Lahore, December 27, 2018 (PPI-OT): The ratings reflect the strength of ownership structure of the company: Engro Eximp is a wholly owned subsidiary of Engro Corp, the parent company and one of the largest conglomerate in Pakistan (rated AA by PACRA). The CEO of Engro Corp is also the Chairman of Engro Eximp. Ratings take comfort from the strong corporate governance framework of the group. The company successfully managed to achieve its break even in this current year, after suffering from huge losses in the past. As per company’s anticipation, Engro Eximp returned to profits. The equity base is also expected to take advantage from ensuring profits and reversal of impairment. The financial risk profile has also recovered adequately.
The ratings are dependent upon the maintained business volume and redemption of profits. Adherence to sound financial discipline while strengthening debt servicing capacity through improved cash position is vital for the ratings. Positive outcome of the future projects and Sustainability of profits remain a catalyst for the business.
For more information, contact:
The Pakistan Credit Rating Agency Limited (PACRA)
Awami Complex, FB1, Usman Block New Garden Town,
Lahore – Pakistan
Tel: +9242 586 9504 -6
Fax: +9242 583 0425