Here is the balance sheet of Nestle Pakistan. I want to know why long term current liabilities are decreasing in 2019 as compared to 2018. I want to know reasons behind it. Why deferred liabilities are decreasing in 2019? Why lease liabilities are decreasing in 2019? Why deferred taxation is decreasing in 2019? Why retirement benefits are decreasing in 2019?

Condensed interim nancial information for the six months ended June 30, 2019 Good Food, Good Life contents Directors' Report to the Shareholders 2 Independent Auditor's Review Report to the Members on Review of Interim Financial Statements 3 Condensed Interim Statement of Financial Position 4 Condensed Interim Statement of Prot or Loss 6 Condensed Interim Statement of Comprehensive Income 7 Condensed Interim Statement of Changes in Equity 8 Condensed Interim Statement of Cash Flows 10 Notes to the Condensed Interim Financial Statements 11 Company Information 20 Directors' Report to the Shareholders The Directors of the Company are pleased to submit the half-year report along with the condensed interim nancial information of the company for the six months' period ended June 30, 2019. The macro-economic challenges dominated during rst half of 2019 with pressures on the scal and current a c c o u n t d e c i ts a ffe c ti n g g r o w th momentum. During the period, the Company reported a revenue of PKR 57.7 billion vs PKR 62.5 billion in the same period last year due to an overall economic slowdown and pressure on disposable income. The company reported gross prot of PKR 17.0 billion vs 20.4 billion in the previous year; the decline is mainly due to higher input costs resulting from increase in commodity prices and devaluation of currency, higher energy prices and imposition of water charge. Consequently net prot after tax dropped to PKR 4.5 billion from PKR 6.3 billion in the previous period. The nancial performance for the six months period is summarized below: Jan - Jun Jan - Jun Change 2019 2018 PKR Million PKR Million Sales Gross Prot 57,789 17,014 62,585 20,423 % of sales Operating Prot 29.4% 8,415 14.6% 4,472 32.6% 10,955 17.5% 6,310 7.7% 98.61 10.1% 139.13 % of sales Net Prot after tax % of sales Earnings per share 2 -7.7% -16.7% -23.2% -29.1% -29.1% Future Outlook: Despite the broader macro-economic challenges and higher inationary environment the management remains focused on meeting the consumer expectations by offering quality and value added products and managing cost pressures through value chain optimization initiatives and tighter controls on overheads. For and on behalf of the Board of Directors Samer Chedid Chief Executive Lahore: August 26, 2019 Independent Auditor's Review Report to the Members on Review of Interim Financial Statements Introduction We have reviewed the accompanying condensed interim statement of nancial position of Nestl Pakistan Limited (\"the Company\") as at 30 June 2019 and the related condensed interim statement of prot or loss and other comprehensive income, condensed interim statement of changes in equity, condensed interim statement of cash ows, and notes to the nancial statements for the six-month period then ended (here-in-after referred to as the \"interim nancial statements\"). Management is responsible for the preparation and presentation of these interim nancial statements in accordance with accounting and reporting standards as applicable in Pakistan for interim nancial reporting. Our responsibility is to express a conclusion on these nancial statements based on our review. Scope of Review We conducted our review in accordance with International Standard on Review Engagements 2410, "Review of Interim Financial Information Performed by the Independent Auditor of the Entity." A review of interim nancial statements consists of making inquiries, primarily of persons responsible for nancial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all signicant matters that might be identied in an audit. Accordingly, we do not express an audit opinion. Conclusion Based on our review, nothing has come to our attention that causes us to believe that the accompanying interim nancial statements are not prepared, in all material respects, in accordance with accounting and reporting standards as applicable in Pakistan for interim nancial reporting. Other Matter The gures for the quarter ended 30 June 2019 and 30 June 2018 in the condensed interim statement of prot or loss and other comprehensive income have not been reviewed by us and we do not express a conclusion on them. The engagement partner on the review resulting in this independent auditor's report is Kamran Iqbal Yousa. Lahore Date: August 26, 2019 KPMG Taseer Hadi & Co. Chartered Accountants 3 Condensed Interim Statement of Financial Position As at June 30, 2019 (un-audited) Note Jun 30, 2019 (Un-audited) (Restated) Dec 31, 2018 (Audited) (Rupees in '000) Non-current assets Property, plant and equipment