®

GOLDEN SON LIMITED

A PU B L I C L I MI TE D COMPANY

ANNUAL
REPORT
Contents

Board of Directors 05
"BAPLC Renewed" Certificate 06
Notice of the Annual General Meeting 07
Round - Up Managing Director 08
Brief Resume of Board of Directors 09
Corporate Governance Statement 15
Director's Report to the Shareholders 16 - 21
Director's Responsibilities Statements 22
Declaration of Managing Director and Chief Financial Officer (Annexure -1) 23
Sub- 24
Pattern of Shareholding (Annexure - III) 25
Status of Compliance (Annexure - IV) 26 - 36
Certificate on Compliance on the Corporate Governance Code (Annexure - V ) 37
Report of the Audit Committee (Annexure - VI) 38 - 39
Statement of NRC (Annexure - VII) 40
Financial Highlights & Financial Performance (Annexure-VIII) 41
Earnings Per Share and Paid - Up Capital Structure 42
"CE & ETL" Certificate 43 - 46
Auditor's Report 47 - 50
Consolidated Statement of Financial Position 51
Consolidated Statement of Profit or Loss and Other Comprehensive Income 52
Consolidated Statement of Changes in Equity 53
Consolidated Statement of Cash Flows 54
Statement of Financial Position 55
Statement of Profit or Loss and Other Comprehensive Income 56
Statement of Changes in Equity 57
Statement of Cash Flows 58
Notes to the Financial Statements 59 - 91
Subsidiary Profiles (Golden Infinity Ltd.)
Director's Report 93 - 94
Auditor's Report 95 - 96
Statement of Financial Position 97
Statement of Profit or Loss and Other Comprehensive Income 98
Statement of Changes in Equity 99
Statement of Cash Flows 100
Notes to the Financial Statements 101-113
Proxy Form & Shareholders Attendance Slip
 FORWARDING LETTER

Valued Shareholders of Golden Son Limited

Bangladesh Securities and Exchange Commission
Registrar of Joint Stock Companies & Firms
Dhaka Stock Exchange Ltd.
Chittagong Stock Exchange Ltd.

Sub: Annual Report for the year ended June 30, 2019

Dear Sirs

The undersigned on behalf of the Board of Directors and Management of Golden Son Limited is pleased
to present herewith the Annual Report for the period from July 1,2018 to June 30, 2019 along with the
Audited Financial Statements, (Reports of the Board of Directors and Auditors' thereon statement of
Financial Position as at June 30, 2019, Statement of Profit or Loss and other Comprehensive Income,
Statement of Cash Flows, Statement of Changes in Equity and Notes There to) and the related consolidated
Audited Financial Statements for above mentioned period of the com pany for your information and
records.

Sincerely yours,

Md. Ayinuddin ACS

Com pany Secretary
 ANNUAL REPORT 2018-2019

CORPORATE AND CONTACT INFORMATION

COMPANY NAME BOARD OF DIRECTORS
Golden Son Limited
Ms. Lin Yu Chen Chairman
DATE OF INCORPORATION
Mr. Belal Ahmed Managing D irector
August 05, 2003
Mr. Md. Mosaddake-Ul-Alam Nominated D irector (ICB)
COMMERCIAL OPERATION
January 2005 Mr. A.S.A Muiz Independent D irector
Mr. Shishir Ranjan Bose, FCA Independent D irector
DATE OF CONVERSION INTO
PUBLIC LIMITED COMPANY
BOARD AUDIT COM M ITTEE
April 30,2005
Mr. Shishir Ranjan Bose, FCA Chairman
SHARE CAPITAL
Ms. Lin Yu Chen Member
Authorized Capital: BDT. 5,000,000,000
Mr. A.S.A Muiz Member
Paid-Up Capital : BDT.1,717,297,720
Mr. Md. Ayinuddin, ACS Member Secretary
PUBLIC ISSUE OF SHARES
March, 2007
LISTING WITH DSE & CSE NOMINATION AND REM UNERATION COM M ITTEE (NRC)
MAY 20, 2007 Chairman
Mr. A.S.A Muiz
TRADING WITH DSE & CSE
May 22, 2007 Mr. Belal Ahmed Member
Mr. Shishir Ranjan Bose, FCA Member
LEGAL STATUS
Public Limited Company-Listed With Mr. Md. Ayinuddin, ACS Member Secretary
Dhaka Stock Exchange Limited
Chattagram Stock Exchange Limited MANAGEMENT COMMITTEE
STATUTORY AUDITORS Mr. Belal Ahmed Chairman
Ahmed Zaker & Co., Chartered Accountants Member
Mr. A.S.A Muiz
REGISTERED OFFICE Member
Mr. Shishir Ranjan Bose, FCA
Khowaj Nagar, P.O: Ajimpara
P.S.: Karnaphuli, Chattagram, Bangladesh. Mr. Md. Ayinuddin, ACS Member Secretary
SHARE OFFICE
Road # 90, House # 10B, RISK MANAGEMENT COM M ITTEE
Gulshan-02, Dhaka-1212
Mr. Md. Mosaddake-Ul-Alam Chairman
LOCATION OF FACTORY
Mr. Belal Ahmed Member
Khowaj Nagar, P.O: Ajimpara
Mr. A.S.A Muiz Member
P.S.: Karnaphuli, Chattagram, Bangladesh.
Mr. Md. Ayinuddin, ACS Member Secretary
BANKERS
EXIM Bank Ltd. - Gulshan Branch, Dhaka.
Mutual Trust Bank Limited, - Kakrail Branch, Dhaka. PURCHASE COMMITTEE:
INSURERS Ms. Lin Yu Chen Chairman
Janata Insurance Co. Ltd. Mr. Belal Ahmed Member
Green Delta Insurance Co. Limited. Mr. Aminul Islam Member
CREDIT RATING Mr. Md. Ayinuddin ACS Member Secretary
BBB2
Agency
Credit Rating Agency of Bangladesh

© www.goldensonbd.com Q [email protected]

GOLDEN SON LIMITED

>
ANNUAL REPORT 2018-2019

Board of Directors are seen attending the 14th Annual General Meeting of Golden Son Ltd. on 15th 2018
Chattagram

Shareholders are seen attending the 14th Annual General Meeting of Golden Son Ltd. on 15th 2018
Chattagram

GOLDEN SON LIMITED

 ANNUAL REPORT 2018-2019

> GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

BOARD OF DIRECTORS

MS. LIN YU CHEN MR. BELAL AHMED

CHAIRMAN MANAGING DIRECTOR

MR. A.S.AMUIZ MR. SHISHIR RANJAN BOSE, FCA ft

INDEPENDENT DIRECTOR INDEPENDENT DIRECTOR DIRECTOR (ICB NOMINATED)

COMPANY SECRETARY

MR. MD. AYINUDDIN ACS

GOLDEN SON LIMITED

 MEMBERSHIP CERTIFICATE OF BAPLC

BANGLADESH ASSOCIATION OF PUBLICLY LISTED COMPANIES

Date n f issue : IT. S6I9

Renew ed Certificate
This is to certify that

GOLDEN SON LIMITED

is an Ordinary 'Member of Bangladesh Association of Publicly Listed Companies
and is entitle*£ to a d the rights and privileges appertaining thereto.

remains current u n tif 31st ('December 2019.

ANNUAL REPORT 2018-2019

Secreta ry-Ge nera!
GOLDEN SON LIMITED
ANNUAL REPORT 2018-2019

GOLDEN SON LTD.

R egistered O ffice: Khow aj N agar, P -O : A jim Para, P -S : K am aphuli, Chattogram .
Tel: + 8 8 0 31 2 8 6 4 5 2 6 , 6 1 7 9 3 4 , F a x : + 8 8 0 31 6 1 0 9 1 1

NOTICE OF THE 15th ANNUAL GENERAL MEETING.

N otice is hereby given that the 15th Annual General M eeting o f the company will be held on
December 26, 201 9 at 4 :0 0 p.m. at Factory premises o f the Company at Khowaj Nagar, P.O: Ajimpara,
P.S: Kamaphuli, Chattogram to transact the following business.

AGENDA
1. To receive consider and adopt the audited financial statements o f the company for the year ended
June 30, 2019 along with the Report o f Directors and the Auditors thereon.
2. To appoint Auditors for the year 2019-2020 and to fix their remuneration.
3. To elect / re-elect o f Director from sponsor shareholders.
4. To appoint certified Compliance Professionals for Corporate Governance Code and to fix their
remuneration for the year 2019-2020.
5. To transact any other business o f the company with the permission o f the chair.

B y order o f the B oard

Dated, Dhaka:
2 9 O ctober, 2 0 1 9

(Md. Ayinuddin ACS)

C om pany Secretary
NOTES:
1. The Record Date of Annual General Meeting shall be on November 21, 2019.
2. The share holders whose name would appear in the Register of member of the company or in the
depository register on the record date shall be eligible to attend the meeting.
3. The proxy form must be affixed with requisite revenue stamp and be deposited at the Share Office of the
company not less than 48 hours before the time fixed for the meeting.
4. Admission to the venue of the meeting will be allowed on production of attendance slip attached with the
Annual Report.
5. The shareholders and proxies are requested to record their attendance in the AGM well in time.
6. In compliance with the Bangladesh Securities & Exchange Commission's Circular No.SEC/CMRRCD/2009-
193/154 dated 24th October'2013, no Gift/Gift Coupon/Food Box Shall be distributed at the 15th AGM.

GOLDEN SON LIMITED

 ANNUAL REPORT 2018-2019

ROUND - UP
MANAGING DIRECTOR
Hon'ble shareholders, recognized globally in 2018-2019 for several
Assalamualaikum, achievements in the fields of corporate governance,
It gives me immense pleasure to welcome you all to the corporate social responsibility, process excellence and
15th Annual General Meeting of Golden Son Limited human resources development. With the right strategy,
(GSL). I am happy to present before you the annual production capability, portfolio and most importantly
report of Golden Son Limited for the year ended on people, I am confident that we will be able to continue
June 30, 2019. delivering sustainable value for our shareholders in the
golden days ahead.
2018-2019 was yet another splendid year for Golden
Son Limited, as the com pany delivered strong business As a company, we strongly support the government's
results, amidst a very competitive environment and ambition of becom ing a m iddle-incom e country by
challenging operating landscape. As one of the leading 2024 and would like to continue to providing our
corporates in Bangladesh, GSL always believes in support for the cause through enhanced exports,
staying ahead on the curve and establishing attracting increased FDIs and investments in CSR
progressive standards for others to follow. The initiatives aligned with the country's Sustainable
operating results of 2018-2019 are a true testament of Developm ent Goals.
our com m itm ent towards returning to on the Approaches to the practice of good governance have
company's rich legacy of strong shareholder returns. been embedded into our company's culture since
GSL is very proud to contribute towards the econom ic inception. We are proud of ourselves in being one of the
developm ent journey of the country through its most law-abiding com panies in the country, operating
support in the developm ent of skilled human resources, within the various frameworks we are bound by and
globally integrated work practices, environmentally delivering results with integrity. We believe in
sustainable business operations and several others of transparency for abiding by all the laws and regulations
the government's sustainable developm ent goals for of the country and support sensible and enforceable
the overarching purpose of building a better regulations.
Bangladesh. The com pany believes that with the developm ent
Our employees always at the core of our business at GSL friendly visionary governm ent powers more,
the major driving force for the com pany since its investment-friendly, pragm atic and progressive taxation
inception. The com pany believes in achieving strength policies will be pursued in the upcom ing national
through diversity, which is reflected through the budget for the sustainability of industry and its
Com pany's leadership roles being ably held by talent. shareholders.
Our methodical strategy, genuine approaches and our I express my sincere thanks to all the shareholders of the
dedicated workforce will enable us to attain exalted com pany for upholding their confidence in us and our
performance and to create great shareholder value. employees for providing their valuable contributions to
In respect of the Products & Services over the years, we GSL throughout 2018-2019. The guidance from our
have remained tuned to the consumers' evolving need Board of Directors has always been instrumental in
for progressive offers and matched them through the shaping the success of the company. We are also
launch of Bangladesh's first-ever m anufacturing toys for grateful to the millions of our consumers who have
kids. The relatively newer products launched in recent been with us and appreciated our products in the past
years are performing and delivering faster revenue year, which has always acted as boundless inspiration
growth for the Company. We aim to continue staying for us. We are pledge bound to covert such inspiration
up-to-date with consumer trends and delivering brands into ensuring more rewarding and sustainable business
and offers that will satisfy consumers of today and in the com ing days. We also aim to passionately
tomorrow. continue building value for our consumers and
shareholders in the future.
Regarding the approaches to sustainability with
successful years' of experience attained through Allah Hafez
operating in Bangladesh, GSL believes in the strategy of
delivering business growth with integrity to invest for a
sustainable future. In 2019, our primary four focus areas
Growth, Productivity, W inning organization and Belal Ahmed
Sustainability, remain constant. We have also been Managing Director

08 > GOLDEN SON LIMITED

 ANNUAL REPORT 2018-2019

Corporate Governance Statem ent

Corporate Governance clearly defines the rights and responsibilities of the Board of Directors, Management,
Shareholders and other Stakeholders.The Board supports Management, Internal and External Auditors and other
related parties including the Shareholders. A good corporate reputation is the most valuable and competitive asset
of a company. Golden Son Limited believes in the continued improvement of corporate governance.The Board of
Directors and the Management Team of Golden Son Limited is committed to maintaining effective corporate
governance through a culture of accountability and transparency.
Statement of Compliance
Bangladesh Securities and Exchange Commission's notification on Corporate Governance Code as Golden Son Ltd.
is listed with the Stock Exchanges in Bangladesh, we comply with the BSEC's notification No. BSEC/CMRRCD/2006-
158/207/Admin/80 dated 3 June, 2018. For the year ended 30th June 2019, we have complied with the relevant
provisions set out in Annexure -IV of this report.
Corporate Governance Framework
Good corporate governance practices are not just a matter for the Board but are at the heart of everything that we
do within the Company. The Company operates within a comprehensive governance framework. The Board
continuously reviews its corporate governance framework to ensure its relevance, effectiveness and sustainability in
addressing the future business challenges.
Board Practices
The board of directors is appointed to act on behalf of the shareholders at the Annual General Meeting (AGM) to run
the day to day affairs of the business. The board is directly accountable to the shareholders and each year the
company will hold an annual general meeting (AGM) at which the directors must provide a report to shareholders
on the performance of the company, what its future plans and strategies are and also submit themselves for
re-election to the board.
The Board also ensures that GSL Policies & Procedures and Codes of Conduct are implemented and maintained, and
the Company adheres to generally accepted principles for good governance and effective control of Company
activities.
Roles and Responsibilities of the Board of Directors
The Board of Directors’ key purpose is to ensure the company's prosperity by collectively directing the company's
affairs, whilst meeting the appropriate interests of its shareholders and stakeholders. In addition to business and
financial issues, boards of directors must deal with challenges and issues relating to corporate governance,
corporate social responsibility and corporate ethics.The Board Directors is responsible for the following:
o Determine the company's vision and mission to guide and adopting a strategic plan for the company;
o To set the pace for its current operations and future development;
o Determine the values to be promoted throughout the company;
o Determine and review company goals and to determine company policies;
o Review and evaluate present and future opportunities, threats and risks in the external environment and
current and future strengths, weaknesses and risks relating to the company;
o Determine the business strategies and plans that underpin the corporate strategy;
o Ensure that the company's organizational structure and capability are appropriate for implementing the
chosen strategies;
o Identifying principal risks and ensuring the implementation of appropriate systems to manage these risks;
o Succession planning, including appointing, training,fixing the compensation and where appropriate,
replacing senior management;
o Developing and implementing and investor relations program or shareholder communications policy for
the company;
o Reviewing the adequacy and the integrity of the company's internal control systems and management
information systems, including systems for compliance with applicable laws, and regulations, rules,
directives and guidelines;
o Approving the financial statements and accounting policies of the company;

10 GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

o Approving changes in the policy;

o Recommending dividend for declaration in AGM;
o Establishing committees including the Audit Committee & Executive Committee
o Receiving and reviewing reports from committees of the Board;
o Establishing and monitoring compliance with the company's standards of business conduct and other
policies of the company;
o Establishing appropriate systems of corporate governance in the company;
o Considering and approving other matters specially reserved for the attention of the Board; and
o Constantly guide and assist the company in external stakeholder management.
Board of Directors
The Board of Directors comprises 05 (Five) members including two Independent Directors. All Directors have sound
knowledge in the area of governance, managerial expertise and sound academic and professional knowledge.They
are well conversant with corporate governance.
Appointment of Board Members
The members of the Board are appointed by the Shareholders in the Annual General Meeting who are accountable
to the Shareholders.
Appointment of Independent Directors
The Board of Directors appointed two Independent Directors. Shareholders approved appointment/re-appointment
of Independent Directors in its Annual General Meeting. In selecting Independent Directors, the Company always
looks for individuals who possess experience; strong inter personal skill and independence.
Independent Directors are considered by the Board to be independent of the Company and free of any business or
other relationship that could interfere with the exercise of their independent judgment. The Board believes that
their experience and knowledge assist in providing both effective and constructive contribution to the Board.
The Role of the Chairman and Managing Director
Position of the Chairman and Managing Director (CEO) are clearly identified.The Chairman is responsible for leading
the Board and its effectiveness .The Managing Director serves as the Chief Executive of the Company.
Retirement and Re-election of Directors
As per the Article of Association of the company, one-third of the directors to retire in every year shall be those who
have been longest in office since their last election, but as between persons who became directors on the same day,
those to retire shall (unless they otherwise agree themselves) be determined by lot, but remains eligible for
re-election.
Independent Director
The Company has complied with the notification of the Bangladesh Securities and Exchange Commission with
regard to appointment of independent Directors to the Board. Golden Son Limited has two independent directors
namely Mr. A.S.A Muiz & Mr.Shishir Ranjan Bose, FCA
Board Committees
The Board has established three Board Committees to which it has delegated some of its responsibilities.They are
the Audit Committee, Nomination and Remuneration Committee and the Risk Management Committee.
a) Audit Committee
The Audit Committee of Golden Son Limited is a sub-committee of the Board of Directors and is appointed
and authorized by the Board in pursuance of BSEC Circular to review the activities of business. Audit
Committee report is shown in page number-38.
b) Nomination and Remuneration Committee
The Nomination and Remuneration Committee consists of three Directors including one Independent
Director.
Mr. A.S.A Muiz, Independent Director is the Chairman of the Nomination and Remuneration Committee.
Nomination and Remuneration Committee report is shown in page number-40 and Annexure-VII.
c) Risk Management Committee
The Risk Management Committee of Golden Son Limited manages and runs the affairs of the Company on
behalf of the board.The Managing Director is the leader of the team.
GOLDEN SON LIMITED
C ANNUAL REPORT 2018-2019

Board Meetings
The meetings of the Board of Directors of Golden Son Limited are generally held at the Registered/Corporate Dhaka
Office of the Company.The meetings are held frequently, at least once in a quarter, to discharge its responsibilities
and functions as mentioned above. Meeting is scheduled well in advance and the notice of each Board meeting is
given, in writing to each director by the Company Secretary.The details of Board Meeting and attendance are given
in Annexure-ll of the Report.
Role of the Chairman
The Chairman leads the Board in determination of its strategy and achievement of its objectives.The Chairman is
responsible for organizing the business of the Board, ensuring its effectiveness and setting its agenda.The Chairman
is also responsible for ensuring that the Directors receive accurate, timely and clear information. The Chairman
facilitates the effective contribution of Independent Directors and ensures that constructive relations exist amongst
the Directors. Minutes of Board meeting are signed by the Chairman.
Role of the Managing Director
The Managing Director is responsible for running the business and for formulating and implementing Board
strategy and policy. He also has direct charge and overall control of the Company on a day-to-day basis and is
accountable to the Board for the financial and operational performance of the Company.
He is to certify to the board regarding financial statements and financial transactions of the company according to
the corporate governance guidelines as issued by Bangladesh Securities and Exchange Commission (BSEC).
Company Secretary
Md. Ayinuddin ACS has been appointed as the Company Secretary of the Company. He provides legal matters to the
Board. Among other functions, the Company Secretary:
o Bridges between the Board of Directors and Shareholders on strategic and statutory decision,
o Acts as a quality assurance agent in all information towards the Shareholders and the Board
o Is responsible for ensuring that the appropriate Board procedures are followed.
o Acts as the "Disclosure Officer" of the Company and monitors the compliance of the Acts, rules, regulations,
notifications, guidelines, orders/directives etc. issued by the Bangladesh Securities and Exchange
Commission, Stock Exchange (s) applicable to the conduct of the business activities of the Company.
The Company Secretary keeps the records of the Company's compliance / noncompliance status of the conditions
imposed by BSEC which has been shown in the compliance report on BSEC Notification.
Chief Financial Officer
Mr. Aminul Islam has been appointed as the Chief Financial Officer of the Company. He looks after the overall
financial affairs of the Company. Among other functions, the Chief Financial Officer:
o Prepares quarterly and annual financial statements.
o Financial reporting procedures in line with the requirement of Bangladesh Accounting Standards,
o Reports financial position of the Company in its Board meeting.
Secretarial Standards
The Company has complied with the Bangladesh Secretarial Standards (BSS) as adopted by The Institute of
Chartered Secretaries of Bangladesh (ICSB).
Role of the Head of Internal Audit and Compliance
The Head of Internal Control and Compliance is responsible for reporting to the Board/ Audit Committee regarding
any deviation from accounting and internal control systems of the Company. He is also responsible for ensuring
regulatory compliance of the Company.
Price Sensitive Information
The Board of Golden Son Limited through the company secretary always ensures to inform all price sensitive
information within 30 minutes of the decision or immediately upon getting such information to the BSEC and the
Stock Exchanges and also ensure immediate publication of such information/decision in two widely circulated daily
newspapers, one in Bangla and the other in English as well as in one online daily news site.The communication is
done through Fax, E-mail, by special messenger and through courier service in special cases.

GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

Disclosure on the performance and prospect of the Company

Golden Son Limited attaches high priority on timely publication of quarterly, half-yearly and annual report with
comprehensive details in excess of regulatory requirements. Price Sensitive information is released to the regulators
within half an hour of the decision. The Financial Statements are prepared in accordance with IAS and IFRS as
adopted by Bangladesh Accounting Standards.
Dividend Policy
The Board of Directors has a Dividend Policy which is based on company's performance and company's long term
objectives.
Standards of Business Conduct
Golden Son Limited is committed to achieving high standards of integrity in public life and in all of its business
practices. Standards of Business Conduct are fundamental policy of the company that everyone working in Golden
Son Limited must follow, whilst also providing support and guidance to assist the people to ensure that their
conduct meets the high standards expected to them and comply with the laws and regulations applicable to the
company's business and that they act with high standards of business integrity.
Statement of Internal Control
The Company has an Internal Audit department consisting of five members and headed by the Head of Internal
Auditor. The Internal control system is maintained and reviewed by an internal audit function that reports to
Management and the Audit Committee.
Internal Control mechanism is built by the Company's systems and procedures to reduce the risk of error and fraud.
It may be able to reduce the risk that financial statements contain.The Board of Directors ensures sound internal
control to provide reasonable assurance regarding the achievement of the Company's objectives in the areas of:
o Efficiency and effectiveness of operations,
o Maintenance of assets,
o Reliability of financial and other management information,
o the prevention of fraud,
o Compliance with relevant national laws and Companies Act. BSEC Rules, Stock Exchanges Rules and
Regulations.
Golden Son Limited continues to ensure the presence of the following components that would create an effective
internal control system.
Control Environment
The Board of Directors sets the tone for an effective control environment through regular exchange views and
reviews of the processes for identifying, evaluating and managing the significant risks. An effective control
environment is set by top management that cascades across all business functions.
Risk Management
The company has an ongoing risk management process to identify key business risks. Process risks are also assessed
at the planning stages whereby objectives are reviewed along with the associated risks that may potentially affect
the achievement of objectives. Appropriate risk responses are articulated to enable the company to achieve its
objectives effectively.
In Golden Son Limited risks can come from uncertainty in form demand our product in world market (at any phase
in design, development, material cost), legal liabilities, credit risk, accidents, natural causes and disasters as well as
deliberate attack from an adversary, or events of uncertain or unpredictable root-cause.
Control Activities
Control activities are the policies and the procedure to help ensure that management directives are carried out,and
the necessary actions are taken to minimize the risks of failing to meet objectives. Policies and procedures are
effectively established within the company and continuously reviewed for compliance, adequacy and improvement.
Information and Communication
The company ensures the effective flow of information on internal activities and external factors across the
management levels. All individuals receive a clear message from senior management that control responsibilities
must be taken seriously.
GOLDEN SON LIMITED
ANNUAL REPORT 2018-2019

Disclosure on the performance and prospect of the Company

Golden Son Limited attaches high priority on timely publication of quarterly, half-yearly and annual report with
comprehensive details in excess of regulatory requirements. Price Sensitive information is released to the regulators
within half an hour of the decision. The Financial Statements are prepared in accordance with IAS and IFRS as
adopted by Bangladesh Accounting Standards.
Dividend Policy
The Board of Directors has a Dividend Policy which is based on company's performance and company's long term
objectives.
Standards of Business Conduct
Golden Son Limited is committed to achieving high standards of integrity in public life and in all of its business
practices. Standards of Business Conduct are fundamental policy of the company that everyone working in Golden
Son Limited must follow, whilst also providing support and guidance to assist the people to ensure that their
conduct meets the high standards expected to them and comply with the laws and regulations applicable to the
company's business and that they act with high standards of business integrity.
Statement of Internal Control
The Company has an Internal Audit department consisting of five members and headed by the Head of Internal
Auditor. The Internal control system is maintained and reviewed by an internal audit function that reports to
Management and the Audit Committee.
Internal Control mechanism is built by the Company's systems and procedures to reduce the risk of error and fraud.
It may be able to reduce the risk that financial statements contain.The Board of Directors ensures sound internal
control to provide reasonable assurance regarding the achievement of the Company's objectives in the areas of:
o Efficiency and effectiveness of operations,
o Maintenance of assets,
o Reliability of financial and other management information,
o the prevention of fraud,
o Compliance with relevant national laws and Companies Act. BSEC Rules, Stock Exchanges Rules and
Regulations.
Golden Son Limited continues to ensure the presence of the following components that would create an effective
internal control system.
Control Environment
The Board of Directors sets the tone for an effective control environment through regular exchange views and
reviews of the processes for identifying, evaluating and managing the significant risks. An effective control
environment is set by top management that cascades across all business functions.
Risk Management
The company has an ongoing risk management process to identify key business risks. Process risks are also assessed
at the planning stages whereby objectives are reviewed along with the associated risks that may potentially affect
the achievement of objectives. Appropriate risk responses are articulated to enable the company to achieve its
objectives effectively.
In Golden Son Limited risks can come from uncertainty in form demand our product in world market (at any phase
in design, development, material cost), legal liabilities, credit risk, accidents, natural causes and disasters as well as
deliberate attack from an adversary, or events of uncertain or unpredictable root-cause.
Control Activities
Control activities are the policies and the procedure to help ensure that management directives are carried out,and
the necessary actions are taken to minimize the risks of failing to meet objectives. Policies and procedures are
effectively established within the company and continuously reviewed for compliance, adequacy and improvement.
Information and Communication
The company ensures the effective flow of information on internal activities and external factors across the
management levels. All individuals receive a clear message from senior management that control responsibilities
must be taken seriously.
GOLDEN SON LIMITED
 ANNUAL REPORT 2018-2019

Monitoring
The system of internal control is monitored regularly through both ongoing activities and separate evaluations.
O ngoing monitoring activities are conducted through regular m anagem ent activities. The internal audit function is
responsible for providing an objective and independent view of the effectiveness of operational and financial
controls and procedures, as well as m anagem ent action in dealing with issues of control. The internal audit function
monitors the presence of the com ponents of internal control system and reports to the audit committee.
Accountability and Audit
In im plem enting and ensuring the right Governance in GSL, the Board and Board Audit Committee ensure the
following:
Financial Reporting and Transparency
Financial Statements have been prepared in line with the International Accounting Standards, Bangladesh
Accounting Standards and other legislations as applicable in Bangladesh. Tim ely publication of quarterly and
annual financial statements with comprehensive details beyond the statutory requirement.
Financial Review
Financial Review is conducted quarterly. Financial Review provides the internal quarterly results follow-up for the
Company. The purpose is to provide an analysis of the econom ic and financial situations, which will then form the
basis for external reporting and presentations, and to provide quality assurance for the financial reporting. In
addition, internal review on m onthly financial results is conducted by Managing Director on a m onthly basis.
Statutory Audit
Statutory Audit of the Com pany is governed by the Com panies Act, 1994 and Securities and Exchange Rules 1987.
As per these regulations, auditors are appointed at each Annual General Meeting (AGM) and their remuneration is
also fixed by the Shareholders at the AGM. Appropriate structure is in place as per corporate governance best
practices to ensure independence of statutory auditors.
Internal Audit
The Internal Audit departm ent is independent of business operations. It undertakes a program to address internal
control and risk m anagem ent processes with particular reference to the GSL Audit Charter.
Compliance with Rules and Regulations
In this context, the Com pany provides complete set of financial statements and relevant docum ents to the
Bangladesh Securities and Exchange Commission (BSEC), CDBL, National Board of Revenue (NBR), Registrar of Joint
Stock Com panies & Firms (RJSC), Dhaka Stock Exchange (DSE), Chittagong Stock Exchange (CSE). The CFO and
Com pany Secretary always accom m odate any queries that are raised by regulators of the country.
Going Concern
The com pany has adequate resources to continue its operational existence in the foreseeable future. For this reason,
the financial statements are prepared based on the going concern concept.
Related Party Transactions
The Com pany has entered into transaction with other related entities in normal course of business that fall within
the definition of related party as per Bangladesh Accounting Standard 24: "Related Party Disclosures." Details of
these transactions are set out under Notes to the Financial Statements.
Employees' remuneration Policy
The objective of the Company's remuneration policy is to attract, motivate, reward and retain quality staff. The Board
ensures that the remuneration policies are in line with the strategic objectives and corporate values of the Company,
and do not give rise to conflicts between the objectives of the Com pany and the interests of individual Directors and
key executives.

Code of Conduc t
In accordance with approved and agreed Code of Conduct, Golden Son Limited employees are expected to avoid
personal activities and financial interests which could conflict with their responsibilities to the company. Golden Son
Limited employees must not seek gain for themselves or others through misuse of their positions.

14> GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

Compliance with Bangladesh Labour Act

The Com pany has complied for the Factory worker's with the relevant conditions of Bangladesh Labour Act 2006 (as
amended in 2013).
Corporate Social Responsibility (CSR)
As part of the ongoing com m itm ent to the society and environment in which the Com pany conducts its business,
Golden Son Ltd. remains promise bound to perform its obligation. We shall continue our drive to further promote
social and environmental improvements whenever opportunity arises.

Restriction on dealings in GSL Shares by Insiders

The Com pany has established policy relating to trading of GSL shares by Directors, Employees and other Insiders.
The securities laws also impose restrictions on similar transactions. All the Insiders are prohibited from trading in the
GSL shares, while in possession of unpublished price sensitive information in relation to the Com pany during
prescribed restricted trading period.
Directors and Employees are also required to notify their intention to trade in the GSL shares prior to initiating the
same.
Communications with Shareholders
GSL is continuously striving to improve relations with its shareholders. The Com pany encourages com m unications
with shareholders throughout the year and welcomes their participation at the shareholders' meeting. All
information provided to the BSEC and Stock Exchanges are immediately made available to the Shareholders on our
com pany website: www.goldensonbd.com
General Meeting
An Annual General Meeting normally takes place within each fiscal year. The Com pany requires its Board and
auditors to attend each Annual General Meeting (AGM) so as to be available to answer Shareholders queries on the
results of the Company.
Website
The Com pany has an official website linked with the website of the stock exchanges. All financial results are posted
on the Investor Relations section of the Company's website: www.goldensonbd.com
Shareholders Queries
GSL has set up a separate share division in Dhaka office of GSL. In addition we have special queries telephone lines
and an email address. Shareholders can contact + (8802) 55052099 or mail to GSL Share Office:
noor@ goldensonbd.com for any queries and/or grievances.

GOLDEN SON LIMITED

 ANNUAL REPORT 2018-2019

Director's Report to the Shareholders

Dear Shareholders,
On behalf of the Board of Directors of GSL, I have the pleasure to welcome you all at the 15th Annual General
Meeting of the company. We are therefore pleased to subm it before you the operational activities and audited
financial statements of the com pany for the year ended on 30th June 2019.

The Directors' Report is prepared in com pliance with section 184 of the Com panies Act 1994, Bangladesh Securities
and Exchange Commission's Notification No. BSEC/CMRRCD/2006-158/207/Admin/80 dated 3rd June 2018
and other applicable laws and regulations. Relevant disclosures and explanations pertaining to issues to ensure
compliance, transparency and good corporate governance practice have been made along with the details of the
business performance, operations and achievements of Golden Son Limited for the year 2018-2019.

Principal Activity
The principal activity of the com pany is to manufacture and sales of 100% export quality Hot Pot, Food Warmer, Fan
Components, Baby Toys, Plastic Product, Garments accessories and solar lightings.

Operational Activity
During the year under review production was for TK. 240,048,091 and sales for the year were TK. 602,329,317 as
against production & sales of TK. 365,547,258 and TK. 551,051,016 respectively in the previous year. During the year
the com pany faced net loss of TK. 167,065,489.

Industry Outlook
Continuous price hike of various production variables has narrowed the scope of profitability from our business. In
spite of this adverse situation GSL does not compromise with the quality, rather GSL m anagem ent has changed the
strategy to negotiate with the foreign buyers, to focus in the volum e business by producing new products and to
select and the right target buyers.

Presently, the industry outlook is not good due mainly to change in world market demand from plastic base toy
product to synthetic. Also environmental com pliance is an important factor for export oriented industries. The
com pliance of the industry is not accepted by the foreign customers due to non-functioning of industrial
compliance. Despite all these challenges, GSL will continue to look into its potentials and developm ent options with
its business strategy. Corporate image, professionalism and quality product growth with aggressive marketing will
be our priority.

