INTRODUCTION OF COLONY MILLS Colony Mills Limited is a Pakistan-based company. The Company is principally engaged in the manufacturing and sale of yarn. It offers a variety of yarn including carded and combed, slab and core yarn, single and double yarn, made from 100% cotton and synthetic material, catering to the needs of knitting and weaving consumers in domestic and international markets. The Colony Group is one of Pakistan's oldest and the most revered business groups. The Group has grown phenomenally and has become a leading player in all the sectors in which it operates. The Group has set up different companies whose activities span various sectors like Textiles, Sugar and Distillery. 1
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INTRODUCTION OF COLONY MILLS
Colony Mills Limited is a Pakistan-based company. The Company is principally engaged
in the manufacturing and sale of yarn. It offers a variety of yarn including carded and
combed, slab and core yarn, single and double yarn, made from 100% cotton and
synthetic material, catering to the needs of knitting and weaving consumers in domestic
and international markets.
The Colony Group is one of Pakistan's oldest and the most revered business groups. The
Group has grown phenomenally and has become a leading player in all the sectors in
which it operates. The Group has set up different companies whose activities span
various sectors like Textiles, Sugar and Distillery.
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VISSION STATEMENT
Attain highest standards of quality in its all business activities.
Sustained growth in real terms.
Have professionally trained high quality motivated workforce, working as a team in all environments.
Attain past glorious position and be recognized locally as well as internationally as a dynamic, quality conscious and progressive company and industry leader.
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MISSION STATEMENT
To manufacture quality products for customer satisfaction through
Honoring the commitment.
Continuous endeavor for improvement through adoption of most modern technology in production.
Strict adherence to quality control.
Developing a sense of high reliability through fair dealing.
Becoming a part of country’s development and economic prosperity.
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HISTORY OF COLONY MILLS
The Colony Group was founded in 1986 with a focus on providing high net worth
families and individuals with intelligent wealth management and investment guidance.
Since its founding, the firm has grown substantially, attracting corporate and institutional
clients.
Recognizing the importance and success of its investment management capabilities, The
Colony Group established Colony Investment Management as a separate division,
through which it has built an experienced, talented team of Chartered Financial Analysts
and other investment professionals dedicated to delivering out performance over full
market cycles. Our proprietary, research-intensive approach is implemented through a
defined, systematic, and repeatable investment process.
Team of Chartered Financial Analysts and other investment professionals dedicated to
delivering out performance over full market cycles. Our proprietary, research-intensive
approach is implemented through a defined, systematic, and repeatable investment
process.
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OFFICERS AND DIRECTORS
The Board of Directors of CML is comprised of the following individuals:
Mr. Mughis A. Sheikh (Chairman of the CTML)
Mr. Fareed M. Sheikh, (C.E.O)
Mr. Muhammad Azam Barki
Mr. Akram Qureshi
Mr. Malik Sohail
Mr. Bilal Ahmad Khan Niazi
Mr. Muhammad Farooq
Mr. Syed Arif Hussain
Mehboob Ahmad > Chief Financial Officer
Waqar Ibn Zahoor Bandey > Company Secretary
Najeeb Ullah Khan > Head - Internal Audit
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OUR GROUP
The Colony Group is one of Pakistan’s oldest and most revered business groups. With a vision that transcends geographical as well as corporate boundaries, the Group is driven by its deep-rooted values of integrity, commitment and passion to excel. Since its inception in 1946, the Group has displayed a vibrant and credible manufacturing portfolio, and profitability track record. The Group has established different companies with diversified activities spanning to various sectors like Textiles, Sugar, and Distillery etc.
The formation of the Group lies in the division of Muhammad Ismail Maula Baksh Group(MIMB), one of the largest groups of Pakistan, into two-companies- The Colony Group and The Sunshine Group. The MIMB group set up its first factory in 1889 and first flour mill in 1908. In 1946, Colony Group was established as an entity in itself when Colony Mills Limited (formerly Colony Textile Mills Limited) started manufacturing. The Group is considered to be a pioneer in textile industry in Pakistan. Colony Mills Limited also has the distinction of being one of the very first companies to be listed on Karachi Stock Exchange when KSE started its operations in 1948.
