment Operating fixed assets - at net book value 4.1 Capital work-in-progress - at cost 4.2 Stores held for capital expenditure - at cost 4.1 Operating fixed assets Opening net book value (NBV) Additions/Revaluation at cost during the period / year4.1.1 Disposals at net book value (NBV) during the period / year 4.1.1 Depreciation charge during the period / year	6,868,907 153,699 12,217 7,034,823 6,956,898 27,116 6,984,014 (1,508) (113,599) (115,107) 6,868,907	6,956,898 164,469 -
		7,121,367
		6,999,997 118,350
		7,118,347
		- (161,449)
		(161,449)
		6,956,898

14 Rupali Polyester Limited

4.1.1 Addition and disposals of operating fixed assets during the period / year are as follows:

(Rupees in’000)	Additions/Revaluation at cost Quarter Ended 31 March	Additions/Revaluation at cost Quarter Ended 31 March	Disposals - at NBV Nine Months Ended 31 March	Disposals - at NBV Nine Months Ended 31 March
	2025	2024	2025	2024
Freehold land Building - Factory on freehold land Building - Office on freehold land Plant and machinery Furniture and fittings Vehicles Office equipment Other assets		- - 45 9,902 172 10,166 728 14,766		- - - - - - - -
	-		-
	3,378		-
	698		-
	19,104		1,508
	25		-
	991		-
	2,443		-
	476		-
	27,116	35,779	1,508	-

(Rupees in’000)	Un-audited 31 March 2025	Audited 30 June 2024
4.2 Capital work-in-progress Building and civil works Plant and machinery Furniture and fixture Vehicle Office equipment Other assets 5 Investment property Fair value at the beginning of the period / year Fair value gain during the period / year Fair value at the end of the period / year	552 151,484 - - 1,653 10 153,699 800,000 - 800,000	1,045 163,424 - - - -
		164,469
		750,000 50,000
		800,000

5.1 The fair value of the investment property is determined by an independent valuer, M/s Hamid Mukhtar & Co. (Pvt.) Limited as at June 30, 2024. The fair value has been determined under ‘Fair Value Hierarchy — Level 2’ based on the market comparable approach that reflects recent transaction prices for similar properties. Forced sale value of land has been determined at Rs. 680 million (2023: 637.5 million).

3rd Quarterly Accounts 2025 15

(Rupees in’000) Note	Un-audited 31 March 2025	Audited 30 June 2024
6 Deferred tax asset Opening balance (provision)/reversal through profit and loss provision charged through other comprehensive income Provision allowed during the year Total Deferred tax Disallowed during the year to keep the limit 450 Million 6.1 It comprises of the following: Taxable temporary differences in respect of; Difference in accounting and tax bases of property, plant and equipment Deductible temporary differences in respect of; Provision for gratuity Tax losses carried forward Minimum tax credit u/s 113 7 Cash and cash equivalents Cash and bank balances 8 Trade and other payables Trade payables Accrued liabilities Worker's profit participation fund Worker's welfare fund Advance from customers Gas Infrastructure Development Cess (GIDC) payable 8.1 Sales tax payable Withholding tax payable Retention money Provident fund payable Others	440,190 332,724 - 9,810 782,724 (332,724) 450,000 (243,215) 99,145 564,122 362,672 782,724 85,892 85,892 392,390 139,119 86,254 - 28,028 61,338 111,794 1,360 1,270 158 313,117 1,134,828	379,382 58,279 2,698 -
		440,359 -
		440,359
		(246,079) 92,498 296,927 296,845
		440,191
		260,598
		260,598
		1,766,362 164,517 77,399 - 46,440 61,338 13,277 1,344 950 318 12,955
		2,144,900

8.1 This represents present value of GIDC payable to SNGPL. The amount was payable in 24 equal monthly installments of Rs: 4,959,786 each. The payment is suspended at the moment pursuant to stay order granted by Sindh High Court.

16 Rupali Polyester Limited

(Rupees in’000) Note	Un-audited 31 March 2025	Audited 30 June 2024
9 Short term borrowings Secured- from banking companies Running finances utilized under mark-up arrangements 9.1 From associates - unsecured 9.2	2,867,099 1,521,119 4,388,218	2,761,738 1,220,119
		3,981,857

• 9.1 The aggregate finance facilities available from various commercial banks amounted to Rs. 3,211.08 million (June: 2024: Rs. 3,082.27 million). These carry mark-up at the rates ranging from 12.75% to 13.14% per annum (March: 2024: 21.81% to 23.26% per annum) and are secured against hypothecation charge on current assets and promissory notes, respectively. Markup is payable on quarterly basis in arrears.

• 9.2 The loan was obtained to meet working capital requirements and has been utilized accordingly. The loan is unsecured, interest free and repayable on demand.

