⚡ Flash Summary

Dewan Textile Mills Limited held its Annual General Meeting on October 27, 2025. The meeting confirmed, approved, and adopted the minutes of the previous meeting held on January 27, 2025. The audited financial statements for the year ended June 30, 2025, along with the Directors’ and Auditors’ reports, were also approved and adopted. M/s. Faruq Ali & Co., Chartered Accountants, were re-appointed as Statutory Auditors for the upcoming year, and the CEO was authorized to negotiate and fix their remuneration.

📌 Key Takeaways

• 🗓️ AGM held on October 27, 2025.
• ✅ Minutes of the previous meeting on January 27, 2025, were confirmed.
• 📜 Audited financial statements for the year ended June 30, 2025, approved.
• 👨‍💼 Directors’ and Auditors’ reports adopted.
• 🏢 M/s. Faruq Ali & Co. re-appointed as Statutory Auditors.
• 🤝 CEO authorized to negotiate auditors’ remuneration.
• 📉 Company’s operational sales remained nil due to closure of operations.
• 🏭 Manufacturing operations suspended since December 2015.
• 🏦 Company settled with lenders via a Compromise Agreement in FY 2012.
• ⚖️ Some banks with suits of Rs. 419.065 million did not accept the restructuring proposal.
• ⚠️ Outstanding markup is Rs. 1.452 billion, with no provision made.
• 🏦 Rs. 428.480 million markup not provided for the year ended June 30, 2025.

🎯 Investment Thesis

HOLD. Given the nil operational sales, suspended manufacturing, and ongoing financial and legal challenges, an investment in Dewan Textile Mills is highly speculative. The company’s future depends on successful debt restructuring and resumption of operations, which is uncertain. A HOLD rating is appropriate until there is more clarity on the company’s financial and operational outlook.