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NTC

All Eps Dividend Board Agm Q1 Q2 Q3

NTC 31-Oct-2021

(Continuation news of NTC): short term loan stood at Taka 2,005,000,429 as at 30 June 2021. During the year, the Company took new loan and converted short term loan of Taka 480,186,717 to long term as well. Moreover, last two years the Company has failed to generate positive cash flow from operation and accumulated loss stood at Taka 434,640,364. If this situation continues for a longer period, the Company is unlikely to meet its financial obligations including bank loans. (cont.7)

NTC 31-Oct-2021

(Continuation news of NTC): However, during the year under audit the Company could not make profit and as such no provision for WPPF and WF required to be made. 2. Liquidity risk: We draw attention to note 38.03 to the accompanying financial statements where the management has explained how they will overcome liquidity crisis. The Company's reliance on loan is increasing and the total balance of long and (cont.6)

NTC 31-Oct-2021

(Continuation news of NTC): capital-work-in-progress which overstated the properly, plant and equipment even further. Emphasis of matters: Without qualifying our report, 1. Workers' Profit Participation Fund (WPPF) and Welfare Fund (WF): We draw attention to note 5I(i) to the accompanying financial statements that no provision has been made in previous years for Workers' Profit Participation and Welfare Fund (WF). (cont.5)

NTC 31-Oct-2021

(Continuation news of NTC): The management of the Company could not quantity the impact of such under provision of depreciation. In the absence of bearer plants capitalization and deprecation policy neither we could calculate accumulated depreciation and depreciation charge for the year, nor we could find any basis for the lump sum provision. Immature bearer plants for which no valuation is available either have also been capitalized as asset rather than (cont.4)

NTC 31-Oct-2021

(Continuation news of NTC): plant and equipment, profit for the year and cumulative retained earnings. Although the Company has made a provision for the lump sum amount of Taka 27,060,250 for depreciation on bearer plants on straight line basis this year, the life of such assets is not clearly defined and recorded nor are any adjustments with retained earnings for prior year depreciations reflected in the financial statements. (cont.3)

NTC 31-Oct-2021

(Continuation news of NTC): However, the Company does not have any policy to value such asset either at cost or revaluation model as per IFRS requirement and depreciate accordingly over the asset's useful life. As a result, since the asset is gradually losing its finite life and ability to generate cash flow in the future, the financial statements are not reflecting the outcome of appropriate valuation and required depreciation which is resulting in overstatement of property, (cont.2)

NTC 31-Oct-2021

The auditor of the National Tea Company Ltd. has given the "Qualified Opinion" & "Emphasis of matters" paragraphs in the Auditor's Report for the year ended on 30 June, 2021. Qualified Opinion: Basis for qualified opinion: We refer to note 6.01 and 5A(iii), properly, plant and equipment which include "bearer plants" presented under "Plantation" for the amount of Taka 2,014,101,585. Bearer plants have a finite life and must be depreciated under IAS 16 Paragraph 6. (cont.1)

NTC 27-Oct-2021

There will be no price limit on the trading of the shares of the Company today (27.10.2021) following its corporate declaration.

NTC 27-Oct-2021

(Cont. of NTC): The Company has informed that Negative EPS has been decreased this year due to Tea average price increase BDT 31.49 per KG in Chittagong Auction Market. (End)

NTC 27-Oct-2021

The Board of Directors has recommended 10% cash dividend for the year ended on June 30, 2021. Date of AGM: 27.12.2021, Time: 11:00 AM, Venue: Digital Platform. Record date: 23.11.2021. The Company has also reported EPS of Tk. (31.68), NAV per share of Tk. 84.27 and NOCFPS of Tk. (10.58) for the year ended on June 30, 2021 as against Tk. (55.71), Tk. 116.75 and Tk. (34.20) respectively for the same period of the previous year. (Cont.)

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