Be Be Jan Pakistan Limited ("BBJPL" or "the Company") is an unlisted public limited Company.

Be Be Jan Pakistan Limited was originally incorporated as a private limited Company on November 19, 1978, under the Companies Ordinance, 1984 (repealed with the enactment of the Companies Act, 2017). It was later converted into an unlisted public limited Company on November 8, 2001. Initially established as a commercial business entity, the Company has evolved into a manufacturing enterprise engaged in fabric weaving and home textile production.

The Company operates a semi-vertically integrated facility that combines weaving and stitching processes, with an installed capacity of 140 looms, 405 stitching machines, two warping machines, and one sizing machine. The weaving division specializes in greige fabric production, while the garments division focuses on home textile manufacturing. The Company owns two manufacturing facilities located in Faisalabad, with a total energy requirement estimated at 3 megawatts (MW). The Head/Registered Office of the Company is located at 71-B-1, Block H, Gulberg II, Lahore, Punjab.

The Company operates as a family-owned business, with its shareholding distributed among family members. Mr. Usman Ehsan Elahi is the principal shareholder, holding a 49% ownership stake, followed by Mrs. Aisha Saqib. (~34%), Mr. Faisal Ehsan Elahi (~8.6%), Ms. Marriam Saqib (~2.3%), and Mrs. Fareeha Faisal (~2.3%). The remaining ~3.8% stake is held by Be Be Jan Protein Farms (Pvt.) Ltd.

The Company's ownership structure remains stable, with no material changes expected in the near term. However, formalization of a family constitution would further strengthen ownership stability and governance framework.

The sponsoring family has maintained a strong presence in the textile sector for more than four decades. The Company benefits from a seamless blend of first-generation guidance and capable second-generation leadership. Mr. Usman Elahi is notably recognized for his dedicated involvement and execution-focused approach.

As the sponsor family's flagship business venture, BBJPL constitutes the principal revenue-generating entity in their business portfolio. The Company exhibits adequate financial strength, consistent with its position as the family's core business operation.

The Company's board comprises three members, including the CEO, with composition reflecting family ownership and control. While the current governance structure complies with minimum statutory requirements under applicable corporate governance regulations, the addition of independent oversight would enhance the board's effectiveness and overall governance profile.

The board members possesses significant collective expertise in the textile sector. Mrs. Aisha Saqib, CEO and Director, provides strategic leadership and advisory oversight to the Company. Mr. Usman Ehsan Elahi, Executive Director, holds a master's degree from the United Kingdom and brings over a decade of industry-specific experience to the Company. Ms. Marriam Saqib holds the position of Non-Executive Director.

For effective oversight and compliance with the code of corporate governance, the board has formed two board committees: (i) HR & Remuneration Committee, and (ii) Audit Committee.  The Board meeting reflects thorough attendance of directors during the 11 meetings conducted during the period. The minutes of these meetings are appropriately maintained and recorded.

M/s. Yousuf Adil, Chartered Accountants, are the external auditor of the Company. The firm fall under the category' A' of SBP’s panel of auditors. The auditor has expressed an unqualified opinion on the financial reports for the year ended 30th June 2025.

The Company maintains a lean organizational structure, ensuring efficiency and effectiveness across all levels. It operates through four key departments: (i) Procurement, (ii) Administration & IT, (iii) Marketing, and (iv) Technical. All departments report directly to the Executive Director.

Mr. Usman Ehsan Elahi oversees the financial, marketing, and procurement functions and is actively involved in the Company's day to day operations. He is supported by a team of seasoned professionals, supported by a robust framework of internal controls implemented across the organization. Mr. Imran Ahmed, a qualified chartered accountant with three decades of extensive experience, serves as Deputy General Manager Finance and the Company Secretary.

The Company has no formal management committees. The sponsors assume an active execution role, reflecting an adequate delegation of authority matrix. Need-based management meetings are held to resolve or proactively address any operational issues, ensuring a smooth flow of operations.

The Company has developed an in-house Oracle based ERP system to enhance operational efficiency, streamline processes, and support informed decision-making through comprehensive MIS reporting. The generated reports are shared with senior management and discussed regularly to ensure timely decisions and a smooth flow of operations.                                 

Production is completely order-driven, with a strong emphasis on delivering quality products supported by thorough quality checks conducted by the quality control (QC) department. The Company has achieved several certifications, including ISO 9001, ISO 14001, SAI, GOTS, GRS, Sedex, OEKO-TEX, BCI, IRQAO, and the Higg Index, underscoring its commitment to quality and sustainability.