The Group has strengthened its foothold in the textile industry by delivering par excellence performances year after year. It has not only grown into a huge, respected conglomerate but has also created value for its multiple stakeholders. With the advent of globalization, the Group entered into numerous new sectors and proven its potential to secure a leading and credible name in the industry.
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OUR COMPANIES
The past five years have seen tremendous growth in production capacities of Colony Group’s existing plants as well as acquisitions of new plants. The Group has equity stock of around 3.5 billion Pak Rupees and annual turnover is expected to reach more than 12 billion Pak Rupees for the current financial year. Additionally, the Group has assets worth more than 9.5 billion Pak Rupees.
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OUR RESPONSIBILITY
At COLONY, we believe in business with integrity and social responsibility. One of our main corporate objectives is to pursue ethical growth in business.
Effective Waste Management Systems at all the production plantsAwarded Oeko-Tex Standard-100 as recognition for our continued attention for environmental concerns.
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Our policies are not restricted to environment only; therefore, we are engaged in a continuous effort to reduce under age employment from our production facilities. We have established a tradition for Pakistani industry by providing accommodation facilities to COLONY employees, and education for their children.
Established as a textile manufacturing unit on 24th August, 1946, Colony Mills Limited is engaged in the production and manufacturing of different types of yarns of various
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counts. The company has a healthy portfolio of income generating assets that crossed total revenues of 7.0 billion rupees in the year ending June 2008.
Product Range
100% cotton carded and combed yarns, lycra/spandex core spun and slub yarns 100% polyester and 100% viscose yarns along with various blends, polyester viscose yarn, and yarns of polyester cotton and polyester viscose blends in the range of 6 to 80 Ne (Number English) Counts.
Future Ventures
A state-of-the-art Open-End Spinning production facility is under construction. It will be the first of its kind facility in the country, with 2,880 rotors capable of producing 15,000 Metric Tons of yarn annually, including slub yarns.
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COLONY SUGAR MILLS LTD
In a continued bid to diversify its portfolio, the Colony Group recently acquired two sugar plants in Phalia and Mian Chanu:
Colony Sugar Mills Limited (Mian Channu)
Operations
Conversion of Sugarcane into refined sugar Crushing Capacity
4,500 Metric Tons per day of Sugarcane
Projected Annual Turnover
Over Rs. 1.00 Billion or US$ 15 Million
Colony Sugar Mills Limited (Phalia)
Operations
Conversion of Sugarcane into refined sugar Production of Ethanol from the refined sugar waste
Crushing Capacity
7,500 Metric Tons per day of Sugarcane
Distillery Plant Capacity
125,000 liters per day of Ethanol
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CAREER
People policy (working with us)
We, at Colony Group, believe in our established values of
Team-work
Integrity
Diversity
Equality
We believe in individual growth and respect. Our employment and HR policies develop individuals without race, religion, gender or any other bias. We are an equal opportunities employer, strongly following a team based working environment in order to foster cooperation and enhancing the value of each individual’s contribution.
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INTERNAL STRUCTURE/COMMITIES
The different comities of colony mills are as follows:
Audit Committee
This is the most effective and prime committee of the board, it has the ital role in the compliance of the internal controls so as to safeguard he interests of company through monitoring of internal audit functions and risk management policies.
Executive Committee
This committee is responsible for setting overall corporate objectives and strategies, Identification of opportunities, monitoring the business strategies and plans and there after the successful implementations of those plans.
Human resource committee
This committee determines the compensation package for all cadres of the company s employee. The committee is also responsible to create and maintain conductive working environment that instill trust & ensure respect, fair treatment and development opportunity.
Technical Committee
The technical committee acts in an advisory capacity to the CEO, Provides recommendations relating to technical affairs to the company, formulation of technical policies required under the code of corporate governance.
Finance committee
The role of finance committee is to review and recommend the financial targets, annual and quarterly budgets, approval of expenditures for amounts with in its limits, investment of the surplus funds of the company and financial policies.
Corporate Governance.
The management ensured that all requirements of the code of corporate governance were compiled with the statement of compliance with best practices of code of corporate governance is annexed.
Acknowledgment.
Our team of workers, supervisors and managers is greatly appreciated for their commitment, dedication and consistent hard work.