Segment-wise performance
Principal activities of the com pany have been explained under 'Business Activities' as above. Segm ent wise
performance com prising of the com pany is shown below:

Segment wise or Product wise performance during the year

Particulars Capacity (Unit) Actual Production (Unit) Capacity Utilization (%)

Toys for Children 5000000 13,97,267 34.87
Garments Accessories 36600000 1,45,91,853 43.78
Light Engineering Products 100000 5,845 14.65

Risk & concerns:

The Board has established a risk and control structure to manage the achievement of business objectives. Risk &
concerns are shown under notes no. 3.26 to the financial statements.

GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

Business Performance
The Directors are pleased to report that business performance of the company for the year under review
is as follows:

2018-2019 2017-2018

Turnover 602,329,317 551,051,016

Cost of Sales 542,165,315 553,067,862
Gross (Loss)/ Profit 60,164,002 (2,016,846)
Operating, Administrative & Selling Expenses 56,408,675 56,004,030
Trading (Loss)/ Profit 3,755,327 (58,020,876)
Financial Expenses 225,426,687 171,556,204
Gross Operating Loss (221,671,360) (229,577,080)
Non-Operating Income 57,981,505 58,156,743
(Loss)/Profit before Tax (163,689,855) (171,420,337)
Current Tax 4,006,010 3,908,859
Deferred Tax (461,772) (221,813)
Provision for Tax 3,544,238 3,687,046
Net (Loss)/Profit after Tax (167,234,093) (175,107,383)

Financial Result and Appropriation

I am pleased to present herewith a comparative financial statementof the year under review and the immediate past
year and would like to place recommendations for appropriation of the profit generated:

2018-2019 2017-2018

Net Profit after Tax (167,234,093) (175,107,383)

Add: Transferred from Revaluation Reserve 14,729,850 15,641,582
Add: Accumulated Retained Earnings 571,104,545 730,570,346
Add: Reclassification adjustment for previous year
(3,336,925) (1,999,433)
unrealized loss on securities available for sale
Add: Other Comprehensive Income/(Loss) 187,337 (1,486,102)
Add: Related Deferred Tax (18,733) 148,610
415,431,981 567,767,620
Less: Dividend paid for previous year
Cash Dividend - -
Profit available for appropriations 415,431,981 567,767,620

Proposed appropriations:
Proposed Cash Dividend
Proposed Stock Dividend - -
Balance Carried forward 415,431,981 567,767,620
Total 415,431,981 567,767,620

GOLDEN SON LIMITED

 ANNUAL REPORT 2018-2019

Cost of Goods sold, Gross Profit Margin and Net Profit Margin:
Management Discussion
Management Discussion and Analysis are designed to provide regards with an overview of the business and an
analysis on Cost of Goods Sold, Gross Profit Margin & Net Profit Margin.
Financial Performance:
Particulars 2018-2019 2017-2018
Cost of Goods Sold (Year) 542,165,315 553,067,862

Gross(Loss)/Profit (Year) 60,164,002 (2,016,846)

Net (Loss)/Profit After Tax (Year) (167,234,093) (175,107,383)

Cost of Goods Sold (COGS):

Cost of goods sold (cost of sales) is the cost of products sold during the year. COGS include all the costs directly
related to getting inventory ready for sales such as: Raw materials (Including duties and taxes), Handling and other
cost of converting materials into finished goods.
COGS vary directly with sales and production, the more items we sell or produce, the more stock or com ponents we
need to buy. Cost of Goods Sold in 2018-2019 has been decreased in compare to the previous year.
Gross Profit Margin Ratio:
Gross profit is the difference between sales and the cost of goods sold.
Gross Profit = Sales-Cost of Goods Sold
The gross profit margin is one indicator of the financial health of a business. Larger gross profit m argins are better
for business- the higher the percentage, the more the business retains of each Taka of sales for other expenses and
net profit.
Gross Profit Margin % = (Gross Profit^Sales) x 100
During the year 2018-2019 Gross Profit Margin has increased.
Net Profit Margin Ratio:
Net Profit is calculated by subtracting expenses including tax from the gross profit, showing what the business has
earned (or lost) in a given period of time.
Net Profit= Gross Profit-Expenses with Tax:
Net Profit of the com pany in the year 2018-2019 has been increased than 2017-2018.
Extraordinary Gain or Loss
No events of extra ordinary gain or loss occurred during the reporting period requiring adjustment or disclosure in
the financial statements.
Related Party Transactions
GSL had to enter into transactions with the related parties as defined in the "International Accounting Standards 24:
Related party Disclosure'; Related party Transactions are disclosed in the note 37 of the notes to the financial
statements.
Utilization of proceeds from Public Issue
This is not applicable for GSL as no such event of collecting fund from public issues took place which would require
adjustment or disclosure in the annual report.
Financial Result Deterioration after the Public Issue
This is not applicable for GSL.
Variance within the Quarterly Financial Statements and Annual Financial Statements
There was no event of significant variance between quarterly financial performances and annual financial
statements during the year under reporting.
Remuneration to Directors including Independent Director
Directors draw Board and Audit Committee Meeting attendance fees. The details are given in Annexure-II of this
report and note no. 36 of the Financial Statements.

GOLDEN SON LIMITED

!«►
ANNUAL REPORT 2018-2019

Fairness Financial Statements

The financial statements together with the notes thereon have been drawn up in conformity with the Internationals
Accounting Standards/ Financial Reporting Standards, Com panies Act 1994 and Securities and Exchange Rules
1987. These statements present fairly the Company's state of affairs, the results of its operations, cash flows and
change in equity.
Proper Books of Accounts
Proper books of accounts of the com pany have been maintained.
Adaptation of Proper Accounting Policies and Estimates
Appropriate Accounting Policies have been consistently applied in preparation of the financial statements and the
accounting estimates are based on reasonable and prudent judgm ent.
IAS/BAS/IFRS/BFRS Application
International Accounting Standards (IAS) Bangladesh Accounting Standards (BSA) International Financial Reporting
Standards (IFRS)/ Bangladesh Financial Reporting Standards (BFRS), as applicable in Bangladesh, have been
followed in preparation of the financial statements and any departure therefore has been adequately disclosed. Last
of BAS/BFRS com plied is listed on note 2.2 of the audited accounts.
International Control
The com pany maintains a sound internal control system which gives reasonable assurance against any material
misstatement. The internal control system is regularly monitored by the Audit Committee in each meeting and by
the com pany Executive committee on quarterly basis.
Minority Shareholders
Minority shareholders interest always looked after by the Board.
Subsidiary Operation
Golden Infinity Ltd.
Golden Son Ltd. holds 99.99% shares of the company. The Directors' Report for the year ended 30 June 2019 of the
Com pany together with Audited Accounts containing Statement of Financial Position, Statement of Comprehensive
Income, Statement of Changes in Equity and Statement of Cash Flows and Auditor's Report thereon are included
therein.
Majority Investment (Subsidiaries) Golden Infinity Ltd.
Golden Son Ltd. holds 99.99% shares of the company. The financial position and operational results are contained
in the Directors' report of the Com pany as enclosed herewith.
Going Concern
Based on the available information on the future, the directors consider that the com pany has the plans and
resources to manage its business risks successfully, as it has a diverse range of businesses and remains financially
strong.
After m aking enquiries, the directors have a reasonable expectation that the Com pany have adequate resources to
continue their operations for the foreseeable future.
Significant deviation from last year's operating result
There was no significant deviation from last year's operating result.
Key Operating & Financial Data
The summarized key operating and financial data for the five years is set out in page 41 of the Annual Report.
Dividend:
In 2018-2019 the com pany has earned net loss to the extent of TK. 16.72 crore after making necessary provisions. The
Board of the com pany has not recommended any dividend for the year 2018-2019. The same is being placed before
the shareholders meeting for approval.
Interim Dividend
No stock dividend was declared during the period under review as interim dividend.
Board and Committee Meeting and Attendance
During the year 2018-19 total 7 (Seven) board meeting and 4 (Four) Audit Committee meeting were held. Details of
the Board meeting and Audit Committee meeting are shown in Annexure-II of the Annual Report. The CFO and
Com pany Secretary, HIAC were present in all Board meeting.
GOLDEN SON LIMITED 19/>
 ANNUAL REPORT 2018-2019

Pattern of Shareholding and Name wise details

The shareholding information as at June 30, 2019 and other related information are shown in Annexure-III of the
Annual Report.
Contribution to National Exchequer:
GSL is paying and facilitating collection of Government's revenue. During the period of July 2018 to June 2019, we
have paid, collected & deposited a significant amount of Income Tax, VAT and Duties in time. During this period,
Golden Son Limited collected and contributed Tk. 15,659,385 to the governm ent exchequer along with utility bill
which is advance Income Tax: Tk. 4,168,170, Gas Bill: Tk. 10,325,462 Land Tax: Tk. 38,550, Holding Tax: Tk. 13,464,
Electricity Bill: Tk. 1,113,199.
Directors Election
Directors' Election Appointm ent and re-appointment: Directors.
Retirement of Directors and re-election
Ms. Lin Yu-Chen, Director of the com pany will retire in this Annual General Meeting being eligible offered her- selves
for re-election. His brief resume is shown in the page number-09.
Management discussion and analysis
Management discussion and analysis has been highlighted in the M anaging director's Statement and Directors'
Report.
Declaration by the CEO and the CFO
Declaration by the M anaging Director and CFO has been given on page 23 and Annexure-1.
Reporting on Compliance of the Corporate Governance Code
Golden Son Limited adheres to appropriate good Corporate Governance practices, as described on pages 26 to 36
of the Annual Report.
The com pany also com plied with all the requirements of Corporate Governance as required by the Bangladesh
Securities and Exchange Commission (BSEC). In accordance with the BSEC Notification Corporate Governance
Certificate Report is shown in Annexure-IV of the Annual Report.
Further in com pliance with the BSEC Notification No: BSEC/CMRRCD/2006-158/207/Admin/80 dated 03 June, 2018,
Mr. A.K.M Mohitul Haq, FCA, Managing Partner of Mahfel Huq & Co., Chartered Accountants issued the Corporate
Governance Com pliance Certificate which is shown on page 36 of this Report.
Appointment of Auditors:
As per section 210 of the Companies Act 1994, the Company's statutory auditors Ahmed Zaker & Co., Chartered
Accountants retires at the 15th Annual General Meeting as auditors of the company. As per Bangladesh Securities
and Exchange Commission (BSEC) Order no. SEC/CMRRCD/2009-193/104/Admin dated July 27, 2011, the retiring
Auditing Ahmed Zaker & Co., Chartered Accountants and successfully complete their last year.
Present auditor Ahmed Zaker & Co., Chartered Accountants, Corporate Head Office, Green City Edge (Level 10), 89
Kakrail, Dhaka they are not eligible for re-appointm ent as Auditors for the year 2019-2020 since they have already
completed their assignm ent as Auditors for 03 (Three) consecutive Years of the com pany as per BSEC Circular.
New Auditors M/S FAMES & R, Chartered Accountants (Ex. Shahadat Rashid & Co.) Chartered Accountants Expressed
their intention to get appointm ent as Auditors for the year 2019-2020 at the Audit fee of TK. 250,000.00 (Two Lac Fifty
Thousand) only. They are qualified and eligible to be appointed as Auditors. The Board of Directors in its 106th Board
meeting held on 29th October 2019 recommended for appointment them as Auditors for the year 2018-2019 at a fee
of Tk. 250,000.00 excluding VAT and TAX subject to approval of the shareholders in the next Annual General Meeting.
Appointment of a Professional (Chartered Accountant/Chartered Secretaries) Firm for the Certificate on
Compliance with the Corporate Governance Code of BSEC
As per Notification No: BSEC/CMRRCD/2006-158/207/Admin/80 dated 03 June, 2018, the Com pany shall obtain a
Certificate from Professional Accountant/ Secretary (Chartered Accountant/Cost and Management
Accountant/Chartered Secretary) regarding com pliance with the condition of Corporate Governance Code of the
commission and such certificate shall be disclosed in the Annual Report. And the professional who will provide the
Certificate on Com pliance of this Corporate Governance Code shall be appointed by the shareholders in the Annual
General Meeting.
20>> GOLDEN SON LIMITED
ANNUAL REPORT 2018-2019

Pursuant to the BSEC's directive, Board has recommended Mr. A.K.M Mohitul Haq FCA, Senior Partner of Ahmed
Zaker & Co., Chartered Accountants, address to appoint as a Professional Accountant to issue Certificate on
Com pliance of Corporate Governance Code enacted by Bangladesh Securities and Exchange Commission for the
year ended on June 30, 2020 subject to approval of the shareholders in the next Annual General Meeting.
Ethical Code of Conduct
Performance with integrity is central to operation at GSL. The Board of Directors of the com pany has adopted a
statement of ethical code of conduct with was circulated am ong the employees. All employees are required to abide
by the ethical code in relation to business and regulations.
Compliance with Laws and Regulations
The com pany was not involved in any activities contravening the laws and regulations of the Country. The com pany
ensures com pliance with the provisions of all concerned regulatory authorities.
Environmental protection
The com pany is committed to protect the environmental issues. To the best of the Board's knowledge, the com pany
was not involved in any activity which m ight be harmful to environment.
Audit Committee Report
The board audit committee has been formed headed by Mr. Shishir Ranjan Bose, FCA, Independent Director and a
report of the audit committee is enclosed in Annexure-vI.
Chairman of the Board & Managing Director:
Chairman of the Board and M anaging Director are two separate persons selected from the Board of Directors. Both
are performing defined responsibilities and focusing on the strategic value addition of the company.
Chief Financial Officer, Company Secretary & Head of Internal Audit and Compliance
The com pany has appointed Chief Finance Officer, Com pany Secretary and Head of Internal Audit. The CFO, the
Com pany Secretary and HIAC are also attending Board meeting. The Board of Directors clearly defined respective
rules, responsibilities and duties of the CFO, The Com pany Secretary & Head of Internal Audit and compliance.
External/Statutory Auditors:
The external auditors are not engaged on any material non-audit work such which refers to status of com pliance
code (code no. 7 -7.3) page number-35.
Share holding Pattern
The shareholding com bination as per clause 1.5(xxi) of Bangladesh Securities and Exchange Commission
notification no. SEC/CMRRCD/2006-158/34 Admin/44 Date: August 07, 2012 has been shown in annexure-III.
Corporate Governance
The Com pany has taken effective stand for best practice of corporate governance. Presently working for
strengthening all sorts of operational policies and procedures. The com pany is determined to ensure good
governance by com plying with all the applicable rules and regulations of corporate governance guidelines of BSEC.
Acknowledgement
The Board expresses their gratitude to the Government of the People's Republic of Bangladesh, National Board of
Revenue (NBR) Bangladesh Securities and Exchange Com m ission (BSEC), Registrar of Joint Stock Com panies & Firms
(RJSC), Dhaka Stock Exchange (DSE), Chittagong Stock Exchange (CSE) and Central Depository of Bangladesh
Limited (CDBL), the com panies bankers, and other business partner for their cooperation, positive support, and
guidance. The Com pany and its Board of Directors also would like to extend its foremost regard and appreciation to
the valued shareholders and other stockholders of the Com pany for their persistent support and guidance to the
com pany that led to the achievements.
Lastly, we promise that we will continue our journey towards a bright future, we look forward to your continued
support in 2018-19 and the days ahead. I would like to you say that the Board, with the support of the shareholders,
would continue to strive to improve the company's operation and probability in the upcom ing years.
On behalf of the Board of Directors,

(Lin Yu Chen)
Chairm an

GOLDEN SON LIMITED 2 1 >

 ANNUAL REPORT 2018-2019

Directors' Responsibilities Statements:

Pursuant to the BSEC notification No. BSEC/CMRRCD/2006-158/207/Admin/80, dated: 03 June, 2018 the Directors
confirm that:
a) The Financial Statements prepared by the m anagem ent of GSL fairly present its state of affairs, the result of
its operations, cash flows and changes in equity.
b) Proper Books of Account of the Com pany have been maintained.
c) Appropriate accounting policies have been consistently applied in preparation of the Financial Statements
and that the accounting estimates are based on reasonable and prudent judgm ent.
d) International Accounting Standard (IAS)/Bangladesh Accounting Standards (BAS)/International Financial
Reporting Standards (IFRS) / Bangladesh Financial Reporting Standards (BFRS), as applicable in Bangladesh,
have been followed in preparation of the financial statements and any departure there from has been
adequately disclosed.
e) The system of internal controls sounds in design and has been effectively implemented and monitored.
f) Minority shareholders have been protected from abusive actions by, or in the interest of, controlling
shareholders acting either directly or indirectly and have effective means of redress;
g) There are no doubts upon the company's ability to continue as a going concern and the annual accounts
have been prepared as a going concern basis.
h) The key operating and financial date for the last five years is disclosed in Annexure-VIII.
i) The pattern of shareholding is disclosed in Annexure-III.
j) A com pliance status report with requirements of corporate governance as required by BSEC has been
disclosed in Annexure-IV.
k) Directors' profile and their directorship and business interest in other organizations have been disclosed in
Board of Directors segment.
l) There was no declaration of bonus share or stock dividend as interim dividend.

Acknowledgements:

I, on behalf of Board, express my sincere gratitude to all honorable shareholders, bankers, RJSC, National Board of
Revenue and other governm ent bodies for their support and co-operation. I am very much thankful to our
m anagem ent team and workforces for their dedication and hard working. We welcome your good suggestion and
advice.

We are trying our best to achieve maximum efficiency and profitability. We always value your support. Please be with
us in our journey to the excellence.

Stay safe,

Belal Ahmed
Managing Director

lT > GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

G O LD EN SON LIM ITED D ECLARATIO N OF CEO AN D CFO ANNEXURE-I

Date: October29, 2019

The Board of Directors
Golden Son Limited
Khowajnagar, Ajimpara, Karnaphuli Chattogram.
Subject: Declaration on Financial Statements for the year ended on 30th June 2019.
Dear Sirs,
Pursuant to the condition No. 1(5) (xxvi) imposed vide the commission's notification No.
BSEC/CMRRCD/2006-158/207/Admin/80, Dated 03 June, 2018 under section 2CC of the Securities and Exchange
Ordinance 1969, we do hereby declare that:

1. The Financial Statements of Golden Son Limited for the year ended on 30th June 2019 have been prepared
in com pliance with International Accounting Standards (IAS) or International Financial Reporting Standards
(IFRS), as applicable in Bangladesh and any departure there from has been adequately disclosed;

2. The estimates and judgm ents related to financial statements were made on a prudent and reasonable basis,
in order for the financial statements to reveal a true and fair view;

3. The form and substance of transactions and the company's state of affairs have been reasonably and fairly
presented in its financial statements;

4. To ensure above, the Com pany has taken proper and adequate care in installing a system of Internal control
and maintenance of accounting records;

5. Our internal auditors have conducted periodic audits to provide reasonable assurance that the established
policies and procedures of the Com pany were consistently followed; and

6. The management's use of the going concern basis of accounting in preparing the financial statements is
appropriate and there exist no materials uncertainty related to events or conditions that may cast significant
doubt on the Company's ability to continue as a going concern.

In this regard, we also certify that:-

(i) We have reviewed financial statements for the year ended 30th June 2019 and that to the best of our knowledge
and belief:
a) These statements do not contain any materially untrue statement or omit any material fact or contain statements
that m ight be misleading;
b) These financial statements collectively present true and fair view of the company's affairs and are in com pliance
with existing accounting standards and applicable laws.
(ii) There are, to the best of our knowledge and belief, no transactions entered into by the Com pany during the year
which are fraudulent, illegal or in violation of the code of conduct for the company's Board of Directors or its
members.

Sincerely yours,

Belal Ahmed Aminul Islam

M anaging Director Chief Financial Officer

GOLDEN SON LIMITED

 ANNUAL REPORT 2018-2019

Board and Board Audit Committee Attendance ANNEXURE-II

a. Board Meeting:
The number of board meeting and the attendance of Directors during the year under review.
Name Of Directors Designation Meeting Held Attended Remarks

Ms. Lin Yu Chen, Chairman 07 07

Mr. Belal Ahmed Managing Director 07 07
Mr. Md. Mosaddake-UI- 07 07 (Nominated by ICB as on 12th
Alam Director November 2017.

Independent Director 07 04 Re-appointment/Extension on 4th

Mr. A.S.A Muiz August 2018

Mr. Shishir Ranjan Bose, Independent Director 07 07 Appointment on 18th August 2017
FCA

b. Board Audit Committee Meeting:

Name Of Members Position Meeting Held Meeting Attended
Mr. Shishir Ranjan Bose, FCA Chairman 04 04
Ms. Lin Yu Chen, Member 04 04
Mr. A.S.A Muiz Member 04 02
Mr. Md. Ayinuddin ACS Member Secretary 04 04

The Directors who could not attend the meetings were granted leave of absence.
Other Sub-Committee of the Board of Directors
Risk Management Committee:
a. Mr. Md. Mosaddake-UI-Alam Nominated Director Chairman
b. Mr. Belal Ahmed Managing Director Member
c. Mr. A.S.A Muiz Independent Director Member
d. Mr. Md. Ayinuddin, ACS Company Secretary Member Secretary
Management Committee:
The company has formed a 4 member's management committee head by Mr. Belal Ahmed,
Managing Director which is as under:
a. Mr. Belal Ahmed, Managing Director (Chairman of the committee)
b. Mr. A.S.A Muiz (Independent Director) (Member of the committee)
c. Mr. Shishir Ranjan Bose, FCA (Independent Director) (Member of the committee)
d. Mr. Md. Ayinuddin ACS, Company Secretary (Member of the committee)

Purchase Committee:
The company has formed a 4 member's purchase committee headed by Ms. Lin Yu Chen,
Chairman of the Board which is as following:
a. Ms. Lin Yu Chen, Chairman (Chairman of the committee)
b. Mr. Belal Ahmed, Managing Director (Member of the committee)
c. Mr. Aminul Islam, Chief Financial Officer (Member of the committee)
d. Mr. Md. Ayinuddin ACS, Company Secretary (Member of the committee)
24^ GOLDEN SON LIMITED
ANNUAL REPORT 2018-2019

PATTERN OF SHAREHOLDING AS ON 30.06.2019.

SL
Shareholder's Group No. of Share holding
No
i) Parent/Subsidiary/Associated Companies and others related parties:- Nil

ii) Directors, CEO, Company Secretary, CFO, Head of Internal Audit and others:
28,184,300
Ms. Lin Yu Chen, Chairman
Mr. Belal Ahmed, Managing Director 10,459,699
10,618,720 (Held By
Mr. Md. Mosaddake-UI -Alam (Director Nominated By ICB)
ICB)
Mr. A.S.A Muiz, Independent Director Nil
Mr. Shishir Ranjan Bose, FCA Independent Director Nil
Mr. Md. Ayinuddin ACS, Company Secretary and his spouse and minor children Nil
Mr. Aminul Islam, CFO and his spouse and minor children Nil
Mr. Moinul Islam, Head of Internal Audit and his spouse and minor children. Nil
iii) Executive (Top five salaried persons other than CEO, Company Secretary, CFO and Nil
Head of Internal Audit)
Total 49,262,719
iv) Shareholders holding ten percent (10%) or more voting interest in the company
Nil
(name wise)

Shareholdings:
Summarized position of Shareholders as on 30th June, 2019.
Category/Director Total Shareholders Total Shareholding Percentage (%)
Sponsor/Director/Foreign Investor 10 66,933,171 38.98%
Financial Institute 205 32,860,108 19.13%
General Public 14,725 71,936,493 41.89%
Total 14,940 17,1729,772 100%

GOLDEN SON LIMITED

 ANNUAL REPORT 2018-2019

Corporate Governance Comp liance Status ANNEXURE-IV

The Compliance with of notification of Bangladesh Securities and Exchange Commission

Status of compliance with the conditions imposed by the Bangladesh Securities and Exchange Commission's Notification No.
BSEC/CMRRCD/2006-158/207/Admin/80 dated 03 June 2018 issued under section 2CC of the Securities and Exchange Ordinance, 1969
(XVII of 1969). (Report-under Condition no.7.00) is presented below:

Condition No. Title Compliance Status Remarks (If any)

1 Board of Directors 1 2

1(1) Board's Size:

The total number of members of a Company's Board of Directors Complied
(hereinafter referred to as Board") shall not be less than 5 (five)
and more than 20 (twenty).
1(2) Independent Directors
K2)(a) At least one fifth (1/5) of the total number of directors in the Complied 02 Independent Directors
company's board shall be independent directors. Any fraction out of 05.
shall be considered to the next integer or whole number for
calculating number of independent director(s).
K2)(b)(i) Who either does not hold any share in the company holds less Complied Independent Directors
than One percent (1%) shares of the total paid-up shares of the does not hold any shares
company. of total paid up capital.
l(2)(b)(ii) Who is not sponsor of the company or is not connected with the Complied
company's any sponsor or director or nominated director or
shareholder of the company or any of its associates, sister
concerns, subsidiaries and parents or holding entitles who hold
one (1%) or more shares of the total paid-up shares of the
company on the basis of family relationship and his or her family
members also shall not above mentioned shares in the company.
K2)(b)(iii) Who has not been an executive of the company in immediately Complied
preceding 2 (two) financial years.
l(2)(b)(iv) Who does not have any other relationship, whether pecuniary or Complied
otherwise, with the company or its subsidiary or associated
company;
l(2)(b)(v) who is not a member or TREC (Trading Right Entitlement Complied
Certificate) holder, director or officer of any stock exchange;
l(2)(b)(vi) who is not a shareholder, director excepting independent Complied
director or officer of any member or TREC holder of stock
exchange or an intermediary of the capital market;
l(2)(b)(vii) who is not a partner or an executive or was not a partner or an Complied
executive during the preceding 3 (three) years of the concerned
company's statutory audit firm or audit firm engaged in internal
audit services or audit firm conducting special audit or
professional certifying compliance of this Code;
l(2)(b)(viii) who is not independent director in more than 5 (five) listed Complied
companies;
K2)(b)(ix) who has not been convicted by a court of competent jurisdiction Complied
as a defaulter in payment of any loan or any advance to a bank or
a Non-Bank Financial institution (NBFI); and
K2)(b)(x) who has not been convicted for a criminal offence involving Complied
moral turpitude;
l(2)(c) The independent director(s) shall be appointed by the Board and Complied
approved by the shareholders in the Annual General Meeting
(AGM);

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ANNUAL REPORT 2018-2019

K2)(d) The post of independent director(s) cannot remain vacant for Complied
more than 90 (ninety) days; and
l(2)(e) The tenure of office of an independent director shall be for a Complied
period of 3 (three) years, which may be extended for 1 (one)
tenure only:.
1(3) Qualification of Independent Director (ID)
l(3)(a) Independent director shall be a knowledgeable individual with Complied
integrity who is able to ensure compliance with financial laws,
regulatory requirements and corporate laws and can make
meaningful contribution to the business;
l(3)(b)(i) Business Leader who is or was a promoter or director of an Not Applicable
unlisted company having minimum paid-up capital of Tk.100.00
million or any listed company or a member of any national or
international chamber of commerce or business association; or

l(3)(b)(ii) Corporate Leader who is or was a top level executive not lower Not Applicable
than Chief Executive Officer or Managing Director or Deputy
Managing Director or Chief Financial Officer or Head of Finance
or Accounts or Company Secretary or Head of Internal Audit and
Compliance or Head of Legal Service or a candidate with
equivalent position of an unlisted company having minimum paid
up capital of Tk. 100.00 million or of a listed company; or
l(3)(b)(iii) Former official of government or statutory or autonomous or Complied
regulatory body in the position not below 5th Grade of the
national pay scale, who has at least educational background of
bachelor degree in economics or commerce or business or law;
or
l(3)(b)(iv) University Teacher who has educational background in Not Applicable
Economics or Commerce or Business Studies or Law; or
l(3)(b)(v) Professional who is or was an advocate practicing at least in the Not Applicable
High Court Division of Bangladesh Supreme Court or a Chartered
Accountant or Cost and Management Accountant or Chartered
Financial Analyst or Chartered Certified Accountant or Certified
Public Accountant or Chartered Management Accountant or
Chartered Secretary or equivalent qualification;
l(3)(c) The independent director shall have at least 10 (ten) years of Complied
experiences in any field mentioned in clause (b);
l(3)(d) In special cases, the above qualifications or experiences may be Not Applicable
relaxed subject to prior approval of the Commission'
1(4) Duality of Chairman of the Board and Managing Director or Chief Executive Officer;-
l(4)(a) The position of the Chairperson of the Board and the Managing Complied Chairman of the Board
Director (MD) and/or Chief Executive Officer (CEO) of the and MD/CEO are different
company shall be filled by different individuals; individuals.
l(4)(b) The Managing Director (MD) and/or Chief Executive Officer 1V Complied
(CEO) of a listed company shall not hold the same Position in
another listed company
l(4)(c) The Chairperson of the Board shall be elected from among the Complied
non-executive directors of the company;
l(4)(d) The Board shall clearly define respective roles and Complied
responsibilities of the Chairperson and the Managing Director
and/or Chief Executive Officer;
l(4)(e) In the absence of the Chairperson of the Board, the remaining Complied No such case occurred in
members may elect one of themselves from nonexecutive the year
directors as Chairperson for that particular Board's meeting; the
reason of absence of the regular Chairperson shall be duly
recorded in the minutes'

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 ANNUAL REPORT 2018-2019

1(5) The Directors' Report to Shareholders

l(5)(i) An industry outlook and possible future developments in the Complied The Directors' report
industry; complies with the
guidelines.
K5)(ii) The segment-wise or product-wise performance; Complied

l(5)(iii) Risk and concerns including internal and external risk factors, Complied
threat to sustainability and negative impact on environment, if
any;
l(5)(iv) A Discussion on cost of Goods sold. Gross Profit Margin and Net Complied
Profit Margin, where applicable;
K5)(v) A discussion on continuity of any extraordinary activities and Not Applicable
their implications (gain or loss);
l(5)(vi) A detailed discussion on related party transactions along with a Complied
statement showing amount, nature of related party, nature of
transactions and basis of transactions of all related party
transactions;
l(5)(vii) A statement of utilization of proceeds raised through public Not Applicable
issues, rights issues and/or any other instruments;
l(5)(viii) An explanation if the financial results deteriorate after the Not Applicable
company goes for Initial Public Offering (IPO), Repeat Public
Offering (RPO), Rights Share Offer, Direct Listing, etc.;
l(5)(ix) An explanation on any significant variance that occurs between Not Applicable
Quarterly Financial performances and Annual Financial
Statements;
K5)(x) A statement of remuneration paid to the directors including Complied
independent directors;
l(5)(xi) A statement that the financial statements prepared by the Complied
management of the issuer company present fairly its state of
affairs, the result of its operations, cash flows and changes in
equity;
l(5)(xii) A statement that proper books of account of the issuer company Complied
have been maintained;
l(5)(xiii) A statement that appropriate accounting policies have been Complied
consistently applied in preparation of the financial statements
and that the accounting estimates are based on reasonable and
prudent judgment;
l(5)(xiv) A statement that International Accounting Standards (IAS) or Complied
International Financial Reporting Standards (IFRS), as applicable
in Bangladesh, have been followed in preparation of the financial
statements and any departure there from has been adequately
disclosed;
l(5)(xv) A statement that the system of internal control is sound in design Complied
and has been effectively implemented and monitored;
l(5)(xvi) A statement that minority shareholders have been protected Complied
from abusive actions by, or in the interest of controlling
shareholders acting either directly or indirectly and have
effective means of redress;
l(5)(xvii) A statement that there is no significant doubt upon the issuer Complied
company's ability to continue as a going concern, if the issuer
company is not considered to be a going concern, the fact along
with reasons there of shall be disclosed;
l(5)(xviii) An explanation that significant deviations from the last year's Complied
operating results of the issuer company shall be highlighted and
the reasons thereof shall be explained;
l(5)(xix) A statement where key operating and financial data of at least Complied
preceding 5 (five) years shall be summarized;

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ANNUAL REPORT 2018-2019

l(5)(xx) An explanation on the reasons if the issuer company has not Complied No Dividend has been
declared dividend (cash or stock) for the year; declared and details are
mentioned in the
Directors' Report
l(5)(xxi) Board's statement to the effect that no bonus share or stock Complied As confirmed in the
dividend has been or shall be declared as interim dividend; Directors' Report
l(5)(xxii). The total number of Board meetings held during the year and Complied Disclosed in the Director's
attendance by each director; Report
l(5)(xxiii) A report on the pattern of shareholding disclosing the aggregate number of shares (along
with name-wise details where sated below) held by:-
l(5)(xxiii)(a). Parent or Subsidiary or Associated Companies and other related Complied
parties (name-wise details);
l(5)(xxiii)(b). Directors, Chief Executive Officer, Company Secretary, Chief Complied
Financial Officer, Head of Internal Audit and Compliance and
their spouses and minor children (name-wise details);
l(5)(xxiii)c. Executives; and Complied

l(5)(xxiii)(d). Shareholders holding ten percent (10%) or more voting interest Complied
in the company (name-wise details);
l(5)(xxiv) In case of the appointment or reappointment ol : a director, a disclosure on the following
information to the shareholders:-
l(5)(xxiv)(a) a brief resume of the director; Complied Disclosed In the
Annual Report
l(5)(xxiv)(b) nature of his or her expertise in specific functional areas; and Complied

l(5)(xxiv)(c) names of companies in which the person also holds the Complied
directorship and the membership of committees of the Board;

l(5)(xxv) A Management's Discussion and Analysis signed iy CEO or MD presenting detailed analysis
of the company's position and operations along with a brief discussion of changes in the
financial statements, among others, focusing on:
l(5)(xxv)(a) accounting policies and estimation for preparation of financial Complied
statements;
l(5)(xxv)(b) changes in accounting policies and estimation, if any, clearly Complied
describing the effect on financial performance or results and
financial position as well as cash flows In absolute figure for such
changes;
l(5)(xxv)(c) comparative analysis (including effects of inflation) of financial Complied
performance or results and financial position as well as cash
flows for current financial year with immediate preceding five
years explaining reasons thereof;
l(5)(xxv)(d) compare such financial performance or results and financial Complied
position as well as cash flows with the peer industry scenario;
l(5)(xxv)(e) briefly explain the financial and economic scenario of the country Complied
and the globe;
l(5)(xxv)(f) risks and concerns issues related to the financial statements, Complied
explaining such risk and concerns mitigation plan of the
company; and
l(5)(xxv)(g) future plan or projection or forecast for company's operation, Complied
performance and financial position, with justification thereof,
i.e., actual position shall be explained to the shareholders in the
next AGM;
l(5)(xxvi) Declaration or certification by the CEO and the CFO to the Board Complied CEO and CFO certified to
as required under condition No. 3(3) shall be disclosed as per the Board regarding
Annexure-I; and Financial Statements.

