Berger Paints Bangladesh Limited

Statement of Financial Position

As at 31 December 2015 Amounts in Taka 000
Notes 2015 2014

Assets
Non-current assets
Property, plant and equipment 3 1,843,340 1,578,664
Capital work-in-progress 4 390,590 171,604
Intangible assets 5 64,244 23,076
2,298,174 1,773,344
Investment - at cost 6 89,300 39,300
Total non-current assets 2,387,474 1,812,644
Current assets
Inventories 7 1,513,733 1,660,913
Trade and other receivables 8 939,573 832,711
Advances, deposits and prepayments 9 236,617 217,539
Term deposit 10 800,000 400,000
Cash and cash equivalents 10 330,156 293,875
Inter - company receivables 11 128,517 125,451
Deferred tax assets 2.14.2 2,990 3,741
Total current assets 3,951,586 3,534,230
Total assets 6,339,060 5,346,874

Equity and Liabilities

Share capital 12.2 231,889 231,889
Share premium 13 115,068 115,068
General reserve 10,000 10,000
Retained earnings 14 3,681,556 2,997,648
Equity attributable to the Companys equity holders 4,038,513 3,354,605
Non-current liabilities
Deferred tax liabilities 15 167,599 140,851
Total non-current liabilities 167,599 140,851
Current liabilities
Operational overdraft (OD) 16 1,859 102,434
Trade and other payables 17 1,747,146 1,426,465
Provision for royalty 18 166,027 142,515
Provision for current tax 19 197,886 157,170
Provision for employees retirement gratuity 20 11,961 15,114
Unclaimed dividend - local 7,922 7,573
Liability for unclaimed IPO application money 21 147 147
Total current liabilities 2,132,948 1,851,418
Total liabilities 2,300,547 1,992,269
Total equity and liabilities 6,339,060 5,346,874
Contingent liabilities 22 590,961 749,439
The accompanying notes 1 to 42 and Annexure-A form an integral part of these financial statements.

Managing Director Director Director & CFO Company Secretary
As per our report of same date

Hoda Vasi Chowdhury & Co.

Dhaka, 14 March, 2016 Chartered Accountants

42
 Berger Paints Bangladesh Limited
Statement of Comprehensive Income
For the year ended 31 December 2015 Amounts in Taka 000
Notes 2015 2014

Revenue-net 23 12,267,996 10,881,046

Cost of sales 24 (7,012,664) (6,585,744)
Gross profit 5,255,332 4,295,302

Selling, distribution and warehousing expenses 25 (2,921,141) (2,535,540)

Administrative and general expenses 26 (378,465) (326,671)
Other operating expenses 27 (91,995) (80,582)
Other operating income 28 132,670 168,444
(3,258,931) (2,774,349)
Operating income 1,996,401 1,520,953

Finance costs 29 (7,884) (4,573)

Investment income 30 48,534 48,343
Net finance income 40,650 43,770

Other non-operating (loss) / income 31 (2,088) 1,789

Income before WPPF and tax 2,034,963 1,566,512
Workers profit participation and welfare fund (WPPF) 17 (101,509) (77,738)
Income before tax 1,933,454 1,488,774

Current tax expenses 2.14 & 19 (480,000) (380,000)

Deferred tax expenses 2.14.1 & 2.14.2 (27,499) (11,165)
(507,499) (391,165)

Net income 38 1,425,955 1,097,609

Basic earnings per share 38 61.49 47.33

The accompanying notes 1 to 42 and Annexure-A form an integral part of these financial statements.

Managing Director Director Director & CFO Company Secretary
As per our report of same date

Hoda Vasi Chowdhury & Co.