Cash & Bank Balance 65352792 4419673 4414338 32066725Short term Investments 146685782 812209813 433627562 466030145Trade Debts 192852006 166085822 305086776 331929726Loans & Advances 126920420 Short Term Deposits 479330738 Other Receivable 12082974 174612533 504451730 793984464Stores & Spares 29631906 64802911 73473064 120827747Tax Refunds Due from Govt. 11560127 42140864 83795404 122130069Stock in Trade
Raw Material 6100612647 869248471 1092423524 1606823241Work in Process 71558000 80378369 89887439 87496286Finish Goods 308959531 284348296 210140198 265973244
Assets held for Disposal 318422562 484822562 Real Estate property held for trading
491215801
TOTAL CURRENT ASSETS 2055546922 2816669314 3282122597 4318477448
FIXED ASSETS
Work in Progress 415822597 281606595 267457672 1284218441Plant & Machinery at cost 2829766453 2565266237 3946861781 4705633505Less: Depreciation 471957286 471957286 775926523 926890172
TOTAL EQUITY 746361256 2633100872 3149061927 2906350650 Surplus on Fix Asset 501611406
TOTAL LIABILITIES & EQUITY 5320985210 7790426593 9128943173 12651222566
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RATIO ANALYSIS
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Ratio analysis is a widely used tool of financial analysis. It is defined as the systematic use of ratio to interpret the financial statements so that the strengths and weaknesses of a firm, as well as its historical performance and current financial condition can be determined.
A complete ratio analysis shows a whole snap of the whole activities of the company during the year. A ratio becomes meaning full when compared with other standard and the ratio of the other years. So for this purpose we have calculated the ratio of COLONY MILLS and compare it with the previous year and brief them according to our knowledge.
PURPOSES
The recommendation of ratio analysis depends upon the stake holder’s position and relation to the company for which the analysis is done. The following paragraph briefly explains the purpose of ratio analysis stage by stage.
MANAGEMENT
Would like to know the operational efficiency during the year and would think of such ratios as return on investment, turnover of fixed assets and net profit to sales etc.
CREDITORS
Would like to know the ability of the company to meet its current obligations and, therefore, would think of current and liquid ratios, turnover of receivables, coverage of interest by the level of earnings, etc
INVESTORS
Will be interested in such ratios as earnings per share, book value per share and dividends per share etc
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CLASSIFICATION OF RATIOS
Ratios may be classified in a number of ways keeping in view the particular purpose. To achieve the above purposes effectively ratios may be classified as:
1. Liquidity ratios:
Working Capital
Current Ratio
Account Receivable Turnover
Accounts Receivable Turnover in days
Inventory Turnover
Inventory Turnover in day
Sales to Working Capital
Operating Cycle
Acid -Test Ratio
2. Leverage /Solvency Ratios.
Debt ratio
Debt Equity Ratio
Time Interest Earned Ratio
Fixed Coverage Ratio
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3. Profitability ratios.
Gross Profit Margin
Operating Profit Margin
Net Profit Margin
Total Asset Turnover
Return on Assets
Operating Asset Turnover
Return on Operating Assets
Sales to Fixed Assets
Return on Total Equity
Return On investment
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2006 2007 2008 2009
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Current Ratio = Current Assets / Current Liabilities
Current Assets 2055546922 2816669314 3281622597 4318477448Current Liabilities 2013378444 2798632792 3241781691 5106304058Current Ratio 1.020944139 1.006444762 1.012289818 0.845714904
360 360 360 360Inventory Turnover 3.008200896 1.596422868 3.842753034 3.594968736Avg. Age of Inventory 119.6728584 225.5041611 93.6828551 100.1399539
Sales to Working Capital = Sales / Working Capital
Sales 3349406752 2055880694 5784505405 100.1399539Working Capital 42168478 18036522 39840906 -787826610Sales to Working Capital 79.42915919 113.9843199 145.190107 -8.91151613
Operating Cycle = A/R Turnover in days + Inventory Turnover in days
A/R Turnover in days 16.13020913 41.9996721 357.8923078 50.21897377Inventory Turnover in days 119.6728584 225.5041611 93.68283551 100.1399539Operating Cycle 135.8030675 267.5038332 451.5751433 150.3589277
The operating cycle represents the period of time elapsing between the acquisition of
goods and the final sash realization resulting from sales and sub sequent collections. The
operating cycle should be helpful when comparing a firm from period to period. In the
company this ratio first shows increase from 2006 to 2008 but it decreases in 2009.