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 ANNUAL REPORT 2018-2019

l(5)(xxvii) The report as well as certificate regarding compliance of Complied

conditions of this Code as required under condition No. 9 shall be
disclosed as per Annexure-4 and Annexure-5.
1(6) M eetings o f the Board o f Directors Complied
The company shall conduct its Board meetings and record the
minutes of the meetings as well as keep required books and
records in line with the provisions of the relevant Bangladesh
Secretarial Standards (BSS) as adopted by the Institute of
Chartered Secretaries of Bangladesh (ICSB) in so far as those
standards are not inconsistent with any condition of this Code.
1(7) Code of conduct for the Chairperson, other Boarc Members and Chief Executives Officer
K7)(a) The Board shall lay down a code of conduct, based on the Complied
recommendation of the Nomination and Remuneration
Committee (NRC) at condition No. 6, for the Chairperson of the
Board, other board members and Chief Executive Officer of the
company;
K7)(b) The code of conduct as determined by the NRC shall be posted Complied
on the website of the company including, among others, prudent
conduct and behavior; confidentiality; conflict of interest;
compliance with laws, rules and regulations; prohibition of
insider trading; relationship with environment, employees,
customers and suppliers; and independency.
2 Governance of Board of Directors of Subsidiary Company
2(a) Provisions relating to the composition of the Board of the Complied
holding company shall be made applicable to the composition of
the Board of the subsidiary company;
2(b) At least 1 (one) independent director on the Board of the holding Complied
company shall be a director on the Board of the subsidiary
company;
2(c) The minutes of the Board meeting of the subsidiary company Complied
shall be placed for review at the following Board meeting of the
holding company;
2(d) The minutes of the respective Board meeting of the holding Complied
company shall state that they have reviewed the affairs of the
subsidiary company also;
2(e) The Audit Committee of the holding company shall also review Complied
the financial statements, in particular the investments made by
the subsidiary company.
3 Managing Director (MD) or Chief Executive Officer (CEO), Chief Financial Officer (CFO),
Head of Internal Audit and Compliance (HIAC) and Company Secretary (CS):-
3(i) Appointment Complied

3(i)(a) The Board shall appoint a Managing Director (MD) or Chief Complied
Executive Officer (CEO), a Company Secretary (CS), a Chief
Financial Officer (CFO) and a Head of Internal Audit and
Compliance (HIAC);
3(i)(b) The positions of the Managing Director (MD) or Chief Executive Complied
Officer (CEO), Company Secretary (CS), Chief Financial Officer
(CFO) and Head of Internal Audit and Compliance (HIAC) shall be
filled by different individuals;
3(i)(c) The MD or CEO, CS, CFO and HIAC of a listed company shall not Complied
hold any executive position in any other company at the same
time;
3(i)(d) The Board shall clearly define respective roles, responsibilities Complied
and duties of the CFO, the HIAC and the CS;

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ANNUAL REPORT 2018-2019

3(i)(e) The MD or CEO, CS, CFO and HIAC shall not be removed from Complied No such case occurred in
their position without approval of the Board as well as the year.
immediate dissemination to the Commission and Stock
Exchange.
3(2) Requirement to attend the Board Meetings
The CFO, HIAC and the Company Secretary of the company shall Complied In practice
attend the meetings of the Board of Directors, provided that the
CFO, HIAC and/or the Company Secretary shall not attend such
part of a meeting of the Board of Directors which involves
consideration of an agenda item relating to their personal
matters.
3(3) Duties of Managing Director (MD) or Chief Executive Officer (CEO) Chief Financial Officer
3(3)(a) The MD or CEO and CFO shall certify to the Board that they have reviewed financial statements for the year and that to the
best of their knowledge and belief:

3(3)(a)(i) these statements do not contain any materially untrue Complied

statement or omit any material fact or contain statements
that might be misleading; and
3(3Xa)(ii) these statements together present a true and a fair view of the Complied
company's affairs and are in compliance with existing accounting
standards and applicable laws;
3(3)(b) The MD or CEO and CFO shall also certify that there are, to the Complied
best of knowledge and belief, no transactions entered into by the
company during the year - which are fraudulent, illegal or in
violation of the code of conduct for the company's Board or its
members;
3(3)(c) The certification of the MD or CEO shall be disclosed in the Complied
Annual Report,
4 Board of Director's Committee:-
4(i) Audit Committee; and Complied

4(ii) Nomination and Remuneration Committee. Complied

5 Audit Committee:-
5(1) Responsibility to the Board of Director's

5(l)(a) The company shall have an Audit committee as a sub-committee Complied Already in place
of the Board;

5(l)(b) The Audit Committee shall assist the Board of Directors in Complied In practice
ensuring that the financial statements reflect true and fair view
of the state of affairs of the company and in ensuring a good
monitoring system within the business.
5(l)(c) The Audit Committee shall be responsible to the Board of Complied
Directors. The duties of the Audit Committee shall be clearly set
forth in writing.
5(2) Constitution of the Audit Committee
5(2)(a) The Audit Committee shall be composed of at least 3 (three) Complied
members.
5(2)(b) The Board of Directors shall appoint members of the Audit Complied
Committee who shall be directors of the company and shall
include at least 1 (one) independent director.
5(2)(c) All members of the audit committee should be "financially Complied
literate" and at least 1 (one) member shall have accounting or
related financial management background and 10 (ten) years of
such experience.

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 ANNUAL REPORT 2018-2019

5(2)(d) When the term of service of the committee members expires or Complied
there is any circumstance causing any committee member to be
unable to hold office until expiration of the term of service, thus
making the number of the committee members to be lower than
the prescribed number of 3 (three) persons, the Board of
Directors shall appoint the new committee member(s) to fill up
the vacancy immediately or not later than 1 (one) month from
the date of vacancy in the committee to ensure continuity of the
performance of work of the Audit Committee.
5(2)(e) The company secretary shall act as the secretary of the audit Complied
Committee
5(2)(f) The quorum of the Audit committee meeting shall not constitute Complied
without at least 1 (one) independent Director.

5(3) Chairperson of the Audit Committee

5(3)(a) The Board of Directors shall select 1 (one) member of the Audit Complied
Committee to be chairperson of the Audit Committee, who shall
be an independent Director.
5(3)(b) In the absence of the Chairperson of the Audit Committee, the Complied
remaining members may elect one of themselves as Chairperson
for that particular meeting, in that case there shall be no
problem of constituting a quorum as required under condition
No. 5(4)(b) and the reason of absence of the regular Chairperson
shall be duly recorded in the minutes,
5(3)(c) Chairperson of the audit committee shall remain present in the Complied
Annual General Meeting (AGM).

5(4) Meeting of the Audit Committee

5(4)(a) The Audit Committee shall conduct at least its four meetings in a Complied
financial year:
5(4)(b) The quorum of the meeting of the Audit Committee shall be Complied
constituted in presence of either two members or two third of
the members of the Audit Committee, whichever is higher,
where presence of an independent director is a must.
5(5) Role of Audit Committee
5(5)(a) Oversee the financial reporting process. Complied

5(5)(b) Monitor choice of accounting policies and principles. Complied

5(5)(c) monitor Internal Audit and Compliance process to ensure that it Complied
is adequately resourced, including approval of the Internal Audit
and Compliance Plan and review of the Internal Audit and
Compliance Report;.
5(5)(d) Oversee hiring and performance of external auditors. Complied
5(5)(e) hold meeting with the external or statutory auditors for review Complied
of the annual financial statements before submission to the
Board for approval or adoption;
5(5)(f) Review along with the management, the quarterly and half Complied
yearly financial statements before submission to the board for
approval.
5(5)(g) review along with the management, the quarterly and half yearly Complied
financial statements before submission to the Board for
approval;
5(5)(h) Review statement of significant related party transactions Complied
submitted by the management.
5(5)(h) review the adequacy of internal audit function; Complied

5(5)(i) review the Management's Discussion and Analysis before Complied

disclosing in the Annual Report;

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ANNUAL REPORT 2018-2019

5(5)0) review statement of all related party transactions submitted by Complied

the management;
5(5)(k) review Management Letters or Letter of internal Control Complied
weakness issued by statutory auditors;

5(5)(l) oversee the determination of audit fees based on scope and Complied
magnitude, level of expertise deployed and time required for
effective audit and evaluate the performance of external
auditors; and
5(5)(m) oversee whether the proceeds raised through Initial public Not Applicable
Offering (IPO) or Repeat Public Offering (RPO) or Rights Share
Offer have been utilized as per the purposes stated in relevant
offer document or prospectus approved by the Commission:
5(6) Reporting of the Audit committee
5(6)(a) Reporting to the Board of Directors ' Complied

5(6)(a)(i) The Audit Committee shall report on its activities to the Board of Directors, if any Not
Applicable
5(6){a)(ii)(a) Report on conflicts of interest; Not Applicable

5(6)(a)(ii)(b) Suspected or presumed fraud or irregularity or material defect in Not Applicable

the internal control systems;
5(6)(a)(ii)(a) Suspected infringement of laws, including securities related laws, Not Applicable
rules and regulations; and
5(6)(a)(ii)(a) Any other matter which shall be disclosed to the Board of Complied
Directors immediately.

5(6)(b) Reporting to the Authorities

If the Audit Committee has reported to the Board of Directors Not Applicable
about anything which has material impact on the financial
condition and results of operation and has discussed with the
Board of Directors and the management that any rectification is
necessary and if the Audit Committee finds that such
rectification has been unreasonably ignored, the Audit
Committee shall report such finding to the Commission, upon
reporting of such matters to the Board of Directors for three
times or completion of a period of 6 (six) months from the date
of first reporting to the Board of Directors, whichever is earlier.

5(7) Reporting to the shareholders and General investors.

Report on activities carried out by the Audit Committee, Complied
including any report made to the Board of Directors under
condition 3.4.1 (ii) above during the year, shall be signed by the
Chairman of the Audit Committee and disclosed in the annual
report of the issuer Company.
6 Nomination and Remuneration Committee (NRC):-
6(1) Responsibility to the Board of Directors
6(l)(a) The company shall have a Nomination and Remuneration Complied
Committee (NRC) as a subcommittee of the Board;
6(l)(b) The NRC shall assist the Board in formulation of the nomination Complied
criteria or policy for determining qualifications, positive
attributes, experiences and independence of directors and top
level executive as well as a policy for formal process of
considering remuneration of directors, top level executive;
6(l)(c) The Terms of Reference (ToR) of the NRC shall be clearly set forth Complied
in writing covering the areas stated at the condition No.6(5)(b).
6(2) Constitution of the NRC

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 ANNUAL REPORT 2018-2019

6(2)(a) The Committee shall comprise of at least three members Complied

including an independent director;
6(2)(b) All members of the Committee shall be non-executive directors; Complied

6(2)(c) Members of the Committee shall be nominated and appointed Complied

by the Board;
6(2)(d) The Board shall have authority to remove and appoint any Complied
member of the Committee;
6(2)(e) In case of death, resignation, disqualification, or removal of any Complied
member of the Committee or in any other cases of vacancies, the
board shall fill the vacancy within 180 (one hundred eighty) days
of occurring such vacancy in the Committee;
6(2)(f) The Chairperson of the Committee may appoint or co-opt any Complied
external expert and/or member(s) of staff to the Committee as
advisor who shall be non-voting member, if the Chairperson feels
that advice or suggestion from such external expert and/or
member(s) of staff shall be required or valuable for the
Committee;
6(2)(g) The company secretary shall act as the secretary of the Complied
Committee;
6(2)(h) The quorum of the NRC meeting shall not constitute without Complied
attendance of at least an independent director;
6(2)0) No member of the NRC shall receive, either directly or indirectly, Complied
any remuneration for any advisory or consultancy
role or otherwise, other than Director's fees or honorarium from
the company.
6(3) Chairperson of the NRC
6(3)(a) The Board shall select 1 (one) member of the NRC to be Complied
Chairperson of the Committee, who shall be an independent
director;
6(3)(b) In the absence of the Chairperson of the NRC, the remaining Complied
members may elect one of themselves as Chairperson for that
particular meeting, the reason of absence of the regular
Chairperson shall be duly recorded in the minutes;
6(3)(c) The Chairperson of the NRC shall attend the annual general Complied
meeting (AGM) to answer the queries of the shareholders:
6(4) Meeting of the NRC
6(4)(a) The NRC shall conduct at least one meeting in a financial year; Complied

6(4)(b) The Chairperson of the NRC may convene any emergency Complied
meeting upon request by any member of the NRC;
6(4)(c) The quorum of the meeting of the NRC shall be constituted in Complied
presence of either two members or two third of the members of
the Committee, whichever is higher, where presence of an
independent director is must as required under condition No.
6(2)(h);
6(4)(d) The proceedings of each meeting of the NRC shall duly be Complied
recorded in the minutes and such minutes shall be confirmed in
the next meeting of the NRC.
6(5) Role of the NRC
6(5)(a) NRC shall be independent and responsible or accountable to Complied
the Board and to the shareholders;
6(5)(b) NRC shall oversee, among others, the following matters and make report with recommendation to
the Board
6(5)(b)(i)(a) the level and composition of remuneration is reasonable and Complied
sufficient to attract, retain and motivate suitable directors to run
the company successfully;

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ANNUAL REPORT 2018-2019

6(5)(b)(i)(b) the relationship of remuneration to performance is clear and Complied

meets appropriate performance benchmarks; and
6(5)(b)(i)(c) remuneration to directors, top level executive involves a balance Complied
between fixed and incentive pay reflecting short and long-term
performance objectives appropriate to the working of the
company and its goals;
6(5)(b)(ii) devising a policy on Board's diversity taking into consideration Complied
age, gender, experience, ethnicity, educational background and
nationality;
6(5)(b)(iii) identifying persons who are qualified to become directors and Complied
who may be appointed in top level executive position in
accordance with the criteria laid down, and recommend their
appointment and removal to the Board;
6(5)(b)(iv) formulating the criteria for evaluation of performance of Complied
independent directors and the Board;
6(5)(b)(v) identifying the company's needs for employees at different levels Complied
and determine their selection, transfer or replacement and
promotion criteria; and
6(5)(b)(vi) developing, recommending and reviewing annually the Complied
company's human resources and training policies;
6(5)(c) The company shall disclose the nomination and remuneration Complied
policy and the evaluation criteria and activities of NRC during the
year at a glance in its annual report.
7 External/Statutory Auditors:-
7(1) The issuer company should not engage its external/statutory Complied
auditors to perform the following services of the company;
namely:-

7(l)(i) Appraisal or valuation services or fairness opinions Complied

7(l)(ii) Financial information systems design and implementation. Complied

7(l)(iii) Book keeping or other services related to the accounting records Complied
or financial statements.
7(l)(iv) Broker-dealer services; Complied

7(l)(v) Actuarial services; Complied

7(l)(vi) internal audit services or special audit services; Complied

7(l)(vii) Any other service that the Audit Committee determines; Complied

7(l)(viii) audit or certification services on compliance of corporate Complied

governance as required under condition No, 9(1); and
7(l)(ix) any other service that creates conflict of interest. Complied

7(2) No partner or employees of the external audit firms shall possess Complied
any share of the company they audit at least during the tenure of
their audit assignment of that company; his or her family
members also shall not hold any shares in the said company:
7(3) Representative of external or statutory auditors shall remain Complied
present in the Shareholders' Meeting (Annual General Meeting
or Extraordinary General Meeting) to answer the queries of the
shareholders.
8 Maintaining a website by the Company:-
8(1) The company shall have an official website linked with the Complied
website of the stock exchange.
8(2) The company shall keep the website functional from the date of Complied
listing.

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 ANNUAL REPORT 2018-2019

8(3) The company shall make available the detailed disclosures on its Complied
website as required under the listing regulations of the
concerned stock exchange(s).
9 Reporting and Compliance of Corporate Governance:-
9(1) The company shall obtain a certificate from a practicing Complied
Professional Accountant or Secretary (Chartered Accountant
or Cost and Management Accountant or Chartered Secretary)
other than its statutory auditors or audit firm on yearly basis
regarding compliance of conditions of Corporate Governance
Code of the Commission and shall such certificate shall be
disclosed in the Annual Report.
9(2) The professional who will provide the certificate on compliance Complied
of this Corporate Governance Code shall be appointed by the
shareholders in the annual general meeting.

9(3) The directors of the company shall state, in accordance with the Complied
Annexure-7 attached, in the directors' report whether the
company has complied with these conditions or not.

36>> GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

ANNEXURE-V
[Certificate as per condition No. 1(5)(xxvii)]

BGIC Tower (4th Floor)

MAHFEL HUQ & CO. 34, Topkhana Road
CHARTERED ACCOUNTANTS
Dhaka-1000, BANGLADESH.
TEL : OFF : 880-2-9553143, 9581786
FAX : 880-2-9571005
E-mail : [email protected]
Website : www.mahfelhuq.com

REPORT TO THE SH A REH O LD ERS OF GO LDEN SON LIM ITED ON COM PLIANCE
ON THE CORPORATE GOVERNANCE CODE
[Certificate as per condition No. 1(5)(xxvii) of BSEC Notification
no. SEC/CMRRCD/2006-158/207/Admin/80 dated 3rd June, 2018]

We have examined the accom panying statement of com pliance status to the Corporate Governance code by
Golden Son Limited for the year ended on 30 June 2019. This Code relates to the Notification No.
SEC/CMRRCD/2006-158/207/Admin/80 dated 3rd June, 2018 of the Bangladesh Securities and Exchange
Commission.

Such com pliance with the Corporate Governance Code is the responsibility of the Company. Our examination was
limited to the procedures and implementation thereof as adopted by the Management in ensuring com pliance to
the conditions of the Corporate Governance Code.

This is a scrutiny and verification and an independent audit on com pliance of the conditions of the Corporate
Governance Code as well as the provisions of relevant Bangladesh Secretarial Standards (BSS) as adopted by the
Institute of Chartered Secretaries of Bangladesh (ICSB) in so far as those standards are not inconsistent with any
condition of this Corporate Governance Code.

We state that we have obtained all the information and explanations, which we have required, and after due scrutiny
and verification thereof, we report that, in our opinion:

(a) The Com pany has complied with the conditions of the Corporate Governance Code as stipulated in the
above mentioned Corporate Governance Code issued by the Commission;
(b) The Com pany has complied with the provisions of the relevant Bangladesh Secretarial Standards (BSS) as
adopted by the Institute of Chartered Secretaries of Bangladesh (ICSB) as required by this Code;
(c) Proper books and records have been kept by the Com pany as required under the Com panies Act, 1994, the
securities laws and other relevant laws; and
(d) The Governance of the Com pany is satisfactory.

For Mahfel Huq & Co.

Chartered Accounts

05 December 2019 Md. Abu ^ ^ 0 FCA

Senior Partner

GOLDEN SON LIMITED

C <
SS> ANNUAL REPORT 2018-2019

REPORT OF THE AUDIT COMMITTEE ANNEXURE-VI

Background
In accordance to the best practices of Corporate Governance, the Board of Directors of Golden Son Limited has been
formed as the Audit Committee ("the Committee") is a sub-committee of the Board of Directors as per Circulation of BSEC
vide order no. SEC/CMRRCD/2006-158/Admin/02-06 dated 9th January, 2006 and status of compliance with the
conditions imposed by the Commission's Notification on Corporate Governance Code
No.BSEC/CMRRCD/2006-158/207/Admin/80 dated 3 June, 2018 ("the Code") issued under section 2CC of the Securities
and Exchange Ordinance, 1969:
This report is presented in accordance with the Code which sets out the role of the Committee and the functions carried
out during the year ended June 30,2019 ("the year under review").The Committee met four times last year. During the
year under review, all the recommendations made by the Committee were accepted by the Board.
Composition of the Board Audit Committee
The following members of the Board of Directors comprise the Board Audit Committee:
- Mr.Shishir Ranjan Bose,FCA -Chairman -Independent Director
- Ms. Lin Yu Chen, - Member -Chairman of Board of Directors
- Mr.A.S.AMuiz -Member -IndependentDirector
- Mr.Md.Ayinuddin ACS - Member Secretary -Company Secretary
The Chief Financial Officer attends the meeting by invitation only as and when necessary. The Company Secretary
functions as the Secretary of the Audit Committee.
Terms of Reference:
The Committee is a central pillar of effective corporate governance and fulfills its oversight responsibilities mandated by
law and governance best practices. The Committee plays a critical role in enhancing audit quality, assurance in the
integrity of financial reporting, guiding risk management practices, monitoring compliance and creating an environment
that promotes transparency.The Committee's primary purpose is to provide independent oversight of the Company's
financial reporting and controls, non-financial corporate disclosures, business risks, internal control systems and
compliance. It assists the Management with driving internal controls to eliminate or mitigate business risks, ensuring high
standards of behavior and conducting the business in a financially sound manner.
Role of the Audit Committee:
The Audit Committee assisted the Board of Directors in fulfilling its responsibilities regarding the Company's accounting
and financial reporting process by monitoring the following:
• T h e i n t e g r it y o f t h e C o m p a n y 's f in a n c ia l s t a t e m e n t s
• T h e in d e p e n d e n c e , q u a lif ic a t io n s a n d p e r f o r m a n c e q u a lit y o f it s e x t e r n a l a u d it o r s
• T h e C o m p a n y 's s y s t e m o f in t e r n a l c o n t r o ls
• T h e p e r f o r m a n c e o f t h e C o m p a n y 's in t e r n a l a u d it p r o c e s s
• T h e C o m p a n y 's c o m p l i a n c e w it h la w s , r e g u la t io n s a n d c o d e s o f c o n d u c t w it h a v ie w t o s a f e g u a r d t h e in t e r e s t o f
a ll s t a k e h o ld e r s o f t h e C o m p a n y .
Summary of Activities
T h e A u d it C o m m it t e e c a r r ie d o u t t h e f o llo w i n g a c t i v i t ie s d u r i n g t h e f in a n c ia l y e a r e n d e d J u n e 3 0 , 2 0 1 9

Regulatory Compliance
T h e C o m m it t e e e x a m i n e d w h e t h e r t h e C o m p a n y 's p r o c e d u r e s a r e in p la c e t o e n s u r e c o m p l i a n c e w it h
• T h e la w s a n d r e g u la t io n s f r a m e d b y t h e R e g u l a t o r y A u t h o r it ie s ( B S E C , D S E , C S E a n d R J S C ) .
• In t e r n a l r e g u la t io n s a p p r o v e d b y t h e B o a r d o f D ir e c t o r s .

Financial Reporting
T h e C o m m it t e e a s s is t e d t h e B o a r d o f D ir e c t o r s a n d t h e m a n a g e m e n t t o c a r r y o u t t h e ir r e s p o n s ib il it i e s o f p r e p a r in g t r u e
a n d f a ir f in a n c ia l s t a t e m e n t s in a c c o r d a n c e w it h t h e b o o k s o f a c c o u n t s a n d B a n g l a d e s h A c c o u n t i n g S t a n d a r d s b y :
• R e v i e w i n g a d e q u a c y a n d e f f e c t iv e n e s s o f t h e in t e r n a l c o n t r o l s y s t e m a n d p r o c e d u r e s in o r d e r t o p r o v i d e
r e a s o n a b le a s s u r a n c e t h a t a ll t r a n s a c t i o n s a r e a c c u r a t e ly a n d c o m p l e t e l y r e c o r d e d in t h e b o o k s o f a c c o u n t s .
• R e v i e w i n g i n t e g r it y o f t h e p r o c e s s b y w h ic h f in a n c ia l s t a t e m e n t s a r e p r e p a r e d f r o m t h e b o o k s o f a c c o u n t s .
• R e v i e w i n g t h e p r o c e s s b y w h ic h p r o v i s io n s o f B a n g l a d e s h A c c o u n t i n g S t a n d a r d s a r e c o m p li e d .
The Committee also reviewed
• T h e q u a r t e r l y a n d a n n u a l f in a n c ia l s t a t e m e n t s o f t h e C o m p a n y p r io r t o r e c o m m e n d i n g t h e m f o r t h e a p p r o v a l b y
th e B o a rd .

38 GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

• The annual audited financial statements of the company with external auditors prior to submission to the Board
for approval.The review focused particularly on changes of accounting policy and compliance with applicable
accounting standards as adopted in Bangladesh and other legal & regulatory requirements.
Related Party Transactions
To review all related party transactions and conflict of interest situations that may arise within the Company including
those under the Company's Code of Conduct.The transactions with parent or associated companies are reviewed in detail
including the amount, nature of related party and the nature of transactions.
Internal Control
The Committee examined whether the Management has set up the appropriate compliance culture across the Company
in order to ensure that all employees have a clear understanding of their roles and responsibilities. The Committee
reviewed the arrangements made by the management for building up a suitable Management Information System (MIS)
including computerized systems and its applications thereof.
Internal Audit
The Committee reviewed and discussed the relevant reports of special investigations which were submitted by the Audit
Team.They are as follows:
• The annual audit plan for adequacy of scope and comprehensive coverage of these activities of the Company.
• The audit programs, resources requirements for the year and assessed the performance of the internal audit
functions.
• The internal audit reports, audit recommendations and management responses to these recommendations and
actions taken to improve the system of internal control and procedures.
• Exercise internal audit of Golden Son Limited. Review the effectiveness of Internal Audit functions including
performance and compliance with professional standards. Examine audit findings and material weakness and
monitor implementation of audit action plans.
External Audit
The Committee met with the external auditors at the conclusion of the annual audit and exchanged views on their Audit
Report.The Committee reviewed the findings and recommendations made by the external auditors in order to remove
the weaknesses as detected in the external auditing process.The Committee reviewed the performance of the External
Auditors and recommended to the Board on their appointment and fees.
Appointment of External/Statutory Auditors:
The audit committee has recommended the Board to appoint external auditor of the company - M/S FAMS & R Chartered
Accountants (Ex. Shahadat Rashid & Co), the representative firm for the position of the statutory auditors to hold the office
for the year 2019-2020.
Approval of Financial Statements
The Audit Committee reviewed and examined the Annual Financial Statements for the year ended 30th June, 2019
prepared by the Management and audited by the External Auditors M/s. Ahmed Zaker& Co., Chartered Accountants and
recommended to place the same before the Board for consideration.The Board approved the same at its 106th Meeting
held on 29th October 2019.
Acknowledgement
The Committee has also reviewed the Management's Discussion and Analysis that is presented in this Report to the
shareholders.
The minutes of the Committee meetings were prepared in accordance with the Bangladesh Secretarial Standards (BSS)
and placed subsequently before the Board for its approval, on a regular basis, which contained all issues along with
various suggestions and recommendations to the Management and the Board.
The Audit Committee expressed of sincere thanks to the Chairman and Members of the Board, Management and the
Auditors for their support in carrying out its duties and responsibilities effectively.
On behalf of the Audit Committee,

Shirshir Ranjan Bose, FCA

Chairman of the Audit Committee
Dated: 29th October, 2019

GOLDEN SON LIMITED

c © ANNUAL REPORT 2018-2019

Nomination and Remuneration Committee a n n ex u r e -vii

Report for the year ended June 30,2019
As per the requirements of the BSEC Code of Corporate Governance the Board of Directors of Golden Son Limited has
duly constituted a Nomination and Remuneration Committee (NRC).The Nomination and Remuneration Committee
("the Committee") is a sub-committee of the Board constituted pursuant to the Corporate Governance Code. The
Committee is appointed by and accountable to the Board of Directors of the Company and to the shareholders according
to the conditions of the Corporate Governance Code, 2018 ("the Code") issued by the Bangladesh Securities and
Exchange Commission on June 03,2018 ("the Code").This report is presented in accordance with the Code which sets out
the constitution, terms of reference of the Committee and the functions carried out during the year ended March 31,2019
("the year under review").
Role of the Nomination and Remuneration Committee
The main role of the Committee is to assist and advise the Board on the Company's remuneration policy for the Board and
key management personnel, drive diversity and inclusion in the organization, guide standards of behavior and culture
code, ensure appropriate processes for performance-related pay in order to motivate and retain executives and ensure
that the Company is able to attract the best talent in the market in order to maximize shareholder value.
Composition and Meetings
The Committee presently comprises of 3 (Three) members of non-executive Directors.The Chairman of the Committee is
a non-executive independent director.The Company Secretary functions as the Member Secretary to the Committee.
Terms Of Reference
The terms of reference of the Committee are set out in the Charter of Nomination & Remuneration Committee ("the
Charter") which was adopted by the Board during the year under review. In accordance with the Charter, the Committee
shall oversee, among others, the following matters and shall recommend the following for review and/or approval of the
Board, as the case may be:
i. the criteria for determining qualifications, positive attributes and independence of a director
ii. a policy relating to the remuneration of the directors, top level executive, considering the following:
(a) the level and composition of remuneration is reasonable and sufficient to attract, retain and
motivate suitable directors to run the company successfully;
(b) the relationship of remuneration to performance is clear and meets appropriate performance benchmarks; and
(c) remuneration to directors, top level executive involves a balance between fixed and incentive pay reflecting short
and long-term performance objectives appropriate to the working of the company and its goals;
iii. a policy on Board's diversity taking into consideration age, gender, experience, ethnicity, educational background
and nationality;
v. the criteria for evaluation of performance of independent directors and the Board;
vi. the plan or proposal on company's needs for employees at different levels and the selection,
vii. transfer or replacement and promotion criteria/principles;and
The activities of the NRC during the year were as follows:
The Committee carried out its functions in accordance with the Charter. At its commencement meeting the Committee
delved in detail into the values, code of conduct and talent value proposition of the Company.
During the year under review, the Committee carried out the following activities:
a) During the year the Committee met once.The Managing Director, Chief Financial Officer and Head of Internal Audit
& Compliance attended the meeting by invitation of the Committee.
b) Reviewed the existing policy relating to the remuneration of the Managing Director, top level executives and
employees of the Company.
c) Reviewed the criteria for determining the qualifications, positive attributes and independence of Directors.
d) Reviewed the criteria for recruitment, replacement and promotion at different levels of the Company.
The minutes of the Committee meetings were placed subsequently before the Board for its approval, which contained all
issues along with various suggestions and recommendations to the Management and the Board.
The Committee will proceed to function by adopting and adhering to a calendar or plan for the year and monitor
progress on the same.

On behalf of the Committee,

A.S.A Muiz
Chairman of the Nomination and Remuneration Committee
40 GOLDEN SON LIMITED
ANNUAL REPORT 2018-2019

Financial Highlights ANNEXURE-VIII

Particulars 2018-2019 2017-2018 2016-2017 2015-2016 2014
0 1 L iq u id it y R a tio s :
Current Rati o 1.97 1.69 1.47 1.79 2.13
Quick Ratio 1.33 1.11 0.86 0.92 1.03
Times Interest Earned Rati o
0.27 tim es 0.001 tim es (0.17) tim es 2.96 tim es 8.16 tim es
Debt to Equity Rati o
0.77 0.67 0.52 0.41 0.33

0 2 O p e r a t in g R a tio s :

Trade Receivables Turnover Ratio 0.48 tim es 0.46 tim es 0.66 tim es 1.35 tim es 1.44 tim es
Inventory Turnover Ratio 0.51 tim es 0.49 tim es 0.61 tim es 0.88 tim es 0.77 tim es
Asstes Turnover Ratio 0.09 tim es 0.09 tim es 0.13 tim es 0.27 tim es 0.28 tim es

0 3 P r o f it a b ilit y R a tio s :
Gross Profit Margin Ratio 9.99% (0.37)% (3.14)% 18.31% 28.57%
Operating Income Rati o (36.8)% (41.66)% (34.49)% 5.45% 20.71%
Net Income Rati o (before tax) (27.18)% (31.11)% (26.41)% 12.62% 24.29%
Net Income Rati o (a fter tax) (27.76)% (31.78)% (26.95)% 9.96% 21.58%
Return on Assets ratio 0.03% (0.75)% (1.26)% 3.95% 6.72%
Return on Equity Rati o (4.49)% (4.50)% (4.95)% 3.68% 7.69%
Earnings Per Share(EPS) (0.97) (1.02) (1.18) 0.89 Tk. 2.01

Financial Performance (Taka in Thousand)

Particulars 2018-2019 2017-2018 2016-2017 2015-2016 2014
Turnover 602,239 551,051 753,136 1,530,521 1,419,012
Gross (Loss)/Profit 60,164 (2,016) ( 2,365) 280,236 405,450
Net (Loss)/Profit after tax (167,234) (175,107) (202,963) 152,482 306,278

■ Turnover
■ Gross Profit
■ Net Profit
■ Gross Loss
Net Loss

2014 2015-16 2016-17 2017-18 2018-19

GOLDEN SON LIMITED

 ANNUAL REPORT 2018-2019

EARNINGS PER SHARE & PAID-UP CAPITAL STRUCTURE

Particulars 2018-19 2017-18 2016-17 2015-16 2014
Earnings Per Share (0.97) (1.04) (1.27) 0.89 2.01

Earnings Per Share

■ 2014

■ 2 0 1 5 -1 6

■ 2 0 1 6 -1 7

■ 2 0 1 7 -1 8

■ 2 0 1 8 -1 9

Category Shares Percentage

Sponsor/Foreign Investor 66,933,171 38.98%

Financial Institution 32,860,108 19.13%
General Public 71,936,493 41.89%

Paid-up Capital Structure ■ Sponsor/Foreign Investors

■ Financial Institution
■ General Public

S p o n s o r / F o r e ig n F in a n c ia l In s t it u r e G e n e r a l P u b lic
In v e s to r

42> GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

UK
Certificate of Conformity
A b o u t th e E M C D ir e c t iv e 2 0 0 4 / 1 0 8 / E C
C e r t if ic a t e N o .: U K 1 3 0 1 0 2 0 1 0
T h i s in s p e c t e d p r o d u c t s h a v e b e e n te s te d b y u s w ith th e lis te d s t a n d a r d s a n d fo u n d in
c o m p lia n c e w ith th e E u r o p e a n C o m m u n it y E le c t r o m a g n e t ic C o m p a tib ilit y D ir e c t iv e s 2004/10 8 / E C .
T h e s ta te m e n t is b a s e d o n a s in g le e v a lu a tio n o f o n e s a m p le o f b e lo w m e n tio n e d p r o d u c ts .
T h e C E m a rk b e lo w c a n b e u s e d u n d e r th e r e s p o n s ib ilit y o f m a n u fa c tu re r a fte r c o m p le tio n o f
a n E C d e c la r a tio n o f c o n fo r m ity a n d c o m p lia n c e w ith a ll re le v a n t E C d ir e c tiv e s .