Capital work-in-progress Intangible assets Long term loans 4 Current assets Stores and spares Stock-in-trade Trade debts Current portion of long term loans and advances Sales tax refundable - net Advances, deposits, prepayments and other receivables Cash and bank balances Current liabilities Current portion of long term nances - secured Current portion of lease liabilities Short term borrowings - secured Short term running nance under mark-up arrangements - secured Customer security deposits- interest free Unclaimed dividend Trade and other payables Interest and mark-up accrued Net working capital Total capital employed Long term and deferred liabilities Long term nances - secured Lease liabilities Deferred taxation Retirement benets Contingencies and commitments Net assets 4 31,523,253 1,259,412 11,430 283,392 30,363,333 3,679,302 15,464 305,333 33,077,487 34,363,432 2,018,767 20,523,940 2,707,134 130,118 4,287,917 4,948,928 1,978,317 36,595,121 1,951,900 19,711,784 3,116,948 132,729 4,552,598 2,446,521 745,694 32,658,174 2,227,025 191,938 18,242,800 227,025 34,820 15,242,800 1,363,165 202,407 20,608 29,742,787 379,123 52,369,853 1,418,301 195,431 20,608 31,745,031 273,854 49,157,870 (15,774,732) (16,499,696) 17,302,755 17,863,736 6,951,218 129,214 2,334,362 2,246,539 9,064,730 237,565 2,443,197 2,098,020 11,661,333 13,843,512 5,641,422 4,020,224 5 Jun 30, 2019 (Un-audited) (Restated) Dec 31, 2018 (Audited) (Rupees in '000) Financed by: Share capital and reserves Authorized capital 75,000,000 (December 31, 2018: 75,000,000) ordinary shares of Rs 10 each Issued, subscribed and paid up capital Share premium General reserve Accumulated prot 750,000 750,000 453,496 249,527 280,000 4,658,399 453,496 249,527 280,000 3,037,201 5,641,422 4,020,224 The annexed notes 1 to 13 form an integral part of these condensed interim nancial statements. SYED SAIFUL ISLAM SAMER CHEDID SYED YAWAR ALI Chief Financial Ofcer Chief Executive Chairman 5 Condensed Interim Statement of Prot or Loss For the six months period ended June 30, 2019 (un-audited) Six months ended (Restated) Jun 30, 2019 Jun 30, 2018 (Rupees in '000) Three months ended (Restated) Jun 30, 2019 Jun 30, 2018 (Rupees in '000) Sales - net Cost of sales 57,789,111 (40,774,935) 62,585,776 (42,163,200) 28,653,233 (20,108,686) (20,495,637) Gross prot 17,014,176 20,422,576 8,544,547 10,061,055 Distribution and selling expenses (6,939,820) (3,752,869) Administration expenses (7,837,854) (1,629,875) (3,356,178) (1,659,051) (799,901) (749,910) 8,415,305 10,954,847 4,388,468 Operating prot Finance cost Other operating expenses Other income Prot before taxation Taxation Prot after taxation Earnings per share - basic and diluted (Rupees) 30,556,692 5,558,276 (1,480,451) (814,169) (753,118) (448,679) (712,473) (2,192,924) (848,843) (1,663,012) (468,130) (1,221,248) (436,554) (885,233) 158,147 120,562 65,543 52,228 6,380,528 9,412,397 3,232,763 4,725,271 (1,908,380) 4,472,148 (3,102,789) 6,309,608 (1,034,953) 2,197,810 (1,797,269) 2,928,002 98.61 139.13 48.46 The annexed notes 1 to 13 form an integral part of this condensed interim nancial statements. 6 2 SYED SAIFUL ISLAM SAMER CHEDID SYED YAWAR ALI Chief Financial Ofcer Chief Executive Chairman 64.57 Condensed Interim Statement of Comprehensive Income For the six months period ended June 30, 2019 (un-audited) Six months ended Three months ended (Restated) (Restated) Jun 30, 2019 Jun 30, 2018 Jun 30, 2019 Jun 30, 2018 (Rupees in '000) (Rupees in '000) Prot after taxation Other comprehensive income 4,472,148 6,309,608 2,197,810 2,928,002 Items that are or may be classied subsequently to prot or loss: - Cash ow hedges - effective portion of changes in fair value - Related tax Total comprehensive income for the period 8,385 (2,311) (17,139) 8,782 8,385 (2,311) (24,336) 10,507 6,074 (8,357) 6,074 (13,829) 4,478,222 6,301,251 2,203,884 2,914,173 The annexed notes 1 to 13 form an integral part of these condensed interim nancial statements. SYED SAIFUL ISLAM SAMER CHEDID SYED YAWAR ALI Chief Financial Ofcer Chief Executive Chairman 7 Balance as at June 30, 2018 (un-audited) - restated Transaction with owners directly recognized in equity Interim dividend for the six months period ended June 30, 2018 (Rs. 110 per share) Interim dividend for the nine months period ended September 30, 2018 (Rs. 75 per share) Transaction with owners of the Company recognized directly in equity Final dividend for the year ended December 31, 2017 (Rs. 80 per share) Prot after taxation - restated Cash ow hedges - effective portion of changes in fair value (net of tax) 249,527 - 453,496 - - - - - - - - - 249,527 453,496 Balance as at December 31, 2017 - restated Total comprehensive income for the period ended June 30, 2018 249,527 - 453,496 - - - - - (8,357) (8,357) - 8,357 8,357 - - - 280,000 - - - - 280,000 280,000 - (3,401,219) (4,988,454) 6,365,603 (3,627,967) 6,309,608 - 6,309,608 3,683,962 