During MY25, approximately 24.4mln MT of cotton was produced globally, compared to about 24.2 million MT in MY24. Throughout the year, low cotton production was observed in India and Pakistan. However, this was partly offset by increases in cotton production in China, the United States, and Brazil by roughly 9.7%, 19.4%, and 15.7%, respectively. The sector's rising dependence on imported cotton poses a supply-side risk. During the FY25, imports accounted for approximately 35% of the cotton supply (~11% in FY24), adding about USD 1.27bln (USD 448mln in FY24) to the country's import bill. Textile exports reached USD 17.9bln in FY25, a modest rise from USD 16.7bln the previous year, reflecting a 7.2% year-over-year growth. The largest contribution came from the composite and garments segment, at USD 14bln, which included the weaving segment at USD 1.8bln and the spinning segment at USD 0.7bln. The production of cotton cloth in FY25 declined by approximately 0.7% year over year, reaching around 877.1mln square meters. The renewable energy as input costs play a vital role in the cost dynamics.

During FY25, about 25.3% of the cotton cloth produced was exported (compared to roughly 27.2% in FY24), with the rest used for the domestic market. The country's fabric exports fell by approximately 4.4% on YoY basis in FY25 (FY24: up about 5.8% on YoY basis), with approximately 23.4% of Pakistan's cotton cloth exports going to Bangladesh (compared to about 19.9% in FY24), followed by the USA with about 8.1% of cotton cloth exports (approximately 7.8% in FY24). The transition from the final tax regime to the normal tax regime is expected to affect the profitability of export-oriented units, with a 29% tax on profits and a super tax of up to 10%. Energy and finance costs are expected to stay within a range, given the projected reduction in interest rates and the absence of any major energy tariff increases. The textile & apparel sector recorded ~USD 3.21bln in exports in July–August 2025, up ~10% year-on-year. August 2025 alone saw a 7% YoY decline and a 9% month-on-month fall in exports of value-added textiles.

The Company operates in a highly fragmented market and holds a minimal market share relative to its installed capacity and business volumes. The Company has a cumulative installed production capacity of over 54.5mln pieces of home textile and garments, along with a cloth production capacity of 19.5mln meters.

The Company's revenue is derived from its home textile product portfolio including duvet covers, fitted sheets, flat sheets, laundry bags, patient gowns, and pillows as well as fabric weaving operations. In FY25, the Company’s revenue declined slightly by 2.6% to PKR 6.9bln (FY24: PKR 7.1bln), following a robust 22.7% growth in the prior year. The reduction primarily stemmed from volumetic decline in the local sales. Local sales accounted for 21% of total revenue (FY24: 42%), while exports contributed 79% (FY24: 58%).

Despite a decline in revenue, the Company's margins improved, resulting in increased profitability. During FY25, the Company recorded a gross profit of PKR 918mln (FY24: PKR 544mln) and a net profit of PKR 87mln (FY24: net loss of PKR 282mln). Consequently, the gross profit margin improved to 13.4% (FY24: 7.7%), while the net margin turned positive at 1.3% (FY24: -4.0%). The improvement in margins is mainly attributed to better cost management, controlled raw material procurement, and operational efficiency, despite persistent pressure from high energy tariffs.

The Company is in the process of installing a 2.0MW solar system to mitigate energy cost risks, which is expected to become operational in the first half of the fiscal year. The adoption of solar energy help to reduce reliance on conventional power sources and positively impact profitability. Additionally, the Company has installed two gas engines to optimize energy costs and ensure uninterrupted productivity.  The management of the Company is mindful of aligning its financial performance with its projections.

In FY25, net working capital days of the Company improved to 66 days (FY24: 71days) owing to an increased in trade payables days. To fuel its working capital requirements, the Company relies on a mix of short-term borrowings and internally generated cash flows. The current ratio clocked at 2.7x (FY24: 2.8x), indicating an adequate cushion to meet short-term obligations.

As of FY25, the Company’s cashflow generation remains adequate, with FCFO rising to PKR 380mln (FY24: PKR 160mln), reflecting a strong growth of 137.9%. The Company’s coverages also improved on the back of improved profitability and monetary easing, with the interest coverage ratio increasing to 1.5x (FY24: 0.5x). Meanwhile the debt coverage ratio strengthed to 1.0x (FY24: 0.3x).

The Company maintains a leveraged capital structure. In FY25, total borrowings declined to PKR 2,160mln (FY24: PKR 2,340mln), leading to a debt-to-equity ratio of 43.1%. Short-term borrowings accounted for 55.9% of the total borrowing. The equity base strengthened to PKR 3,434mln, supported by an accumulative unappropriated profit of PKR 696mln.