Ratio Analysis Atlas Final

7/30/2019 Ratio Analysis Atlas Final

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Atlas Bangladesh Ltd.Discounted Cash Flow Analysis

December 24, 2012

Valuation AssumptionsValuation Date 31-DecDiscount Rate 12.50%Terminal ValueTerminal Growth Rate 3.0%Tax Rate 40.0%

(currency in Tk.) Shaded area respresents historical financials

2007 2008 2009 2010 2011 2012E 2013E 2014E

Total Revenue $2,156,108,272 $3,016,530,551 $4,290,305,090 $5,020,795,305 $5,805,912,325 $7,472,159,486 $9,616,605,326 $12,376,488,774

Growth Rate 40% 42% 17% 16% 29% 29% 29%

COGS 1,985,515,831 2,856,198,483 3,952,288,918 4,575,929,146 5,339,586,355 6,904,302,855 8,885,778,701 11,435,921,160

% of Sales 92.09% 94.68% 92.12% 91.14% 91.97% 92.40% 92.40% 92.40%

Gross Margin 170,592,441 160,332,068 338,016,172 444,866,159 466,325,970 567,856,631 730,826,625 940,567,614

% of Sales 7.91% 5.32% 7.88% 8.86% 8.03% 7.60% 7.60% 7.60%Sales and Marketing 9,805,249 7,596,585 6,727,263 14,202,496 19,772,580 22,219,696 28,596,558 36,803,526

% of Sales 0.45% 0.25% 0.16% 0.28% 0.34%

General and Administrative 30,477,893 31,474,309 31,363,998 43,042,751 47,094,268 72,576,055 93,404,762 120,211,129

% of Sales 1.41% 1.04% 0.73% 0.86% 0.81%

Depreciation 2559569 2194436 2303473 2576537 4065451 3405712 3624133 4039821

% of Sales 0.12% 0.07% 0.05% 0.05% 0.07% 0.05% 0.04% 0.03%Total Operating Costs 42,842,711 41,265,330 40,394,734 59,821,784 70,932,299 98,201,463 125,625,453 161,054,476

% of Sales 1.99% 1.37% 0.94% 1.19% 1.22%

EBIT 127,749,730 119,066,738 297,621,438 385,044,375 395,393,671 469,655,168 605,201,173 779,513,137

% of Sales 6% 4% 7% 8% 7% 6% 6% 6%

Depreciation 2,559,569 2,194,436 2,303,473 2,576,537 4,065,451 3,405,712 3,624,133 4,039,821

EBITDA 130,309,299 121,261,174 299,924,911 387,620,912 399,459,122 473,060,880 608,825,305 783,552,959

% of Sales 6% 4% 7% 8% 7% 6% 6% 6%

Income Taxes 37,364,117 31,866,391 73,637,977 94,638,742 98,028,454 187,862,067 242,080,469 311,805,255

Unlevered Net Income 90,385,613 87,200,347 223,983,461 290,405,633 297,365,217 281,793,101 363,120,704 467,707,882

Add: Depreciation 2,559,569 2,194,436 2,303,473 2,576,537 4,065,451 3,405,712 3,624,133 4,039,821

Less: Changes in Working Capital (221,740,538) 347,926,431 501,968,845

Less: Capital Expenditures Historical financials 3,931,242 5,059,474 6,511,500

Net Cash Flow Before Debt 503,008,109 13,758,931 (36,732,641)

Present Value of Adjusted Cash Flows 447,118,319 10,871,254 (25,798,508)

Enterprise Value (847,984,129)

Plus: Cash $390,480,351

L I t t D bt 5 184 296

Exit Multiple Perpetuity


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L I t t D bt 5 184 296

Equity value per share -26.03

Cash Flow Timing (1=12 months from valuation) 1.0 2.0 3.0


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2016E Terminal Normalized Other assu

$20,499,759,762 $20,499,759,762

29% 28.70%

18,941,853,439 18,941,853,439

92.40% 92.40%

1,557,906,324 1,557,906,324

7.60% 7.60%

60,959,409 60,959,409

0.30%

199,111,341 199,111,341

0.97%

5606563 5,606,563

0.03%265,677,313 - 265,677,313

1.34%

1,292,229,011 1,292,229,011

6%

5,606,563 5,606,563

1,297,835,574 1,297,835,574

6%

516,891,604 516,891,604

775,337,406 775,337,406

5,606,563 5,606,563

955,308,123 955,308,123

10,785,303 10,785,303

(185,149,456) (2,007,409,892) (185,149,456)

(102,744,795) (1,113,969,878)


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5.0 5.0


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2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Building and Other 1,131,355 997,743 1,158,930 1,055,546 907,111 991,415 1,131,600 1,337,999 1,624,937 2,011,694Machinery 216,024 259,940 220,350 180,687 153,206 1,142,274 994,356 889,619 825,043 799,515Furniture and fixture 86,810 92,124 98,916 98,247 109,348 120,042 135,873 158,109 188,403 228,899Vehicles 402,553 187,043 542,495 622,796 529,235 579,756 665,049 791,039 966,162 1,201,923Office equipment 153,788 148,880 133,288 152,106 203,411 230,381 269,803 324,542 398,395 496,337Other factory assets 154,477 202,310 281,930 255,422 244,059 298,044 369,127 462,056 582,956 739,723Other assets 36,775 38,998 33,323 31,452 28,407 40,425 55,119 73,411 96,458 125,724Gasline installation 4,362 4,144 3,936 3,740 3,553 3,375 3,206 3,046 2,894 2,749

