Lahore, September 20, 2021 (PPI-OT):The ratings reflect sustained performance metrics of the company. Amid COVID-19 Pandemic despite unfavourable circumstances company has maintained stability in its turnover as reflected in the published financial statements for FY20 as well as 3QFY21. Business risk profile draws support from growing demand for electricity and continuous improvement across various operational metrics; however, COVID-19 has resulted in various challenges, with additional directives from the Government for power companies, aimed at consumer facilitation.

Nonetheless, with improved macroeconomic environment post COVID- 19 lockdown, along with sizeable investments, the Company continued to show strong operational performance. As a result, during the 3QFY21, units sent out grew by 7.2% along with a 6.2% increase in units billed. Driven by these operational improvements, the Company’s gross profit increased by 25%. The company continued to add to its asset base: expansion was noted in plants, distribution and transmission.

The Company is pursuing its 900 MW RLNG project on fast-track basis. In addition to this additional supply of 450MW from National Grid has also been achieved through successful completion of rehabilitation works at KDA- Jamshoro lines. The performance metrics in the ongoing financial year has shown similar trends with more focus on the production and sale of power units. At the same time, upholding business and financial metrics is of utmost importance.

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