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.
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LONG-TERM DEBT PAYING ABILITY
2006 2007 2008 2009
Debt ratio=Total Liabilities/Total Assets
Total Liabilities 4073012548 5157325721 5979881246 9744871916Total Assets 5320958210 7790426593 91289443173 12651222566Debt Ratio 0.765465991 0.662008127 0.655046387 0.770271163
Debt to Equity ratio=Total liabilities/shareholder’s equity
Total liabilities 4073012548 5157325721 5979881246 9744871916Shareholder’s equity 746361256 2633100872 3149061927 2906350650Debt to Equity ratio 5.457159673 1.958651025 1.898940505 2906350650
Debt to tangible net worth ratio=T.liabilities/O.E-Intangible assets
Total liabilities 4073012548 5157325721 5979881246 9744871916Shareholder’s equity 746361256 2633100872 3149061927 2906350650Intangible assets 0 0 0 0Debt to tangible net worth ratio 5.457159673 1.958651025 1.898940505 2906350650
Current debt to net worth ratio=current liabilities/O.E
Current liabilities 2013378444 2798632792 3241781691 5106304058Shareholder’s equity 746361256 2633100872 3149061927 2906350650Current debt to net worth ratio 2.697592389 1.062865772 1.029443614 1.756947001
The net profit margin ignores the utilization of assets and the total asset turnover ratio
ignores profitability on sales. The return on investment ratio or earning power resolve
these short come. Return investment measures the overall effectiveness in generating
profits with available assets. It shows a decrease from year 2006 to 2007 but in 2008 it
shows a good position and improves but in 2009 it again goes down.
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PEST ANALYSIS
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Political Instability
The political situation of Pakistan is not satisfactory. Due to the rapid change in the government every government sets its own new trade policies.
Government should apply sustainable policies for the beneficial of the exporters as well as the investors.
Economic Situation
The economic condition of Pakistan can also affect the foreign investors increasing inflation rate make the cost of production high and thus reduce the profit margin of investors.
Social Situation
The change in the lifestyle of the people affects the growing demand of the growing demand of the CTML products. The change in the lifestyle and needs in different demographics also affect the demand of the customers.
Technological Factors
Technological advancement in all the sectors of the country has changed the entire socio-economic environment. Especially in the textile sector there is a lot of technological development.
CTML’s excellent computerized machines and devices have made extension in its present setup of well advanced technology imported from Japan, Germany and France.
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SWOT ANALYSIS
Each organization existing in the market analyzed though external and internal
environment has some Strengths, Weaknesses, Opportunities and Threats called SWOT
analysis. SWOT analysis gives the overall competitive position of industry. The basic
purpose of this analysis is to identify the current strategies of the organization and its
potentials of competing in the competitive market and capability of dealing with those
changes, which are taking place in the business environment sharply. It gives the scenario
regarding weaknesses and threats to the company and offers the company that these
should be eliminated or reduced at least as compared to other competitors.
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Strength
Colony mills have a very stable yarn market with good brand image in the eyes of customers.
Colony has a strong dealer ship network and a large sales force to cater to its needs.
Certified by ISO.
WIDE production range.
Top player of TEXTILE business with max. Production capacity.
Having a strong good will.
Significant contribution towards the economic development of the country.
Excellent environmental & working conditions.
Safety measures of international standards are exercised.
Sales growth is very high.
Export sales especially show a tremendous boost as it increased from RS 744 MILLION last year to 2.40 BILLION.
Company maintained its position against its competitors very successfully.
Company has strong resources to get the raw material.
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Weaknesses
Huge volume of product ion which may be d i f f icul t to handle in future.
Monetary sens i t iveness to fore ign exchange market .
I t has become more chal lenging for the company to maintain competitive edge due to WTO regime.
Limita t ions in meet ing up the demand of tex t i le .
Too much centralization bureaucratic control effects timely decision making.
Not s t rong market ing or adver t i sement .
Company cannot conver t account rece ivables in to cash quickly. Mostly sales are on credit basis.
Lack of long te rm planning.
