PIONEER CEMENT LIMITED

Muhammad Ayaz Iqbal

College of Banking and Finance

Course Teacher

Sir Zeeshan Saleem

•The company was incorporated in Pakistan as a public

company limited by shares on February 09, 1986.

•quoted on all stock exchanges in Pakistan. The principal

activity of the Company is manufacturing and sale of

cement.

•With a Paid up Capital of 227.1 million shares of Rs. 10/=

each.

•Its systems are also certified against ISO 9001:2008 QMS

and ISO:1400:2004 for environmental protection.

•The plant is located at Chenki, District Khushab, in the heart

of Punjab Province, 250 km away from Lahore and 120km

away from Motorway (M2).

VISSION AND MISSION• Pioneer Cement Limited, is committed to make sustained efforts

towards optimum utilization of its resources through good corporate governance for serving the interest of all its stakeholders.

STRATEGIC GOALS

• Customers’ satisfaction• Efficient deployment of resources• Research and development• Maximization of profits• Environmental initiatives

CORE VALUES

• Professional ethics

• Respect and courtesy

• Recognition of human asset

• Teamwork

• Innovations and improvement

ACHIEVEMENTS

• In 1992, the company started commissioning of Production Line 1, the most modern dry process cement plant.

• In 2002, ISO 9002 certification to manufacture quality cement according to International and Pakistani quality standards. Achieved ISO 14001 Certification to ensure latest environmental and safety aspects.

• In 2001, Pioneer Cement was the first ever company in domestic cement sector which was operational with coal firing system.

• In 2007, Achieved first “Brand of the Year” award. • Institute of Chartered Accountants of Pakistan awarded

1st prize of “Professional Excellence Awards 2014” in recognition of historical turnaround of Pioneer Cement Limited.

ORGANIZATIONAL HIERARCHY

PRODUCTS AND SERVICES

The main product of Pioneer Cement Limited are

• Ordinary Portland Cement,

• Sulphate Resistance Cement.

COMPETITORS

The competitors of Pioneer Cement Limited are:

• Zeal Pak Cement

• Attock Cement

• Essa Cement

• Thatta Cement

• Thal Limited

• Maple Leaf Cement

ANALYSIS OF CURRENT ASSETS AND

CURRENT LIABILITIES

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

3,500,000

4,000,000

4,500,000

2014 2013 2012Current Assets 4,262,024 3,701,769 1,941,046

Current Liabilities 2,982,140 3,429,634 4,493,378

ANALYSIS OF NET SALES AND COST OF

SALES

0

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

6,000,000

7,000,000

8,000,000

9,000,000

2014 2013 2012Net sales 8,024,777 7,568,432 6,487,127

Cost of sales 5,435,809 5,163,047 4,900,167

Ax

is T

itle

Comparison of Net Sales to Cost of Sales

Analysis of Shareholders

Directors, Chief ExecutiveOfficer, and their spouseand minor children

NIT and ICP

Banks, DevelopmentFinancial Institutions,Non Banking FinancialInstitutions7.1526%

Modarabas and MutualFunds

Shareholders holding 10%or more

Market Performance

0102030405060708090

100D

ec-1

2

Feb

-13

Ap

r-13

Ju

n-1

3

Au

g-1

3

Oct

-13

Dec

-13

Feb

-14

Ap

r-14

Ju

n-1

4

Au

g-1

4

Oct

-14

Dec

-14

Feb

-15

Ap

r-15

Ju

n-1

5

Au

g-1

5

Dec-12

Mar-13

Jun-13

Sep-13

Dec-13

Mar-14

Jun-14

Sep-14

Dec-14

Mar-15

Jun-15

Sep-15

Share Price 18 22.8 29.4 28.6 38.3 46.7 46.7 52.8 85.6 78.6 85.3 87.7

Share Price

CONCLUSION• There are no significant doubts upon Company’s ability

to continue as a going concern.• The Board comprises eight (8) non-executive directors

(including Chairman) and two (2) executive directors (including CEO).

• The company has the most modern Dry Process Cement Plant and she is the very first cement company to work with coal firing system.

• The company has achieved the highest net sales revenue of Rs. 8,024.8 million, gross profit of Rs. 2,589.0 million and after tax profit of Rs. 1,768.9 million, an increase of 6%, 7.6% and 15.2% respectively over the last year.

• Based on net profit after tax for the year ended June 30, 2014, earning per share of the Company is Rs. 7.79 (2013: Rs. 6.76).

• The market price of her shares has reached to Rs. 87.71 per share in the last quarter of 2014, which is the peak point so far.

• There are no significant doubts upon Company’s ability to continue as a going concern.