Total 2,186,144 1,931,182 2,473,168 2,399,996 2,178,330 3,405,712 3,624,133 4,039,821 4,685,248 5,606,563

2005 2006 2007 2008 2009 2010Building and Other 11,200,669 12,192,084 13,323,685 14,661,684 16,286,621 18,298,314Machinery 599,012 1,741,286 2,735,642 3,625,261 4,450,305 5,249,820Furniture and fixture 1,383,986 1,504,028 1,639,900 1,798,009 1,986,412 2,215,311Vehicles 7,659,633 8,239,389 8,904,438 9,695,477 10,661,638 11,863,561Office equipment 1,911,601 2,141,982 2,411,785 2,736,328 3,134,723 3,631,060Other factory assets 4,004,587 4,302,631 4,671,758 5,133,815 5,716,771 6,456,494Other assets 549,440 589,865 644,983 718,394 814,852 940,576Gasline installation 63,991 67,366 70,572 73,618 76,511 79,260

Total 27,372,919 30,778,631 34,402,764 38,442,585 43,127,833 48,734,396

Accumulated Depreciation

Depreciation


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Date Atlas Return GPI Return

31.01.2001 128.00 633.45

28.02.2001 127.10 (0.01) 607.43 (0.04)

31.03.2001 132.00 0.04 625.99 0.03

30.04.2001 131.10 (0.01) 642.04 0.03

31.05.2001 134.20 0.02 705.69 0.10

30.06.2001 134.20 0.00 716.06 0.01

31.07.2001 132.00 (0.02) 662.47 (0.07)

31.08.2001 140.30 0.06 633.82 (0.04)

30.09.2001 145.00 0.03 646.97 0.0231.10.2001 144.70 (0.00) 647.90 0.00

30.11.2001 140.00 (0.03) 815.52 0.26

31.12.2001 137.20 (0.02) 829.61 0.02

31.01.2002 129.50 (0.06) 749.11 (0.10)

28.02.2002 133.80 0.03 768.03 0.03

31.03.2002 141.40 0.06 795.05 0.04

30.04.2002 132.10 (0.07) 763.70 (0.04)31.05.2002 134.90 0.02 752.91 (0.01)

30.06.2002 158.40 0.17 792.56 0.05

31.07.2002 162.20 0.02 874.57 0.10

31.08.2002 195.50 0.21 870.46 (0.00)

30.09.2002 209.40 0.07 874.22 0.00

31.10.2002 226.20 0.08 842.36 (0.04)

30.11.2002 220.00 (0.03) 845.07 0.0031.12.2002 220.00 0.00 848.41 0.00

31.01.2003 209.00 (0.05) 807.60 (0.05)

28.02.2003 198.60 (0.05) 806.92 (0.00)

31.03.2003 150.70 (0.24) 750.84 (0.07)

30.04.2003 162.90 0.08 787.94 0.05

31.05.2003 202.00 0.24 791.70 0.00

30.06.2003 217.90 0.08 830.46 0.0531.07.2003 210.70 (0.03) 799.98 (0.04)

31.08.2003 229.20 0.09 793.12 (0.01)

30.09.2003 215.80 (0.06) 789.74 (0.00)

31.10.2003 240.30 0.11 801.27 0.01

30.11.2003 235.60 (0.02) 920.61 0.15

31.12.2003 242.20 0.03 967.88 0.05

31.01.2004 241.60 (0.00) 961.18 (0.01)28.02.2004 235.20 (0.03) 953.81 (0.01)

29.02.2004 226.80 (0.04) 973.88 0.02

31.03.2004 263.00 0.16 1112.19 0.14

30.04.2004 277.50 0.06 1185.83 0.07


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31.05.2004 275.20 (0.01) 1318.92 0.11

30.06.2004 276.70 0.01 1289.14 (0.02)

31.07.2004 281.70 0.02 1513.29 0.1731.08.2004 410.40 0.46 1633.02 0.08

30.09.2004 443.50 0.08 1710.45 0.05

31.10.2004 395.80 (0.11) 1877.05 0.10

30.11.2004 342.10 (0.14) 1971.31 0.05

31.12.2004 320.00 (0.06) 1843.95 (0.06)

31.01.2005 300.80 (0.06) 1835.62 (0.00)

31.03.2005 314.00 0.04 1919.25 0.0530.04.2005 281.10 (0.10) 1537.87 (0.20)

31.05.2005 298.70 0.06 1648.28 0.07

30.06.2005 337.30 0.13 1713.17 0.04

31.07.2005 319.70 (0.05) 1510.11 (0.12)

31.08.2005 343.00 0.07 1613.17 0.07

30.09.2005 380.90 0.11 1673.21 0.04

31.10.2005 390.70 0.03 1694.62 0.0130.11.2005 342.43 (0.12) 1694.42 (0.00)

31.12.2005 337.69 (0.01) 1677.35 (0.01)