Applicant: Golden Son Limited

Suite # 808, Palton Tower (8th FI.) 87 Purana Palton Lane,
Dhaka-1000
Manufacturer: Golden Son Limited
Khowaj Nagar, Ajimpara, Karnafully, Chittagong, Bangladesh

Product: Table Fan

Model No.: GF-123T, GF-123TN, GF-163ST, GF-143ST, GF-163T, GF-143T,
GF-162T, GF-142T, GF-162W, GF-142W, GF-163W, GF-143W

Standards EN 61000-3-2: 2006+A2: 2009

applied: EN 61000-3-3: 2008
EN 55014-1: 2006+A2: 2011
EN 55014-2:1997+A2: 2008

Report No.: UK130102010

D a te o f Is s u e : 2 0 1 3 -0 4 -0 1

S ig n a t u r e :

Eric Zhang [Section Manager]

U.K STANDARD TESTING CO., LTD. SERVICE LINE:+86-769-22501690

Addr Floor 2&3, Building E, Nanpu Technology Innovation Center, Banshi, Web: http://www.uk-st.com
Village, Changpin Town, Dongguan City, Guangdong Province E-mail: [email protected]

GOLDEN SON LIMITED

 ANNUAL REPORT 2018-2019

UK
Certificate of Conformity
A b o u t th e L o w V o lt a g e D ir e c t iv e 2 0 0 6 / 9 5 / E C
C e r t if ic a t e N o .: U K 1 3 0 1 0 1 0 0 8
T h i s in s p e c t e d p r o d u c t s h a v e b e e n te s te d b y u s w ith th e lis te d s t a n d a r d s a n d fo u n d in
c o m p lia n c e w ith th e E u r o p e a n D ir e c t iv e s 2 0 0 6 /9 5 /E C .
T h e s ta te m e n t is b a s e d o n a s in g le e v a lu a tio n o f o n e s a m p le o f a b o v e m e n tio n e d p r o d u c ts .
T h e C E m a rk a b o v e c a n b e u s e d u n d e r th e r e s p o n s ib ilit y o f m a n u fa c tu re r a fte r c o m p le tio n o f
a n E C d e c la ra tio n o f c o n fo r m ity a n d c o m p lia n c e w ith a ll re le v a n t E C d ir e c tiv e s .

Applicant: Golden Son Limited

Suite # 808, Palton Tower (8th FI.) 87 Purana Palton Lane,
Dhaka-1000
Manufacturer: Golden Son Limited
Khowaj Nagar, Ajimpara, Karnafully, Chittagong, Bangladesh

Product: Table Fan

Model No.: GF-123T, GF-123TN, GF-163ST, GF-143ST, GF-163T, GF-143T,
GF-162T, GF-142T, GF-162W, GF-142W, GF-163W, GF-143W

Standards applied: EN 62233: 2008

EN 60335-1:2012
EN 60335-2-80: 2003+A2: 2009

Report No.: UK130101008, UK130101009

D a te o f I s s u e : 2 0 1 3 -0 4 -0 1

S ig n a t u r e :

Eric Zhang [Section Manager]

U.K STANDARD TESTING CO., LTD. SERVICE LINE:+86-769-22501690

Addr Floor 2&3, Building E, Nanpu Technology Innovation Center, Banshi, Web: http://www.uk-st.com
Village, Changpin Town, Dongguan City, Guangdong Province E-mail: [email protected]

GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

UK
Certificate of Conformity
A b o u t th e E M C D ir e c t iv e 2 0 0 4 / 1 0 8 / E C
C e r t if ic a t e N o .: U K 1 3 0 1 0 2 0 1 3
T h i s in s p e c t e d p r o d u c t s h a v e b e e n te s te d b y u s w ith th e lis te d s t a n d a r d s a n d fo u n d in
c o m p lia n c e w ith th e E u r o p e a n C o m m u n it y E le c t r o m a g n e t ic C o m p a tib ilit y D ir e c t iv e s 2004/10 8 / E C .
T h e s ta te m e n t is b a s e d o n a s in g le e v a lu a tio n o f o n e s a m p le o f b e lo w m e n tio n e d p r o d u c t s .
T h e C E m a rk b e lo w c a n b e u s e d u n d e r th e r e s p o n s ib ilit y o f m a n u fa c tu re r a fte r c o m p le tio n o f
a n E C d e c la ra tio n o f c o n fo r m ity a n d c o m p lia n c e w ith a ll re le v a n t E C d ir e c tiv e s .

Applicant: Golden Son Limited

Suite # 808, Palton Tower (8th FI.) 87 Purana Palton Lane,
Dhaka-1000
Manufacturer: Golden Son Limited
Khowaj Nagar, Ajimpara, Karnafully, Chittagong, Bangladesh

Product: Stand Fan

Model No.: GDF-163RS, GDF-143RS, GDF-163S, GDF-143S, GF-163S,
GF-143S, GF-165S, GF-185S

Standards applied: EN 61000-3-2: 2006+A2: 2009

EN 61000-3-3: 2008
EN 55014-1: 2006+A2: 2011
EN 55014-2:1997+A2: 2008

Report No.: UK130102013

D a te o f Is s u e : 2 0 1 3 -0 4 -0 1

S ig n a t u r e :

Eric Zhang [Section Manager]

U.K STANDARD TESTING CO., LTD. SERVICE LINE:+86-769-22501690

Addr Floor 2&3, Building E, Nanpu Technology Innovation Center, Banshi, Web: http://www.uk-st.com
Village, Changpin Town, Dongguan City, Guangdong Province E-mail: [email protected]

GOLDEN SON LIMITED

45 >
 ANNUAL REPORT 2018-2019

UK
Certificate of Conformity
A b o u t th e L o w V o lt a g e D ir e c t iv e 2 0 0 6 / 9 5 / E C
C e r t if ic a t e N o .: U K 1 3 0 1 0 1 0 1 1
T h i s in s p e c t e d p r o d u c t s h a v e b e e n te s te d b y u s w ith th e lis te d s t a n d a r d s a n d fo u n d in
c o m p lia n c e w ith th e E u r o p e a n D ir e c t iv e s 2 0 0 6 /9 5 /E C .
T h e s ta te m e n t is b a s e d o n a s in g le e v a lu a tio n o f o n e s a m p le o f a b o v e m e n tio n e d p r o d u c ts .
T h e C E m a rk a b o v e c a n b e u s e d u n d e r th e r e s p o n s ib ilit y o f m a n u fa c tu re r a fte r c o m p le tio n o f
a n E C d e c la ra tio n o f c o n fo r m ity a n d c o m p lia n c e w ith a ll re le v a n t E C d ir e c tiv e s .

Applicant: Golden Son Limited

Suite # 808, Palton Tower (8th FI.) 87 Purana Palton Lane,
Dhaka-1000
Manufacturer: Golden Son Limited
Khowaj Nagar, Ajimpara, Karnafully, Chittagong, Bangladesh

Product: Stand Fan

Model No.: GDF-163RS, GDF-143RS, GDF-163S, GDF-143S, GF-163S,
GF-143S, GF-165S, GF-185S

Standards applied: EN 62233: 2008

EN 60335-1:2012
EN 60335-2-80: 2003+A2: 2009

Report No.: UK130101011, UK130101012

D a te o f I s s u e : 2 0 1 3 -0 4 -0 1

S ig n a t u r e :

Eric Zhang [Section Manager]

U.K STANDARD TESTING CO., LTD. SERVICE LINE:+86-769-22501690

Addr Floor 2&3, Building E, Nanpu Technology Innovation Center, Banshi, Web: http://www.uk-st.com
Village, Changpin Town, Dongguan City, Guangdong Province E-mail: [email protected]

46 > GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

Independent Auditor's Report

To the Shareholders of Golden Son Limited
Report on the Audit of the Consolidated and Separate Financial Statements
Opinion
We have audited the consolidated financial statem ents o f G olden Son Lim ited, its subsidiary as well as the
separate financial statem ents of Golden Son Lim ited (the 'Com pany'), w hich com prise the consolidated and
separate statem ent o f financial position as at 30 Ju n e 2019, and the consolidated and separate statem ent of
profit or loss and other com prehensive incom e, consolidated and separate statem ent of ch an ges in equity
and consolidated and separate statem ent o f cash flow s for the year then ended, and notes to the
consolidated and separate financial statem ents, in clu d in g a sum m ary o f sign ifican t acco u n tin g policies.

In our op in io n, the acco m p an yin g consolidated and separate financial statem ents give true and fair view of
the conso lidated financial position o f the C o m p a n y as at 30 Ju n e 2019, and of its consolidated and separate
financial perform ance and its consolidated and separate cash flow s for the year then ended in
accordance with International Financial Reporting Standards (IFRSs).

Basis for Opinion

We co nducted our audit in accordance with International Standards on A u d itin g (ISAs). Our
responsibilities under those standards are further described in the Auditor's Responsibilities for the A u d it of
the Conso lidated and Separate Financial Statem ents section o f our report. We are in d e p en d e n t o f the
G roup and the C o m p a n y in accordance with the International Ethics Standards Board for A ccountants' Code
of Ethics for Professional A ccountants (IESBA Code), and we have fulfilled our other ethical responsibilities
in accordance with the IESBA Code. We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our opinion.

Key Audit Matters

Key audit m atters are those matters that, in our professional ju d g m e n t, were o f m ost sign ifican ce in our audit
of the consolidated and separate financial statem ents o f the current year. These m atters were addressed
in the context o f our audit of the consolidated and separate financial statem ents as a w hole, and in form ing
our op in io n thereon, and we do not provide a separate opinion on these matters.
Inventory Valuation
Key audit matter How the matter was addressed in ur audit
See Notes - 7 & 7A to the financial statements
A s at 30 Ju n e , 2019 in ve n to ry to the va lu e of Our procedures included the follow ing to assess inventory
Tk.1,376,919,976 is held on the co n so lid ate d Valuation:
fin a n cia l p o sitio n . In ven to ry is d isclo se d in A sse ssin g the rea so n a b len e ss o f th e m e th o d o lo g ie s
notes- 7 & 7.A - "Inventories". a p p lie d by m a n a g e m e n t for c o n siste n c y w ith prior
years and u sin g the in fo rm atio n o b tain e d as
e v id e n ce for e v a lu a tin g the a p p ro p ria te n e ss o f the
a ssu m p tio n s m ade in th e current year.

In order to carry in ve n to ry at th e low er of U n d e rsta n d in g , e v a lu a tin g and te stin g key internal

co st and net realizable value, m a n a g e m e n t co n tro ls w ith p articu lar fo cu s on m a n ag e m e n t's
has required certain e stim ates and m o n ito rin g and review o f p rovision for inventories.
a ssu m p tio n s. Th e m e asu re m e n ts o f the R e ca lcu la tin g th e arith m e tical a ccu ra cy o f the
in ve n to ries in vo lve sig n ific a n t m a n a g e m e n t co m p u ta tio n s.
ju d g m e n ts and e stim ates as it in vo lve s the Te stin g, on a sa m p le basis, the sto ck a g in g profile,
co n sid e ratio n o f a n u m b e r o f facto rs at the e xp iry dates and the m arket price used in a sse ssin g
re p o rtin g date. th e net realizable v a lu e s o f in ve n to ries to the related
su p p o rtin g d o cu m e n ts.

GOLDEN SON LIMITED

 ANNUAL REPORT 2018-2019

R e v e n u e r e c o g n it io n
K e y a u d it m a t t e r H o w t h e m a t t e r w a s a d d r e s s e d in o u r a u d i t
See Notes-24 & 24A to the financial statements
A t year end the G ro u p reported total O u r a u d it pro ced u re s in clu d e d th e fo llo w in g to test the
revenue o f B D T 733,599,254. R evenue is d e sig n and o p e ra tin g e ffectiven e ss o f key control
m easured in a cco rd a n ce w ith IFRS-15. fo cu sin g on:
''R evenue from C o n tra cts w ith C ustom ers'' S e g re g a tio n o f d u tie s in in vo ice creation and
m o d ificatio n ;
T im in g o f revenue re co gn itio n c o n sid e rin g po in t o f
re co gn itio n ;
O u r su b stan tive p ro ced u re s in relation to th e revenue
re co gn itio n and m ea su re m e n t c o m p rise s the fo llo w in g:

O b ta in in g and d o cu m e n tin g a th o ro u g h
u n d e rsta n d in g o f the co m p le te pro ced u re s fo llo w ed
and co n tro ls perfo rm ed b y the C o m p a n y from
initiatio n o f proform a in vo ice (PI) to realization of
e xp o rt proceeds.
In sp e c tin g se lected sa m p le sales tra n sa ctio n s
re co gn ize d d u rin g th e year w ith so urce d o cu m e n ts
su ch as co m m ercia l invo ice, p a ck in g list, d e liv e ry
ch alla n , EXP form , b a ck to b a ck L/C and proform a
in vo ice (PI) to ve rify o ccu rre n ce and a ccu ra cy o f
recorded sales revenue.
In sp e c tin g su p p o rtin g d o cu m e n ts su ch as b a n k
statem ent, b a n k rate sh e et o f fo re ign e xc h a n g e rate
and p ro cee d s realization certificate (PRC) to verify
realization o f proceeds.
C ritica lly a sse ssin g a p p ro p ria te n e ss o f an y m a n u a lly
po sted jo u rn a l entries and id e n tify in g a n y u n u su al or
irre gu lar a d ju stm e n ts m ade;
Fin ally a sse ssin g th e a p p ro p ria te n e ss and
p resentation o f d isclo su re notes w ith IFRS 15:
R evenue from co n tra cts w ith custom ers.

Other Matter
Our opinion on the conso lidated and the separate financial statem ents does not cover the other inform ation
and we do not express any form o f assurance co nclusion thereon.
Other Information
M anagem ent is responsible for the other inform ation. The other inform ation com prises the inform ation
inclu ded in the A nnual report but does not include the financial statem ents and our auditors' report thereon.
The A nnual Report is expected to be m ade available to us after the date o f this auditor's report.
Our op in io n on the financial statem ents does not cover the other inform ation and we do not express any form
of assurance conclusion thereon.
In connectio n with our audit of the consolidated and the separate financial statem ents, our responsibility is
to read the other inform ation and, in d o in g so, consider w hether the other inform ation is m aterially
inconsistent with the consolidated and the separate financial statem ents or our kn o w le d ge ob tained in the
audit, or otherw ise appears to be m aterially m isstated.

48>> GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

Responsibilities of Management and Those Charged with Governance for the Consolidated and
Separate Financial Statements
M anagem ent is responsible for the preparation and fair presentation o f the consolidated and separate
financial statem ents in accordance with International Financial Reporting Standards, and for such internal
control as m a nagem ent determ ines is necessary to enable the preparation of consolidated and separate
financial statem ents that are free from m aterial m isstatem ent, w hether due to fraud or error.
In preparing the consolidated and separate financial statem ents, m a nagem ent is responsible for assessing
the Group's and the Com pany's ability to continue as a g o in g concern, d isclo sin g, as applicable, matters
related to g o in g concern and using the g o in g concern basis of acco u n tin g unless m a nagem ent either intends
to liquidate the G roup and the C o m p a n y or to cease operations, or has no realistic alternative but to do so.
Th ose charged with go vern an ce are responsible for overseeing the Group's and the Com pany's financial
reporting process.
Auditor's Responsibilities for the Audit of the Consolidated and Separate Financial Statements
Our ob jectives are to obtain reasonable assurance about w hether the consolidated and separate financial
statem ents as a w hole are free from m aterial m isstatem ent, w hether due to fraud or error, and to issue an
auditor's report that includes our op in io n. Reasonable assurance is a high level o f assurance, but is not a
guarantee that an audit co n d u cted in accordance w ith ISAs will alw ays detect a material m isstatem ent w hen
it exists. M isstatem ents can arise from fraud or error and are considered material if, in d ivid u ally or in the
aggregate , they could reasonably be expected to influence the eco n o m ic decisio ns of users taken on the
basis o f these consolidated and separate financial statem ents.
As part o f an audit in accordance w ith ISAs, we exercise professional ju d g m e n t and m aintain professional
skepticism th ro u gh o u t the audit. We also:
• Identify and assess the risks o f m aterial m isstatem ent o f the consolidated and separate financial
statem ents, w hether due to fraud or error, design and perform audit procedures responsive to those
risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our op in io n. The
risk of not d e tecting a material m isstatem ent resulting from fraud is higher than for one resulting from
error, as fraud m ay involve collusion, forgery, intentional om issions, m isrepresentations, or the override
o f internal control.
• O btain an understan ding o f internal control relevant to the audit in order to design audit procedures
that are appropriate in the circum stances, but not for the purpose o f expressing an opinion on the
effectiveness o f the Group's and the C om pany's internal control.
• Evaluate the appropriateness of accoun tin g policies used and the reasonableness of accoun tin g
estim ates and related disclosures m ade by m anagem ent.
• C on clu d e on the appropriateness of m anagem ent's use o f the g o in g concern basis o f acco u n tin g and,
based on the audit evidence obtained, w hether a m aterial uncertainty exists related to events or
condition s that m ay cast sign ifican t d o u b t on the Group's and the Com pany's ability to continue as a
g o in g concern. If w e conclude that a material uncertainty exists, we are required to draw attention in
our auditor's report to the related disclosures in the consolidated and separate financial statem ents or,
if such disclosures are inadequate, to m odify our opinion. Our con clu sio n s are based on the audit
evidence obtained up to the date o f our auditor's report. However, future events or condition s may
cause the G roup and the C o m p a n y to cease to continue as a g o in g concern.

• Evaluate the overall presentation, structure and content o f the consolidated and separate financial
statem ents, in clu d in g the disclosures, and w hether the conso lidated and separate financial statem ents
represent the underlying transactions and events in a m anner that achieves fair presentation.

GOLDEN SON LIMITED

 ANNUAL REPORT 2018-2019

• O btain sufficient appropriate audit evidence regarding the financial inform ation of the entities or
business activities w ithin the G roup to express an op in io n on the consolidated financial statem ents. We
are responsible for the direction, supervision and perform ance o f the g ro u p audit. We rem ain solely
responsible for our audit opinion.
We com m unicate with those charged with go vernance regarding, am ong other m atters, the planned scope
and tim ing o f the audit and significant audit fin d in gs, in clu d in g any sign ifican t deficiencies in internal control
that we identify during our audit.
We also provide those charged with go vernance with a statem ent that we have com plied with relevant
ethical requirem ents regarding independence, and to com m unicate with them all relationships and other
m atters that m ay reasonably be th o u g h t to bear on our independence, and w here applicable, related
safeguards.
From the m atters com m unicated w ith those charged w ith governance, we determ ine those m atters that
were of m ost sign ifican ce in the audit o f the consolidated and separate financial statem ents of the current
year and are therefore the key audit matters. We describe these matters in our auditor's report unless law or
regulation precludes public disclosure about the m atter or w hen, in extrem ely rare circum stances, we
determ ine that a m atter should not be com m unicated in our report because the adverse co n sequences of
d o in g so w ould reasonably be expected to o u tw eigh the public interest benefits o f such com m unication.
Report on other Legal and Regulatory Requirements
In accordance with the C om panies A ct 1994 and the Securities and E xchange Rules 1987, we also report the
follow ing:
a) We have obtained all the inform ation and explanations w hich to the best of our kn o w le d ge and belief were
necessary for the purposes of our audit and m ade due verification thereof;
b) In our op in io n, proper books o f accounts as required by law have been kept by the C o m p a n y so far as it
appeared from our exam ination o f these books;
c) The consolidated, associate and the separate statem ents o f financial position and statem ent o f profit or loss
and other com prehensive incom e dealt with by the report are in agreem ent w ith the books o f accounts and
returns; and
d) The expenditure incurred w as for the purposes of the Com pany's business.

Place: Dhaka A h m e d Z a k e r & Co.

Dated: O ctober 29, 2019 Chartered A cco u n tants

GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

G o ld e n S o n Lim ite d
Consolidated Statem ent o f Financial Position
A s a t 3 0 Ju n e 2 0 1 9

Am ount in Taka
Particulars Notes
30.06.2019 30.06.2018
A sse ts
N o n -C u rre n t A sse ts: 3 ,7 3 0 ,5 2 5 ,1 6 5 3 ,7 1 6 ,7 8 4 ,0 8 6
P r o p e r t y , P la n t a n d E q u ip m e n t 4. a 3,167,050,959 1,771,453,772
C a p it a l W o r k - in - P r o g r e s s 5. a 158,379,371 1,521,395,383
In v e s tm e n t 6. a 405,094,835 423,934,931
C u rre n t A sse ts: 3 ,4 1 4 ,1 1 3 ,9 7 3 3 ,3 1 9 ,0 4 9 ,9 1 2
In v e n t o r ie s 7. a
T r a d e a n d o t h e r R e c e iv a b le s 8. a
I n v e s t m e n t in S h a r e s & S e c u r i t i e s 9
A d v a n c e s , D e p o s it s a n d P r e p a y m e n t s 10. a
C a s h a n d C a s h E q u iv a le n t s 11. a
T o ta l A sse ts
E q u it y a n d L ia b ilit ie s
C a p it a l a n d R e s e r v e s :
P a id U p S h a r e C a p i t a l 1,717,297,720
S h a r e P r e m iu m 1,090,156,184
T a x H o lid a y R e s e r v e 50,567,296
A F S R e se rve (3,336,925)
R e v a lu a t io n R e s e r v e 380,216,366
R e t a in e d E a r n in g s 552,356,495
E q u it y a t t r ib u t a b le t o s h a r e h o ld e r s ' o f t h e c o m p a n y 3 ,7 8 7 ,2 5 7 ,1 3 6
N o n -c o n t r o llin g In te r e s t 2,818 _________3,125
T o t a l s h a r e h o ld e r s ' e q u it y 3 ,6 1 9 ,3 3 0 ,6 6 8 3 ,7 8 7 ,2 6 0 ,2 6 1

N o n - C u r r e n t L ia b ilit ie s : 1 ,5 6 3 ,4 5 5 ,8 6 2 1 ,0 3 4 ,2 7 3 ,6 5 5
D e fe rre d T a x 17 132,736,424 135,388,941
Lo n g T e rm Loan 18. a 1,427,406,084 892,515,087
L e a s e F in a n c e 19. a 3,313,354 6,369,627
C u r r e n t L ia b ilit ie s : 1 ,9 6 1 ,8 5 2 ,6 0 8 2 ,2 1 4 ,3 0 0 ,0 8 2
S h o r t T e r m B o r r o w in g s 20. a
P r o v is io n s f o r E x p e n s e s a n d o t h e r L ia b ilit ie s 21. a
L ia b ilit ie s f o r o t h e r F in a n c e 22
C u r r e n t P o r t io n o f L o n g T e r m L o a n 18.b
C u r r e n t P o r t io n o f L e a s e F in a n c e
L ia b ilit ie s f o r In c o m e T a x 23.a
T o t a l L ia b ilit ie s

T o t a l E q u it y a n d L ia b ilit ie s 7 ,1 4 4 ,6 3 9 ,1 3 8 7 ,0 3 5 ,8 3 3 ,9 9 8

N e t A s s e t V a lu e P e r S h a r e (N A V P S ) 21.08 22.05
The accompanying policies & explanatory notes 1-37 form an integral part of these Financial Statements.

C h a irm a n M a n a g in g D ire c to r D ire c to r C o m p a n y S e c r e ta r y

Signed in terms of our separate report of even date annexed.

Place: Dhaka A h m e d Z a k e r & Co.

Date: October 29, 2019 Chartered Accountants

GOLDEN SON LIMITED 51^

 ANNUAL REPORT 2018-2019

Golden Son Limited

Consolidated Statem ent o f Profit or Loss and O ther Com prehensive Incom e
For the year ended 30 June 2019

A m ount in Taka
Particulars Notes
2018-2019 2017-2018

Turnover 24. a 733,599,254 642,213,950

Cost of Sales 25. a 635,935,388 615,574,578
Gross Profit 97,663,866 26,639,372
Operating, Adm inistrative & Selling Expenses 26. a 67,224,674 68,019,771
Trading Loss 30,439,192 (41,380,399)
Financial Expenses 27. a 254,396,515 191,116,954
Gross Operating Loss (223,957,323) (232,497,353)

Non Operating Income 28 57,981,505 58,156,743

57,981,505 58,156,743
Loss before Tax (165,975,818) (174,340,610)

Current Tax expenses 29.a 4,793,629 4,455,837

Deferred Tax 17 (461,772) (221,813)
Provision for Tax 4,331,857 4,234,024
Net Loss after Tax (170,307,675) (178,574,634)

Other Comprehensive lncom e/(Loss):

Unrealized Loss on Securities Available for Sale 187,337 (1,486,102)
Related Deferred Tax (18,733) 148,610
Total Comprehensive Loss (170,139,071) (179,912,126)

Profit/(Loss) Attributable t o :
Owners of the company (170,138,764) (179,911,779)
Non-controlling Interest (307) (347)
Total Comprehensive Loss (170,139,071) (179,912,126)

Earnings Per Share (EPS) 30.a (0.99) (1.04)

T h e a c c o m p a n y in g p o lic ie s & e x p la n a to r y n o te s 1-37 fo rm an in te g ra l p a rt o f th e s e F in a n c ia l S ta te m e n ts.

C h a irm a n M a n a g in g D ir e c to r D ire c to r C o m p a n y S e c r e ta r y

Signed in terms of our separate report of even date annexed.

P la c e : D h a k a A h m ed Zaker & Co.

D a te : O c to b e r 29, 2019 C h a r t e re d A c c o u n ta n ts

GOLDEN SON LIMITED

52>
GOLDEN SON LIMITED Golden Son Limited

ANNUAL REPORT 2018-2019

C o n s o lid a te d S ta te m e n t o f C h a n g e s in E q u ity
For the ye a r ended 30 Ju n e 2019
A m o u n t in Taka

T a x holiday Revaluation Retained N on-controlling

Particulars Share capital Share prem ium A FS Reserve Total
reserve reserve e arnings interest

Balance as at 01 Ju ly 2018 1,717,297,720 1,090,156,184 50,567,296 380,216,366 (3,336,925) 552,356,495 3,125 3,787,260,261
Transferred Revaluation Reserve - - - (14,729,850) - 14,729,850 - -

Deferred Tax - - - 2,209,478 - - - 2,209,478

Other Comprehensive lncome/(Loss) for the year 187,337
- - - - 187,337 - -
(Unrealised Loss on Securities Available for Sale)
Related deferred Tax - - - - (18,733) - - (18,733)
Net Loss after Tax - - - - - (170,307,368) (307) (170,307,675)
Balance as at 30 Ju n e 2019 1,717,297,720 1,090,156,184 50,567,296 367,695,994 (3,168,321) 396,778,977 2.818 3.619.330.668

For the ye a r ended 30 Ju n e 2018

T a x holiday Revaluation Retained N on-controlling

Particulars Share capital Share prem ium A FS Reserve Total
reserve reserve e arnings interest

Balance as at 01 Ju ly 2017 1,717,297,720 1,090,156,184 50,567,296 393,511,710 (1,999,433) 715,289,200 3,472 3,964,826,149
Transferred Revaluation Reserve - - - (15,641,582) - 15,641,582 - -

Deferred Tax “ - - 2,346,238 “ - 2,346,238

Other Comprehensive lncome/(Loss) for the year
(Unrealised Loss on Securities Available for Sale) - - - - (1,486,102) - - (1,486,102)
Related deferred Tax - - - - 148,610 - - 148,610
Net Loss after Tax - - - - - (178,574,287) (347) (178,574,634)
Balance as at 30 Ju n e 2018 1,717,297,720 1,090,156,184 50,567,296 380,216,366 (3,336,925) 552,356,495 3,125 3,787,260,261

Chairman Managing Director Company Secretary

Signed in terms of our separate report of even date annexed.

S ; Place: Dhaka Ahmed Zaker& Co.

; Date: October 29, 2019 Chartered Accountants m
 ANNUAL REPORT 2018-2019

G o ld e n S o n Lim ite d
Consolidated Statem en t o f Cash Flow s
For the year ended 30 June 2019

Am ount in Taka
Particulars Notes
2018-2019 2017-2018

A. Cash Flows from O perating Activities

Cash receipts from customers 31.a 636,870,963 516,577,929
Cash paid to suppliers and employees 32.a (481,297,106) (875,138,409)
Cash generated from operations 155,573,857 (358,560,480)
Income tax paid (5,458,200) (11,908,256)
Receipt of bank interest 23,290,634 3,875,292
Net Cash Flows from / (Used in) O perating Activities 173,406,291 (366,593,444)

B. Cash Flows from Investing Activities

Acquisition of property, plant & equipment 33.a (75,721,039) (84,611,085)
Payment for capital work-in-progress (62,398,323) (110,017,537)
Dividend received on Share & Securities 332,500 226,600
Investment 18,840,096 (1,343,067)
Sales of Shares/lnvestm ent in shares - 1,534,000
Net Cash Used in Investing Activities (118,946,766) (194,211,089)

C. Cash Flows from Financing Activities

Receipt from short term borrowings 655,055,412 1,373,584,964
Repayment of short term borrowings (1,060,783,021) (1,189,434,119)
Receipt / (Repayment) from other finance 20,277,544 (10,176,131)
Receipt from Long Term Loan 1,106,543,904 1,176,655,851
Repayment of Long Term Loan (509,312,402) (588,744,254)
Payment of interest (254,396,515) (191,116,954)
Dividend paid (66,605) (5,460,560)
Repayment of Lease Finance (2,636,874) (1,517,471)
Receipt from Lease Finance - 2,301,514
Net Cash (Used in) / Flows from Financing Activities (45,318,557) 566,092,840

N et su rp lu s in cash and cash e q u iv a le n ts (A + B + C ) 9,140,968 5,288,307

C a sh and cash e q u iv a le n ts at th e b e g in n in g o f th e y e a r 22,824,992 17,536,685
Cash and Cash Equivalents at the end of the year 31,965,960 22,824,992

Net O perating Cash Flows Per Share (NOCFPS) 1.01 (2.13)

C h a ir m a n M a n a g i n g Di r e c t o r Di re cto r C o m p a n y S e cre ta ry

Signed in terms of our separate report of even date annexed

Place: Dhaka A hm ed Zaker & Co.

Date: October 29, 2019 Chartered Accountants

54>> GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

G o ld e n So n Lim ited
Statem ent of Financial Position
As at 30 June 2019
Amount in Taka
Particulars Notes
30.06.2019 30.06.2018
Assets
Non-Current Assets: 3,167,200,386 3,199,218,007
Property, Plant and Equipment 4 2,588,629,039 1,523,860,791
Capital Work-in-Progress 5 123,481,512 1,201,427,285
Investment 6 455,089,835 473,929,931

Current Assets: 3,293,561,302 3,171,731,739

Inventories 7 1,064,862,980 1,081,549,446
Trade and other Receivables 8 1,465,633,840 1,419,364,193
Investment in Shares & Securities 9 8,081,845 7,894,508
Advances, Deposits and Prepayments 10 724,197,038 640,567,547
Cash and Cash Equivalents 11 30,785,599 22,356,045

Total Assets 6,460,761,688 6,370,949,746

Equity and Liabilities
Capital and Reserves: 3,641,149,175 3,806,005,186
Issued Share Capital 12 1,717,297,720 1,717,297,720
Share Premium 13 1,090,156,184 1,090,156,184
Tax Holiday Reserve 14 50,567,296 50,567,296
Revaluation Reserve 15 367,695,994 380,216,366
AFS Reserve 9.1.1 (3,168,321) (3,336,925)
Retained Earnings 16 418,600,302 571,104,545

Non-Current Liabilities: 1,143,568,166 684,729,344

Deferred Tax 17 132,736,424 135,388,941
Long Term Loan 18 1,009,061,949 545,272,290
Lease Finance 19 1,769,793 4,068,113

Current Liabilities: 1,676,044,347 1,880,215,216

Short Term Borrowings 20 1,043,956,395 1,404,683,470
Provisions for Expenses and other Liabilities 21 418,089,763 295,233,791
Liabilities for other Finance 22 37,361,931 17,084,387
Current Portion of Long Term Loan 170,210,464 157,440,000
Current Portion of Lease Finance 2,419,784 2,105,355
Liabilities for Income Tax 23 4,006,010 3,668,213

Total Liabilities 2,819,612,513 2,564,944,560

Total Equity and Liabilities 6,460,761,688 6,370,949,746

Net Asset Value Per Share (NAVPS) 21.20 22.16

The accompanying policies & explanatory notes 1-37 form an integral part of these Financial Statements.

C h a irm a n M a n a g in g D ire c to r C o m p a n y S e c r e ta r y

Signed in terms of our separate report of even date annexed.

Place: Dhaka A h m e d Z a k e r & Co.