Colony mill has no proper framework and policy for the recruitment of employees which result inefficiency. All the Directors and audit committee of the Company are close relative of the Chief Executive.
Lengthy procedures in documenta t ions .
Opportunities
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A gas p lant i s es tabl i sh ing to overcome the shor tage of e lec t r ic i ty .
Yarn and Sugar i s expor ted .
Improve the qual i ty of tex t i le and sugar .
Expand the p lant to meet the demand more ef f ic ient ly .
Trying to ge t oppor tuni t ies for jo in t ventures wi th o ther in terna t ional companies .
Expanding the bus iness for g lobal iza t ion .
Having two sugar producing p lants .
Delegat ion of author i ty so tha t dec is ions can be made a t the spot wi thout any de lay .
May divers i fy the bus iness in a l l ied serv ices . May be cos t leaders by cut t ing down the unnecessary expendi tures .
Adding the new and f resh s ta f f in the company to encourage the work .
After tex t i le and sugar now moving towards paper making indus t ry .
Company i s focused on reducing cos t to mainta in and enhance i t s loca l as wel l as i t s g lobal pos i t ion .
Threats
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Water c r i s i s i s gone up in the count ry which may resul t in the ser ious problem of low growth in cot ton , yarn and sugar cane .
A free t rade pol icy of WTO is a major threa t to the company.
Mainta in ing i t s leadership in fu ture a f te r implementa t ion of f ree t rade zones .
Threat of ent ry of new compet i tors .
A t rade f ree pol icy can be the threa t of the company as new ent ry i s easy .
Threat of water and gas cr i s i s in i t h igh consumpt ion potent ia l market .
Now a days e lec t r ic i ty shor tage i s the b ig threa t tha t can be resul ted in the low product ion .
Due to pol i t ica l ins tabi l i ty the bad condi t ion of s tock exchange i s a threa t of company tha t resul t s in low share pr ices .
Due to h igh t rade ta r i f f expor t and cot ton and yarn can be low.
BCG GROWTH-SHARE MATRIX
Companies that are large enough to be organized into strategic business units face the challenge of allocating resources among those units. In the early 1970’s the Boston Consulting Group developed a model for managing a portfolio of different business units (or major product lines). The BCG Growth-share matrix displays the various business units on a graph of the market growth rate vs. market share relative to competitors:
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Resources are allocated to business units according to where they are situated on the grid as follows:
Cash Cow- A business unit that has a large market share in a mature, slow growing industry. Cash cows require little investment and generate cash that can be used to invest in other business units.
Stars- A business unit that has a large market share in a fast growing industry. Stars may generate cash, but because the market is growing rapidly they require investment to maintain their lead. If successful, a star will become a cash cow when its industry matures.
Question Mark (or Problem Child) - A business unit that has a small market share in a high growth market. These business units require resources to grow market share, but whether they will succeed and become stars is known.
Dog- A business unit that has a small market share in a mature industry. A dog may not require substantial cash, but it ties up capital that could better be deployed elsewhere. Unless a dog has some other strategic purpose, it should be liquidated if there is little prospect for it to gain market share.
The BCG matrix provides a framework for allocating resources among different business units and allows one to compare many business units at a glance.
Under the growth-share matrix model, as an industry matures and its growth rate declines, a business unit will become either a cash cow or a dog, determined soley by whether it had become the market leader during the period of high growth.
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While originally developed as a model for resource allocation among the various business units in a corporation, the growth-share matrix also can be used for resource allocation among products with in a single business unit. Its simplicity is its strength – the relative positions of the firm’s entire business portfolio can be displayed in a single diagram.
Negative Criticisms
However, the approach has received some negative criticism for the following reasons: The link between market share and profitability is questionable since increasing
market share can be very expensive. The approach may overemphasize high growth, since it ignores the potential of
declining markets. The model considers market growth rate to be a given. In practice the firm may be
able to grow the market.
COLONY TEXTILE MLLS LIMITED f i t s into Quest ion Mark. (High Growth, Low Market Share)
Justif ication
High Growth Industry
Colony Text i le indus t ry i s growing a t very h igh ra te . The bas ic reasons behind th is a re :
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The opera t ional resul t s in both sp inning uni t s were encouraging and inves tment in these uni t s leads to increase in prof i tabi l i ty .