Avg Mkt return 1.91%


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COV(a,m) 0.21%

VAR(m) 0.51%

B (i,m) 40.30%

Avg. Mkt. return 22.91%

Rf 12.35%

RRR 16.60%

Rf from 10 years treasury bills' yield

2001 2002 2003

Interest rate 0 0 0

Tax rate 22.13% 19.89% 22.39%

Number of Common Shares 1,500,000 1,500,000 2,250,000

End-of-Year Stock Price 136.60 220.00 241.10

Market value of equity 204,900,000 330,000,000 542,475,000

L / T Debt 9,184,296 7,184,296 7,184,296

Weight of equity 95.71% 97.87% 98.69%

Weight of debt 4.29% 2.13% 1.31%

WACC 15.89% 16.25% 16.39%

Avg. WACC 16.30%

WACC calculation


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2004 2005

0 0

22.25% 22.12%

3,000,000 4,000,000

342.05 239.95

1,026,150,000 959,800,000

7,184,296 7,184,296

99.30% 99.26%

0.70% 0.74%

16.49% 16.48%


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A B C D E F

NAME OF COMPANY Atlas Bangladesh Limited

FIRST CALENDAR YEAR OF

DATA 2006

NUMBER OF YEARS OF DATA 5

INCOME STATEMENT 2007 2008 2009 2010 2011

Sales Revenue 2,156,108,272 3,016,530,551 4,290,305,090 5,020,795,305 ###########Less: Cost of Goods Sold 1,985,515,831 2,856,198,483 3,952,288,918 4,575,929,146 5,339,586,355

Gross Profits 170,592,441 160,332,068 338,016,172 444,866,159 466,325,970

Less: Operating Expenses:

Selling Expense 9,805,249 7,596,585 6,727,263 14,202,496 19,772,580

Auditors fees 65,000 66,000 66,000 66,000 66,000

Directors Remuneration 362,000 811,450 984,000 850,470 896,500

General / Admin. Exp. 30,050,893 30,596,859 30,313,998 42,126,281 46,131,768

Lease Expense 0 0 0 0 0

Depreciation Expense 2,559,569 2,194,436 2,303,473 2,576,537 4,065,451

Total Operating Expenses 42,842,711 41,265,330 40,394,734 59,821,784 70,932,299

Operating Profits 127,749,730 119,066,738 297,621,438 385,044,375 395,393,671Less: Interest Expense 0 0 0 0 0

Less: Bank Charges 39,807 355,306 360,054 682,742 1,631,891

Add: Other Income 17,959,147 16,818,141 15,925,120 18,142,320 23,158,809

Less: WPPF 7,283,453 6,776,479 15,659,325 20,125,198 20,846,029

Net Profits Before Taxes 138,385,617 128,753,094 297,527,179 382,378,755 396,074,560

Less: Taxes 37,364,117 31,866,391 73,637,977 94,638,742 98,028,454Net Profit After Taxes 101,021,500 96,886,703 223,889,202 287,740,013 298,046,106Less: Pref. Stock Divds. 0 0 0 0 0

Earnings Available for Common

Stockholders 101,021,500 96,886,703 223,889,202 287,740,013 298,046,106

BALANCE SHEET 2007 2008 2009 2010 2011

Current Assets:

Cash 282,254,596 229,772,217 274,206,093 423,266,629 390,480,351

Advances, Deposits and Prepayments 28,238,227 16,864,424 75,092,646 61,646,950 81,103,554

BSEC C/A 2,525,904 2,221,645 2,996,811 3,325,966 3,209,450

Inter project C/A 5,091,400 5,342,962 5,414,913 5,642,237 5,624,735

Advance Tax 224,507,391 282,410,995 368,764,103 452,003,571 605,622,205

Accounts Receivable 17,205,586 18,088,037 39,577,328 86,453,752 18,104,898Inventories 209,721,887 330,551,126 511,890,584 534,237,582 646,758,251

Total Current Assets 769,544,991 885,251,406 1,277,942,478 1,566,576,687 1,750,903,444Gross Fixed Assets (at cost):

Land 6,177,004 6,177,004 6,177,004 6,177,004 6,177,004

Building 21,119,158 21,198,158 21,784,684 24,622,765 24,599,765

Machinery and Equipment 6,711,448 6,711,448 8,366,172 8,477,972 8,822,972

Furniture & Fixtures 2,613,162 2,673,377 2,730,126 2,954,746 3,085,503

V hi l 9 226 571 9 226 571 9 346 571 9 346 571 16 427 571

Ratio Analysis


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909192

93949596979899100101

102103104

A B C D E F

Other factory assets 6,441,644 6,466,644 6,490,944 6,504,212 9,362,514Other Assets 901,639 931,383 962,604 994,124 1,057,989

Total Gross Fixed Assets 56,884,438 57,346,922 60,061,704 63,447,843 74,434,382Less: Accumulated Depreciation 37,467,206 39,661,641 41,965,114 44,541,651 48,143,691

Net Fixed Assets 19,417,232 17,685,281 18,096,590 18,906,192 26,290,691Deffered Revenue Expenditure 1,811,014 0 0 0 0

Total Assets 790,773,237 902,936,687 1,296,039,068 1,585,482,879 1,777,194,135

Current Liabilities: 2008 2009 2010 2011 2011

Accounts Payable 65,099,157 124,553,403 279,679,245 227,634,836 177,017,799

Inter Project C/A 118,030 127,710 76,349 183,419 76,349

Provision for Taxation 191,529,788 223,396,179 297,034,156 391,672,898 489,701,352

Unpaid Dividend 37,509,125 62,966,147 95,204,563 111,808,067 83,816,230Proposed Dividend 0 0 0 0 0

Proposed Bonus Share 0 0 0 0 0WPPF 7,325,279 6,984,446 16,628,940 22,517,962 26,471,182

Total Current Liabilities 301,581,379 418,027,885 688,623,253 753,817,182 777,082,912

L / T Debt 7,184,296 7,184,296 7,184,296 5,184,296 5,184,296Deferred Liability 42,846,704 41,464,727 40,918,307 55,131,221 60,067,795

Total Liabilities 351,612,379 466,676,908 736,725,856 814,132,699 842,335,003

Preferred Stock 0 0 0 0 0

Common Stock 80,000,000 100,000,000 100,000,000 133,333,333 177,777,770Capital Reserve 5,215,219 5,215,219 5,215,219 5,215,219 5,215,219