Date: October 29, 2019 Chartered Accountants

GOLDEN SON LIMITED

 ANNUAL REPORT 2018-2019

Golden Son Limited

Statement of Profit or Loss and Other Comprehensive Income
For the year ended 30 June 2019

Amount in Taka
Particulars Notes
2018-2019 2017-2018
Turnover 24 602,329,317 551,051,016
Cost of Sales 25 542,165,315 553,067,862
Gross Profit / (Loss) 60,164,002 (2,016,846)
Operating, Administrative & Selling Expenses 26 56,408,675 56,004,030
Trading Profit / (Loss) 3,755,327 (58,020,876)
Financial Expenses 27 225,426,687 171,556,204
Gross Operating Loss (221,671,360) (229,577,080)
Non Operating Income 28 57,981,505 58,156,743
57,981,505 58,156,743
Loss before Tax (163,689,855) (171,420,337)

Current Tax expenses 29 4,006,010 3,908,859

Deferred Tax 17 (461,772) (221,813)
Provision for Tax 3,544,238 3,687,046
Net Loss after Tax (167,234,093) (175,107,383)

Other Comprehensive Income/Loss:

Unrealized lncome/(Loss) on Securities Available for Sale 187,337 (1,486,102)
Related Deferred Tax (18,733) 148,610
Total Comprehensive Loss (167,065,489) (176,444,875)

Earnings Per Share (EPS) 30 (0.97) (1.02)

The accompanying policies & explanatory notes 1-37 form an integral part of these Financial Statements.

Chairman Managing Director Director Company Secretary

Signed in terms of our separate report of even date annexed.

Place: Dhaka Ahmed Zaker & Co.

Date: October 29, 2019 Chartered Accountants

GOLDEN SON LIMITED

GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

Golden Son Limited
Statement of Changes in Equity
Fo r th e ye a r ended 30 Ju n e 2019
A m o u n t in Taka

T a x holiday R evaluation Retained

Particulars Share capital Share prem ium A FS Reserve Total
reserve reserve e arnings

Balance as at 01 Ju ly 2018 1,717,297,720 1,090,156,1 84 50,5 67,296 380,216,366 (3,336,925) 571,104,545 3,806,005,1 86
Transferred Revaluation Reserve - - - (14,729,850) - 14,729,850 -
Deferred Tax 2,209,478 - - 2,209,478
Other Comprehensive lncome/(Loss) for the year
(Unrealised Loss on Securities Available for Sale) - - - - 187,337 - 187,337
Related Deferred Tax (18,733) (18,733)
Net Loss after Tax - - - - - (167,234,093) (167,234,093)
Balance as at 30 Ju n e 2019 1,717,297,720 1,090,156,1 84 50,5 67,296 367,695,994 (3,168,321) 418,600,303 3,641,149,1 75

Fo r th e ye a r ended 30 Ju n e 2018

T a x h oliday Revaluation Retained

Particulars Share capital Share prem ium A FS Reserve Total
reserve reserve e arnings

Balance as at 01 Ju ly 2017 1,717,297,720 1,090,156,184 50,567,296 393,511,710 (1,999,433) 730,570,346 3,980,103,823

Transferred Revaluation Reserve - - - (15,641,582) - 15,641,582 -
Deferred Tax - - - 2,346,238 - 2,346,238
Other Comprehensive lncome/(Loss) for the year
- - _ - (1,486,102) - (1,486,102)
(Unrealised Loss on Securities Available for Sale)
Related Deferred Tax 148,610 148,610
Net Loss after Tax (175,107,383) (175,107,383)
Balance as at 30 Ju n e 2018 1,717,297,720 1,090,156,1 84 50,5 67,296 380,216,366 (3,336,925) 571,104,545 3,806,005,1 86

Chairman Company Secretary

Signed in terms of our separate report of even date annexed.

Place: Dhaka Ahmed Zaker & Co.

Date: October 29, 2019 Chartered Accountants
 ANNUAL REPORT 2018-2019

Golden Son Limited

Statement of Cash Flows
For the year ended 30 June 2019

Am ount in Taka
Particulars Notes
2018-2019 2017-2018
A. Cash Flows from Operating Activities
Cash Receipts from Customers 31 579,466,759 449,466,258
Cash Paid to Suppliers and Employees 32 (446,495,483) (750,497,800)
Cash Generated from Operations 132,971,276 (301,031,542)
Income Tax Paid (5,142,918) (3,201,211)
Receipt of Bank Interest 23,290,634 3,875,292
Net Cash Flows from / (Used in) O perating Activities 151,118,992 (300,357,461)

B. Cash Flows from Investing Activities

Acquisition of Property, Plant & Equipment 33 (37,107,612) (34,641,190)

Payment for Capital Work-In-Progress (33,387,831) (48,811,048)
Dividend Received on Share & Securities 332,500 226,600
Investment In FDR 18,840,096 (1,343,067)
Sales of Shares/lnvestment in Shares - 1,534,000
Net Cash Used in Investing Activities (51,322,847) (83,034,705)

C. Cash Flows from Financing Activities

Receipt from Short Term Borrowings 542,785,141 1,137,921,523

Repayment of Short Term Borrowings (903,512,216) (1,016,218,687)
Receipt / (Repayment) from Other Finance 20,277,544 (10,176,131)
Receipt from Long Term Loan 780,444,860 749,627,954
Repayment of Long Term Loan (303,884,737) (294,117,621)
Payment of Interest (225,426,687) (171,556,204)
Dividend Paid (66,605) (5,460,560)
Repayment of Lease Finance (1,983,891) (1,517,471)
Net Cash (Used in) / Flows from Financing Activities (91,366,591) 388,502,803

Net surplus in cash and cash equivalents (A+B+C) 8,429,554 5,110,637

Cash and cash equivalents at the beginning of the year 22,356,045 17,245,408
Cash and Cash Equivalents at the end of the year 30,785,599 22,356,045

Net O perating Cash Flows Per Share (NOCFPS) 0.88 (1.75)

Chairman Managing Director Director Company Secretary

Signed in terms of our separate report of even date annexed.

Place: Dhaka Ahmed Zaker & Co.

Date: October 29, 2019 Chartered Accountants

5 8 > GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

Golden Son Limited

Notes to the Financial Statem ents
For the year ended 30 June 2019
1. Incorporation and Business Activities

Golden Son Limited was incorporated as a private company limited by shares under the Companies Act,
1994 vide registration # C-50117 (412) dated 05 August 2003. Subsequently the company was converted
into a Public Limited Company with effect from 30 April 2005. It had started commercial operations since
January 2005. The registered office and factory of the company is situated at Khowajnagar, Ajimpara,
Karnaphuli, Chattogram. Golden Son Limited is basically an export oriented company. Its principal
activities include manufacturing of household electronics and electrical goods, twill tape, hotpots and
various types of toys, etc. Further the company has taken initiatives to set up two new projects namely
solar based energy project and computer casing manufacturing project. The construction of expansion is
under progress.

2. Basis of Preparation of Financial Statements

2.1 Statement of Compliance

The financial statements have been prepared in accordance with International Financial Reporting
Standards (IFRS), the Companies Act. 1994, The Securities and Exchange rules 1987 and other applicable
laws in Bangladesh. Cash flows from operating activities are computed under direct method as prescribed
in the Securities and Exchange Rules 1987.

2.2 Information Regarding Subsidiary Companies & Associates Company

As on 30 June 2019 Golden Son Limited has 01 (One) subsidiary and 01 One Associates company to
include for preparation of consolidated financial statements as per International Financial Reporting
Standard (IFRS) 10, 'Consolidated Financial Statements'. A brief description of the companies is described
below:

Golden Infinity Limited (Subsidiary Company)

Golden Infinity Limited is a private limited company incorporated on 29 July 2015 vide registration # C-
124585/2015 in Bangladesh under the Companies Act 1994. The main objectives of the company are to
manufacturing of various types of Electric Fan, Led light, vehicle Chain Cooking Pot & Hot pot, etc. Golden
Son Limited holds 99.99 percent shares in this company.

GSL Export Limited ( Associate Company)

GSL Export Limited is a private limited company incorporated on dated 20 August 2013 vide registration
# C-110834/13 in Bangladesh under the Companies Act 1994. The main objectives of the company are to
manufacturing of various types of soft toys, ready made garments and accessories, etc. Golden Son
Limited holds 40 percent shares in this company.

2.3 Basis Of Consolidation

The financial statements of the company and its subsidiary have been consolidated in accordance with
International Financial Reporting Standard (IFRS) 10: 'Consolidated Financial Statements'. The
consolidation of the financial statements has been prepared by using uniform accounting policies and
after eliminating all material intra group balances, income and expenses arising from intra-group
transactions.

GOLDEN SON LIMITED

 ANNUAL REPORT 2018-2019

All assets and liabilities of the company and of its subsidiary are shown in the consolidated Statement of
Financial Position. The interest of minority shareholders of the subsidiary are shown separately in the
consolidated Statement of Financial Position under the head 'Non-controlling Interest'.

An associate is an entity in which the Company has significant influence and which is neither a subsidiary
nor a joint venture. The Company's investment in associates is accounted for in the financial statements
using the Equity Method in accordance with International Accounting Standard 28: Accounting for
investment in associates. Such investments are classified as other assets in the balance sheet and the
share of profit/ loss of such investment is classified under other operating income in the profit and loss
account.
2.4 Date of Authorization:

The Board of Directors of Golden Son Limited approved this Financial Statements on October 29, 2019.

2.5 Basis of Measurement

The financial statements of the company have been prepared on the historical cost convention method.

2.6 Use of Estimates and Judgments

The preparation of financial statements in conformity with IFRS requires management to make
judgments, estimates and assumptions that effect the application of accounting policies and reported
amounts of assets, liabilities, income and expenses. Actual results may differ from this estimates.

Estimates and underlying assumptions are reviewed on an ongoing basis. Revision to accounting
estimates are recognized in the year in which the estimates are revised and in any future years affected.

2.7 Reporting Period

The financial year of the company covers Twelve(12) months from 01 July 2018 to 30 June 2019 to
comply with the guide line of BSEC.

3. Significant Accounting Policies

3.1 Property, Plant & Equipment

These are recognized initially at cost and subsequently at cost and revalued amount less accumulated
depreciation in compliance with IAS-16: Property, Plant and Equipment. The cost of acquisition of an
asset comprises its purchase price and any direct attributable cost of bringing the assets to its working
condition for its intended use. Expenditure incurred after the assets have been put into use, such as
repairs and maintenance is normally charged off as revenue expenditure in the year in which it is
incurred. In situation where it can be clearly demonstrated that the expenditure has resulted in an
increase in the future economic benefit expected to be obtained from the assets, the expenditure is
capitalized as an additional cost of the assets.

GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

3.2 Depreciation
Depreciation is recognized in the statem ent of profit or loss and other com prehensive income
using 'Reducing Balance Method' over the estimated useful lives of each fixed assets.
Depreciation is charged on addition to fixed assets purchased during the year from the date
when such assets is put in to use. Depreciation is allocated as 70% as production expenses and
30% as adm inistrative expenses. The rate(s) of depreciation varies from 2% to 20% p.a. based on
useful lives and nature of the assets which are as follows:
Land 0%
Building 5% /2%
Plant and machinery 10%
New office space 5%
Electrical installation 10%
Air-conditioner 10%
Tools and equipment 10%
Gas generator 10%
Gas line installation 10%
Diesel generator 10%
Office equipment 10%
Motor vehicle 20%
Furniture & fixture 10%
Fire extinguisher 10%
Deep tube well 10%
Refrigerator 10%
Lift 10%
3.3 Impairment:
In accordance with the provisions of IAS 36, the carrying amount of non-financial assets other than
inventories of the company involved in the manufacturing of the products. If any such indication exists,
then the asset's recoverable amount is estimated and impairment losses are recognized in profit and loss
account. No such indication of impairment has been observed till the end of the year.

3.4 Capital Work in Progress

Capital work in progress is reported on the basis of the construction company report. No depreciation is
charged for Capital Work in Progress.

3.5 Accounting for Borrowing Cost

Borrowing costs relating to construction of building is capitalized as part of the cost of that asset during
the year in accordance with International Accounting Standards - 23: Borrowing Costs.
3.6 Valuation of Inventory
Inventories are valued in accordance with International Accounting Standards-2: Inventories i.e. at cost
and estimated net realizable value whichever is lower. The cost of inventories is valued at first in first out
(FIFO) cost method and includes expenditure for acquiring the inventories and bringing them to their
existing location and condition. Net realizable value is estimated upon selling price in the ordinary course
of business less estimated cost of completion of considering the selling. When the inventories are used,
the carrying amount of those inventories are recognized in the period in which the related revenue is
recognized.

GOLDEN SON LIMITED 6 0

 ANNUAL REPORT 2018-2019

3.7 Advances, Deposits and Prepayments

Advances are initially measured at cost. After initial recognition advances are carried at cost less
deductions or adjustments. Deposits are measured at payment value. Prepayments are initially measured
at cost. After initial recognition prepayments are carried at cost less charges to statement of profit or loss
and other comprehensive income.

3.8 Cash and Cash Equivalents

Cash and Cash Equivalents comprise cash in hand, bank currents accounts, other bank deposits free of
encumbrance and having maturity dates of three months or less from respective dates of deposit.

3.9 Trade Receivables

Trade receivables are recognized at cost at net realizable value from the ordinary course of sales in the
market whichever is lower consideration given for them. Trade receivables from foreign currency
transactions are recognized into Bangladeshi Taka using exchange rates prevailing on the closing date of
the accounts in accordance with IAS-21: The Effects of Changes in Foreign Exchange Rates. Exchange
differences at the Statement of Financial Position date are charged/credited to the Statement of profit or
loss and other comprehensive income.

3.10 Trade and other Payables

Liabilities are recorded at the amount payable for settlement in respect of goods and services received by
the company.

3.11 Income Tax

Income tax expense comprises current and deferred tax. Income tax expense is recognized in the
statement of profit or loss and other comprehensive income.
Current Tax
The company is a publicly traded company. As per the Income Tax Ordinance, 1984, provision for tax has
been made at the existing rate of 25% in respect of business income.

Deferred Tax
Deferred tax liabilities are the amount of income taxes payable in future years in respect of taxable
temporary differences. Deferred tax assets are the amount of income taxes recoverable in future years in
respect of deductible temporary differences. Deferred tax assets and liabilities are recognized for the
future tax consequences of timing differences arising between the carrying values of assets, liabilities,
income and expenditure and their respective tax bases. Deferred tax assets and liabilities are measured
using tax rates and tax laws that have been enacted or subsequently enacted at the reporting date. The
impact on the account of changes in the deferred tax assets and liabilities for the year ended 30 June
2019 has been recognized in the statement of profit or loss and other comprehensive income as per IAS-
12 "Income Taxes"

3.12 Workers' Profit Participation Fund

As per company's existing policies of employment, all the employees are on contractual basis for which
their entitlement for Workers' Profit Participation and Welfare Fund does not apply and hence company
did not make provision for WPPF during the Year. The subject matter was vetted by the two senior
lawyers of the honorable Supreme Court.

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ANNUAL REPORT 2018-2019

3.13 Provisions
A provision is recognized on the Statement of Financial Position date if, as a result of past events, the
company has a present legal obligation that can be estimated reliably and it is probable that an outflow of
economic benefits will be required to settle the obligation.
3.14 Foreign Currency Transaction

Foreign currency transactions are translated into Bangladesh Taka using exchange rates prevailing on the
transaction dates. Monetary assets and liabilities in foreign currency at the Statement of Financial
Position date are translated at the closing rate.
3.15 Revenue
Revenue from the sales is measured at the fair value of the consideration received or receivable. The
company recognizes revenue when risk and rewards associated with ownership has been transferred to
customer, which satisfied all the condition for the revenue recognition as provided in IFRS-15 'Revenue
from Contracts with Customers'. Sales revenue is recognized when transactions related to sales are
completed and the sales invoices and Challan are issued in favour of the customers.

3.16 Financial Expenses

Financial expenses comprise of interest expense on long term loan, short term loan and finance lease. All
such costs are recognized in the Statement of profit or loss and other comprehensive income except
those are capitalized in accordance with IAS - 23: Borrowing Cost.
3.17 Earnings Per Share
The company calculates Earning per Share (EPS) in accordance with IAS-33 "Earning Per Share" which has
been shown on the face of the Statement of profit or loss and other comprehensive income and details
are shown in Note-30.
Basic Earnings:
This represents earnings for the period attributable to ordinary shareholders. As there was no preference
dividend, minority interest or extra ordinary items, the net profit after tax for the year has been
considered as fully attributable to the ordinary shareholders.
SI.No. Particulars 2018-2019
a) Earnings attributable to the ordinary shareholders (167,234,093)
b) Number of Shares 171,729,772
c) Earnings Per Share (0.97)
The company EPS has negative during the year due to decrease of turnover and increase of operational
and financial expenses.
Weighted average number of ordinary shares outstanding during the year:
This represents the number of ordinary shares outstanding at the beginning of the year plus the number
of shares issued during the year multiplied by a time-weighted factor is the number of months the
specific shares is outstanding as a proportion of the total number of months in the year.

Diluted Earnings per Share:

The company has no scheme/option for dilutive potential ordinary shares. As a result, calculation and
presentation of diluted EPS is not applicable for the company.

GOLDEN SON LIMITED

 ANNUAL REPORT 2018-2019

3.18 Statement of Cash Flows

Statement of cash flows is prepared principally in accordance with IAS - 7: Statement of Cash Flows and
the cash flows from operating activities have been presented under direct method.

3.19 Events after the Reporting Year

All material events occurring after the Statement of Financial Position date are considered and where
necessary, adjusted for or disclosed in note # 34 of these financial statements.

3.20 Contingencies
Contingencies arising from claim, litigation assessment, fines, penalties etc. are recorded when it is
probable that a liability has been incurred and the amount can reasonably be measured.
3.21 Application of International Accounting Standards (IASs):
The Financial Statements have been prepared in compliance with requirement of IAS as adopted by The
Institute of Chartered Accountants of Bangladesh (ICAB) and applicable in Bangladesh. The following IASs
are applicable for the financial statements for the year under review :
IA S-1 Presentation of Financial Statements
IAS- 2 Inventories
IAS- 7 Statement of Cash Flows
IAS- 8 Accounting Policies, Changes in Accounting Estimates and Errors
IA S-10 Events after the Reporting Period
IA S-12 Income Taxes
IA S-16 Property, Plant and Equipment
IA S-17 Leases
IAS- 21 The effects of changes in Foreign Exchange Rate
IAS- 23 Borrowing Cost
IAS- 24 Related Party Disclosure
IAS- 28 Investments in Associates and Joint Ventures
IAS- 32 Financial Instruments: Presentation
IAS- 33 Earning Per Share (EPS)
IAS- 39 Financial Instruments: Recognition and Measurement
IFRS- 7 Financial Instruments : Disclosures
IFRS-10 Consolidated Financial Statements
IFRS-15 Revenue from Contracts with Customers

3.22 Information on Financial Statement:

Responsibility for Preparation and Presentation of Financial Statements:
The company's management and the Board of Directors are responsible for the preparation and
presentation of Financial Statements as per section 183 of the companies Act 1994.
Components of the Financial Statements:
Following are the components of the financial statements:
a) Statement of Financial Position as at 30 June 2019.
b) Statement of Profit or Loss and Other Comprehensive Income for the year ended 30 June 2019.
c) Statement of Changes in Equity for the year ended 30 June 2019.
d) Statement of Cash flows for the year ended 30 June 2019.
e) Explanatory notes to the financial statements year ended 30 June 2019.

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ANNUAL REPORT 2018-2019

3.23 Comparative:
Comparative information have been disclosed in respect of the previous year for all numerical
information in the financial statements including narrative and descriptive information when it is relevant
for understanding of the current year's financial statements.
Previous year's figure has been re-arranged whenever considered necessary to ensure comparability with
the current year's presentation as per IAS-8 "Accounting Policies, Changes in Accounting Estimates and
Errors".

Components of the Comparative Financial Statements:

Following are the components of the financial statements:
a) Statement of Financial Position as at 30 June 2018.
b) Statement of Profit or Loss and Other Comprehensive Income for the year ended 30 June 2018.
c) Statement of Changes in Equity for the year ended 30 June 2018.
d) Statement of Cash flows for the year ended 30 June 2018.
e) Explanatory notes to the financial statements year ended.

3.24 Re-arrangement
Previous year's figures have been re-arranged and applied retrospective restatement whenever
necessary to ensure comparability with the current year's presentation.
3.25 General
i. Figures have been rounded off to the nearest Taka.
ii. Previous year's figures have been rearranged wherever considered necessary to conform to the
current year's presentation.
3.26 Risk Exposure
a) Interest Rate Risk
The company is exposed to the volatility of interest rate as it has short-term bank loan. Any higher trend
in interest rate in the future will definitely in turn aggravate the adversity.
Management Perception:
The management of Golden Son Limited has decided to minimize short-term loan all over the period to
make the Gearing Ratio at a satisfactory level which is expected to reduce the financial leverage and
interest burden significantly.
b) Exchange Rate Risk
The entity is engaged in global trade as it procures its raw materials from overseas markets. Therefore,
fluctuations in the related foreign currency rates may affect adversely to the company's liquidity and
profitability and expose a threat to the stability of the company in the near future.

Management Perception:
Golden Son Limited settles its foreign transaction through United States Currency Dollar in case of both
export and import. While the value of functional currency fluctuates, the loss or gain on currency
fluctuation for export automatically sets off against the loss or gain on currency fluctuation for import. As
the value of export is always voluminous that of import, some balance is accreditly created in the foreign
currency transactions. Furthermore, the company is contemplating about setting a system of hedging on
foreign currency transactions in the future. An adverse movement in the exchange rate may invite
exposures the company into the risks of foreign currency loss.

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 ANNUAL REPORT 2018-2019

c) Industry Risks
i) Market Demand:
The products of Golden Son Limited are sold in International market. Any economic recession, change in
tastes and fashions of the consumers, national income and other related factors may cause to decline the
market demand of the company products.

Management Perception:
The management has all out endeavor to high operational targets and always evaluates to its customers'
satisfaction and changes in tastes and fashion. Therefore its expert team promptly dedicates their
creativity and research work to respond any changes in customers demand and product diversifications.

ii) Competition:

The Company is operating in a free market economy regime. The company might have to face stiff
competition from its competitors in the foreseeable future.

Management Perception:
Bangladesh is the prime source of cheapest labors in the world, earning comparative advantages for its
industries over their global competitors. In addition to that, the management of Golden Son Limited
employs the efficient people to exercise their efficiencies; expertise and discretions to minimize the cost
of its products.
iii) Rising of Raw Materials costs:
The trend of cost of raw materials are rising gradually and drastically round the year. It may deter the
profitability of the company to a greater extent.
Management Perception:
The entity is aware of the continuing market situation of its raw materials. The management of Golden
Son Limited believes that long term planning for raw material management, exploring number of global
markets, job wise costing for its finished products and trustworthy relations with the suppliers and
mitigate the risk of rising of materials cost.

d) Risks Steaming from Technological Changes:

Changes in technologies may reduce the cost efficiency of the company.

Management Perception:
Golden Son Limited applies the latest technology in the production process. The machineries and
equipments of the company are also the latest invention in the sector which is imported from renowned
manufacturers of the world.

e) Other risk factors:

i) Political Unrest:

Bangladesh is prone to serious unrest in the political condition embraced by Hartal, Road-Block and many
other politicized barriers to the business. Due to these factors it would aggravate the cost of the product
upwards.

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ANNUAL REPORT 2018-2019

Management Perception:
During the last forty eight years of post independence period, Bangladesh has gone through a variety of
political situations. But presently, a sound political atmosphere is prevailing in the country. Both the
ruling and opposition parties are committed to the betterment of the country. Last democratic national
assembly election and local council polls are instances of peaceful political situation in Bangladesh.

ii) Possible Slowdown in Economic Growth in Bangladesh:

Our performance and growth are dependent on the sound health of the Bangladesh economy. The
economy could be adversely affected by various factors such as political or regulatory action, including
adverse changes in liberalization policies, social disturbances, terrorist attacks and other acts of violence
or war, natural calamities, commodity and energy prices and various other factors. Any significant change
may adversely affect our business and economy significantly.

Management Perception:
Bangladesh economy is booming for last few years. Consistent industrial growth along with increased
agricultural production has made the Per Capital Income higher than that of recent years. In addition,
favorable government policies and industry friendly policies by other regulatory bodies have proved to be
congenial to the economy of the country.

iii) Natural Calamities:

Bangladesh is a country where recurrent natural calamities take place every year. It is a serious threat to
the business as a whole.
Management Perception:

This type of situation is totally beyond the control of human being. Though the management of Golden
Son Limited has a very little to do with, we can and should have some precaution measures to minimize
the damage of the business in such situations.

GOLDEN SON LIMITED

67 >
 ANNUAL REPORT 2018-2019

A m o u n t in T ak a
3 0 .0 6 .2 0 1 9 3 0 .0 6 .2 0 1 8
4. Property, Plant and Equipment
(a) Cost
Opening Balance 2,245,251,651 2,210,610,461
Add: Addition during the year 1,148,441,216 34,641,190
3,393,692,867 2,245,251,651
(b) Less: Accumulated Depreciation
Opening Balance 721,390,860 631,597,158
Add: Charged during the year 83,672,968 89,793,702
805,063,828 721,390,860
Written Down Value (a-b) 2,588,629,039 1,523,860,791
Details have been shown in Schedule-A
4. a Property, Plant and Equipment

Golden Son Limited 2,588,629,039 1,523,860,791

Golden Infinity Limited 578,421,920 247,592,981
3,167,050,959 1,771,453,772

5. Capital W ork-in-Progress
Opening Balance 1,201,427,285 1,152,616,237
Add: Cost incurred during the year 33,387,831 48,811,048
1,234,815,116 1,201,427,285
Less: Transferred to Property, Plant & Equipments 1,111,333,604 -
123,481,512 1,201,427,285

The work in Process represents the on going construction cost of the factory building . The company has transferred amount of Tk.
1,111,333,604 as factory building to the Property, Plant & equipments as per IAS -16 Property, Plant & Equipments.

5. a Capital W ork-in-Progress
Golden Son Limited 123,481,512 1,201,427,285
Golden Infinity Limited 34,897,859 319,968,098
158,379,371 1,521,395,383

6. Investment
Fixed Deposit Receipts (FDRs): (Note: 6.1) 394,860,086 412,860,086
GSL Export Limited 11,074,845 11,074,845
Add: lncome/(loss) from Associates (840,096) 10,234,749
Golden Infinity Limited ( Subsidiary) 49,995,000 49,995,000
455,089,835 473,929,931
This represents investment in 40% paid up share capital of GSL Export Limited & 99.99% paid up share capital of Golden Infinity Limited
at the face value of Tk. 10 per share.
6.1 Fixed Deposit Receipts (FDRs):
Dhaka Bank Ltd.(Jubilee Road Br.-Chattogram) FDR.# 207782 1,600,000 1,600,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0027887 3,500,000 3,500,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0027889 2,500,000 2,500,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0027891 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0027892 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0027893 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0027894 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0027895 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0027896 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0027897 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0027898 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034301 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034302 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034303 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034304 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034305 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034306 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034307 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034308 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034309 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034310 2,000,000 2,000,000

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Jamuna Bank Ltd.fShantinagar Br.-Dhaka) FDR.# 0034311 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034312 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034313 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034314 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034315 600,000 600,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034316 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034317 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034318 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034319 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034320 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034321 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034322 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034323 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034324 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034325 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034326 1,000,000 1,000,000
Jamuna Bank Ltd.fShantinagar Br.-Dhaka) FDR.# 0034327 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034328 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034329 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034330 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034331 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034332 500,000 500,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034333 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034334 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034335 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034336 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034337 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka.) FDR.# 0034338 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034339 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034340 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034341 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034342 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034343 2,000,000 2,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034345 1,000,000 1,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034346 1,000,000 1,000,000
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) FDR.# 0034347 500,000 500,000
Lanka Bangla Finance Ltd.(Dhanmondi Br.-Dhaka) FDR.# 0016 200,000 200,000
Lanka Bangla Finance Ltd.(Uttara Br.-Dhaka) FDR.# 0021 350,000 350,000
Lanka Bangla Finance Ltd.(Dhanmondi Br.-Dhaka)FDR.# 0053 500,000 500,000
Lanka Bangla Finance Ltd.(Dhanmondi Br.-Dhaka) FDR.# 0058 600,000 600,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 0213658 2,000,000 2,000,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 0213659 2,000,000 2,000,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 0213660 2,000,000 2,000,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 0213661 2,000,000 2,000,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 0213662 2,000,000 2,000,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 0213559 1,000,000 1,000,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 0213575 2,150,000 2,150,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 0213577 500,000 500,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 0213646 1,000,000 1,000,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 0213648 10,000,000 10,000,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 0213649 10,000,000 10,000,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 0213650 10,000,000 10,000,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 0213651 10,000,000 10,000,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 0213652 10,000,000 10,000,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 0213653 10,000,000 10,000,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 0213654 10,000,000 10,000,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 0213655 10,000,000 10,000,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 0213721 1,000,000 1,000,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 498862 2,000,000 2,000,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 498871 2,000,000 2,000,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 498888 2,000,000 2,000,000
EXIM Bank Ltd. (Gulshan Br. Dhaka) FDR.# 498896 2,000,000 2,000,000

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EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 498904 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 498912 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 498921 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 498938 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 498946 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 498953 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 498961 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 498979 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 498987 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 498995 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499001 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499019 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499027 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499035 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka.) FDR.# 499043 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499051 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499068 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499076 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka.) FDR.# 499084 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499092 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499101 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499118 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499126 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499134 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499142 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499159 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499167 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499175 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499183 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka.) FDR.# 499191 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499209 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499217 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499225 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499233 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499241 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499258 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499266 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499274 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499282 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499291 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499308 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499316 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499324 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR# 499332 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499341 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499357 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499365 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499548 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499555 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 499563 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 501046 500,000 500,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 501061 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 501079 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 501087 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 501095 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 502325 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 50232550231 2,000,000 2,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 502325502333 1,000,000 1,000,000
EXIM Bank Ltd.(Gulshan Br.-Dhaka) FDR.# 502549 500,000 500,000
The City Bank Ltd.(Principal Off.-Dhaka) DG.# 39001 1,000,000 1,000,000
The City Bank Ltd.(Principal Off.-Dhaka) DG.# 39002 1,000,000 1,000,000
The City Bank Ltd.(Principal Off.-Dhaka) DG.# 39003 1,000,000 1,000,000

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The City Bank Ltd.(Principal Off.-Dhaka) DG.# 39004 1,000,000 1,000,000
The City Bank Ltd.(Principal Off.-Dhaka) DG.# 39005 1,000,000 1,000,000
The City Bank Ltd.(Principal Off.-Dhaka) DG.# 39006 1,000,000 1,000,000
The City Bank Ltd.(Principal Off.-Dhaka) DG.# 39007 1,000,000 1,000,000
The City Bank Ltd.(Principal Off.-Dhaka) DG.# 39008 1,000,000 1,000,000
The City Bank Ltd.(Principal Off.-Dhaka) DG.# 39009 1,000,000 1,000,000
The City Bank Ltd.(Principal Off.-Dhaka) DG.# 39010 1,000,000 1,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000289 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000314 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000323 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000332 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000341 6,000,000 6,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000350 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000369 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000378 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000387 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000396 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000403 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000412 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000421 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000430 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000449 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000458 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000467 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000476 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000485 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000494 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000501 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000510 2,000,000 2,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000565 400,000 400,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000583 4,000,000 4,000,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000538 225,000 225,000
Mutua Trust Bank Ltd.(Kakrai Br.-Dhaka) FDR.# 2310000592 135,086 135,086
Mutua Trust Bank Ltd.(Kakrail Br.-Dhaka) FDR.# 2310000609 500,000 500,000
EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0002078 1,000,000 -

EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0002079 1,000,000 -

EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0002080 1,000,000 -

EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0002081 1,100,000 -

Dhaka Bank Ltd.(Jubilee Road Br.-Chattogram) FDR.# 207553 - 1,500,000

EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0213452 - 1,100,000
NRB Global Bank Ltd.(Agrabad Br.-Chattogram) FDR.# 0452836 - 5,000,000
United Commercial Bank Ltd.(Muradpur Br.-Chattogram) FDR.# 0355729 - 1,500,000
EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0213432 - 1,000,000
EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0213433 - 1,000,000
EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0213434 - 1,000,000
EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0213435 - 1,000,000
EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0213436 - 1,000,000
EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0213437 - 1,000,000
EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0213438 - 500,000
EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0213421 - 1,500,000
EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0213422 - 2,500,000
EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0213418 - 2,500,000
394,860,086 412,860,086
6. a Investment
Golden Son Limited 455,089,835 473,929,931
Less: Inter company Transaction 49,995,000 49,995,000
405,094,835 423,934,931
7. Inventories
Raw Materials 844,605,026 801,318,923
Finished Goods 220,257,954 280,230,523
1,064,862,980 1,081,549,446

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Inventories
Golden Son Limited 1,064,862,980 1,081,549,446
Golden Infinity Limited 312,056,996 288,763,592
1,376,919,976 1,370,313,038

As finished goods of one process is the raw materials of another process and as production stopped at every year ended, inventory
taking and as every day's schedule production has been finished daily basis, there are no work in progress at the end of the year.