3,642,960 41,002 Accumulated prots Revenue Reserves General reserve (Rupees in '000) Hedging reserve Capital Reserves Share premium Balance as at December 31, 2017 (audited) as originally reported First time adoption of IFRS 16 Share capital Condensed Interim Statement of Changes in Equity For the six months period ended June 30, 2019 (un-audited) 8 2 (3,401,219) (4,988,454) 7,348,626 (3,627,967) 6,301,251 (8,357) 6,309,608 4,675,342 4,634,340 41,002 Total 249,527 General reserve 280,000 - - - - - - - 280,000 - - - - - - - - 4,478,222 4,478,222 SYED YAWAR ALI Chairman SAMER CHEDID Chief Executive Chief Financial Ofcer 5,641,422 SYED SAIFUL ISLAM 4,658,399 (2,857,024) 6,074 6,074 (2,857,024) 4,472,148 4,020,224 5,061,271 (240,680) 8,229,954 5,301,951 Total 4,472,148 3,037,201 5,061,271 (240,680) 8,229,954 5,301,951 Accumulated prots Revenue Reserves (Rupees in '000) Hedging reserve The annexed notes 1 to 13 form an integral part of these condensed interim nancial statements. 453,496 Balance as at Jun 30, 2019 (un-audited) - - - - - 249,527 453,496 - - - - - - - - Share premium Capital Reserves - Share capital Final dividend for the year ended December 31, 2018 (Rs. 63 per share) Transaction with owners directly recognized in equity Total comprehensive income for the period ended Jun 30, 2019 Prot after taxation Cash ow hedges - effective portion of changes in fair value (net of tax) Balance as at December 31, 2018 - restated Total comprehensive income for the period ended December 31, 2018 Prot after taxation - restated Remeasurement of net retirement benets liability (net of tax) 9 Condensed Interim Statement of Cash Flows For the six months period ended June 30, 2019 (un-audited) Note Jun 30, 2019 (Restated) Jun 30, 2018 (Rupees in '000) Cash ow from operating activities Cash generated from operations Decrease / (increase) in long term deposits and prepayments Decrease in long term loans Increase in customer security deposits - interest free Retirement and other benets paid Workers' prot participation fund paid Income taxes paid 6 Net cash used in operating activities 4,779,393 5,684,661 24,552 6,976 (242,282) (1,102,360) (11,645) 32,910 8,170 (245,356) (1,061,570) (2,910,587) 3,466,279 1,496,583 Cash ow from investing activities (683,889) 146,512 (537,377) (1,272,607) 52,781 (1,219,826) Cash ow from nancing activities Finance cost paid Long term nances - net Lease liabilities - net Short term borrowings - net Dividend paid (1,369,107) (113,512) (301,500) 3,000,000 (2,857,024) (769,997) (17,184) (133,269) (145,986) (3,628,428) Net cash generated from nancing activities (1,641,143) (4,694,864) 1,287,759 (672,607) (4,418,107) 820,076 615,152 (3,598,031) Fixed capital expenditure Sale proceeds of property, plant and equipment Net cash used in investing activities Net increase / (decrease) in cash and cash equivalents Cash and cash equivalents at beginning of the period Cash and cash equivalents at end of the period 7 The annexed notes 1 to 13 form an integral part of these condensed interim nancial statements. 10 2 SYED SAIFUL ISLAM SAMER CHEDID SYED YAWAR ALI Chief Financial Ofcer Chief Executive Chairman Notes to the Condensed Interim Financial Statements For the six months period ended June 30, 2019 (un-audited) 1. Legal status and nature of business Nestl Pakistan Limited ("the Company") is a public limited company incorporated in Pakistan and its shares are quoted on Pakistan Stock Exchange. Principally the Company is engaged in manufacturing, processing and sale of dairy, nutrition, beverages and food products including imported products. Registered ofce (which is also the Head Ofce) of the Company is situated at Babar Ali Foundation Building, 308-Upper Mall, Lahore. The Company has four manufacturing facilities located at Sheikhupura, Kabirwala, Port Qasim Karachi and Islamabad. 2. Basis of preparation 2.1 Statement of compliance These condensed interim nancial statements comprise the condensed interim statement of nancial position of the Company as at June 30, 2019 and the related condensed interim statement of prot or loss, condensed interim statement of comprehensive income, condensed interim statement of changes in equity and condensed interim statement of cash ows together with the notes forming part thereof. These condensed interim nancial statements are un-audited but subject to limited scope review by the external auditors and being submitted to the shareholders as required under section 237 of the Companies Act, 2017 and the Listing Regulation of Pakistan Stock Exchange Limited. These condensed interim nancial statements have been prepared in accordance with the accounting and reporting standards as applicable in Pakistan for interim nancial reporting. The accounting and reporting standards applicable in Pakistan for interim nancial reporting comprise of: - International Accounting Standard (IAS) 34, \"Interim Financial Reporting\