Pakis tan’s indus t ry depends on text i le indus t ry most of expor ts of Pakis tan are f rom th is sec tor .
Pakis tan economy dis turbs due to pol i t ica l ins tabi l i ty but tex t i le indus t ry grows a t fas te r ra te by increas ing inves tment .
Low Market Share
Colony text i le indus t ry has low market share . The bas ic reasons behind th is a re :
Employees are not mot iva ted tha t ’s why they are ge t t ing of f and put t ing the i r res igns in f ront of managers and execut ives . This i s the responsib i l i ty of HR Depar tment to f ind out a t to see a t the t ime of h i r ing them tha t what the th ing i s tha t the i r employees can be mot iva ted .
Always organiza t ion has to re ly on fore ign cus tomers and i t would become r i sk especia l ly in f inancia l mat te rs and poss ib i l i ty of f raud would be the i r . CTML is too much depending upon the i r fore ign cus tomers . They have l imi ted number of fore ign cus tomers but these are los ing by lacking of qual i ty and l i t t le b i t h igh cos t .
A major problem is team bui ld ing . There i s a lmost no concept of team. Each person i s doing indiv idual ly and per forming h is /her ac t iv i t ies .
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SUGGESTIONS AND RECOMMENDATIONS
Jobs should be ass igned according to the i r ca l iber to develop the i r in teres t in work , output and to enhance the ef f ic iency of workers . I t i s a l so observed tha t in some cases more than one depar tment mainta ins the same record . This i s done a l l of over s ta f f ing and unbalanced d is t r ibut ion of work , which resul t s in de-mot iva t ion of the employee and decrease in e f f ic iency.
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In colony mi l l s there i s lo t of documenta t ion and lengthy procedure of paper work involved, which resul t s in was tage of t ime and def ic iency so each sys tem should be computer ized through in t ranet work .
Company must take in i t ia t ive s teps to mainta in the huge orders .
Workers must be t ra ined to fo l low the safe ty ru les .
Management should take necessary ac t ion to implement the safe ty ru les in the organiza t ion .
Job var ie ty must be added to change the a tmosphere , to develop the in teres t to employees and to increase the i r per formance . So proper ana lys is should be done and explore those employees who can do be t te r work in the organiza t ion .
People working in one sec t ion or depar tment f rom years a re s t i l l wi th the same knowledge and s ty le of doing job . There should be proper career p lanning of employee tha t not only sharpens the sk i l l s of the employee & improve i t s e f f ic iency but a l so resul t s in be t te r and improved output for the organiza t ion .
Proper adver t i sement must be p lanned to increase the sa les , to s tay in touch wi th cus tomers .
There should be de legat ion of author i ty up to cer ta in extent tha t enables manager to take t imely dec is ions a t the spot wi th conf idence . Involvement of top management and reaching a t the f ina l dec is ions i s t ime consuming and some t imes resul t in heavy losses .
Colony mi l l s must adopt the new technology.
Promot ion campaigns and sa les promot ions must be for sugar mi l l s a l so .
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CONCLUSION
We financially analyzed the four years annual reports of Colony Textile limited, by making following analysis
Short term liquidity analysis
Long term liquidity analysis
Profitability analysis
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Investor’s analysis
By analyzed its short term liquidity, we concluded that the short term liquidity position of this company is going down with the passage of time. Besides this, company short term ratios are less as compare to benchmark ratios. So as a short term creditor, we cannot make the decision to give short term loan to colony textile mills limited.
Company’s long term debt paying ability is also going down .It means that company has no ability to pay its long term debts. So as a long term creditor, we cannot make the decision to give long term loan to colony textile mills limited.
Profitability ratios are improving day by day. Although this increase is not so much high, but increase in profitability ratios tells us that company is earning good profits and utilizing its assets in an excellent way. So as an investor, we can take decision to invest in colony textile mills limited.
After that we make the investor’s analysis in investor’s analysis degree of financial leverage is improving. It means that risk in the business is increasing. But when risk is increasing return will also go to increase. Because where there is risk, there is return.
After that we observed that the earning per share of colony textile mills limited is going to improve day by day, and that is a positive sign. So we conclude that as an investor, we make investment in colony textile mills limited.