General Reserve 18,000,000 18,000,000 18,000,000 18,000,000 18,000,000

Share Premium 158,182,500 158,182,500 158,182,500 158,182,500 158,182,500Retained Earnings 177,763,139 154,862,060 277,915,493 456,619,128 575,683,643

Total Stockholders' Equity 439,160,858 436,259,779 559,313,212 771,350,180 934,859,132

Total Liabs. & Stockhldrs' Equity 790,773,237 902,936,687 1,296,039,068 1,585,482,879 1,777,194,135

Number of Common Shares 8,000,000 10,000,000 10,000,000 13,333,333 17,777,777End-of-Year Stock Price 308.50 365.30 477.70 239.95 394.10

RATIO ANALYSIS 2008 2009 2010 2011 2011

Current Ratio 2.55 2.12 1.86 2.08 2.25

Quick Ratio 1.86 1.33 1.11 1.37 1.42

Inventory Turnover 9.47 8.64 7.72 8.57 8.26

Average Collection Period 2.87 2.16 3.32 6.20 1.12

Fixed Asset Turnover 111.04 170.57 237.08 265.56 220.84Total Asset Turnover 2.73 3.34 3.31 3.17 3.27

Debt Ratio 0.44 0.52 0.57 0.51 0.47

Debt-to-Equity 0.02 0.02 0.01 0.01 0.01

Times Interest Earned N/A N/A N/A N/A N/A

Gross Profit Margin 7.91% 5.32% 7.88% 8.86% 8.03%

Operating Profit Margin 5.93% 3.95% 6.94% 7.67% 6.81%

Net Profit Margin 4.69% 3.21% 5.22% 5.73% 5.13%

Return on Total Assets (ROA) 12.78% 10.73% 17.27% 18.15% 16.77%

Return on Equity (ROE) 23.00% 22.21% 40.03% 37.30% 31.88%

Earnings Per Share $12.63 $9.69 $22.39 $21.58 $16.77


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A B C D E FDUPONT ANALYSIS

Net Profit AT/Sales 4.69% 3.21% 5.22% 5.73% 5.13%

Sales/Total Assets 272.66% 334.08% 331.03% 316.67% 326.69%

ROA 12.78% 10.73% 17.27% 18.15% 16.77%

Net Profit AT/Total Assets 12.78% 10.73% 17.27% 18.15% 16.77%Total Assets/Stockhldrs. Equity 180.06% 206.97% 231.72% 205.55% 190.10%

ROE 23.00% 22.21% 40.03% 37.30% 31.88%


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G H I J K L M N O P Q

0.00

1.00

2.00

3.00

4.00

5.006.00

7.00

2007 2008 2009 2010 2011

Average Collection Period

Average CollectionPeriod

0.00

50.00

100.00

150.00

200.00

250.00

300.00

2007 2008 2009 2010 2011

Fixed Asset Turnover

Fixed Asset Turnover

20.00

25.00

30.00

35.00

40.00

Price/Earnings Ratio

Price/Earnings Ratio 2.0

2.5

3.0


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99100101

102103104


12.62769

0.00

5.00

10.00

2008 2009 2010 2011 2011

0.0

0.5

1.0


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R S T U V W X Y Z AA AB

0.00

0.50

1.00

1.50

2.00

2.50

3.00

2007 2008 2009 2010 2011

Current Ratio

Current Ratio

0.00

0.20

0.40

0.60

0.80

1.00

1.20

1.40

1.60

1.80

2.00

2007 2008 2009 2010 2011

Quick Ratio

Quick Ratio

0.00

0.50

1.00

1.50

2.00

2.50

3.00

3.50

4.00

2007 200

0.00

0.00

0.00

0.01

0.01

0.01

0.010.01

0.02

0.02

2008 2009

0

0

0

Current Ratio


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7374757677

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99100101

102103104


0

0

0

2008 2009 2010 2011 2011


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AC AD AE AF AG AH AI AJ AK AL AM

8 2009 2010 2011

Total Asset Turnover

Total Asset Turnover

2010 2011 2011

Debt-to-Equity

Debt-to-Equity

0.00%

1.00%

2.00%

3.00%

4.00%

5.00%

6.00%

7.00%

2008 2009 2010 2011 201

Net Profit Margin

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%16.00%

18.00%

20.00%

2008 2009 2010 2011 2

Return on Total Assets (R


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AN AO AP AQ AR AS AT AU AV AW AX

Net Profit Margin

11

A)

Return on TotalAssets (ROA)

0.00%

5.00%

10.00%

15.00%

20.00%

25.00%

30.00%35.00%

40.00%

45.00%

2008 2009 2010 2011 2011

Return on Equity (ROE)

Return on(ROE)

$0.00

$5.00

$10.00

$15.00

$20.00

$25.00

2008 2009 2010 2011 2011

Earnings Per Share

Earnings Per Sha


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2

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56789

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2122

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252627

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323334

353637

383940414243

44454647

484950

AY

Equity

e


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Sensitivity ROE

Base case

Year Net Profit AT/Sales Sales/Total Assets ROA Total Assets/SE ROE2001 4.75% 201.25% 9.57% 237.42% 22.71%

2002 7.35% 235.53% 17.30% 363.48% 62.88%2003 9.04% 189.49% 17.12% 182.01% 31.16%

2004 6.76% 187.29% 12.66% 181.05% 22.92%

2005 4.60% 222.32% 10.23% 186.92% 19.13%

Sensivity to profit margin

Year Net Profit AT/Sales Sales/Total Assets ROA Total Assets/SE ROE % change2001 4.75% 201.25% 9.57% 237.42% 22.71%2002 7.35% 201.25% 14.78% 237.42% 62.88% 176.86%