8. Trade and other Receivables

(a) Trade Receivables
Gao Deng Sheng Trade Co. Ltd. 209,850,715 218,326,764
Regency Garments Ltd. 34,787,863 38,638,177
Jeans 2000 Ltd. 53,194,203 45,768,477
Regency Three Ltd. 33,704,905 29,612,856
Loung Yee Co. Ltd. 367,887,470 355,533,097
Universal Jeans Ltd. 53,128,185 30,036,348
GSL Export Limited 6,048,716 18,859,193
HKD Outdoor Innovations Ltd. 10,412,871 11,793,521
Geebee (Bangladesh) Ltd. 23,568,918 28,078,654
Univogue Garments Ltd. 29,155,544 17,454,849
Centex Textile 8i Apparels Ltd. 15,032,243 17,615,770
Pacific Jeans Ltd. 16,668,962 24,175,430
Innovative Knitex Ltd. 8,033,225 7,840,421
Samrat 8i Co.(Pvt.) Ltd. 11,573,919 16,865,782
Section Seven Apparels (Pvt.) Ltd. 8,407,002 15,499,750
Section Seven Ltd. 18,426,345 25,426,345
Self Fashion Ltd. 10,228,076 20,228,076
Badhan Knit Fashion Ltd. 6,466,169 7,506,169
Badhan Fashion Ltd. 6,491,325 7,185,325
Denim Expert Ltd. 41,297,331 31,690,650
Deva Ltd. 11,726,214 14,226,214
Empiric Attires Ltd. 12,664,431 14,664,431
Green Brothers Pty. Ltd. 3,028,913 3,044,508
Anowara Dress Makers Ltd. 5,955,503 8,845,503
Benex Apparels Ltd. 13,964,900 16,464,900
Outfit Apparels Ltd. 19,927,812 23,669,991
Imam Dyeing & Knitting Printing & Finishing Inds. Ltd. 11,270,413 12,355,413
H N Apparels 14,294,751 15,894,751
NHT Fashion Ltd. 5,475,880 9,620,996
Shirsty Fashion Ltd. 6,481,175 6,931,311
Z-3 Composite Knitwear Ltd. 17,348,368 24,970,608
Azmat Fashion Ltd. 7,390,152 7,890,152
Prominent Apparels Ltd. 4,535,955 6,535,955
V. Teac Fashion(Pvt) Ltd. 8,614,378 9,897,983
Shen Hsien Hsinh Industry Co. Ltd. 3,931,249 8,931,249
Shoeb Knit Composite Ltd. 6,936,118 8,436,118
MHC (Pvt.) Ltd. 24,346,266 31,810,644
Z& Z Intimates Ltd. 42,026,278 26,026,235
Shirt Markets Ltd. 20,257,550 25,257,550
A.B.S Garments Ltd. 447,284 -

Ananna Knitex Ltd. 1,000,007 -

Asahi Knit Apparels 872,035 -

Century Apparels Ltd. 1,120,254 -
Color Yard Apparels Ltd. 1,760,007 -
Dhaka Far East Ltd. 1,680,016 -

Fahim Apparels Ltd. 800,182 -

Fair Apparels Ltd. 510,330 -
FK Textile Mills 1,286,128 -
H & R Apparels 760,005 -
Mit App. Ltd. 4,108,682 -
Nemrac Design Ltd. 3,200,468 -
NewSiraj Hosiery 2,222,185 -
Plummy Fashion Ltd. 1,348,128 -
Polygon Fashion Ltd. 3,385,900 -

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Proud Textile 908,310 -
Pullman Knitwer Pvt. Ltd. 1,056,402 -

Radical Design Ltd. 706,062 -

R K Fashion Ltd. 2,630,826 -

Knitivo Fashion Ltd. 7,733,502 -

James AppfPvt.) Ltd. 7,412,021 -

Jazira Fabris 9,087,917 -

Orpat Sweaters Ltd. 7,895,780 -

Sub-total (a) 1,266,472,724 1,243,610,166
(i) Trade receivables have been considered good and recoverable.
(ii) There is no such trade receivable due by or to directors or other officers of the Company.
(iii) The management considered the receivables are collectable and thus no provision had been made for any doubtful
ubtful receivable.

(b) Other Receivables

FDR Interest 199,161,116 175,754,027
Sub-total (b) 199,161,116 175,754,027
Grand total (a+b) 1,465,633,840 1,419,364,193

8. a Trade and other Receivables

Golden Son Limited 1,465,633,840 1,419,364,193
Golden Infinity Limited 163,006,291 89,977,384
1,628,640,131 1,509,341,577
9. Investment in Shares 8i Securities

Shares & Securities in Public Listed Company (Note : 9.1) 8,081,845 7,894,508
8,081,845 7,894,508

9.1 Shares 8i Securities in Public Listed Company

As per IAS-39, The investment has been classified as financial assets available for sale of fair value through profit or loss. As per IAS the
investment has been recognized at fair value measured based on the available market price of DSE at the close of the financial year. As
per IAS 39, the profit or loss on the investment in share has been recognized in the Statement of Profit or Loss and Other
Comprehensive Income as on June 2019.
Name of Securities Cost Value Market Value
Appolo Ispat Ltd. 2,469,840 770,440
Eastern Housing Ltd. 5,570,650 5,541,400
Generation Next Ltd. 22 5
Islami Bank Ltd. 3,561,690 1,770,000
11,602,202 8,081,845
9.1.1 Unrealised Loss on Investment in Securities
Cost Value 11,602,202 11,602,202
Market Value 8,081,845 7,894,508
Unrealised Loss (3,520,357) (3,707,694)
Less: Related Deferred Tax 352,036 370,769
(3,168,321) (3,336,925)
Details have been shown in Schedule - B
10. Advances, Deposits and Prepayments
(a) Advances
Advance against salary 2,780,179 2,063,112
Advance income tax 4,168,710 2,744,005
VAT current account 101,732 101,732
Sar Securities Ltd. 233 1,133
NABA International 500,000 500,000
Gold Smith Capital Ltd. 140,000 140,000
Golden Casa 8,500 8,500
Rainbow Iodized Salt Refinery 25,521 25,521
Syntech Solution Ltd. 310,000 310,000
Advance L/c. 1,068,626 765,259
GSL Export Limited 169,807,827 174,111,891
Mr. Shahid(Engineer) 2,508,856 32,360
Royal Capital Ltd. 3,996 3,996
Shapla Engineering 175,000 175,000
Belamy Textiles 4,162,849 751,002

GOLDEN SON LIMITED

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 ANNUAL REPORT 2018-2019

A m ount in Taka
30.06.2019 30.06.2018
Advance for Land 1,440,000 1,440,000
Mr. Kamal Fakir (Fac.Paint) 270,339 397,161
MR. Omar Haider(Land Reg.) 19,986 24,456
Alpha Credit Rating 100,000 100,000
Axis Design Consultants Ltd. 1,825,000 1,825,000
Golden Electronic Appliances Ltd. 125,000 125,000
Khadim Ceremic Ltd. 424,500 424,500
Mr. Salamat (New. Building) 50,001 219,561
Mr. Sayed Salauddin (Printing M/c.) 50,000 50,000
Rangpur Foundry Ltd. 1,927,430 1,927,430
Sah Amanat Enterprise (Tiles Contractor) 32,000 32,000
Silver Bricks 600,000 600,000
Bangladesh Plating House 25,000 25,000
Golden Infinity Limited 440,250,684 346,813,125
Leading Transport Agency 517,000 931,500
Mr. Hazrat Ali 1,336,548 1,336,548
One Automation Solution 300,000 300,000
Mr. Shahin 200,000 200,000
Sadia Thai Aluminium 60,000 60,000
Swapnil Fashion 2,057,950 2,057,950
M.A. Aziz Howlader 1,295,000 175,000
Green Delta Insurance(Fire) 1,559,997 1,275,000
Janata Insurance (Rent) 42,180 42,180
Abdul Nur 165,000 165,000
Mr. Kabir Ahmed 287,000 287,000
Mr. Mahabub Jamil(foreign Loan purpose) 200,000 200,000
Four A Logistics 7,438,944 5,021,192
Digital Packaging & Accessories 11,347,966 4,938,539
Custom Bond Tariff 6,645,091 6,645,091
Chittagong Exports Association 50,000 50,000
Mr. Mahabubul AlamfMTBL Manager) 500,000 500,000
Mr.Tariqui Islam (MTBL) 500,000 500,000
M.R. Trading Paper 402,000 402,000
NEO Concept Pty. Ltd. 50,000 50,000
Nur Islam Moulding Industries 659,775 659,775
Hasan Metal Engineering Works 140,000 140,000
Mr. Hossain Ahmed 145,000 145,000
Shuvo Engineering works 429,000 -
Beg shipping Agency (C & F) 1,005,651 -
Aramit Thai Aluminium Ltd. 1,186,804 -
Asian Technologled Ltd. 60,000 -
Auto Link 2,057,000 -
Best Cool Tech 200,000 -

Mr. Ahmed Ali (Electric) 2,000 -

Mr. Haider 6,055 -
Mr. Helal 66,950 -

Mr. Moinul (Audit) 20,000 -

Mr. Payer Ahmed (Bricks) 63,000 -
New Khaza Engineering Works (Mr. Sekander) 127,750 -
NS Accessories & Dying 50,000 -
Nur Contructor 69,950 -
Parachute Engineering Works 50,000 -
Refrigerator (Blood Bank) 709,999 -
Janata Insurance Co. Ltd. (Fire) 644,946 -
Union Insurance Ltd.(Fire) 3,891 -
BASF Bangladesh - 92,001
Fakhrul Islam Security Ltd. - 1,852
Export House - 5,488,609
Khaja Azimir Engineering Works - 49,000
Mahabub Ali - 850,154
Mutul trust Logistics - 1,500

74 > GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

Am ount in Taka
30.06.2019 30.06.2018
Asia Insurance - 357,139
Ample Trading (C & F) - 21,757
Union Insurance Ltd.(Fire) - 194,905
Mr. Zakir(Land) - 600,000
Sub-total (a) 675,554,416 569,475,436
(b) Deposits
Security Deposit with Karnaphuli Gas Distribution Company Ltd. 2,959,980 2,959,980
Security Deposit with Bangladesh Power Development Board 78,000 78,000
Security Deposit with Central Depository Bangladesh Ltd. 400,000 400,000
L/c.# 1949-18-01-0395 11,745 -

L/c.# 1949-19-01-01161 10,562,658 -

L/c.# 1949-19-01-0136 11,660,074 -

L/c.# 1949-19-01-0179 12,669,495 -

L/c.# 1949-19-01-0150 3,101,249 -

L/c.# 1949-19-01-0151 3,081,414 -

L/c.# 1949-19-01-0200 2,921,577 -

L/c.# 1949-19-01-0202 12,489 -

L/c.# 1949-19-01-0234 9,868 -

L/c.# 1949-19-02-0056 24,670 -

L/c.# 1949-19-02-0069 28,047 -
L/c.# 1949-19-02-0070 16,851 -

L/c.# 1949-19-99-0009 10,903 -

L/c.# 1949-19-99-0010 8,271 -
L/c.# 1949-19-99-0011 6,874 -
L/c.# 1949-19-99-0020 5,529 -
L/c.# 1949-19-99-0021 6,562 -
L/c.# 1949-19-99-0022 9,597 -
L/c.# 1949-19-99-0023 14,331 -
L/c.# 1949-19-99-0024 8,540 -
L/c.# 2228-18-23-0013 49,237 -
L/c.# 2228-19-01-1172 984,661 -
Deposit with Gerage Rent (Palton Tower) - 7,000
Deposit with House Rent (Mirpur DOHS) - 660,000
L/c.# 2228-17-02-00838 (Margin) - 13,871,369
L/c.# 2228-17-02-00839 (Margin) - 23,702,276
L/c.# 2228-18-23-0021 (Margin) - 13,720,290
L/c.# 2228-18-23-0012 (Margin) - 6,194,274
L/c.# 2228-18-02-0470 (Margin) - 30,815
L/c.# 2228-18-02-0471 (Margin) - 25,277
L/c.# 2228-18-02-0472 (Margin) - 31,708
L/c.# 2228-18-23-0041(Margin) - 13,258
L/c.# 2228-18-23-0022(Margin) - 9,287,236
L/c.# 2228-18-99-0068(Margin) - 26,033
L/c.# 2228-18-99-0079(Margin) - 17,873
L/c.# 2228-18-99-0131(Margin) - 7,166
L/c.# 2228-18-99-0132(Margin) - 7,149
L/c.# 2228-18-99-0134(Margin) - 13,903
L/c.# 2228-18-99-0136(Margin) - 22,046
L/c.# 2228-18-99-0161(Margin) - 8,134
L/c.# 2228-18-99-0162(Margin) - 8,324
Sub-total (b) 48,642,622 71,092,111
Grand total (a+b) 724,197,038 640,567,547
(i) All advances and deposits amount are considered good and recoverable.
(ii) There Is no agreement amount due from directors or officers of the Company.
10. a Advances, Deposits and Prepayments
Golden Son Limited 724,197,038 640,567,547
Golden Infinity Limited 84,559,707 114,921,375
808,756,745 755,488,922
Less: Inter-Company Transaction (440,250,684) (346,813,125)
368,506,061 408,675,797
11. Cash and Cash equivalents
Cash in Hand (Note : 11.1) 119,306 300,371
Cash at Bank (Note : 11.2) 30,666,293 22,055,674
30,785,599 22,356,045

GOLDEN SON LIMITED

75 >
 ANNUAL REPORT 2018-2019

A m ount in Taka
30.06.2019 30.06.2018
11.1 Cash in Hand
Office 44,243 257,028
Factory 75,063 43,343
119,306 300,371
11.2 Cash at Bank
Jamuna Bank Ltd.(Shantinagar Br.-Dhaka) STD.# 174 37,086 37,676
The City Bank Ltd.fPrincipal Off.-Dhaka) STD.# 3101117939001 1,597,620 1,477,130
The City Bank Ltd.fPrincipal Off.-Dhaka) FC.(USD)# 5121117939001 835,561 828,997
The City Bank Ltd.fPrincipal Off.-Dhaka) FC.(GBP)# 5121117939002 3,493 4,620
The City Bank Ltd.fPrincipal Off.-Dhaka) FC.(EURO)# 5121117939003 14,768 15,943
Dhaka Bank Ltd.fJubilee Road Br.-Chattogram) STD.# 18-150-2474 6,568 56,492
EXIM Bank Ltd.fGulshan Br.-Dhaka) CD.# 7801 46,863 327
Jamuna Bank Ltd.fShantinagar Br.-Dhaka) FC.# 009-17000015 44,466 44,323
Standard Bank Ltd.fPrincipal Br.-Dhaka) STD.# 1823 331,333 324,028
EXIM Bank Ltd.fGulshan Br.-Dhaka) FC.# 1395 480,225 418,505
United Commercial Bank Ltd.fKarnaphuli Br.-Chattogram) CD.# 0048 6,471 2,151
NRB Bank Ltd.fGulshan Br.-Dhaka) CD.# 32049 349 37,924
Mutual Trust Bank Ltd.fKakrail Br.-Dhaka) CD.# 0068-0210002478 343,272 1
Mutual Trust Bank Ltd.fKakrail Br.-Dhaka) BG.# 05/16 15,649 15,649
ShahJalal Islami Bank Ltd.fAgrabad Br.-Chattogram) CD.# 13656 5,515 6,665
Mutual Trust Bank Ltd.fPanthapath Br.-Dhaka) FC.# 00030260001168 772,982 886,149
NRB Bank Ltd.fPrincipal Br.-Dhaka) CD.# 00704 14,799 1,401
Trust Bank Ltd.fDewan Bazar Br.-Chattogram) CD.# 0680210001844 285 2,501
Bank Asia Ltd.(Corporate Br.-Dhaka) CD.# 00233011971 1,780 2,930
The City Bank Ltd.fPrincipal Off.-Dhaka) FDR.# 7939011 1,243,414 1,177,832
The City Bank Ltd.fPrincipal Off.-Dhaka) FDR.# 7939012 1,243,414 1,177,832
The City Bank Ltd.fPrincipal Off.-Dhaka) FDR.# 7939013 1,243,414 1,177,832
United Commercial Bank Ltd.fKarnaphuli Br.-Chattogram) FDR.# 1431402069 616,319 592,637
Mutual Trust Bank Ltd.fKakrail Br.-Dhaka) FDR.# 0330004721 166,762 155,051
Dhaka Bank Ltd.fPrincipal Off.-Dhaka) FDR.# 22813 13,654 12,917
Mutual Trust Bank Ltd.fKakrail Br.-Dhaka) FDR.# 0330005239 192,164 178,647
Trust Bank Ltd.fDewan Bazar Br.-Chattogram)FDR.# 0330002152 5,999,624 5,660,418
EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0632666 278,417 263,394
Jamuna Bank Ltd.fShantinagar Br.-Dhaka) STD.# 1925 266,946 14,051
EXIM Bank Ltd.fGulshan Br.-Dhaka) FC.# 195438 23 1,447,304
Al Arafah Islami Bank Ltd.fKarnaphuli Br.-Chattogram)# 233011971 750,500 -

Mutual Trust Bank Ltd.fKakrail Br.-Dhaka) FC.# 1724 22,148 -

Mutual Trust Bank Ltd.fKakrail Br. Dhaka) FDR.# 033000953 272,909 -

Mutual Trust Bank Ltd.fKakrail Br. Dhaka) FDR.# 314202/6827 5,797,500 -

EXIM Bank Ltd.fGulshan Br.-Dhaka)MTDR.# 0813078 1,500,000 -

EXIM Bank Ltd.fGulshan Br.-Dhaka)MTDR.# 0812979 1,000,000 -

EXIM Bank Ltd.fGulshan Br.-Dhaka)MTDR.# 0812980 1,000,000 -

EXIM Bank Ltd.fGulshan Br.-Dhaka)MTDR.# 0813001 3,000,000 -

Dhaka Bank Ltd.fJubilee Road Br.-Chattogram) FDR.# 01834563 1,500,000

Dhaka Bank Ltd.fJubilee Road Br.-Chattogram) CD.# 6324 1,545
Jamuna Bank Ltd.fShantinagar Br.-Dhaka) PG.# 12/14 - 125,000
The City Bank Ltd.fAgrabad Br.-Chattogram) CD.# 1101874630001 - 110
EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0632756 - 1,475,003
EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0632645 - 2,475,899
EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0632659 - 1,000,895
Mutual Trust Bank Ltd.fKakrail Br.-Dhaka) BG.# 10/17 - 250,000
EXIM Bank Ltd.fGulshan Br.-Dhaka) FDR.# 0632772 - 705,895
30,666,293 22,055,674
11. a Cash and Cash equivalents
Golden Son Limited 30,785,599 22,356,045
Golden Infinity Limited 1,180,361 468,947
31,965,960 22,824,992

12. Issued Share Capital

Authorized capital
500,000,000 ordinary shares of Tk. 10/- each 5,000,000,000 5,000,000,000

Issued, subscribed and paid-up capital

171,729,772 ordinary shares of Tk. 10/- each (Note : 12.1) 1,717,297,720 1,717,297,720

76 > GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

A m o u n t in Taka
3 0 .0 6 .2 0 1 9 3 0 .0 6 .2 0 1 8
12.1 Issued. Subscribed and Paid-up capital
15,027,463 ordinary shares of Tk. 10/- each fully paid 150,274,630 150,274,630
10,000,000 ordinary shares of Tk. 10/- each fully paid 100,000,000 100,000,000
2,502,746 bonus shares of Tk. 10/- each 25,027,460 25,027,460
10,000,000 ordinary shares of Tk. 10/- each fully paid 100,000,000 100,000,000
5,375,000 ordinary share of Tk. 10/- each fully paid 53,750,000 53,750,000
5,363,151 bonus shares of Tk. 10/- each 53,631,510 53,631,510
48,268,360 ordinary shares of Tk. 10/- each fully paid 482,683,600 482,683,600
9,653,672 bonus shares of Tk. 10/- each 96,536,720 96,536,720
1,59,28,558 bonus shares of Tk. 10/- each 159,285,580 159,285,580
3,05,29,737 bonus shares of Tk. 10/- each 305,297,370 305,297,370
1,90,81,085 bonus shares of Tk. 10/- each 190,810,850 190,810,850
1,717,297,720 1,717,297,720

13. Share Premium

10,000,000 shares issued in 2009 at a premium of Tk.10 each 100,000,000 100,000,000
5,375,000 shares issued in 2010 at a premium of Tk.10 each 53,750,000 53,750,000
48,268,360 shares issued in 2010 at a premium of Tk.19.40 each 936,406,184 936,406,184
1,090,156,184 1,090,156,184

14. Tax Holiday Reserve

Opening Balance 50,567,296 50,567,296
Reserve created during the year - -
50,567,296 50,567,296

The company obtained tax holiday for a period of 5 years w.e.f. 12 December 2004. As per requirement of section 46 (A) of the Income
Tax Ordinance 1984, 40% of net profit for this period ( 1-1-2009 to 30-11-2009 ]| has been set aside as reserve and re-invested in the
same company.

15. Revaluation Reserve

(a) Valuation
Opening Balance 584,501,931 584,501,931
Add: Addition during the year - -
584,501,931 584,501,931
Add: Adjustment during the year - -
Sub-Total (a) 584,501,931 584,501,931

(b) Accumulated Depreciation

Opening Balance 204,285,565 190,990,221
Add: Charged during the year (Transferred to Retained Earnings) 14,729,850 15,641,582
219,015,415 206,631,803
Less: Related Deferred Tax (2,209,478) (2,346,238)
Sub-Total (b) 216,805,937 204,285,565
Grand- total (a-b) 367,695,994 380,216,366

16. Retained Earnings

Opening Balance 571,104,545 730,570,346
Add: Net Loss during the year after tax (167,234,093) (175,107,383)
403,870,452 555,462,963
Add: Transferred from Revaluation reserve 14,729,850 15,641,582
418,600,302 571,104,545
418,600,302 571,104,545

16.a Retained Earnings

Golden Son Limited 418,600,302 571,104,545
Golden Infinity Limited (21,823,507) (18,749,925)
Add : Accumulated Non-controlling interest 2,182 1,875
396,778,977 552,356,495

GOLDEN SON LIMITED

l77^
 ANNUAL REPORT 2018-2019

A m ount in Taka
30.06.2019 30.06.2018
17. Deferred tax liabilities:
Taxable/
deductible
As at 30 June 2019 Carrying Amount Tax Base
temporary
difference

Property, plant & equipments except land at cost 1,782,101,377 1,415,881,329 366,220,048
Revaluation surplus On Land 152,699,752 - 152,699,752
Revaluation surplus-PPE 256,529,689 ____________ -________256,529,689
Total taxable temporary difference 2,191,330,818 1,415,881,329 775,449,489
Tax on business income 25%
Tax on revaluation reserve on Land 2%
Tax on revaluation reserve on other assets 15%
Closing deferred tax liabilities/(assets)-at cost 91,555,012
Closing deferred tax liabilities/(assets)-at revaluation 41,533,448
Closing deferred tax liabilities/(assets)-at Unrealized Shares _______ (352,036)
Total closing deferred tax liabilities/(assets) 132,736,424
Opening deferred tax liabilities/(assets)-at cost 92,016,784
Opening deferred tax liabilities/(assets)-at revaluation 43,742,926
Opening deferred tax liabilities/(assets)-at Unrealized Shares _______ (370,769)
Total opening deferred tax liabilities/(assets) 135,388,941
Deferred tax expense/(income)-at cost (461,772)
Deferred tax expense/(income)-at revaluation (2,209,478)
Deferred Tax expense/(income) on Unrelised Loss on Share _________ 18,733
Total deferred tax expense/(income) (2,652,517)

Deferred tax liabilities:

Taxable/
deductible
As at 30 June 2018 Carrying amount Tax base
temporary
difference

Property, plant & equipments except land at cost 702,603,279 334,536,143 368,067,136
Revaluation surplus on Land 152,699,752 - 152,699,752
Revaluation surplus-PPE 271,259,539 ____________ -________ 271,259,539
Total taxable temporary difference 1,126,562,570 334,536,143 792,026,427
Tax on business income 25%
Tax on revaluation reserve on Land 2%
Tax on revaluation reserve on other assets 15%
Closing deferred tax liabilities/(assets)-at cost 92,016,784
Closing deferred tax liabilities/(assets)-at revaluation 43,742,926
Closing deferred tax liabilities/(assets)-at Unrealized Shares _______ (370,769)
Total closing deferred tax liabilities/(assets) 135,388,941
Opening deferred tax liabilities/(assets)-at cost 92,238,597
Opening deferred tax liabilities/(assets)-at revaluation 46,089,164
Opening deferred tax liabilities/(assets)-at Unrealized Shares _______ (222,159)
Total opening deferred tax liabilities/(assets) 138,105,602
Deferred tax expense/(income)-at cost (221,813)
Deferred tax expense/(income)-at revaluation (2,346,238)
Deferred Tax expense/(income) on Unrelised Loss on Share _______ (148,610)
Total deferred tax expense/(income) (2,716,661)

18. Long Term Loan

IBB from Exim Bank Ltd. (Note: 18.1) 246,860,367 226,564,500
Term Loan from Mutual Trust Bank Ltd. (Note: 18.2) 719,400,649 318,707,790
Term Loan from Dhaka Bank Ltd. (Note: 18.3) 42,800,933 -
1,009,061,949 545,272,290

IBB from Exim Bank Ltd.

Opening Balance 279,604,500 247,201,957
Add: Received during the year 30,192,159 311,299,181
309,796,659 558,501,138
Less: Paid during the year 36,610,728 278,896,638
273,185,931 279,604,500
Less: Transfer to Current Portion 26,325,564 53,040,000
246,860,367 226,564,500

78 > GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019
I
Am ount in Taka
30.06.2019 30.06.2018
18.2 Term loan from Mutual Trust Bank Ltd.
Opening Balance 423,107,790
Add: Received during the year 688,123,671 438,328,773
1,111,231,461 438,328,773
Less: Paid during the year 265,904,624 15,220,983
845,326,837 423,107,790
Less: Transfer to Current Portion 125,926,188 104,400,000
719,400,649 318,707,790
18.3 Term loan from Dhaka Bank Ltd.
Opening Balance
Add: Received during the year 62,129,030 _
62,129,030 -
Less: Paid during the year 1,369,385 -

60,759,645 -
Less: Transfer to Current Portion 17,958,712 -

42,800,933 -
18.a Long Term Loan
Golden Son Limited 1,009,061,949 545,272,290
Golden Infinity Limited 418,344,135 347,242,797
1,427,406,084 892,515,087
18. b Current Portion of Long Term Loan
Golden Son Limited 170,210,464 157,440,000
Golden Infinity Limited 147,970,041 98,400,000
318,180,505 255,840,000
19. Lease Finance
NRB Commercial Bank Ltd.(Micro) (Note: 19.1) 647,680 1,554,821
NRB Commercial Bank Ltd.(Jeep) (Note: 19.2) 1,122,113 2,513,292
1,769,793 4,068,113
19.1 NRB Commercial Bank Ltd.(Micro)
Opening Balance 2,383,548 2,983,108
Add: Received during the year
2,383,548 2,983,108
Less: Principal Paid during the year 783,367 599,560
1,600,181 2,383,548
Less: Transfer to Current Portion 952,501 828,727
647,680 1,554,821
19.2 NRB Commercial Bank Ltd.(Jeep)
Opening Balance 3,789,920 4,707,831
Add: Received during the year
3,789,920 4,707,831
Less: Principal Paid during the year 1,200,524 917,911
2,589,396 3,789,920
Less: Transfer to Current Portion 1,467,283 1,276,628
1,122,113 2,513,292
19.a Lease Finance
Golden Son Limited 1,769,793 4,068,113
Golden Infinity Limited 1,543,561 2,301,514
3,313,354 6,369,627
IAS 17 requires disclosure o f future lease payment:
Analysis of finance lease liabilities
Total lease Amount: 13,751,536
Less: Principal Paid 5,718,249
Less: Interest and Bank charge 3,843,710
___________ 4,189,577

Finance lease liabilities include:

Gross lease payments due within:
One year 2,419,784
Two to five year 1,769,793
4,189,577

GOLDEN SON LIMITED

 ANNUAL REPORT 2018-2019

A m o u n t in Taka
30.06.2019 30.06.2018
20. Short Term Borrowings
CC from EXIM Bank Ltd. (Note : 20.1) 231,717,750 223,706,843
Time loan from Mutual Trust Bank Ltd. (Note: 20.2) 12,017,760 98,806,408
CC(HYPO) from Mutual Trust Bank Ltd. (Note: 20.3) 239,146,418 219,277,653
EDF loan from Mutual Trust Bank Ltd. (Note : 20.4) 7,575,462 23,166,238
CC from Trust Bank Ltd. (Note: 20.5) 528,744,546 526,589,079
UPAS from EXIM Bank Ltd. (Note : 20.6) 24,754,459 -
Loan General from Mutual Trust Bank Ltd. (Note : 20.7) - 50,902,184
Short Term Loan from Dhaka Bank Ltd. (Note: 20.8) - 67,632,592
Short Term Loan from Mutual Trust Bank Ltd. (Note: 20.9) - 194,602,473
1,043,956,395 1,404,683,470

20.1 CC from EXIM Bank Ltd.

Opening Balance 223,706,843 203,944,908
Add: Received during the year 252,616,299 161,350,349
476,323,142 365,295,257
Less: Paid during the year 244,605,392 141,588,414
231,717,750 223,706,843

Short term loan in the form of Cash Credit (CC) has been obtained from EXIM Bank Ltd. to cover up working capital requirement.
Approved tenure of the loan is 1 year. Interest is charged quarterly at the rate determined by EXIM Bank Ltd. from time to time within
the guidelines of Bangladesh Bank (current interest rate is 11.00%).

20.2 Time loan from Mutual Trust Bank Ltd.

Opening Balance 98,806,408 28,574,828
Add: Received during the year 112,675,751 156,925,349
211,482,159 185,500,177
Less: Paid during the year 199,464,399 86,693,769
12,017,760 98,806,408

Short term loan in the form of Demand Loan has been obtained from Mutual Trust Bank Ltd. to cover up working capital requirement.
Approved tenure of the loan is 6 months. Interest is charged quarterly at the rate determined by Mutual Trust Bank Ltd. from time to
time within the guidelines of Bangladesh Bank (current interest rate is 12.00%).

CC (HYPO) from Mutual Trust Bank Ltd.

Opening Balance 219,277,653 205,958,781
Add: Received during the year 29,368,765 71,188,621
248,646,418 277,147,402
Less: Paid during the year 9,500,000 57,869,749
239,146,418 219,277,653
Short term loan in the form of Cash Credit (CC HYPO) has been obtained from Mutual Trust Bank Ltd. to cover up working capital
requirement. Approved tenure of the loan is 1 year. Interest is charged quarterly at the rate determined by Mutual Trust Bank Ltd. from
time to time within the guidelines of Bangladesh Bank (current interest rate is 11.50%).

EDF loan from Mutual Trust Bank Ltd.

Opening Balance 23,166,238 23,830,221
Add: Received during the year 48,949,025 43,100,948
72,115,263 66,931,169
Less: Paid during the year 64,539,801 43,764,931
7,575,462 23,166,238

Short term loan in the form of EDF Loan has been obtained from Bangladesh Bank through Mutual Trust Bank Ltd. to cover up working
capital requirement. Approved tenure of the loan is 6 months/ 1 year. Interest is charged quarterly at the rate determined by Mutual
Trust Bank Ltd. from time to time within the guidelines of Bangladesh Bank (current interest rate is 3.5%).

GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

A m o u n t in Taka
30.06.2019 30.06.2018
20.5 CC from Trust Bank Ltd.
Opening Balance 526,589,079 509,073,210
Add: Received during the year 58,748,254 50,888,869
585,337,333 559,962,079
Less: Paid during the year 56,592,787 33,373,000
528,744,546 526,589,079

Short term loan in the form of Cash Credit (CC) has been obtained from Trust Bank Ltd. to cover up working capital requirement.
Approved tenure of the loan is 1 year. Interest is charged quarterly at the rate determined by Trust Bank Ltd. from time to time within
the guidelines of Bangladesh Bank (current interest rate is 12.50%).

UPAS from EXIM Bank Ltd.

Opening Balance
Add: Received during the year 24,754,459 -

24,754,459 -
Less: Paid during the year - -
24,754,459 -

Short term loan in the form of Cash Credit (CC) has been obtained from EXIM Bank Ltd. to cover up working capital requirement.
Approved tenure of the loan is 1 year. Interest is charged quarterly at the rate determined by EXIM Bank Ltd. from time to time within
the guidelines of Bangladesh Bank (current interest rate is 6%).

Loan General from Mutual Trust Bank Ltd.

Opening Balance 50,902,184 10,470,028
Add: Received during the year 6,547,774 77,996,660
57,449,958 88,466,688
Less: Paid during the year 57,449,958 37,564,504
- 50,902,184

Short term loan in the form of Loan General has been obtained from Mutual Trust Bank Ltd. to cover up working capital requirement.
Approved tenure of the loan is 6 months. Interest is charged quarterly at the rate determined by Mutual Trust Bank Ltd. from time to
time within the guidelines of Bangladesh Bank (current interest rate is 13%).

Short Term Loan from Dhaka Bank Ltd.

Opening Balance 67,632,592
Add: Received during the year 4,464,059 78,647,933
72,096,651 78,647,933
Less: Paid during the year 72,096,651 11,015,341
- 67,632,592

Short term loan in the form of Time loan has been obtained from Dhaka Bank Ltd. to cover up working capital requirement. Approved
tenure of the loan is 6 months. Interest is charged quarterly at the rate determined by Dhaka Bank Ltd. from time to time within the
guidelines of Bangladesh Bank (current interest rate is 13.5%).

20.9 Short Term Loan from Mutual Trust Bank Ltd.

Opening Balance 194,602,473
Add: Received during the year 4,660,755 202,602,473
199,263,228 202,602,473
Less: Paid during the year 199,263,228 8,000,000
- 194,602,473

Short term loan in the form of Short term loan has been obtained from Mutual Trust Bank Ltd. to cover up working capital requirement.
Approved tenure of the loan is 1 year. Interest is charged quarterly at the rate determined by Mutual Trust Bank Ltd. from time to time
within the guidelines of Bangladesh Bank (current interest rate is 11.5%).