Dhaka, 14 March, 2016 Chartered Accountants

43
 Berger Paints Bangladesh Limited Berger Paints Bangladesh Limited
Statement of Financial Position Statement of Comprehensive Income
As at 31 December 2014 Amounts in Taka '000 For the year ended 31 December 2014
Notes 2014 2013
Assets Amounts in Taka '000
Non-current assets
Notes 2014 2013
Property, plant and equipment 3 1,578,664 1,299,238
Capital work-in-progress 4 171,604 100,405
Intangible assets 5 23,076 16,749
Revenue-net 23 10,881,046 8,796,778
1,773,344 1,416,392
Term deposit 10.1 - - Cost of sales 24 (6,585,744) (5,481,844)
Investment - at cost 6 39,300 39,300 Gross profit 4,295,302 3,314,934
39,300 39,300
Total non-current assets 1,812,644 1,455,692 Selling, distribution and warehousing expenses 25 (2,535,540) (1,840,747)
Current assets
Inventories 7 1,660,913 1,308,485 Administrative and general expenses 26 (404,409) (321,653)
Trade and other receivables 8 832,711 659,103 Other operating expenses 27 (80,582) (68,598)
Advances, deposits and prepayments 9 217,539 178,726
Other operating income 28 168,444 123,279
Term deposit 10.2 400,000 250,000
Cash and cash equivalents 10.2 293,875 356,039 (2,852,087) (2,107,719)
Inter - company receivables 11 125,451 67,330 Operating income 1,443,215 1,207,215
Deferred tax assets 2.14.2 3,741 6,988
Total current assets 3,534,230 2,826,671
Finance costs 29 (4,573) (10,805)
Total assets 5,346,874 4,282,363
Investment income 30 48,343 31,495
Equity and Liabilities
Share capital 12.2 231,889 231,889 Net finance income 43,770 20,690
Share premium 13 115,068 115,068
General reserve 10,000 10,000 Other non-operating income 31 1,789 606
Retained earnings 14 2,997,648 2,410,195 Income before tax 1,488,774 1,228,511
Equity attributable to the Company's equity holders 3,354,605 2,767,152
Non-current liabilities Current tax expenses 2.14 & 19 (380,000) (340,000)
Deferred tax liabilities 15 140,851 132,934
Total non-current liabilities 140,851 132,934 Deferred tax expenses 2.14.1 & 2.14.2 (11,165) (27,572)
Current liabilities (391,165) (367,572)
Operational overdraft (OD) 16 102,434 67,691
Trade and other payables 17 1,426,465 1,001,498 Net income 38 1,097,609 860,939
Provision for royalty 18 142,515 124,774
Provision for current tax 19 157,170 152,838
Provision for employees' retirement gratuity 20 15,114 28,237 Basic earnings per share 38 47.33 37.13
Unclaimed dividend - local 7,573 7,092
Liability for unclaimed IPO application money 21 147 147
Total current liabilities 1,851,418 1,382,277 The annexed notes 1 to 42 form and integral part of these financial statements.
Total liabilities 1,992,269 1,515,211
Total equity and liabilities 5,346,874 4,282,363
Contingent liabilities and assets 22 996,833 661,551

The annexed notes 1 to 42 form and integral part of these financial statements.

Director & Company Secretary Director Managing Director Director & Company Secretary Director Managing Director
annual report 2014

annual report 2014

As per our report of same date. As per our report of same date.

A. Qasem & Co. A. Qasem & Co.
Dhaka, 16 March 2015 Chartered Accountants Dhaka, 16 March 2015 Chartered Accountants
50 51
 Berger Paints Bangladesh Limited Berger Paints Bangladesh Limited
Statement of Changes of Equity Statement of Cash Flows
For the year ended 31 December 2014 For the year ended 31 December 2014

Amounts in Taka '000

Taka in '000 Notes 2014 2013
Share General Share Retained Total
Particulars
Capital Reserve Premium Earnings Equity Cash flows from operating activities (A)
Cash received from customers 10,709,204 8,635,379
Balance at 1 January 2013 231,889 10,000 115,068 1,966,657 2,323,614 Cash received from other operating income 210,448 145,950
Net profit during the year - - - 860,939 860,939 Cash paid to suppliers and employees (9,387,465) (7,510,570)
Dividend distributed during the year - note 14 - - - (417,401) (417,401) Payment of Interest (4,338) (10,530)
Income tax paid 19 (375,668) (270,652)
Balance at 31 December 2013 231,889 10,000 115,068 2,410,195 2,767,152 Net cash flows from operating activities 38 1,152,181 989,577

Cash flows from investing activities (B)

Balance at 1 January 2014 231,889 10,000 115,068 2,410,195 2,767,152
Capital expenditures 3, 4 & 5 (592,608) (460,100)
Net profit during the year - - - 1,097,609 1,097,609
Investment in Non-current assets (FDRs) 10.1 - 87,381
Dividend distributed during the year - note 14 - - - (510,156) (510,156)
Proceeds from disposal of assets 3.3 3,196 7,818
Net cash used in investing activities (589,412) (364,901)
Balance at 31 December 2014 231,889 10,000 115,068 2,997,648 3,354,605
Cash flows from financing activities (C)
Notes 12.2 13 14 Refund of IPO application money 21 - -
Dividend paid (509,676) (417,197)

