Final Presentation

Corporate Financial Strategy

Presented By:
Rao Shafae Ali L1F15MBAM0146
Presented To:
Sir Waleed Bin Azhar
Introduction
• Fauji Fertilizer Company Limited (FFC) is the largest chemical
fertilizer producer of Pakistan with biggest market share in the
country (48%)
• Plant-1 was improved in 1992, and a second plant was built in
1993
• FFC was established in 1978 as a joint venture of Fauji
Foundation and Haldor Topsoe
• In the year 2002, FFC acquired ex Pak Saudi Fertilizers Limited
(PSFL)
• FFC now has three plants with a combined capacity of 5770
MTPD of prilled urea.
Awards
• FFC has consistently remained in the list of top 25 best
performing companies of Pakistan consecutively for 14 years
since 1994
• Improved to fifth position in 1995 to second in 1996, it was
awarded the first position in 1997 and again second prize in
1998. As of 2007, the company is at the 5th position.
• The company has also won numerous "Best presented
accounts awards" from Institute of Chartered Accountants of
Pakistan, ICMAP and SAFA.
• The company also held first position in the overall category of
Best Presented Accounts for the years 2002-2007.
Vision & Mission

Vision
• A leading national enterprise with global aspirations,
effectively pursuing multiple growth opportunities,
maximizing returns to the stakeholders, remaining socially and
ethically responsible.
Mission
• To provide our customers with premium quality products in a
safe, reliable, efficient and environmentally sound manner,
deliver exceptional services and customer support, maximizing
returns to the shareholders through core business and
diversification, providing a dynamic and challenging
environment for our employees.
Corporate Strategy
• Maintaining competitive position in the core business using
brand name.
• Unique organizational culture.
• Professional excellence
• Financial strength diversifying in local and multinational
environments through acquisitions and new projects.
• Achieving synergy towards value creation for stakeholders.
Core Values
• HONESTY
• EXCELLENCE
• CONSISTENCY
• COMPASSION
• FAIRNESS
Product Portfolio
• Urea Fertilizer (FFC& FFBL)
• Sop Fertilizer (FFC)
• Dap Fertilizer (FFC& FFBL)
• Renewable Energy (FFCEL)
• Processed Fruits & Vegetables (FFF)
• Financial Services (AKBL)
Financial Performance
• Growth Rate= 14%
• Calculated by taking average of growth rates of previous five
years (2010-2015)
Income Statement
Financial Strategy Parameters
of FFC
1. Business Risk High
2. Financial Risk Low
3. Source of Funding Public Offering and Debt
4. Dividend Policy High
5. Future Growth Prospects High
6. P/E Ratio High
7. EPS High
8. Share Price Growing
Conclusion
• By doing a forecasting and analyzing the current company
situation. It is concluded that company is in growing stage
with very positive profit ratios and market share value.
However volatile economic factors and shortage of resources
for example high inflation rate and lack of natural gas have
disturbed FFC business in the past. But by following right
financial strategies and a good mix of debt plus equity the
company has sustained its growth stage and mitigated
different challenges. If it keeps on working and planning for
the shortcoming the company will keep performing good and
increasing shareholders value.