10 Contingencies and commitments

• 10.1 Contingencies

• 10.1.1 There has been no material change in the status of contingencies as disclosed in note 28 to the Company’s financial statements for the year ended June 30, 2024.

• 10.2 Commitments

• 10.2.1 Contracts for Capital expenditure commitments outstanding as at 31 March 2024 amounted to Rs. Nil million (30 June 2024: Rs.Nil million).

• 10.2.2 Commitments against irrevocable letters of credit as at 31 March 2025 amounted to Rs. 190,012.8 million (30 June 2024: Rs. 2,039.075 million).

3rd Quarterly Accounts 2025 17

(Rupees in’000)	Quarter Ended 31 March	Quarter Ended 31 March	Nine Months Ended 31 March	Nine Months Ended 31 March
	2025	2024	2025	2024
11 Cost of goods sold Raw and packing materials consumed 401,404 Stores and spares consumed 13,663 Salaries, wages and amenities 113,087 Fuel and power 202,891 Repair and maintenance 6,500 Running and maintenance of vehicles 7,784 Insurance 5,695 Depreciation 34,217 Rent, rate and taxes 539 Other expenses 2,285 788,065 Add: Opening work in process 75,408 Less: Closing work in process (57,217) 806,256 Add: Opening finished goods 526,119 Less: Closing finished goods (551,608) 780,767		1,871,955 34,406 122,802 497,606 10,067 10,674 4,790 35,273 546 2,868		6,478,636 95,494 331,190 1,377,652 34,452 31,671 14,070 104,957 1,853 4,096
			3,389,954
	13,663		66,753
	113,087		360,527
	202,891		1,015,903
	6,500		30,355
	7,784		26,739
	5,695		15,632
	34,217		101,912
	539		1,759
	2,285		3,502
	788,065	2,590,992 74,620 (65,257)	5,013,036	8,474,071 109,563 (65,257)
	75,408		82,883
	(57,217)		(57,217)
	806,256	2,600,355 1,332,466 (1,448,494)	5,038,702	8,518,377 753,355 (1,448,494)
	526,119		1,372,497
	(551,608)		(551,608)
	780,767	2,484,325	5,859,591	7,823,238

12 Transactions with related parties

The related parties comprise of major shareholders, associated undertakings, provident fund and key management personnel. Significant transactions with related parties are as follows:

		Quarter Ended	31 March	Nine months Ended 31 March
(Rupees in’000)		2025	2024	2025 2024
Name of related party and	Nature of
basis of relationship	transactions
Rupafil Limited	- Purchases	1,871	161,820	202,456 1,341,442
Associated Company by virtue of common directorship	- Sales	23,283	462,958	65,877 791,923
	- Payments	12,640	132,309	231,640 1,261,589
	- Receipts	37,417	475,385	99,925 810,475
Soneri Bank Limited Associated Company by	- Profit on bank deposits	93	3,691	7,051 8,132
virtue of common directorship
Rupali Nylon (Private) Limited	- Purchases	-	-	- -
Associated Company by virtue of common directorship	- Payments	-	-	- -

18 Rupali Polyester Limited

		Quarter Ended	31 March	Nine months Ended 31 March	Nine months Ended 31 March
(Rupees in’000)		2025	2024	2025	2024
Name of related party and	Nature of
basis of relationship	transactions
Spintex Limited	- Purchases	-	-	-	-
	- Sales	-	-	-	-
	- Payments	-	117,000	-	-
	- Receipts	-	125,000	-	-
	- Loan obtained	380,000	-	910,000	-
	- Loan repaid	(380,000)	-	(910,000)	-
ALNU Trust	- Loan received	20,000	415,000	320,000	415,000
	- Loan repaid	(19,000)	-	-	-
Defined Contribution Plan (Provident Fund)	- Contribution to Provident fund	268	260	1,113	1,286

13 Date of authorization for issue

These condensed interim financial statements were authorized for issue on 28 April 2025 by the Board of Directors of the Company.

14 General

• 14.1 There is no unusual item included in these condensed interim financial statements which is affecting assets, liabilities, profit, comprehensive income, equity or cash flows of the Company.

• 14.2 The provision for taxation made in these condensed interim financial statements is subject to adjustment in annual financial statements.

• 14.3 Revaluation reserve of Rs. 5,697.866 million was presented as a separate line item on the face of statement of financial position. This is included in capital reserves. Capital reserves are not available for distribution to shareholders.

• 14.4 Figures have been rounded off to the nearest thousand Rupees unless stated otherwise.

Nooruddin Feerasta Chief Executive Officer

Zeeshan Feerasta Director

Muhammad Ahsan Iqbal Chief Financial Officer

3rd Quarterly Accounts 2025 19

rupaligroup.com

RUPALI POLYESTER LIMITED Registered Office ~~-~~ Rupali House, 241 242 Upper Mall Scheme, ~~-~~ Anand Road, Lahore 54000 Pakistan.