2003 9.04% 201.25% 18.18% 237.42% 31.16% -50.44%2004 6.76% 201.25% 13.61% 237.42% 22.92% -26.43%2005 4.60% 201.25% 9.26% 237.42% 19.13% -16.57%

Average 20.85%

Dispersion 104.97%

Sensitivity to asset turnover

Year Net Profit AT/Sales Sales/Total Assets ROA Total Assets/SE ROE % change2001 4.75% 201.25% 9.56% 237.42% 22.70%

2002 4.75% 235.53% 11.19% 237.42% 26.56% 17.04%2003 4.75% 189.49% 9.00% 237.42% 21.37% -19.55%

2004 4.75% 187.29% 8.90% 237.42% 21.12% -1.16%2005 4.75% 222.32% 10.56% 237.42% 25.07% 18.71%

Average 3.76%

Dispersion 17.96%

Sensitivity to leverage

Year Net Profit AT/Sales Sales/Total Assets ROA Total Assets/SE ROE % change2001 4.75% 201.25% 9.56% 237.42% 22.70%2002 4.75% 201.25% 9.56% 363.48% 34.75% 53.09%2003 4.75% 201.25% 9.56% 182.01% 17.40% -49.93%

2004 4.75% 201.25% 9.56% 181.05% 17.31% -0.53%2005 4.75% 201.25% 9.56% 186.92% 17.87% 3.24%

Average 1.47%

Dispersion 42.08%


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Sensitivity ROE

-100.00%

-50.00%

0.00%

50.00%

100.00%

150.00%

200.00%

2002 2003 2004 2005

ROE Sensitivity

Sensivity to profitmargin

Sensitivity to assetturnover

Sensitivity to leverage


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Financial Ratios

ROE decomposition 2001 2002 2003 2004 2005 Mean 2006 2007 2008 2009 2010

Pretax income/sales 7.83% 5.31% 7.67% 8.47% 7.63% 7.38% 7.20% 7.21% 7.22% 7.22% 7.22%Sales/assets 2.80 3.40 3.35 3.20 3.31 321.55% 3.17 3.18 3.18 3.18 3.19

Assets/equity 2.23 2.68 2.53 2.06 1.90 227.82% 2.19 2.03 1.93 1.85 1.79(1 - tax rate) 77.87% 80.11% 77.61% 77.75% 77.88% 78.25% 77.88% 77.88% 77.88% 77.88% 77.88%ROE 38.03% 38.79% 50.52% 43.37% 37.45% 41.63% 39.03% 36.31% 34.44% 33.11% 32.14%(1 - payout ratio) 89.53% 84.66% 97.13% 93.91% 91.77% 91.40% 76.50% 76.50% 76.50% 76.50% 83.65%Sustainable growth 34.04% 32.84% 49.07% 40.73% 34.37% 38.21% 29.85% 27.78% 26.35% 25.33% 26.89%

Growth rate in sales 39.91% 42.23% 17.03% 15.64% 28.70% 28.70% 28.70% 28.70% 28.70% 28.70%Income tax rate 22.13% 19.89% 22.39% 22.25% 22.12% 21.75% 22.12% 22.12% 22.12% 22.12% 22.12%

Dividend Payment Schedule

2001 2002 2003 2004 2005 Mean 2006 2007 2008 2009 2010

Share capital 80,000,000 100,000,000 100,000,000 133,333,333 177,777,770 177,777,770 177,777,770 ########## 177,777,770 177,777,770No of Outstanding shares 8,000,000 10,000,000 10,000,000 13,333,333 17,777,777 17,777,777 17,777,777 17,777,777 17,777,777 17,777,777

Dividend paid 13,772,354 19,695,360 7,327,675 20,146,930 28,403,779 98,508,768 126,911,905 163,443,100 210,439,234 270,907,093Net Income 131,499,393 ######### 255,253,200 330,782,764 345,140,374 419,186,247 540,050,661 695,502,554 895,486,100 ###########

Div Payout ratio 10.47% 15.34% 2.87% 6.09% 8.23% 23.50% 23.50% 23.50% 23.50% 23.50% 23.50%DPS 12.50 7.50 11.00 12.00 10.00 10.60

Proposed Dividends 100,000,000 75,000,000 110,000,000 160,000,000 177,777,770 ######### ########## ######### 188,444,436 ##########Dividend paid 13,772,354 19,695,360 7,327,675 20,146,930 28,403,779 98,508,768 ########## ######### 210,439,234 ##########Unpaid dividend 37,509,125 ######### 185,486,090 275,339,160 406,935,381 ######### ########## ######### 550,743,452 ##########

Actual Pro Forma

Actual Pro Forma


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Atlas Bangladesh Limited

Actual and Pro Forma Statements

2007 2008 2009 2010 2011 2012 2013 2014 2015 2

Net sales $2,156,108,272 $3,016,530,551 $4,290,305,090 $5,020,795,305 $5,805,912,325 7,472,159,486 9,616,605,326 12,376,488,774 15,928,435,157 20,49

Cost of sales 1,985,515,831 2,856,198,483 3,952,288,918 4,575,929,146 5,339,586,355 6,904,302,855 8,885,778,701 11,435,921,160 14,717,932,686 18,94Gross profit 170,592,441 160,332,068 338,016,172 444,866,159 466,325,970 567,856,631 730,826,625 940,567,614 1,210,502,471 1,55

