Lahore, July 06, 2023 (PPI-OT): Orient Energy Systems (Pvt) limited (“the Company” or “OES”) entity ratings depict the Company’s notable history of providing power generation equipment, renewable energy solutions along with other industrial solutions and services. The Company’s diversified portfolio includes sale of imported supplies relating to power generation such as generators, solar panels, wind turbines, heavy machineries, lubricant oil and building services equipment along with providing after sale support to its customers. Being the authorized dealer of globally recognized manufacturers, OES holds a good reputation in the market. Additionally, the Company is recognized as a reliable after sale service and spare parts provider.
The sponsor’s commendable experience in the sector along with strong business acumen provides additional support to the assigned ratings. With rising trend of renewable energy solutions in the country, the Company has also branched out into providing wind and solar solutions to its customers. The team of qualified engineers provides engineering services including Installation, Testing, Commissioning, Operations and Maintenance, Repair, Troubleshooting, Overhauling and other Project Management services to its industrial customers. The Company reported Net Revenues of PKR ~6,271mln during nine-month period ended March 2023 (FY22: PKR ~8,955, FY21: PKR ~7,815mln) with substantial portion from the sale and supplies of generators, solar panels, wind turbines and their spare parts. The Company has a significant market presence in the South region.
The ongoing macro-economic conditions of the Country pose potential threat to the Company in terms of import of equipment and spare parts. However, through its well managed inventory levels along with diversification into providing turnkey solution and services, the Company has continued to support its operations. The amount of leverage in the Company’s capital structure stands at moderate level. In continuation to the prevailing economic conditions of the Country, the industrial growth is expected to further slowdown.
The ratings are dependent on the company’s ability to sustain its market share. Proactive management of business affairs with improved margins and coverages remains important for the ratings.
For more information, contact:
Analyst,
The Pakistan Credit Rating Agency Limited (PACRA)
Awami Complex, FB1, Usman Block New Garden Town,
Lahore, Pakistan
Tel: +92-42-5869504-6
Fax: +92-42-5830425
Email: hammad.rashid@pacra.com
Website: www.pacra.com