The annexed notes 1 to 42 form and integral part of these financial statements. Net cash used in financing activities (509,676) (417,197)

Increase in cash and bank balance (D) = (A+B+C) 53,093 207,479
Opening cash and cash equivalents (E) 10.2 & 16 538,348 330,869

Closing net cash and cash equivalents (D+E) 10.2 & 16 591,441 538,348

Reconciliation of cash in hand & at bank and operational OD:

Term deposit 10.2 400,000 250,000
Director & Company Secretary Director Managing Director
Cash and cash equivalents 10.2 293,875 356,039
As per our report of same date.
Operational overdraft (OD) 16 (102,434) (67,691)
10.2 & 16 591,441 538,348
A. Qasem & Co.
Dhaka, 16 March 2015 Chartered Accountants The annexed notes 1 to 42 form and integral part of these financial statements.

Director & Company Secretary Director Managing Director
annual report 2014

annual report 2014

As per our report of same date.

A. Qasem & Co.
Dhaka, 16 March 2015 Chartered Accountants
52 53
 Audited Financial Statements
Statement of Financial Position
As
at 31 December 2013 Amounts in Taka '000
Notes 2013 2012
Assets
Non-current assets
Property, plant and equipment 3 1,299,238 1,001,521
Capital work-in-progress 4 100,405 125,556
Intangible assets 5 16,749 23,121
1,416,392 1,150,198
Term deposit 10.1 - 87,381
Investment - at cost 6 39,300 39,300
39,300 126,681
Total non-current assets 1,455,692 1,276,879
Current assets
Inventories 7 1,308,485 1,190,049
Trade & other receivables 8 659,103 499,686
Advances, deposits and prepayments 9 178,725 147,167
Term deposit 10.2 250,000 69,155
Cash and cash equivalents 10.2 356,039 294,885
Inter - company receivables 11 67,330 90,280
Deferred tax assets 2.14.2 6,988 -
Total current assets 2,826,670 2,291,222
Total assets 4,282,362 3,568,101

Equity and Liabilities
Share capital 12.2 231,890 231,890
Share premium 13 115,068 115,068
General reserve 10,000 10,000
Retained earnings 14 2,410,195 1,966,657
Equity attributable to the Companys equity holders 2,767,153 2,323,615
Non-current liabilities
Deferred tax liabilities 15 132,934 98,374
Total non-current liabilities 132,934 98,374
Current liabilities
Bank overdraft 16 67,691 33,171
Trade and other payables 17 1,001,498 848,473
Provision for royalty 18 124,774 168,773
Provision for current tax 19 152,838 83,490
Employees retirement gratuity 20 28,237 5,172
Unclaimed dividend - local 7,090 6,886
Liability for unclaimed IPO application money 21 147 147
Total current liabilities 1,382,275 1,146,112
Total liabilities 1,515,209 1,244,486
Total equity and liabilities 4,282,362 3,568,101

Contingent liabilities and assets 22 661,551 909,966

FOOTNOTES:
1. Auditors Report - Page 47.
2. The accompanying notes form an integral part of these financial statements.

Director & Company Secretary Director Managing Director

BERGER ANNUAL REPORT 2013

Dated, Dhaka A. Qasem & Co.

16 March 2014 Chartered Accountants

48
Statement of Comprehensive Income
For the year ended 31 December 2013

Amounts in Taka 000

Notes 2013 2012
Revenue-net 23 8,796,778 7,611,213
Cost of sales 24 (5,479,651) (5,086,852)
Gross profit 3,317,127 2,524,361

Selling, distribution and warehousing expenses 25 (1,842,940) (1,282,451)
Administrative & general expenses 26 (321,653) (276,422)
Other operating expenses 27 (68,598) (62,069)
Other operating income 28 123,279 109,379
(2,109,912) (1,511,563)

Operating income 1,207,215 1,012,798

Finance costs 29 (10,805) (17,772)

Investment income 30 31,495 26,254
Net finance income 20,690 8,482

Other non-operating income 31 606 1,063

Income before tax 1,228,511 1,022,343

Provision for current tax 2.14 & 19 (340,000) (274,000)
Deferred tax liabilities 2.14.1 & 2.14.2 (27,572) 4,447
(367,572) (269,553)

Net income 860,939 752,790

Basic earnings per share 38 37.13 32.46

FOOTNOTES:
1. Auditors Report - Page 47.
2. The accompanying notes form an integral part of these financial statements.