SG&A 9,805,249 7,596,585 6,727,263 14,202,496 19,772,580 22,219,696 28,596,558 36,803,526 47,365,823 6Depreciation 2,559,569 2,194,436 2,303,473 2,576,537 4,065,451 3,405,712 3,624,133 4,039,821 4,685,248

Operating Profit 158,227,623 150,541,047 328,985,436 428,087,126 442,487,939 542,231,223 698,605,935 899,724,267 1,158,451,401 1,49

Interest expense - - - - - - - - - Bank charge 39,807 355,306 360,054 682,742 1,631,891 924,703 1,190,085 1,531,630 1,971,194 Other Income 17,959,147 16,818,141 15,925,120 18,142,320 23,158,809 25,267,766 32,519,399 41,852,189 53,863,409 6

WPPF 7,283,453 6,776,479 15,659,325 20,125,198 20,846,029 28,328,714 36,496,762 47,002,241 60,517,181 7Pretax income 168,863,510 160,227,403 328,891,177 425,421,506 443,168,828 538,245,572 693,438,486 893,042,584 1,149,826,434 1,48

Income taxes 37,364,117 31,866,391 73,637,977 94,638,742 98,028,454 119,059,324 153,387,825 197,540,031 254,340,334 32Net income 131,499,393 128,361,012 255,253,200 330,782,764 345,140,374 419,186,247 540,050,661 695,502,554 895,486,100 1,15

2007 2008 2009 2010 2011 2012 2013 2014 2015 2

AssetsCash 282,254,596 229,772,217 274,206,093 423,266,629 390,480,351 631,474,611 812,702,421 1,045,941,062 1,346,117,198 1,73

Advances, Deposits and Prepayments 28,238,227 16,864,424 75,092,646 61,646,950 81,103,554 93,309,104 120,088,019 154,552,253 198,907,427 25BSEC C/A 2,525,904 2,221,645 2,996,811 3,325,966 3,209,450 5,711,325 7,350,426 9,459,936 12,174,857 1Inter project C/A 5,091,400 5,342,962 5,414,913 5,642,237 5,624,735 11,189,271 14,400,496 18,533,315 23,852,218 3

Advanced Tax 224,507,391 282,410,995 368,764,103 452,003,571 605,622,205 714,394,948 919,420,186 1,183,285,912 1,522,878,845 1,95A/R 17,205,586 18,088,037 39,577,328 86,453,752 18,104,898 65,065,398 83,738,611 107,770,876 138,700,195 17

Inventories 209,721,887 330,551,126 511,890,584 534,237,582 646,758,251 812,916,273 1,046,216,288 1,346,471,411 1,732,897,185 2,23Current assets 769,544,991 885,251,406 1,277,942,478 1,566,576,687 1,750,903,444 2,334,060,931 3,003,916,447 3,866,014,766 4,975,527,925 6,40

Gross PP&E 49,831,982 54,891,456 61,402,956 69,783,201 8A/D 30,778,631 34,402,764 38,442,585 43,127,833 4

Net PP&E - - - - - 19,053,350 20,488,692 22,960,371 26,655,368 3Other assets 901,639 931,383 962,604 994,124 1,057,989 969,548 969,548 969,548 969,548

Total assets 769,544,991 886,182,789 1,278,905,082 1,567,570,811 1,751,961,433 2,354,083,829 3,025,374,687 3,889,944,684 5,003,152,841 6,43

Liabilities & equity

New funding (plug) - - - - - (403,584,267) (495,016,885) (558,228,380) (585,186,666) (56A/P 65,099,157 124,553,403 279,679,245 227,634,836 177,017,799 317,565,994 408,704,718 525,999,475 676,956,824 87Inter Project C/A 118,030 127,710 76,349 183,419 76,349 245,919 316,495 407,327 524,226 Provision for Taxation 191,529,788 223,396,179 297,034,156 391,672,898 489,701,352 589,520,204 758,707,459 976,450,008 1,256,682,806 1,61Unpaid Dividend 37,509,125 62,966,147 95,204,563 111,808,067 83,816,230 486,204,382 547,736,913 572,738,249 550,743,452 46

Proposed Dividend - - - - - 188,444,436 188,444,436 188,444,436 188,444,436 18Proposed Bonus Share - - - - - - - - - Other Current Liabilities 7,325,279 6,984,446 16,628,940 22,517,962 26,471,182 - - - -

Current liabs. 294,256,100 418,027,885 688,623,253 753,817,182 777,082,912 1,178,396,669 1,408,893,137 1,705,811,115 2,088,165,077 2,58Long term debt 7,184,296 7,184,296 7,184,296 5,184,296 5,184,296 5,184,296 5,184,296 5,184,296 5,184,296 Deferred Liabilities 42,846,704 41,464,727 40,918,307 55,131,221 60,067,795 96,363,971 124,019,606 159,612,172 205,419,500 26

Total liabilities 344,287,100 466,676,908 736,725,856 814,132,699 842,335,003 1,279,944,936 1,538,097,039 1,870,607,583 2,298,768,873 2,84

Common stock 80,000,000 100,000,000 100,000,000 133,333,333 177,777,770 177,777,770 177,777,770 177,777,770 177,777,770 17Capital Reserve 5,215,219 5,215,219 5,215,219 5,215,219 5,215,219 5,215,219 5,215,219 5,215,219 5,215,219 General Reserve 18,000,000 18,000,000 18,000,000 18,000,000 18,000,000 18,000,000 18,000,000 18,000,000 18,000,000 1Share Premium - 80,070,000 158,182,500 158,182,500 158,182,500 158,182,500 158,182,500 158,182,500 15