20.a Short Term Borrowings

Golden Son Limited 1,043,956,395 1,404,683,470
Golden Infinity Limited 95,914,033 140,914,567
1,139,870,428 1,545,598,037

GOLDEN SON LIMITED

 ANNUAL REPORT 2018-2019

A m ount in Taka
30.06.2019 30.06.2018
21. Provisions for Expenses and other Liabilities
(a) Provisions for Expenses
Outstanding salary & wages-local staffs (Note: 21.1) 13,350,367 6,043,370
Electricity bill payable 97,440 113,193
Director's Remuneration Payable 643,412 757,322
Gas bill payable 7,680,966 6,041,091
Audit fees 609,445 492,500
Mr. Mir Saiful Alam 1,062,500 1,062,500
Mr. Ripon ( S.R.K Construction) 202,634 156,815
Mask Power 29,000 29,000
Land tax payable 120,000 120,000
Janata Insurance Co. Ltd. 424,398 14,909
Transcom Electronics 100,000 100,000
Digital Design Develops 122,712 795,213
Tofazzal Hossain 10,530 10,530
Green Delta Insurance Co. Ltd. 99,150 143,975
Chittagong Online Ltd. 60,000 60,000
Global Energy 141,828 60,000
Mr. Mukitur RahmanfJessore Construction) 230,723 230,723
Mr. Sakandar (Fac.Grill work) 39,119 39,119
TW ExpressfC & F) 150,778 158,000
United Corporate Advisory Services Ltd. 68,966 70,420
Good Guard Security & Property Management Co. Ltd. 1,562,489 720,870
Green Packaging Industries 1,978,948 1,978,948
Mohammadi Dyeing & Printing Ind. (Pvt) Ltd. 5,344 5,344
S.K. accessories 67,666 5,449
Novo Air 33 26,533
TDS Payable 31,888 943
Mr. S. Rahman 29,700 -

Online Transport & Trading Agency 30,800 -

Antora Fire Foe International 31,414 -

Central Depository BD. Ltd. 106,000 -

Choice Accessories Ind. 9,435 -

Lub-Ref(Bangladesh) Ltd. 389,500 -

Mark Pro Solution 36,000 -

Mr. Bishu Ram Day 12,781 -

M/s. Friends Trading 15,000 -

Star Accessories 28,000 -

Taiwan Pentium Delicate Machine(Mr.Eric) - 860,000

Jahir Enterprise - 19,750
Sayma Offset Printers & Packages - 18,125
Sheba Elevator Company Ltd. - 49,000
Monir Tiles - 12,050
Nippon Paint (BD) Ltd. - 8,781
Bangla Courier - 29,685
Mr. Kamal UddinfFac. Building) - 29,957
The safe keeping & logistic & Support Securities Company - 67,298
SBA Corporation - 6,089
Beg shipping Agency (C & F) - 39,486
Sub-total (a) 29,578,966 20,376,988

L/C (PAD & expenses) 149,701,672 33,841,903

Dividend Payable 85,652,399 85,719,004
S. K. S. Trade Int'l 1,932,970 1,888,114
Over Subscription against RPO 21,939,658 21,939,658
Rights Share Issue Fund 211,250 211,250
Taj Accessories (Pvt.) Ltd. 108,985 108,985
Super Thread Ltd. 43,798 57,833
Rina (C&F) Centre Ltd. 144,900 166,400
SBL Capital Management Ltd. 14,135,365 13,006,918
Refundable for Bonus Share 573,168 573,168

82>> GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

A m o u n t in Taka
30.06.2019 30.06.2018
Maa Engineering Works 5,000 5,000
Playgro Pty Ltd. 12,463,152 16,694,419
QCS Accessories Ltd. 55,249 1,600
Mr.Belal Ahmed 82,001,560 82,001,560
Ms. Lin Yu Chen 18,250,000 18,250,000
Reliable Engineering Solution Ltd. 50.000 50,000
Fahim Enterprise(Hasmot) 31,521 27,829
Swift Technologies 150.000 150,000
Digital Accessories Ind. Ltd. 27,367 87,367
Nayan Internationale & F) 15,795 15,795
Arobi Thai Alumuniam 121,664
Birds Enterprise 310,659
Export Flouse 102,241
Hanif Plastic & Accessories 15.000
Jamuna Trims Ltd. 81,107
Mr. Mahabub Ali 28,879
Nexus Accessories 167.000
NS Thread & Dying 150,938
Zasn Entrprise 39,500
M/s. Ali Shah Enterprise 60,000
Sub-total (b) 388,510,797 274,856,803
Grand-total (a+b) 418,089,763 295,233,791
All accrued expenses were paid on regular basis.

21.1 Outstanding salaries and wages-local staffs

Salaries and Wages amounting to Tk.13,350,367 relating of staffs & workers of the office & factory remain outstanding for the month of
June 2019. The amount was subsequently paid.

21.a Provisions for Expenses and other Liabilities

Golden Son Limited 418,089,763 295,233,791
Golden Infinity Limited 479,668,937 439,970,079
897,758,700 735,203,870
Less: Inter-Company Transaction (440,250,684) (346,813,125)
457,508,016 388,390,745

Liabilities for other Finance

LDBP-Exim Bank Ltd. 15,395,483 10,193,781
LDBC-Mutual Trust Bank Ltd. 21,966,448 6,890,606
37,361,931 17,084,387

Liabilities for Income Tax

Opening Balance 3,668,213 5,480,019
Add: Provision during the year (Note: 29) 4,006,010 3,908,859
7,674,223 9,388,878
Less: Adjustment during the year 2,694,005 5,263,459
4,980,218 4,125,419
Less: Paid during the year 974,208 457,206
4,006,010 3,668,213

Liabilities for Income Tax

Golden Son Limited 4,006,010 3,668,213
Golden Infinity Limited 1,747,980 960,361
5,753,990 4,628,574

GOLDEN SON LIMITED 83>>

 1 .G S t) ANNUAL REPORT 2018-2019

A m ount in Taka
2018-2019 || 2017-2018

24. Turnover 602,329,317 551,051,016

24.a Turnover
Golden Son Limited 602,329,317 551,051,016
Golden Infinity Limited 131,269,937 91,162,934
733,599,254 642,213,950

25. Cost of Sales

Opening stock of raw materials 801,318,923 906,040,938
Add: Purchased during the year 343,306,763 258,319,866
1,144,625,686 1,164,360,804
Less: Closing stock of raw materials 844,605,026 801,318,923
Raw Materials Consumed 300,020,660 363,041,881
Add: Conversion Cost
Factory salary & wages 87,111,400 88,914,355
Electricity expenses 1,061,533 969,326
Carrying charges 985,067 812,993
Maintenance of machinery 5,233,135 8,212,544
Other factory expenses 3,561,099 4,991,295
Gas bill 10,325,462 10,020,197
Vehicle maintenance 1,035,622 1,732,569
Depreciation 58,571,077 62,855,591
Expenses for foreign engr./staffs 2,707,884 2,727,523
Dyeing & draw string making expenses 2,923,771 995,527
Festival bonus 4,060,661 4,964,448
Land tax 38,550 12,360
Insurance premium (fire) 4,556,825 5,322,630
182,172,086 192,531,358
Cost of Goods Manufactured 482,192,746 555,573,239
Add: Opening stock of finished goods 280,230,523 277,725,146
762,423,269 833,298,385
Less: Closing stock of finished goods 220,257,954 280,230,523
542,165,315 553,067,862

25.a Cost of Sales

Golden Son Limited 542,165,315 553,067,862
Golden Infinity Limited 93,770,073 62,506,716
635,935,388 615,574,578

26. Operating, Administrative & Selling Expenses

Salary and allowances 11,719,515 12,877,972
Directors' remuneration 720,000 780,000
Printing & stationery 424,632 381,457
Postage, telegraph & telephone 1,129,836 1,465,145
Travelling & conveyance 847,915 916,380
Food & entertainment 328,126 204,190
Office maintenance 1,069,758 758,612
Newspaper & periodicals 2,950 2,410
Export Expenses 4,661,578 3,516,452
License & registration 333,084 102,225
Miscellaneous Expenses 120,552 259,965
Depreciation 25,101,891 26,938,111
Fuel & Vehicle Expenses 3,304,020 2,586,990
Advertisement 688,545 307,923
General charges 52,661 57,888
Bank charges 1,540,729 459,539
Sales promotion 200,000 35,000
Sample Expenses 36,756 10,370
Board Meeting Fee 534,990 405,000
Listing Fee 1,344,000 1,266,123
Portfolio Management Fee 40,591 46,356
Board Meeting Expenses 349,961 210,000

GOLDEN SON LIMITED

l84^
ANNUAL REPORT 2018-2019

A m ount in Taka
2018-2019 2017-2018
CDBLFee 212,350 121,115
AGM Expenses 685,852 533,734
Annual Subscription (BAPLC) 30,000 30,000
Surveillance fee 150,000 142,000
Bank Guarantee commission 50,000 235,632
B.O. Maintenance fee 900 450
House Rent (Office staffs) 190,500 168,000
Electrical Expenses(Dhaka Office) 51,666 92,497
Audit fees 319,445 258,750
Joint stock Expenses 11,571 -
Carrying Expenses 140,837 -
Office Rent (Dhaka) - 500,000
Holding Tax 13,464 13,464
Mortgage Expenses - 229,900
Trade Mark expenses - 10,500
Legal Expenses - 79,880
56,408,675 56,004,030

26.a Operating, Administrative 8i Selling Expenses

Golden Son Limited 56,408,675 56,004,030
Golden Infinity Limited 10,815,999 12,015,741
67,224,674 68,019,771

27. Financial Expenses

Interest on CC (EXIM.) 24,928,494 24,350,349
Interest on LDBP (EXIM.) 2,023,696 1,299,495
Interest on MTR (EXIM.) 813,288 7,280,115
Interest on CC- Hypo(MTBL) 29,343,765 25,159,161
Interest on Demand Loan (MTBL) 10,710,822 4,546,785
Interest on Lease Finance-Jeep(NRB) 479,495 616,079
Interest on Lease Finance-Micro(NRB) 296,686 383,770
Interest on LTR/PAD (MTBL) 2,111,184 266,291
Interest on CC (Trust) 58,723,204 50,863,869
Interest on Loan General(MTBL) 2,913,542 4,206,024
Interest on LDBC (MTB) 1,694,752 845,217
Interest on SOD (DBL.) 4,553,288 8,842,414
Interest on Short Term Loan (MTBL) 4,610,755 9,765,832
Interest on EDF(MTBL) 1,789,095 234,535
Interest on MTBL Term Loan 76,038,416 10,139,860
Interest on DBL Term Loan 3,635,306 -

Interest on UPAS (EXIM.) 760,899 -

Interest on Term Loan General(MTBL) - 22,602,473
Interest on Time Loan(MTBL) - 153,935
225,426,687 171,556,204

27.a Financial Expenses

Golden Son Limited 225,426,687 171,556,204
Golden Infinity Limited 28,969,828 19,560,750
254,396,515 191,116,954

28. Non Operating Income

Bank Interest (Note: 28.1) 46,697,723 49,000,872
Other Income (Note: 28.2) 12,123,878 10,072,890
Loss from Associate (840,096) (917,019)
57,981,505 58,156,743

28.1 Bank Interest

Interest received from STD A/c. 149,456 136,988
Interest received from FDR A/c. 46,548,267 48,863,884
46,697,723 49,000,872

GOLDEN SON LIMITED 85>-

 ANNUAL REPORT 2018-2019

A m o u n t in T a k a
2 0 1 8 -2 0 1 9 2 0 1 7 -2 0 1 8
28.2 Other Income
Rent Received 11,497,476 10,049,444
Dividend received on Share & Securities 332,500 226,600
Water supply bill Received 240,000 240,000
Export Gain 53,902 178,849
Loss on sale of share - (622,003)
12,123,878 10,072,890

29. Provision for Tax

Current tax expenses 4,006,010 3,908,859
4,006,010 3,908,859

29.a Provision for Tax

Golden Son Limited 4,006,010 3,908,859
Golden Infinity Limited 787,619 546,978
4,793,629 4,455,837

30. Earnings Per Share (EPS)

Basic Earnings Per Share:
Earning attributable to ordinary shareholders (167,234,093) (175,107,383)
Number of ordinary share outstanding during the year 171,729,772 171,729,772
Basic EPS (0.97) (1.02)

30.a Consolidated Earnings Per Share (E P S ):

Earning attributable to ordinary shareholders (170,307,675) (178,574,634)
Number of ordinary share outstanding during the year 171,729,772 171,729,772
Consolidated Earnings Per Share (EPS) (0.99) (1.04)

GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

A m o u n t In T a k a
2 0 1 8 -2 0 1 9 2 0 1 7 -2 0 1 8
31. Cash Receipts from Customers
Opening trade receivables 1,243,610,166 1,142,025,408
Add : Turnover during the year 602,329,317 551,051,016
1,845,939,483 1,693,076,424
Less : Closing trade receivables (1,266,472,724) (1,243,610,166)
579,466,759 449,466,258

31.a Cash Receipts from Customers

Golden Son Limited 579,466,759 449,466,258
Golden Infinity Limited 57,404,204 67,111,671
636,870,963 516,577,929

32. Cash Paid to Suppliers and Employees

Cost of Sales (without depreciation) (483,594,238) (490,212,271)
Administrative & selling expenses (without depreciation) (31,306,784) (29,065,919)
Opening inventories 1,081,549,446 1,183,766,084
Closing inventories (1,064,862,980) (1,081,549,446)
Opening advances, deposits & prepayments 640,567,547 374,507,379
Closing advances, deposits & prepayments (724,197,038) (640,567,547)
Opening provisions for expenses and other liabilities (295,233,791) (374,480,248)
Closing provisions for expenses and other liabilities 418,089,763 295,233,791
Adjustment of dividend payable 66,605 5,460,560
Adjustment of Advance Income Tax (Current year) 4,168,710 2,744,005
Adjustment of Advance Income Tax (Previous year) (2,694,005) (5,263,459)
Adjustment of Rent Received 11,497,476 10,049,444
Adjustment of water supply bill Received 240,000 240,000
Adjustment of Income/ (loss) from Associate (840,096) (917,019)
Adjustment of Export Gain 53,902 178,849
Adjustment of Profit/(Loss) on sale of share (622,003)
(446,495,483) (750,497,800)

32.a Cash Paid to Suppliers and Employees

Inter company transaction has considered.
Golden Son Limited (353,057,924) (563,950,021)
Golden Infinity Limited (128,239,182) (311,188,388)
(481,297,106) (875,138,409)

33. Acquisition of Property, Plant & Equipment

Acquisition cost during the year Schedule-A (1,148,441,216) (34,641,190)
Non cash 1,111,333,604
(37,107,612) (34,641,190)
Details are given below :
New machineries import (37,002,612) (16,084,614)
Office equipment (35,000) -
Air-conditioner (70,000) -
Land - (16,766,625)
Gas line installation - (889,951)
Lift (900,000)
(37,107,612) (34,641,190)
33.a Acquisition of Property, Plant & Equipment
Golden Son Limited (37,107,612) (34,641,190)
Golden Infinity Limited (38,613,427) (49,969,895)
(75,721,039) (84,611,085)

GOLDEN SON LIMITED

87 >
 ANNUAL REPORT 2018-2019

34. Events after the Reporting Period

Subsequent to the Statement of Financial Position date, the Board of Directors in their meeting held on 29 October 2019
have not recommend any dividend for the year ended 30 June 2019.
35. Others
The number of employees and the rate of remuneration paid to them are as under:

2018-2019 2017-2018
Number of Number of
employees employees

No. of employees whose salary is below Tk.8,000 per month Nil Nil
No. of employees whose salary is above Tk.8,000 per month 745 874
36. Payment / Perquisites to Director and Officer
i) No compensation was allowed by the company to the directors of the company other than Directors Remuneration as
reported in note no. 26.
ii) No amount of money was expended by the company for compensation to any member of the board for special services
rendered other than specified in note no. 26.
iii) Board Meeting attendance fee was paid to the directors of the company @ Tk. 19,166 per person for each meeting.

37. Related Party Transaction

The related party is the party who has the significant power in the management process and cast significant power in the
company's affairs and the management duly identified the party is related to the company and discloses the transactions of
the related party as per IAS 24: "Related Party Disclosures". Details transaction with related party are given below:

Status with the Nature of Balance as at

Name of the related party
company Transaction 30.06.2019
Investment 10,234,749
GSL Export Limited Associate Advances 169,807,827
Trade Receivable 6,048,716
Investment 49,995,000
Golden Infinity Limited Subsidiary
Advances 440,250,684
Mr. Belal Ahmed Managing Director Other Liabilities 82,001,560
Ms. Lin Yu Chen Chairman Other Liabilities 18,250,000

37.1 The total amount of remuneration paid to the Board Directors of the company during the year is as follows :

Name Designation 2018-2019 2017-2018

Directors Directors remuneration 720,000 780,000

37.2 Aggregate amount of remuneration paid to all Officers during the accounting year is as follows :

Name Nature of Payment 2018-2019 2017-2018

Directors Board meeting fee 534,990 405,000
Officers & Executives Salary, Bonus & Other allowances 98,830,915 101,792,327

GOLDEN SON LIMITED

GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

S c h e d u le -A

Golden Son Limited

S c h e d u le o f P ro p e rty .P la n t & E q u ip m e n t
A s a t 3 0 Ju n e 2 0 1 9
a) C o st
A m o u n t in T a k a

C o st D e p re c ia tio n

A d ju s tm e n t A d ju s tm e n t/ W ritte n d o w n
P a rtic u la rs A s a t 0 1 Ju ly A d d itio n d u rin g / D isp o sa l A s a t 3 0 Ju n e R a te A s a t 0 1 Ju ly C h a rg e d d u rin g D isp o sa l A s a t 3 0 Ju n e v a lu e as at
2018 th e y e a r d u rin g th e 2019 % 2018 th e y e a r d u rin g th e 2019 3 0 Ju n e 2 0 1 9
year year

1 2 3 ( l+ 2 - 3 ) = 4 5 6 (l-6 )+ 2 )* 5 = 7 8 (6 + 7 -8 )= 9 4 -9 = 1 0
Land 3 9 7 ,2 9 8 ,2 2 0 - - 3 9 7 ,2 9 8 ,2 2 0 - - - - - 3 9 7 ,2 9 8 ,2 2 0
B u ild in g 1 4 3 ,4 4 8 ,7 3 1 1 ,1 1 1 ,3 3 3 ,6 0 4 - 1 ,2 5 4 ,7 8 2 ,3 3 5 5/2 5 9 ,1 1 1 ,4 6 6 4 ,4 6 0 ,4 4 3 - 6 3 ,5 7 1 ,9 0 9 1 ,1 9 1 ,2 1 0 ,4 2 6
P lan t an d m a ch in e ry 9 1 3 ,2 7 9 ,8 0 5 3 7 ,0 0 2 ,6 1 2 - 9 5 0 ,2 8 2 ,4 1 7 10 4 0 6 ,3 9 0 ,3 7 1 5 1 ,9 2 2 ,2 8 9 - 4 5 8 ,3 1 2 ,6 6 0 4 9 1 ,9 6 9 ,7 5 7
N e w O ffice S p a ce 6 ,3 2 3 ,3 7 5 - - 6 ,3 2 3 ,3 7 5 5 2 ,5 4 7 ,2 1 6 1 8 8 ,8 0 8 - 2 ,7 3 6 ,0 2 4 3 ,5 8 7 ,3 5 1
E le ctrical in stallatio n 1 3 ,4 3 1 ,6 7 4 - - 1 3 ,4 3 1 ,6 7 4 10 5 ,1 9 9 ,7 0 4 8 2 3 ,1 9 7 - 6 ,0 2 2 ,9 0 1 7 ,4 0 8 ,7 7 3
A ir-co n d itio n e r 1 2 ,4 6 2 ,8 3 9 7 0 ,0 0 0 - 1 2 ,5 3 2 ,8 3 9 10 4 ,6 9 2 ,3 1 6 7 8 0 ,5 5 2 - 5 ,4 7 2 ,8 6 8 7 ,0 5 9 ,9 7 1
T o o ls and e q u ip m e n t 9 ,4 1 1 ,0 0 8 - - 9 ,4 1 1 ,0 0 8 10 3 ,8 1 1 ,5 2 5 5 5 9 ,9 4 8 - 4 ,3 7 1 ,4 7 3 5 ,0 3 9 ,5 3 5
G a s g e n e ra to r 4 0 ,7 6 9 ,1 2 5 - - 4 0 ,7 6 9 ,1 2 5 10 2 1 ,5 2 0 ,4 9 7 1 ,9 2 4 ,8 6 3 - 2 3 ,4 4 5 ,3 6 0 1 7 ,3 2 3 ,7 6 5
G a s Line In stallatio n 4 4 ,6 7 7 ,3 8 4 - - 4 4 ,6 7 7 ,3 8 4 10 1 8 ,0 7 8 ,9 5 3 2 ,6 5 9 ,8 4 3 - 2 0 ,7 3 8 ,7 9 6 2 3 ,9 3 8 ,5 8 8
D iesel g e n e ra to r 8 3 0 ,0 0 0 - - 8 3 0 ,0 0 0 10 4 5 2 ,8 6 2 3 7 ,7 1 4 - 4 9 0 ,5 7 6 3 3 9 ,4 2 4
O ffice e q u ip m e n t 7 ,3 7 9 ,9 7 3 3 5 ,0 0 0 - 7 ,4 1 4 ,9 7 3 10 3 ,2 5 6 ,2 5 0 4 1 4 ,1 2 2 - 3 ,6 7 0 ,3 7 2 3 ,7 4 4 ,6 0 1
M o to r v e h icle 4 2 ,2 2 0 ,3 3 1 - - 4 2 ,2 2 0 ,3 3 1 20 2 6 ,1 5 7 ,4 7 7 3 ,2 1 2 ,5 7 1 - 2 9 ,3 7 0 ,0 4 8 1 2 ,8 5 0 ,2 8 3
Fu rn itu re & fixtu re 1 6 ,7 5 5 ,1 2 0 - - 1 6 ,7 5 5 ,1 2 0 10 6 ,2 1 6 ,2 2 6 1 ,0 5 3 ,8 8 9 - 7 ,2 7 0 ,1 1 5 9 ,4 8 5 ,0 0 5
Fire E x tin g u ish e r 1 6 2 ,6 0 2 - - 1 6 2 ,6 0 2 10 7 2 ,0 3 6 9 ,0 5 7 - 8 1 ,0 9 3 8 1 ,5 0 9
D e e p T u b e W ell 2 ,0 1 4 ,5 2 0 - - 2 ,0 1 4 ,5 2 0 10 7 5 4 ,4 3 8 1 2 6 ,0 0 8 - 8 8 0 ,4 4 6 1 ,1 3 4 ,0 7 4
R e frig e ra to r 5 7 ,8 0 0 - - 5 7 ,8 0 0 10 3 3 ,0 9 8 2 ,4 7 0 - 3 5 ,5 6 8 2 2 ,2 3 2
Lift 1 0 ,2 2 7 ,2 1 3 - - 1 0 ,2 2 7 ,2 1 3 10 2 ,5 5 3 ,7 8 6 7 6 7 ,3 4 3 - 3 ,3 2 1 ,1 2 9 6 ,9 0 6 ,0 8 4
S u b to ta l (a) 1 ,6 6 0 ,7 4 9 ,7 2 0 1 ,1 4 8 ,4 4 1 ,2 1 6 - 2 ,8 0 9 ,1 9 0 ,9 3 6 5 6 0 ,8 4 8 ,2 2 1 6 8 ,9 4 3 ,1 1 8 - 6 2 9 ,7 9 1 ,3 3 9 2 ,1 7 9 ,3 9 9 ,5 9 7
 b) R e v a lu a tio n
A m o u n t In T a k a

C o st D e p re c ia tio n

A d ju s tm e n t A d ju s tm e n t/ W ritte n d o w n
P a rtic u la rs A s a t 0 1 Ju ly A d d itio n d u rin g / D isp o sa l A s a t 3 0 Ju n e R a te A s a t 0 1 Ju ly C h a rg e d d u rin g D isp o sa l A s a t 3 0 Ju n e v a lu e as at
2018 th e y e a r d u rin g th e 2019 % 2018 th e y e a r d u rin g th e 2019 3 0 Ju n e 2 0 1 9
year year

1 2 3 { l+ 2 - 3 ) = 4 5 6 (l- 6 ) + 2 ) * 5 = 7 8 (6 + 7 -8 )= 9 4 -9 = 1 0
Land 1 5 2 ,6 9 9 ,7 5 2 - - 1 5 2 ,6 9 9 ,7 5 2 - - - - - 1 5 2 ,6 9 9 ,7 5 2
B u ild in g 3 6 8 ,6 8 0 ,4 3 1 - - 3 6 8 ,6 8 0 ,4 3 1 5 1 2 8 ,3 7 8 ,8 4 1 1 2 ,0 1 5 ,0 7 9 - 1 4 0 ,3 9 3 ,9 2 0 2 2 8 ,2 8 6 ,5 1 1
N ew O ffice S p a ce 1 1 ,7 6 0 ,8 7 5 - - 1 1 ,7 6 0 ,8 7 5 5 4 ,1 4 0 ,3 8 4 3 8 1 ,0 2 5 - 4 ,5 2 1 ,4 0 9 7 ,2 3 9 ,4 6 6
P lan t an d m a ch in e ry 4 3 ,1 2 4 ,0 3 8 - - 4 3 ,1 2 4 ,0 3 8 10 2 3 ,5 2 9 ,2 5 0 1 ,9 5 9 ,4 7 9 - 2 5 ,4 8 8 ,7 2 9 1 7 ,6 3 5 ,3 0 9
G a s g e n e ra to r 6 ,8 3 7 ,5 8 0 - - 6 ,8 3 7 ,5 8 0 10 3 ,7 3 0 ,7 0 7 3 1 0 ,6 8 7 - 4 ,0 4 1 ,3 9 4 2 ,7 9 6 ,1 8 6
G a s Line In stallatio n 1 ,3 9 9 ,2 5 5 - - 1 ,3 9 9 ,2 5 5 10 7 6 3 ,4 5 8 6 3 ,5 8 0 - 8 2 7 ,0 3 8 5 7 2 ,2 1 7
S u b to ta l (b ) 5 8 4 ,5 0 1 ,9 3 1 - - 5 8 4 ,5 0 1 ,9 3 1 1 6 0 ,5 4 2 ,6 4 0 1 4 ,7 2 9 ,8 5 0 - 1 7 5 ,2 7 2 ,4 9 0 4 0 9 ,2 2 9 ,4 4 1

P ro p e rty , p la n t a n d e q u ip m e n t a t c o s t a n d re v a lu a tio n :

A s a t 3 0 Ju n e 2 0 1 9 (a + b ) 2 ,2 4 5 ,2 5 1 ,6 5 1 1 ,1 4 8 ,4 4 1 ,2 1 6 - 3 ,3 9 3 ,6 9 2 ,8 6 7 7 2 1 ,3 9 0 ,8 6 0 8 3 ,6 7 2 ,9 6 8 - 8 0 5 ,0 6 3 ,8 2 9 2 ,5 8 8 ,6 2 9 ,0 3 8
A s a t 3 0 Ju n e 2 0 1 8 (a + b ) 2 ,2 1 0 ,6 1 0 ,4 6 1 3 4 ,6 4 1 ,1 9 0 - 2 ,2 4 5 ,2 5 1 ,6 5 1 6 3 1 ,5 9 7 ,1 5 8 8 9 ,7 9 3 ,7 0 2 - 7 2 1 ,3 9 0 ,8 6 0 1 ,5 2 3 ,8 6 0 ,7 9 1

Allocation of Depreciation: A m o u n t (T k .)

ANNUAL REPORT 2018-2019

i) Production 70% 58,571,077
ii) Administration 30% 25,101,891
GOLDEN SON LIMITED

8 3 ,6 7 2 ,9 6 8
GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

In v e s t m e n t in S h a r e s & S e c u r it ie s

S c h e d u le - B
P u rch a se P r e s e n t M a r k e t P r ic e (3 0 .0 6 .2 0 1 9 )
U n r e a liz e d
S I.N o . N a m e o f S h a r e s & S e c u r it ie s
Q ty . in N o s . R a te V a lu e Q ty . in N o s . R a te V a lu e (lo s s ) / g a in

01 A p p o lo Isp a t 113,300 21.80 2,469,840 113,300 6.80 770,440 (1,699,400)

02 E a s te rn H o u s in g Ltd . 103,000 54.08 5,570,650 103,000 53.80 5,541,400 (29,250)
03 G e n e r a tio n N e x t Ltd . 1 23.16 22 1 5.26 5 (17)
04 Isla m i B a n k Ltd. 75,000 47.49 3,561,690 75,000 23.60 1,770,000 (1,791,690)
1 1 .6 0 2 .2 0 2 8 ,0 8 1 ,8 4 5 ( 3 .5 2 0 .3 5 7 )
Subsidiary Profile

GOLDEN LINFINITY
I M I T E D

A Subsidiary of Golden Son Ltd.

ANNUAL REPORT 2018-2019

Director's R e p o r t
Dear Shareholders
In terms of the provisions of section 184 of the Companies Act 1994, (Act No. XVIII of 1994), I, on behalf of
the Board of Directors, have the pleasure to submit its Report along with the Audited Financial Statements
for the period ended 30th June 2019.
Golden Infinity Limited was incorporated as a private company limited by shares under the Companies Act,
1994 vide registration # C-124585/2015 dated 29 July 2015. The registered office of the company is situated
at Suit # 808, Paltan Tower, 87 Purana Paltan Lane, Dhaka and its factory is at Khowajnagar, Ajimpara,
Karnaphuli, Chattagram.
Principal Activity
Golden Infinity Limited explores the vast market inside Bangladesh. Its principal activities include
manufacturing of various types of Electric Fan, Screw and Cooking Pot & Hot pot, etc. The company reaches
its products to the consumers all over the country through a strong marketing team.
Shareholding
The shareholding position of the company is as follows:
Name of the Shareholders % of holding Legal Status
On the basis of shareholdings, Golden Infinity
Golden Son Limited 99.99
Ltd. has the status of subsidiary to Golden
Mr. M Moniruzzaman 0.01 Son Ltd.

Board of Directors
SL# Name Status Remarks
Ms. Lin Yu Chen and Mr. A.S.A Muiz, Chairman and
1 Mr. Belal Ahmed Chairman
Independent Director respectively of Golden Son Ltd.
Managing (holding company) represents as nominee director in
2 Ms. Lin Yu Chen the Board of Directors of Golden Infinity Ltd. in
Director
compliance with the condition # 2 of the corporate
governance guideline dated 7th August 2012 of
3 Mr. A.S.A Muiz Director
Bangladesh Securities and Exchange Commission.

Operational Activity
During the year under review production was for TK. 42,983,771 and sales for the year were TK. 131,269,937
as against production & sales of TK. 272,571,462 and TK. 91,162,934 respectively in the previous year. During
the year the company faced net loss of TK. 3,073,582.
Business Performance
The Directors are pleased to report that business performance of the company for the year under review is
as follows:
Sales growth @ 43.99%, Gross profit growth @ 30.86% and Net profit growth @ 11.35%.

GOLDEN SON LIMITED 93>>

 ANNUAL REPORT 2018-2019

2018-2019 2017-2018

Turnover 131,269,937 91,162,934

Cost of Sales 93,770,073 62,506,716
Gross Profit 37,499,864 28,656,218
Operating Expenses 10,815,999 12,015,741
Trading Profit/(Loss) 26,683,865 16,640,477
Financial Expenses 28,969,828 19,560,750
Loss before Tax (2,285,963) (2,920,273)
Current Tax Expenses 787,619 546,978
Provision for Tax 787,619 546,978
Net Loss after Tax (3,073,582) (3,467,251)

Earnings Per Share (EPS) (0.61) (0.69)

Cost of Goods Sold (COGS):

Cost of goods sold (cost of sales) is the cost of products sold during the year. COGS include all the costs
directly related to getting inventory ready for sales such as: Raw materials (Including duties and taxes),
Handling and other cost of converting materials into finished goods.
COGS vary directly with sales and production, the more items we sell or produce, the more stock or
components we need to buy. Cost of Goods Sold in 2018-2019 has been increased in compare to the
previous year.
Gross Profit Margin:
Gross profit is the difference between sales and the cost of goods sold. Gross Profit = Sales-Cost of Goods
Sold. The gross profit margin is one indicator of the financial health of a business. Larger gross profit margins
are better for business- the higher the percentage, the more the business retains of each Taka of sales for
other expenses and net profit. During the year 2018-2019 Gross Profit Margin has increased.
Net Profit Margin:
Net Profit is calculated by subtracting expenses including tax from the gross profit, showing what the
business has earned (or lost) in a given period of time. Net Profit= Gross Profit-Expenses with Tax. Net Profit
of the company in the year 2018-2019 has been increased than 2017-2018.
Auditors
Ahmed Zaker & Co., Chartered Accountants is the existing auditor of the company.
Acknowledgement:
The board of directors thankfully acknowledges the support, service and cooperation rendered by all
concerned.

Belal Ahmed
Chairman

94> GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

Independent auditor's report to the shareholders of Golden Infinity Limited

Report on the Audit of the Financial Statements
Opinion
We have audited the accompanying financial statements of Golden Infinity Limited which comprise the
Statement of Financial Position as at June 30, 2019, Statement of Profit or Loss and Other Comprehensive
Income, Statement of Changes in Equity and Statement of Cash Flows for the year then ended, and notes,
comprising a summary of significant accounting policies and other explanatory information.

In our opinion, the accompanying financial statements give a true and fair view ofthe financial position
of Golden Infinity Limited as at June 30, 2019 and of its financial performance and its cash flows for the year
then ended in accordance with International Financial Reporting Standards (IFRS), Companies Act 1994
and other applicable rules & regulations.

Basis for Opinion

We conducted our audit in accordance with International Standards on Auditing (ISAs). Our
responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of
the Financial Statements section of our report. We are independent of Golden Infinity Limited in accordance
with the International Ethics Standards Board for Accountants' Code of Ethics for Professional Accountants
(IESBA Code), and we have fulfilled our other ethical responsibilities in accordance with the IESBA Code. We
believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our
opinion.

Responsibilities of Management and Those Charged with Governance for the Financial Statements
and Internal Controls

Management is responsible for the preparation and fair presentation of the financial statements in
accordance with International Financial Reporting Standards (IFRS), where practicable Companies Act 1994
and other applicable rules & regulations and for such internal control as management determines is
necessary to enable the preparation of financial statements that are free from material misstatement,
whether due to fraud or error.

In preparing the financial statements, management is responsible for assessing Golden Infinity Limited
ability to continue as a going concern, disclosing, as applicable, matters related to going concern and
using the going concern basis of accounting unless management either intends to liquidate Golden
Infinity Limited or to cease operations, or has no realistic alternative but to do so.

Those charged with governance are responsible for overseeing Golden Infinity Limited financial
reporting process.

Auditor's Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole
are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that
includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that
an audit conducted in accordance with ISAs will always detect a material misstatement when it
exists. Misstatements can arise from fraud or error and are considered material if, individually or in
the aggregate, they could reasonably be expected to influence the economic decisions of users taken
on the basis of these financial statements.