Total Trade & Other Payables 16.39 6.05 13.82 16.58 Accrued Interest & Markup 1.29 1.14 1.05 1.32 Short term Borrowing 15.03 23.96 17.44 17.90 Tax 1.22 0.62 0.32 0.28 Current Portion of Non-Current Liabilities
3.92 3.75 2.88 4.27
Provision against Contingent Liabilities
0.00 0.40 0.00 0.00
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TOTAL CURRENT LIABILITIES 37.85 35.92 35.51 40.35
NON CURRENT LIABILITIES
Loan from related parties 0.85 0.00 0.00 0.00 Liabilities against assets 0.23 0.57 0.81 1.05 Long term Financing 20.48 25.35 26.46 33.05 Other 17.15 4.36 2.72 2.58
TOTAL NON CURRENT ASSETS 38.71 30.28 29.99 36.68
STOCK HOLDER EQUITY
Issued Capital 4.70 31.34 26.75 19.30 Capital Reserve 2.95 2.46 7.75 3.67 Unappreciated profit 6.36 0.00 0.00
TOTAL EQUITY 14.01 33.80 34.50 22.97
Surplus on Fix Asset 9.43
TOTAL LIABILITIES & EQUITY 100.00 100.00 100.00 100.00
Total Trade & Other Payables 100.00 54.16 144.75 240.66 Accrued Interest & Markup 100.00 128.56 139.66 243.48 Short term Borrowing 100.00 233.44 199.14 283.26 Tax 100.00 74.54 44.76 55.42 Current Portion of Non-Current Liabilities
100.00 140.06 125.97 259.07
Provision against Contingent Liabilities
TOTAL CURRENT LIABILITIES 100.00 139.00 161.01 253.62
NON CURRENT LIABILITIES
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Loan from related parties 100.00 0.00 0.00 0.00 Liabilities against assets 100.00 363.82 612.88 1095.68 Long term Financing 100.00 181.23 221.73 383.59 Other 100.00 37.26 27.18 35.79
TOTAL NON CURRENT ASSETS 100.00 114.52 132.94 225.21
STOCK HOLDER EQUITY
Issued Capital 100.00 976.71 976.71 976.71 Capital Reserve 100.00 121.30 448.40 294.53 Unappreciated profit 100.00 0.00 0.00 0.00
TOTAL EQUITY 100.00 352.79 421.92 389.40
Surplus on Fix Asset 100.00 0.00 0.00 0.00
TOTAL LIABILITIES & EQUITY 100.00 146.41 171.56 237.76
PROFIABILITY RATIOS
Years 2006 2007 2008 2009G.M.P 11.050838 13.608581 12.76084194 14.16127383
Years 2006 2007 2008 2009O.I.M 7.901926352 10.34695012 9.174298127 9.611176844
Inventory Turnover 3.008200896 1.596422868 3.842753034 3.594968736Avg. Age of Inventory 119.6728584 225.5041611 93.6828551 100.1399539
Sales 3349406752 2055880694 5784505405 100.1399539Working Capital 42168478 18036522 39840906 -787826610Sales to Working Capital 79.42915919 113.9843199 145.190107 -8.91151613
A/R Turnover in days 16.13020913 41.9996721 357.8923078 50.21897377Inventory Turnover in days 119.6728584 225.5041611 93.68283551 100.1399539Operating Cycle 135.8030675 267.5038332 451.5751433 150.3589277
86
LONG TERM DEBT PAYING ABILITY
2006 2007 2008 2009
Total Liabilities 4073012548 5157325721 5979881246 9744871916Total Assets 5320958210 7790426593 91289443173 12651222566Debt Ratio 0.765465991 0.662008127 0.655046387 0.770271163
Total liabilities 4073012548 5157325721 5979881246 9744871916Shareholder’s equity 746361256 2633100872 3149061927 2906350650Debt to Equity ratio 5.457159673 1.958651025 1.898940505 2906350650
Total liabilities 4073012548 5157325721 5979881246 9744871916Shareholder’s equity 746361256 2633100872 3149061927 2906350650Intangible assets 0 0 0 0Debt to tangible net worth ratio
5.457159673 1.958651025 1.898940505 2906350650
87
Current liabilities 2013378444 2798632792 3241781691 5106304058Shareholder’s equity 746361256 2633100872 3149061927 2906350650Current debt to net worth ratio