R/E 177,763,139 154,862,060 277,915,493 456,619,128 575,683,643 896,361,122 1,309,499,878 1,841,559,331 2,526,606,198 3,40Total equity 280,978,358 278,077,279 481,200,712 771,350,180 934,859,132 1,074,138,892 1,487,277,648 2,019,337,101 2,704,383,968 3,58Total liabilities & equity 625,265,458 744,754,187 1,217,926,568 1,585,482,879 1,777,194,135 2,354,083,829 3,025,374,687 3,889,944,684 5,003,152,841 6,43

Actual Pro Forma

INCOME STATEMENT

BALANCE SHEET

Actual Pro Forma


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2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Cash flow from operating activities

Adjusted collection & paymen - - - - - 452,207,012 518,224,427 667,058,968 858,588,547 1,105,069,713Collection from Turnover and 741,931,059 910,933,104 988,058,880 1,129,193,232 1,511,600,180Payment for cost and expens (606,418,865) (831,411,793) (857,564,746) (1,070,958,224) (1,389,006,438)Interest paid on bank loan (797,659) - - - - - - - - -Income tax paid and deducte 13,893,809 (26,701,702) (25,734,391) (26,092,157) (36,030,572) (108,772,743) (205,025,238) (263,865,727) (339,592,932) (437,053,199)

Net cash flow from OA 148,608,344 52,819,609 104,759,743 32,142,851 86,563,170 343,434,269 313,199,190 403,193,241 518,995,614 668,016,515

Cash flow from investment activitiesAcquisition of fixed assets (646,684) (1,804,845) (4,604,542) (1,920,363) (1,314,501) (3,931,242) (5,059,474) (6,511,500) (8,380,245) (10,785,303)Disposal of fixed assets - 113,339 - - 25,380 - - - - -

CWIP/Other asset - (270,700) (61,595) (61,595) (2,515,978) - - - - -Net cash flow from IA (646,684) (1,962,206) (4,666,137) (1,981,958) (3,805,099) (3,931,242) (5,059,474) (6,511,500) (8,380,245) (10,785,303)

Cash flow from financing activitiesLoan repaid (17,731,899) (2,000,000) - - - - - - - -

Dividend paid (13,184,289) (19,695,360) (7,327,675) (20,146,930) (28,403,779) (98,508,768) (126,911,905) (163,443,100) (210,439,234) (270,907,093)Net cash flow from FA (30,916,188) (21,695,360) (7,327,675) (20,146,930) (28,403,779) (98,508,768) (126,911,905) (163,443,100) (210,439,234) (270,907,093)

Increase/(Decrease) in cas 117,045,472 29,162,043 92,765,931 10,013,963 54,354,292 240,994,260 181,227,810 233,238,641 300,176,136 386,324,118

Statement of Cash Flow

(Direct method)


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FORECAST ASSUMPTIONS

2006 2007 2008 2009 20101.) Sales growth 28.70% 28.70% 28.70% 28.70% 28.70%

2.) Income statement accounts

Cost of sales/sales 92.40% 92.40% 92.40% 92.40% 92.40%

SG&A/sales 0.30% 0.30% 0.30% 0.30% 0.30%Income tax rate 22.12% 22.12% 22.12% 22.12% 22.12%

3.) Current (working capital) accounts

Cash 8.45% 8.45% 8.45% 8.45% 8.45%

Advances, Deposits and Prepayments 1.25% 1.25% 1.25% 1.25% 1.25%BSEC C/A 0.08% 0.08% 0.08% 0.08% 0.08%

Inter project C/A 0.15% 0.15% 0.15% 0.15% 0.15%Advanced Tax 9.56% 9.56% 9.56% 9.56% 9.56%A/R 0.87% 0.87% 0.87% 0.87% 0.87%

Inventories 10.88% 10.88% 10.88% 10.88% 10.88%

A/P 4.25% 4.25% 4.25% 4.25% 4.25%Inter Project C/A 0.00% 0.00% 0.00% 0.00% 0.00%Provision for Taxation 7.89% 7.89% 7.89% 7.89% 7.89%

4.) Common stock 177,777,770 177,777,770 177,777,770 177,777,770 177,777,770Capital Reserve 5,215,219 5,215,219 5,215,219 5,215,219 5,215,219General Reserve 18,000,000 18,000,000 18,000,000 18,000,000 18,000,000

Share Premium 158,182,500 158,182,500 158,182,500 158,182,500 158,182,500

5.) Gross PPE, beginning balance 45,900,740 49,831,982 54,891,456 61,402,956 69,783,201

Planned additions 3,931,242 5,059,474 6,511,500 8,380,245 10,785,303Gross PPE, ending balance 49,831,982 54,891,456 61,402,956 69,783,201 80,568,504

6.) Total depreciation 3,405,712 3,624,133 4,039,821 4,685,248 5,606,563

A/depreciation, beginning balance 27,372,919 30,778,631 34,402,764 38,442,585 43,127,833A/depreciation, ending balance 30,778,631 34,402,764 38,442,585 43,127,833 48,734,396

Total debt without new financing 5,184,296 5,184,296 5,184,296 5,184,296 5,184,296

7.) Interest expense - - - - -

Bank charges on the basis of sales 0.01% 0.01% 0.01% 0.01% 0.01%Other income on the basis of sales 0.34% 0.34% 0.34% 0.34% 0.34%