Director & Company Secretary Director Managing Director

Dated, Dhaka A. Qasem & Co.
16 March 2014 Chartered Accountants
BERGER ANNUAL REPORT 2013

49
 Audited Financial Statements
Statement of Financial Position
As
at 31 December 2012 Taka in '000
Note 31-Dec-12 31-Dec-11
Applications of Funds
Non - Current Assets
Property, plant and equipment 3.1 1,001,521 1,013,948
Capital work-in-progress 4 125,556 14,086
Intangible assets 5 23,121 34,311
1,150,198 1,062,345

Term deposit 10.1 87,381 58,397

Investments - at cost 6.1 39,300 39,300
126,681 97,697
1,276,879 1,160,042
Current Assets
Stocks 7 1,190,049 1,346,988
Book debts 8 499,686 472,468
Advances, deposits and prepayments 9 147,167 153,202
Cash and bank balances 10.2 364,040 265,362
Inter-company receivables 11 90,280 26,627
2,291,222 2,264,647
Current Liabilities and Provisions
Operational overdraft (OD) 12 (33,171) (317,423)
Creditors and accruals 13 (848,473) (758,445)
Provision for royalty 14 (168,773) (188,614)
Provision for tax 15 (83,490) (56,684)
Employees' retirement gratuity 16 (5,172) (6,127)
Unclaimed dividend - local (6,886) (6,196)
Liability for unclaimed IPO application money 17 (147) (153)
(1,146,112) (1,333,642)
Net Current Assets 1,145,110 931,005
Capital Employed 2,421,989 2,091,047
Sources of Funds
Shareholders' Funds
Share capital 18.2 231,890 231,890
Reserves and surplus
General reserve 10,000 10,000
Share premium 19 115,068 115,068
Unappropriated profit 20 1,966,657 1,631,268
2,091,725 1,756,336
Deferred Liabilities
Deferred tax 21 98,374 102,821
2,421,989 2,091,047
Contingent liabilities & assets 22 860,966 484,099
These financial statements should be read in conjunction with the annexed notes

Director & Company Secretary Director Managing Director

Auditors' Report to the Shareholders
See annexed report
Dhaka, 17 March 2013 A. Qasem & Co.
Chartered Accountants

48 BERGER ANNUAL REPORT 2012

Statement of Comprehensive Income
For the year ended 31 December 2012

Taka in '000
Note 2012 2011
Sales - net 23 7,611,213 6,321,274
Cost of sales 24 (5,086,852) (4,192,032)
Gross profit 2,524,361 2,129,242
Expenses
Warehousing, distribution & selling 25 (1,282,451) (1,046,280)
Administrative 26 (223,197) (190,001)
(1,505,648) (1,236,281)
Trading profit 1,018,713 892,961
Other operating charges
Royalty 14 (59,639) (47,497)
Training and consultancy fee 27 (2,430) (2,700)
(62,069) (50,197)
Financial expenses (Borrowing costs) 2.17 (17,866) (43,661)
Other operating income 28.1 125,727 126,594
Net other income 45,792 32,736
Gross operating profit 1,064,505 925,697
Contribution @ 5% of gross operating
profit to workers profits participation &
welfare funds 13.1 (53,225) (46,285)
Net operating profit 1,011,280 879,412
Dividend income from J&N (B) L 10,000 10,000
Other non-operating income 28.2 1,063 5,387
Profit before tax 1,022,343 894,799
Provision for current tax 2.14 & 15 (274,000) (170,000)
Provision for deferred tax 2.14.1 & 21 4,447 (3,636)
(269,553) (173,636)

Profit after tax 752,790 721,163
Basic earnings per share 35
32.46 31.10

These financial statements should be read in conjunction with the annexed notes

Director & Company Secretary Director Managing Director

Auditors' Report to the Shareholders
See annexed report
Dhaka, 17 March 2013 A. Qasem & Co.
Chartered Accountants

BERGER ANNUAL REPORT 2012 49