GOLDEN SON LIMITED

95 >
 ANNUAL REPORT 2018-2019

We also report the following:

a) we have obtained all the information and explanation which to the best of our knowledge and belief were
necessary for the purpose of our audit and made due verification thereof;

b) in our opinion, proper books of account as required by law have been kept by Golden Infinity Limited so
far as it appeared from our examination of those books; and

c) the statement of financial position and the statement of profit orloss and other comprehensive income
dealt with by the report are in agreement with the books of account.

Location: Dhaka A h m e d Z a k e r & Co.

Dated: O ctober 27, 2019 Chartered A cco u n tants

96>> GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

G olden Infinity Lim ited

S ta te m e n t o f F in a n c ia l P o sitio n
As at 30 June 2019

Am ount in Taka
Particulars Notes
30.06.2019 30.06.2018
Assets
Non-Current Assets: 613,319,779 567,561,079
Property, Plant and Equipment 3 578,421,920 247,592,981
Capital Work-in-Progress 4 34,897,859 319,968,098

Current Assets: 560,803,355 494,131,298

Inventories 5 312,056,996 288,763,592
Trade & Other Receivables 6 163,006,291 89,977,384
Advances, Deposits and Prepayments 7 84,559,707 114,921,375
Cash and Cash Equivalents 8 1,180,361 468,947
Total Assets 1,174,123,134 1,061,692,377
Shareholders Eauitv and Liabilities
Shareholders Equity 28,176,493 31,250,075
Share Capital 9 50,000,000 50,000,000
Retained Earnings 10 (21,823,507) (18,749,925)

Non Current Liabilities: 419,887,696 349,544,311

Lease Finance 11 1,543,561 2,301,514
Long Term Loan 12 418,344,135 347,242,797

Current Liabilities: 726,058,945 680,897,991

Short Term Borrowings 13 95,914,033 140,914,567
Current portion of Lease Finance 11 757,954 652,984
Current Portion of Long Term Loan 12 147,970,041 98,400,000
Provisions for Expenses and other Liabilities 14 479,668,937 439,970,079
Liabilities for Income Tax 15 1,747,980 960,361

Total Liabilities 1,145,946,641 1,030,442,302

Total Equity and Liabilities 1,174,123,134 1,061,692,377

Net Asset Value Per Share 5.64 6.25

The annexed notes form an integral part of these financial statements.

D f\

Chairman Director
Signed in term s of our separate report of even date annexeci.

Location: Dhaka A h m e d Z a k e r & Co.

Dated: O ctober 27, 2019 Chartered A cco u n tants

GOLDEN SON LIMITED

 ANNUAL REPORT 2018-2019

Golden Infinity Lim ited

S ta te m e n t o f P ro fit o r Lo ss a n d O th e r C o m p re h e n s iv e In co m e
For the year ended 30 June 2019

Amount in Taka
Particulars Notes
2018-2019 2017-2018

Turnover 16 131,269,937 91,162,934

Cost of Sales 17 93,770,073 62,506,716
Gross Profit 37,499,864 28,656,218
Operating Expenses 18 10,815,999 12,015,741
Trading Profit 26,683,865 16,640,477
Financial Expenses 19 28,969,828 19,560,750
Loss before Tax (2,285,963) (2,920,273)

Current Tax Expenses 20 787,619 546,978

Provision for Tax 787,619 546,978
Net Loss after Tax (3,073,582) (3,467,251)

Earnings Per Share (EPS) 21 (0.61) (0.69)

The annexed notes form an integral part of these financial statements.

Chairman Director
Signed in term s of our separate report of even date annexed

Location: Dhaka A h m e d Z a k e r & Co.

Dated: O ctober 27, 2019 Chartered A cco u n tants

98>> GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

Golden Infinity Limited

Statement of Changes in Equity
For the year ended 30 June 2019

Amount in Taka

Particulars Share capital Retained earnings Total

Balance as at 01 July 2018 50,000,000 (18,749,925) 31,250,075

Net Loss after Tax for the year -

(3,073,582) (3,073,582)

Balance as at 30 June 2019 50,000,000 (21,823,507) 28,176,493

Golden Infinity Limited

Statement of Changes in Equity
For the year ended 30 June 2018

Amount in Taka

Particulars Share capital Retained earnings Total

Balance as at 01 July 2017 50,000,000 (15,282,674) 34,717,326

Net Loss after Tax for the year _ (3,467,251) (3,467,251)

Balance as at 30 June 2018 50,000,000 (18,749,925) 31,250,075

GOLDEN SON LIMITED 99>>

 ANNUAL REPORT 2018-2019

Golden Infinity Limited

Statement of Cash Flows
For the year ended 30 June 2019

Amount in Taka
Particulars Notes
2018-2019 2017-2018
A. Cash Flows from Operating Activities
Cash receipts from customers 22 57,404,204 67,111,671
Cash paid to suppliers and employees 23 (34,801,623) (124,640,609)
Cash generated from operations 22,602,581 (57,528,938)
Income tax paid (315,282) (8,707,045)
Net Cash Flows from / (Used in) Operating Activities 22,287,299 (66,235,983)

B. Cash Flows from Investing Activities

Acquisition of property, plant & equipment 24 (38,613,427) (49,969,895)
Payment for capital work-in-progress (29,010,492) (61,206,489)
Net Cash Used in Investing Activities (67,623,919) (111,176,384)

C. Cash Flows from Financing Activities

Receipt from short term borrowings 112,270,271 235,663,441
Repayment of short term borrowings (157,270,805) (173,215,432)
Receipt from long term loan 326,099,044 427,027,897
Repayment of long term loan (205,427,665) (294,626,633)
Payment of Interest (28,969,828) (19,560,750)
Repayment of Lease Finance (652,983) -
Receipt from Lease Finance - 2,301,514
Net Cash Flows from Financing Activities 46,048,034 177,590,037

Net surplus in cash and cash equivalents (A+B+C) 711,414 177,670

Cash and cash equivalents at the beginning of the year 468,947 291,277
Cash and cash equivalents at the end of the year 1,180,361 468,947

Net Operating Cash Flows per share 4.46 (13.25)

100 GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

Golden Infinty Limited

Notes to the Financial Statements
For the year ended 30 June 2019

1.00 Incorporation and Business Activities

Golden Infinity Limited was incorporated as a private company limited by shares under the Companies Act, 1994
vide registration # C-124585/2015 dated 29 July 2015. The registered office of the company is situated at Road #
90, House # 10/B, 1st Floor, Gulshan-2, Dhaka-1212, and its factory is at Khowajnagar, Ajimpara, Karnaphuli,
Chattogram. Golden Infinity Limited is for local market. Its principal activities include manufacturing of various
types of Electric Fan, Led light, Vehicle Chain Cooking Pot & Hot pot, etc.

2.00 Significant Accounting Policies

2.01 Basis of Preparation of Financial Statements

The financial Statements of the Company are prepared on a going concern basis under the historical cost
convention in accordance with International Accounting Standards (IAS) and Bangladesh Financial Reporting
Standards (IFRS), the Companies Act 1994, The Securities and Exchange Rules 1987 and other laws and rules
applicable in Bangladesh.

2.02 Recognition of Property, Plant and Equipment and depreciation:

In accordance with IAS 16 'Property, Plant and Equipments, Fixed assets have beeen accounted for a cost less
accumulated depreciation. Depreciation is recognized in the statement of comprehensive income using 'Reducing
Balance Method' over the estimated useful lives of each fixed assets. Depreciation is charged on addition to fixed
assets purchased during the year from the date when such assets is put in to use. Depreciation is allocated as 70%
as production expenses and 30% as administrative expenses. Depreciation on all fixed assets has been applied
consistently year to year at the following rate.

a) Land 0%
b) Plaint and Machinery 10%
c) Motor vehicle 20%
d) Movable Crane 10%
e) Tools & Equipment 10%
f) Office Equipment 10%
g) Electrical Installation 10%
h) Furniture and Fixture 10%

2.03 Revenue Recognition:

Revenue from the sales is measured at the fair value of the consideration received or receivable. The company
recognizes revenue when risks and rewards associated with ownership has been transferred to buyer, which
satisfied all the condition for the revenue recognition as provided in IFRS-15 "Revenue from Contracts with
Customers".
Sales revenue is recognized when transactions related to sales are completed and the sales invoices are issued in
favor of the customers.

GOLDEN SON LIMITED

2 .0 4 T a x a t io n :
P r o v is io n f o r t a x a t io n
Provision for current income tax has been made at the rate as prescribed in the Finance Act. 2018

2 .0 5 V a lu a t io n o f In v e n t o r y

Inventories are valued in accordance with International Accounting Standards-2: Inventories i.e. at cost and
estimated net realizable value whichever is lower. The cost of inventories is valued at first in first out (FIFO) cost
method and includes expenditure for acquiring the inventories and bringing them to their existing location and
condition. Net realizable value is estimated upon selling price in the ordinary course of business less estimated
cost of completion of considering the selling. When the inventories are used, the carrying amount of those
inventories are recognized in the period in which the related revenue is recognized.

2 .0 6 A d v a n c e s . D e p o s it s a n d P r e p a y m e n t s

Advances are initially measured at cost. After initial recognition advances are carried at cost less deductions or
adjustments. Deposits are measured at payment value. Prepayments are initially measured at cost. After initial
recognition prepayments are carried at cost less charges to statement of profit or loss and other comprehensive
income.

2 .0 7 C a s h a n d C a s h E q u iv a le n t s

Cash and Cash Equivalents comprise cash in hand, bank currents accounts, other bank deposits free of
encumbrance and having maturity dates of three months or less from respective dates of deposit.

2 .0 8 T r a d e R e c e iv a b le s

Trade receivables are recognized at cost at net realizable value from the ordinary course of sales in the market
whichever is lower consideration given for them. Trade receivables from foreign currency transactions are
recognized into Bangladeshi Taka using exchange rates prevailing on the closing date of the accounts in
accordance with IAS-21: The Effects of Changes in Foreign Exchange Rates. Exchange differences at the Statement
of Financial Position date are charged/credited to the Statement of profit or loss and other comprehensive
income.

2 .0 9 T r a d e a n d o t h e r P a y a b le s

Liabilities are recorded at the amount payable for settlement in respect of goods and services received by the
company.

2 .1 0 In fo r m a t io n o n F in a n c ia l S t a t e m e n t :

R e s p o n s ib ilit y f o r P r e p a r a t io n a n d P r e s e n t a t io n o f F in a n c ia l S t a t e m e n t s :
The company's management and the Board of Directors are responsible for the preparation and presentation of
Financial Statements as per section 183 of the companies Act 1994.
C o m p o n e n t s o f t h e F in a n c ia l S t a t e m e n t s :
Following are the components of the financial statements:
a) Statement of Financial Position as at 30 June 2019.
b) Statement of Profit or Loss and Other Comprehensive Income for the year ended 30 June 2019.
c) Statement of Changes in Equity for the year ended 30 June 2019.
d) Statement of Cash flows for the year ended 30 June 2019.
e) Explanatory notes to the financial statements.

2 .1 1 G e n e r a l:

i. Figures have been rounded off to the nearest Taka.

ii. The financial Statement has been prepared covering a year from 01 July, 2018 to 30 June, 2019.

GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

Amount In Taka
30.06.2019 30.06.2018
3.00 Property, Plant and Equipment
(a) Cost
Opening Balance 281,625,499 231,655,604
Add: Addition during the year 352,694,158 49,969,895
634,319,657 281,625,499
(b) Less: Accumulated Depreciation
Opening Balance 34,032,518 13,692,625
Add: Charged during the year 21,865,219 20,339,893
55,897,737 34,032,518
Written Down Value (a-b) 578,421,920 247,592,981
Details have been shown in Schedule-A

4.00 Capital Work-in-Progress

Opening Balance 319,968,098 258,761,609
Add: Cost incurred during the year 29,010,492 61,206,489
348,978,590 319,968,098
Less: Transferred to PPE 314,080,731
34,897,859 319,968,098
The company has transferred amount of Tk. 314,080,731 as factory bulding to the property, Plant &
Equipments in accordence IAS-16 " Property, Plant & Equipments"
5.00 Inventories
Raw Materials 208,107,101 172,213,022
Finished Goods 103,949,895 116,550,570
312,056,996 288,763,592

As finished goods of one process is the raw materials of another process and as production stopped at
every year ended, inventory taking and as every day's schedule production has been finished daily basis,
there are no work in progress at the end of the year.
6.00 Trade and other Receivables
(a) Trade Receivables 163.006.291 89,140,558
(b) Other Receivables _______ -__________ 836,826
Total 163.006.291 89,977,384
(i) Trade receivables have been considered good and recoverable.
(ii) There is no such trade receivable due by or to directors or other officers of the Company.

7.00 Advances, Deposits and Prepayments

(a) Advances
K. N. Enterprise 200,000 200,000
S R K Construction 19,473,268 19,094,018
Janata Insurance Company Ltd. 46,558 46,558
Vat Current Account (Import & Sales A/C) 7,887,042 22,388,911
Advance Income Tax (Import) 12,329,768 11,841,427
Doric Homes Ltd. 500,000 400,000
GOLDEN SON LIMITED 103>
 ANNUAL REPORT 2018-2019

Amount In Taka
30.06.2019 30.06.2018
Staff Advance 34,000 5,000
H.S Corporation 3,230,492 3,230,492
Ashia Trading 92,078 92,078
Asia Insurance Ltd. 16,398 34,032
Asian Pantha Nibash 25,000 25,000
Automation Engineering 500,000 500,000
Engr. Shahid, Civil Manager 2,080 83,806
Hazrat Ali (Sadia Thai Aluminium) 909,126 809,126
Impo-Expo Traders (C&F) 794,565 794,565
Islam Wire 4,393,072 4,393,072
Mr. Belal (SB Beam) 11,250 11,250
Mr. Kabir (Mould) 135,000 505,000
Mr. Noyem Uddin 48,000 48,000
Mr. Sekandar (Grill Contructor) 130,000 110,000
Mr. Washim (Production Office) 1,224,793 1,253,097
Mr. Iqbal Karim (PDB) 600,000 600,000
Aim Internattional 960,485 531,885
Arobi Thai Alluminium 317,692 172,000
Beg Shipping Agency 183,033 28,129
Green Delta Insurance (Fire) 529,090 516,049
Green Packaging Industries (Prime Paper Converting) 8,084,150 5,782,632
HRM Accessories Ltd. 3,400,000 2,500,000
Mr. Anower Hossain, Asst. Manager(Vat) 414 444
Mr. Motaleb Sarkar 57,062 52,396
Mr. Naim Enterprise(SRK Construction) 99,800 99,800
Prime Paper Coverting & Packaging Industry 2,500,000 2,000,000
RB Enterprise 1,334,000 1,130,000
South Point Construction 560,000 560,000
Abul Khair Ltd 1,581,280 -
Bangladesh Plating House 1,084,000 -
Four A Logistics 21,050 -
Golden Agro Project 453,207 -
Hakkani Paper & Board Mills 293,424 -
Hossain Trading Corporation 36,450 -
Janata Insurance Company Ltd.(Fire) 180,535 -
Masudul Islam 50,000 -
Alvi Engineering Works 120,000 -
Najib Enterprise 585,000 -
Shohag Enterprise 655,500 -
Nur Contractor 30,600 -
SBA Corporation 240,000 -
Showroom(Decoration Exp.) 73,260 -
Sunborn Accessories 3,000,000 -
Taj Accessories 500,000 -
Sedan International (C &F) - 19,940
M/s. Razia Steel - 10
GOLDEN SON LIMITED
ANNUAL REPORT 2018-2019

Amount In Taka
30.06.2019 30.06.2018
Mr. Linkon (Digital Packaging) - 48,260
VAT Exp - 342,307
Mr. Sirfat Ali(Mymansingh Depot) - 40,000
Sanjoy Haider (Engr.) - 800,000
G.K. Steel - 22,376
Silver Bricks - 300,000
Green Delta Insurance - 57,342
New Khaza Engineering (Shekandar) - 30,000
Advance for Trade fair - 80,000
Abdhullah Al Bokhary (Sales- Shylet) - 5,000
Engr. Ahsanullah - 337,468
Kamal Fakir(Paint Contructor) - 1,202,946
Sub-total (a) 79,512,522 83,124,416

(b) Deposits
L/c. Deposit 812,354 889,797
L/c.#2962-19-01-0207 981,146 -
L/c.#3453-17-01-0113 2,223,559 -
L/c.#3451-19-02-0002 1,030,126 -
L/c.#3453-18-02-0003 - 3,612,741
L/c.#3085-16-02-0968 - 14,280
L/c.#3451-17-02-0019 - 1,991,204
L/c.#3451-17-99-0001 - 20,630
L/c.#3451-17-99-0005 - 402,320
L/c.#3453-17-01-0050 - 23,137
L/c.#3453-17-01-0113 - 2,223,559
L/c.#3453-17-02-0020 - 6,418,351
L/c.#3453-17-02-0022 - 17,666
L/c.#3453-18-02-0001 - 9,577,269
L/c.#3453-18-02-0007 - 6,606,005
5,047,185 31,796,959
Grand total (a+b) 84,559,707 114,921,375

8.00 Cash and Cash Equivalents

Cash in Hand 310,249 49,869
Cash at Bank (Note :8.1) 870,112 419,078
1,180,361 468,947
8.01 Cash at Bank
Dhaka Bank Ltd. Jubilee road Br. CD# 11465 869 256,068
NRB Bank Ltd. Gulshan Br. DHK. CD.#32058 128,093 14,592
Trust Bank Ltd. CDA Br. CTG. CD.# 5140 337,237 52,623
Islami Bank Bd. Ltd. Jubilee Road. Br.Ctg.# 326110 217,430 86,994
Shahjalal Islami Bank Ltd. Agrabad br. Ctg.# 13776 177,411 1,815
United Commercial Bank Ltd. Karnaphuli Br.Ctg.# 5173 9,072 6,986
870,112 419,078

GOLDEN SON LIMITED 105

 ANNUAL REPORT 2018-2019

Amount In Taka
30.06.2019 30.06.2018
9.00 Share Capital
Authorized Capital
25,000,000 ordinary shares of Tk. 10/- each 250,000,000 250,000,000

Issued. Subscribed and Paid-uD Capital

5,000,000 ordinary shares of Tk. 10/- each (Note : 9.1) 50,000,000 50,000,000

9.01 Issued. Subscribed and Paid-up capital

Golden Son Limited 49,995,000 49,995,000
Mr. M. Moniruzzaman 5,000 5,000
50,000,000 50,000,000
10.00 Retained Earnings
Opening Balance (18,749,925) (15,282,674)
Add: Net Loss during the year (3,073,582) (3,467,251)
(21,823,507) (18,749,925)

11.00 Lease Finance

Uttara Finance & Investment (Note: 11.1) 1.543.561 2.301.514
1.543.561 2.301.514
11.01 Uttara Finance & Investment
Opening Balance 2,954,498
Add: Received during the year 3,112,500
2,954,498 3,112,500
Add: Interest & Charge during the year 188,490
2,954,498 3,300,990
Less: Principal Paid during the year 652,983 194,477
Less: Interest Paid during the year 152,015
Less: Transfer To current Portion 757,954 652,984
1,543,561 2,301,514

12.00 Long Term Loan

Term Loan from NRB Bank Ltd. (Note: 12.1) 418,344,135 347,242,797
418,344,135 347,242,797

12.01 Term Loan from NRB Bank Ltd.

Opening Balance 445,642,797 313,241,533
Add: Received during the year 326,099,044 427,027,897
771,741,841 740,269,430
Less: Paid during the year 205,427,665 294,626,633
566,314,176 445.642.797
Less: Transfer To current Portion 147,970,041 98,400,000
418,344,135 347.242.797

Long term loan in the form of Term Loan has been obtained from NRB Bank Ltd. to cover up capital
machinery and capital work in progress requirement. Approved tenure of the loan is 5 years. Interest is
charged quarterly at the rate determined by NRB Bank Ltd. from time to time within the guidelines of
Bangladesh Bank (current interest rate is 13%).
GOLDEN SON LIMITED
ANNUAL REPORT 2018-2019

Amount In Taka
30.06.2019 30.06.2018
13.00 Short Term Borrowings
Cash Credit(CC) from NRB Bank Ltd. (Note : 13.01) 79,720,180 70,109,608
Time Loan from NRB Bank Ltd. (Note : 13.02) 8,890,836 63,043,849
SOD from NRB Bank Ltd. (Note: 13.03) 7,303,017 7,761,110

95,914,033 140,914,567

13.01 Cash Credit(CC) from NRB Bank Ltd.

Opening Balance 70,109,608 61,869,418
Add: Received during the year 9,610,572 8,662,105
79,720,180 70,531,523
Less: Paid during the year - 421,915
79,720,180 70,109,608

Short term loan in the form of Cash Credit(CC) has been obtained from NRB Bank Ltd. to cover up
working capital requirement. Interest is charged quarterly at the rate determined by NRB Bank Ltd. from
time to time within the guidelines of Bangladesh Bank (current interest rate is 13%).

13.02 Time Loan from NRB Bank Ltd.

Opening Balance 63,043,849 -
Add: Received during the year 95,077,902 117,832,040
158,121,751 117,832,040
Less: Paid during the year 149,230,915 54,788,191
8,890,836 63,043,849

Short term loan in the form of Time Loan has been obtained from NRB Bank Ltd. to cover up working
capital requirement. Approved tenure of the loan is 6 months. Interest is charged quarterly at the rate
determined by NRB Bank Ltd. from time to time within the guidelines of Bangladesh Bank (current
interest rate is 13%).

13.03 SOD from NRB Bank Ltd.

Opening Balance 7,761,110 -
Add: Received during the year 7,581,797 7,761,110
15,342,907 7,761,110
Less: Paid during the year 8,039,890 -

7,303,017 7,761,110

Short term loan in the form of Secured Overdraft (SOD) has been obtained from NRB Bank Ltd. to cover
up working capital requirement. Interest is charged quarterly at the rate determined by NRB Bank Ltd.
from time to time within the guidelines of Bangladesh Bank (current interest rate is 13%).

GOLDEN SON LIMITED

 ANNUAL REPORT 2018-2019

Amount In Taka
30.06.2019 30.06.2018
14.00 Provisions for Expenses and other Liabilities
(a) Provisions for Expenses
Fahim Enterprise 54,228 1,205,785
GPH Ispat Ltd 3,742,160 4,742,160
Clay Conversion Plant 385,500 1,000,000
Leading Transport 113,000 152,000
Sifaj Ano Ishpat Ltd. 56,650 3,085
Outstanding Salary & Allowances 297,506 82,937
Outstanding Salary & Allowances (Factory) 537,202 535,611
Export Flouse 3,483,662 30,000
Mr. Flelal(Crane Contractor) 587,358 67,114
M/s. Nippon Paint(BD)Ltd. 132,553 414,717
Audit fee payable 172,500 150,000
Provisions for Expenses (Staffs) 16,520 102,814
Tri-Nayonee Transport Agency 5,000 30,000
Greeen Delta insurance 87,243 -
Kamal Fakir(Paint Contructor) 175,536 -
Monir Hossa in 400,000 -
New Khaza Engineering 99,307 -
Ultra pack Ltd. 296,625 -
Ware House Rent Payable 107,125 -
Tishan Enterprise - 81
K.N. Enterprise - 70,400
M/s. SB Engineering - 11,264
M/s. Zarina Enterprise Ltd. - 7,982
Make Paper & Board Mills Ltd. - 234,400
MEB Paper & Board Mills Ltd. - 144,024
Four A Logistics - 370,950
Expenses for trade fair payable - 17,735
Abul Khair Ltd. - 3,400
Digital Design & Develops - 287,080
Md. Liakot Ali(Mould) - 120,000
Sub-total (a) 10,749,675 9,783,539

(b) Other Liabilities

L/c (PAD/LTR) 28,661,828 83,366,665
Golden Son Ltd. 440,250,684 346,813,125
TDS & VDS Payable 6,750 6,750
Sub-total (b) 468,919,262 430,186,540

Grand-total (a+b) 479,668,937 439,970,079

GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

_______Am ount In Taka

30.06.2019 || 30.06.2018
15.00 Liabilities for Income Tax
Opening Balance 960,361 413,383
Add: Provision during the year (Note: 20) 787,619 546,978
1,747,980 960,361
Less: Adjustment during the year
1,747,980 960,361
Less: Paid during the year
1,747,980 960,361

GOLDEN SON LIMITED 109>

 ANNUAL REPORT 2018-2019

Amount In Taka
2018-2019 2017-2018

16.00 Turnover 131,269,937 91,162,934

17.00 Cost of Sales

Opening stock of raw materials 172,213,022 103,529,257
Add: Purchased during the year 91,478,525 224,704,657
263,691,547 328,233,914
Less: Closing stock of raw materials 208,107,101 172,213,022
Raw Materials Consumed 55,584,446 156,020,892
Add: Conversion Cost
Factory Salary & Wages 6,422,768 5,137,027
Electricity expenses 913,871 1,248,527
Repairs & Maintenance of machinery 533,161 366,700
Depreciation 15,305,654 14,237,925
Other Factory expenses 102,520 33,350
Insurance premium (Fire) 1,509,349 834,375
Travelling & conveyance 249,972 538,132
License & registration 52,680 109,250
Carrying Expenses 416,655 451,775
Expenses of Foreign Engineers 35,845 12,000
Cover Van expenses 32,327 -
Land tax 10,150 -
Trade Fair expenses 67,333
25,584,952 23,036,394
Cost of Goods Manufactured 81,169,398 179,057,286
Add: Opening stock of finished goods 116,550,570
197,719,968 179,057,286
Less: Closing stock of finished goods 103,949,895 116,550,570
93,770,073 62,506,716

18.00 Operating Expenses

Salary and allowances 1,890,491 1,795,232
Festival Bonus 171,600 127,500
Office maintenance 108,998 92,000
Printing & stationery 57,876 123,820
Food & entertainment 33,780 42,036
Miscellaneous Expenses 201,000 53,000
Depreciation 6,559,565 6,101,968
Bank charges 169,224 430,342
BOI Expenses 2,000 11,115
Audit fee 97,500 75,000
Postage & Courier 2,500 2,540
Godown Rent 1,276,500 294,900
House Rent 98,000 175,900
Legal Expenses 40,000 1,107,000
Professional fee 1,265 30,000

110 GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

Amount In Taka
2018-2019 2017-2018
Telephone/Mobile bill 2,700 -
Trade Fair expenses 63,000 -
Showroom Rent 40,000 -
Board Meeting Fee - 4,500
Advertisement - 19,000
General Chages - 186
Loan processing fee - 5,750
RJSC expenses - 172,933
BSTI Expenses - 160,071
Credit rating fee - 72,000
Electricity Bill - 2,451
License & registration - 991,141
Commission - 14,056
Other Expenses - 111,300
10,815,999 12,015,741

19.00 Financial Expenses

Interest on CC 9,608,522 8,371,994
Interest on LATR 9,082,556 6,421,160
Interest on Time Loan 5,954,161 674,298
Interest on SOD 832,297 476,460
Interest on Lease Finance 386,493 188,490
Interest on Term Loan 3,105,799 3,428,348
28,969,828 19,560,750

20.00 Provision for Tax

Current tax expenses 787,619 546,978
787,619 546,978

21.00 Earnings Per Share (EPS)

Basic Earnings Per Share:
Earning attributable to ordinary shareholders (3,073,582) (3,467,251)
Number of ordinary share outstanding during the year 5,000,000 5,000,000
Basic EPS (0.61) (0.69)

GOLDEN SON LIMITED 111

 ANNUAL REPORT 2018-2019

Amount In Taka
2018-2019 2017-2018

Cash Receipts from Customers

Opening trade receivables (Note : 6.00) 89,140,558 65,089,295

Add : Turnover during the year (Note: 16.00) 131,269,937 91,162,934
220,410,495 156,252,229
Less : Closing trade receivables (Note: 6.00) (163,006,291) (89,140,558)
57,404,204 67,111,671

Cash Paid to Suppliers and Employees

Cost of Sales (without depreciation) (78,464,419) (48,268,791)
Operating expenses (without depreciation) (4,256,434) (5,913,773)
Opening inventories 288,763,592 103,529,257
Closing inventories (312,056,996) (288,763,592)
Opening other receivables 836,826 3,284,650
Opening advances, deposits & prepayments 114,921,375 61,715,427
Closing advances, deposits & prepayments (84,559,707) (114,921,375)
Opening provisions for expenses and other liabilities (439,970,079) (283,795,694)
Closing provisions for expenses and other liabilities 479,668,937 439,970,079
Adjustment of advance income tax(Current Year) 315,282 8,707,045
Adjustment of current Portion of Lease Finance - 652,984
Closing other receivables - (836,826)
(34,801,623) (124,640,609)
Acquisition of Property, Plant & Equipment

Acquisition cost during the year Schedule-A (352,694,158) (49,969,895)

Non cash 314,080,731 -
(38,613,427) (49,969,895)
Details are given below :
New machineries import (38,271,392) (37,108,140)
Tools and Equipment (263,746) (216,035)
Office Equipment (78,289) (77,900)
Land - (6,792,000)
Vehicle - (5,731,120)
Furniture and Fixture - (44,700)
(38,613,427) (49,969,895)
Related Party Transaction
The related party is the party who has the significant power in the management process and cast significant
power in the company's affairs and the management duly identified the party is related to the company and
discloses the transactions of the related party as per IAS 24: "Related Party Disclosures". Details transaction
with related party are given below:

Status with Nature of Balance as at

Name of the related party
the company Transaction 30.06.2019
Janata Insurance Company Ltd. Advances 46,558
Holding
Golden Son Ltd. Other Liabilities 440,250,684
company

112 GOLDEN SON LIMITED

GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

"Schedule-A"
Golden Infinity Limited
Schedule of Property,Plant & Equipment
As at 30 June 2019

Amount in Taka
Cost Depreciation

Adjustment Adjustment/ Written down

Charged
Particulars As at 01 July Addition / Disposal As at Rate As at 01 July Disposal As at value as at
during the
2018 during the Year during the 30 June 2019 % 2018 during the 30 June 2019 30 June 2019
Year
Year year

1 2 3 (l+2-3)=4 5 6 (l-6)*5=7 8 (6+7-8)=9 4-9=10

Land 49,741,255 - - 49,741,255 - - - - - 49,741,255
Factory Building - 314,080,731 314,080,731 2 - 43,622 43,622 314,037,109
Plant and machinery 208,651,164 38,271,392 - 246,922,556 10 29,671,672 19,082,111 - 48,753,783 198,168,773
Motor vehicle 10,721,120 - - 10,721,120 20 2,369,512 1,670,322 - 4,039,834 6,681,286
Movable Crane 4,786,667 - - 4,786,667 10 909,467 387,720 1,297,187 3,489,480
Tools & Equipment 6,875,438 263,746 - 7,139,184 10 976,415 603,090 - 1,579,505 5,559,679
Office Equipment 125,700 78,289 - 203,989 10 6,931 15,791 - 22,722 181,267
Electrical Installation 679,455 - - 679,455 10 98,521 58,093 - 156,614 522,841
Furniture and Fixture 44,700 - - 44,700 10 4,470 - 4,470 40,230
As at 30 June, 2019 281,625,499 352,694,158 - 634,319,657 34,032,518 21,865,219 - 55,897,737 578,421,920
As at 30 June, 2018 231,655,604 49,969,895 - 281,625,499 13,692,625 20,339,893 - 34,032,518 247,592,981

Allocation of Depreciation: Amount iTk.)

i) Production 70% 15,305,654
ii) Administration 30 % 6,559,565
21,865,219
 ANNUAL REPORT 2018-2019

Notes.

GOLDEN SON LIMITED

ANNUAL REPORT 2018-2019

GOLDEN SON LIMITED

 ANNUAL REPORT 2018-2019

GOLDEN SON LIMITED

Share Office: House# 10B, Road # 90, Gulshan-2, Dhaka-1212.
PROXY FORM

The Managing Director Register Folio/BO#

Golden Son Limited No. of shares held
House # 10B, Road # 90,
Gulshan-2, Dhaka-1212.

I /We_______________
of
being a Member of Golden Son Limited do hereby appoint
Mr. / Ms__________________________________________
of________________________________________________________________________________________________
as my/our proxy, to vote for me/us and on my/our behalf at the 15th Annual General Meeting of the Company to be held on December
26,2019 at 4 : 00 pm and any adjournment thereof or at any ballot to betaken in consequence thereof.

Signed this. _day of_ 2019.

Revenue Signature of Shareholder

Stamp Folio/BO No:
TK10/=
No. of Shares

Signature of Proxy.
N.B.: IM PORTANT
1. This Form of Proxy, duly completed, must be deposited at least 48 hours before the meeting at the Company's Registered
Office. Proxy is invalid if not signed and stamped as explained above.
2. Signature of the Shareholder should agree with the Specimen Signature registered with the Company.

Signature Verified
Authorized Signature

GOLDEN SON LIMITED

Share Office: House # 10B, Road # 90, Gulshan-2, Dhaka-1212.

SHAREHOLDERS ATTENDANCE SLIP

I hereby record my attendance at the 15th ANNUAL GENERAL MEETING ofthe Company being held on, December 26, 2019 at factory
premises of the company at Khowaj Nagar, P.O-Ajimpara, P.S-Karnaphuli, Chattogram at 4 : 00 pm

Name of Shareholder/Proxy_

Folio/BO No:

N.B.:
Shareholders attending the meeting in person or by Proxy are requested to complete the attendance slip and deposit the same at the
entrance ofthe meeting hall.

No of Shares:-
Signature Shareholder/proxy
Date:-------------------------------

GOLDEN SON LIMITED

C h a tto g r a m O ffic e / R e g is te re d O ffic e D h a k a O ffic e : h [email protected]
Khowaj Nagar, P.O: Ajimpara House # 10/B (1st Floor), Road # 90,
P.S: Karnaphuli, Chattogram, Bangladesh. Gulshan #2, Dhaka-1212, Bangladesh. @ www.goldensonbd.com
Tel: +880 31 617934, 2864526 Phone: +880 2 55052098 - 99,
Fax: +880 31 610911 Fax: +880 2 55052100