8.) EBT&WPPF 566,574,286 729,935,248 940,044,826 1,210,343,615 1,558,125,187% 5% 5% 5% 5% 5%

WPPF 28,328,714 36,496,762 47,002,241 60,517,181 77,906,259

9.) Cash Dividend 98,508,768 126,911,905 163,443,100 210,439,234 270,907,093Retained earnings, beginning balance 575,683,643 896,361,122 1,309,499,878 1,841,559,331 2,526,606,198Net income 419,186,247 540,050,661 695,502,554 895,486,100 1,152,796,140

Dividends (98,508,768) (126,911,905) (163,443,100) (210,439,234) (270,907,093)Retained earnings, ending balance 896,361,122 1,309,499,878 1,841,559,331 2,526,606,198 3,408,495,245

10.) New funding needed plug (403,584,267) (495,016,885) (558,228,380) (585,186,666) (565,542,490)

11.) Other assets 969,548 969,548 969,548 969,548 969,548

12.) Defferred liability (on sales) 1.29% 1.29% 1.29% 1.29% 1.29%Defferred liability 96,363,971 124,019,606 159,612,172 205,419,500 264,373,139


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2001 2002 2003 2004 2005 Mean 2006 2007 2008 2009 2010

Assets

Cash 13.09% 7.62% 6.39% 8.43% 6.73% 8.45% 8.45% 8.45% 8.45% 8.45% 8.45%Advanced, Deposit and Prepayments 1.31% 0.56% 1.75% 1.23% 1.40% 1.25% 1.25% 1.25% 1.25% 1.25% 1.25%

BSEC C/A 0.12% 0.07% 0.07% 0.07% 0.06% 0.08% 0.08% 0.08% 0.08% 0.08% 0.08%Inter project C/A 0.24% 0.18% 0.13% 0.11% 0.10% 0.15% 0.15% 0.15% 0.15% 0.15% 0.15%

Advance Tax 10.41% 9.36% 8.60% 9.00% 10.43% 9.56% 9.56% 9.56% 9.56% 9.56% 9.56%A/R 0.80% 0.60% 0.92% 1.72% 0.31% 0.87% 0.87% 0.87% 0.87% 0.87% 0.87%

Inventories 9.73% 10.96% 11.93% 10.64% 11.14% 10.88% 10.88% 10.88% 10.88% 10.88% 10.88%

Current assets 35.69% 29.35% 29.79% 31.20% 30.16% 31.61% 31.24% 31.24% 31.24% 31.24% 31.24%

Gross PP&E 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.67% 0.57% 0.50% 0.44% 0.39%A/D 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.41% 0.36% 0.31% 0.27% 0.24%

Net PP&E 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.25% 0.21% 0.19% 0.17% 0.16%

Other Assets 0.04% 0.03% 0.02% 0.02% 0.02% 0.01% 0.01% 0.01% 0.01% 0.00%Total assets 35.69% 29.38% 29.81% 31.22% 30.18% 31.63% 31.50% 31.46% 31.43% 31.41% 31.40%

Liabilities & equity

New funding (plug) -5.40% -5.15% -4.51% -3.67% -2.76%

A/P 3.02% 4.13% 6.52% 4.53% 3.05% 4.25% 4.25% 4.25% 4.25% 4.25% 4.25%Inter project C/A 0.01% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Provision for Taxation 8.88% 7.41% 6.92% 7.80% 8.43% 7.89% 7.89% 7.89% 7.89% 7.89% 7.89%Unpaid Dividend 1.74% 2.09% 2.22% 2.23% 1.44% 1.94% 6.51% 5.70% 4.63% 3.46% 2.28%

Proposed Dividend 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 2.52% 1.96% 1.52% 1.18% 0.92%Proposed Bonus Share 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Other current liabilities 0.34% 0.23% 0.39% 0.45% 0.46% 0.37% 0.00% 0.00% 0.00% 0.00% 0.00%Current liabs. 13.65% 13.86% 16.05% 15.01% 13.38% 14.39% 15.77% 14.65% 13.78% 13.11% 12.59%

Long-term debt 0.33% 0.24% 0.17% 0.10% 0.09% 0.19% 0.07% 0.05% 0.04% 0.03% 0.03%Deferred liabilities 1.99% 1.37% 0.95% 1.10% 1.03% 1.29% 1.29% 1.29% 1.29% 1.29% 1.29%

Total liabilities 15.97% 15.47% 17.17% 16.22% 14.51% 15.87% 17.13% 15.99% 15.11% 14.43% 13.90%Common stock 3.71% 3.32% 2.33% 2.66% 3.06% 3.01% 2.38% 1.85% 1.44% 1.12% 0.87%

Capital Reserve 0.24% 0.17% 0.12% 0.10% 0.09% 0.15% 0.07% 0.05% 0.04% 0.03% 0.03%

General Reserve 0.83% 0.60% 0.42% 0.36% 0.31% 0.50% 0.24% 0.19% 0.15% 0.11% 0.09%Share Premium 0.00% 0.00% 1.87% 3.15% 2.72% 1.55% 2.12% 1.64% 1.28% 0.99% 0.77%R/E 8.24% 5.13% 6.48% 9.09% 9.92% 7.77% 12.00% 13.62% 14.88% 15.86% 16.63%

Total equity 13.03% 9.22% 11.22% 15.36% 16.10% 12.99% 14.38% 15.47% 16.32% 16.98% 17.49%Total liabilities & equity 29.00% 24.69% 28.39% 31.58% 30.61% 28.85% 31.50% 31.46% 31.43% 31.41% 31.40%

Pro Forma

COMMON SIZE BALANCE SHEET--BASED ON SALES

Actual

Ratio Analysis Atlas Final

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