Lahore, August 27, 2021 (PPI-OT):The ratings demonstrate Etimaad’s strength, emanating mainly from its sustained operational history. The upgrade reflects Etimaad’s sustained improvement in business performance, with growth in revenue and margin, aided by healthy relationships with existing customers, and extensive experience of the management. The pipeline is healthy; therein for the sake of sustainable long term growth, management follows a balanced approach aiming to gain more share in different lines of businesses.
The strength of the business is reflected in the clientele that the company has served and still continue to do business with. There are some of the best and leading names for the business community of the country. The entity is following a pyramid strategy; the top being mega projects (EPC), followed by construction and lastly maintenance related projects. The customer list portrays some of the best names in the domestic market.
The Company has a track record of over a decade with strong capabilities in executing turnkey projects, as reflected in repeat orders from customers. The Company is adequately leveraged and primarily relates to the projects in hand and timely completion. The sponsors have demonstrated their commitment by operationally supporting the business by providing security and personal guarantees to obtain financial facilities.
Meanwhile, strengthening of business development structure by inducting expert and experienced professionals is considered a key catalyst for upcoming projects. Financial risk metrics need to be upheld. Rating is dependent upon the successfully completion of several projects and upcoming projects undertaken by management to streamline its business for improved profitability, which is pivotal for considerable growth.
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