Pachin analysis presentation

1. NATIONAL BANK OF EGYPT PACHIN Profile Paints and chemical industry , Pachin (S.A.E)

3. COMPANY PRODUCTS

8. Balance Sheet FINANCIAL DATA 567,428 573,613 557,951 Total liabilities and owners equity 389,134 377,570 371,972 Total Owner's equity 178,143 195,920 185,862 Total liabilities 175,148 193,953 183,448 Total Current liabilities 31,732 33,369 16,837 Account Payable 6,122 29,945 39,603 Bank Overdraft 2006 2005 2004 Liabilities and Owner's equity 567,428 573,613 557,951 Total assets 775 775 775 Investment 200,614 194,305 196,638 Net Fixed Assets 325,604 347,141 326,260 Total Current assets 114,849 151,952 145,585 Total Inventory 33,357 46,029 59,711 Notes receivables 35,314 29,140 27,816 Net Account receivable 60,739 55,926 42,441 Cash 2006 2005 2004 Assets in thousands Balance Sheet 351,070 347,493 339,450 Total Invested Fund 389,134 377,570 371,972 Total equity 31,732 33,369 16,837 Total Accounts Payable 68,671 75,169 87,527 Total Accounts Receivable 178,143 195,920 185,862 Total Debts 133,994 165,519 161,339 Working Investment 150,456 153,188 142,812 working capital

10. Ratio Analysis ROS: represent that each one pound of sales generated in net profit after tax Sales: Increase in sales due to increase in the volume of sales not the price, as the firm can not pass the increase in the price of raw material to the final consumer as there are very high competition in the market. Industry rate represent 70 % in industry but as shown above we determine that the company can not manage cost due to dramatic increase in cost of raw material, that represent each one pound of sales is incurred 0.80 pound in COGS. Paints and chemical industry , Pachin (S.A.E) 21% 19% 18% NET Profit/ Sales 2006 2005 2004 79% 80% 80% COGS/ Sales 2006 2005 2004 7% 13% Sales Growth Rate 476,882 444,384 393,525 Total Sales 2006 2005 2004

11. Represent that each pound in sales incurred 0.04 in G&A expenses that the result of increasing in advertising expenses and promotion exp. Of the new segment in Libya. Represent that each one pound in sales is generating 0.17 pound in net operating profit . The reverse ratio of COGS/Sales represent that each pound in sales generating 0.20 pound in gross profit Ratio Analysis Paints and chemical industry , Pachin (S.A.E) 4% 3% 4% G&A Exp / sales 2006 2005 2004 2004 2005 2006 EBIT Margin % 16% 16% 17% 21% 20% 20% Gross Margin % 2006 2005 2004

16. Capital Structure Paints and chemical industry , Pachin (S.A.E) Working Capital Adequacy 55,675 68,894 65,785 Total Permanent Fund 78,319 96,625 95,554 Bank Overdraft Desired 150,456 153,188 142,812 working capital 6,122 29,945 39,603 Bank Overdraft Actual 55,675 68,894 65,785 Total Permanent Fund 26,799 33,104 32,268 WI permanent level 28,876 35,790 33,517 Shrinkage 22,970 30,390 29,117 inventory 5,906 5,400 4,400 A/R Capital structure 37.3% 33.8% 33.5% WC adequacy after shrinkage -9% -10% -10% Shrinkage in WC 296,728 311,351 292,743 CA After Shrinkage 46.2% 44.1% 43.8% WC adequacy

17. Working investment 161,339 Permanent Fund 55,675 STB 78,319 Equity 28,876 LTD 26,799 Paints and chemical industry , Pachin (S.A.E) Capital Structure Actual Working investment 161,339 Working Capital 150,452 STB 6,122 Desired