EcoPack Limited’s Ratings Affirmed Amid Financial Gains

Lahore: EcoPack Limited, a prominent manufacturer of PET bottles and preforms in Pakistan, has had its entity ratings maintained by The Pakistan Credit Rating Agency Limited (PACRA), reflecting the company’s improved financial performance, stable market position, and robust management team.

EcoPack, based in the northern region of Pakistan, boasts an annual production capacity of 341 million PET bottles and 684 million preforms. This capacity was recently augmented by the addition of a blowing machine capable of producing 86 million bottles. In fiscal year 2025, the company’s capacity utilization reached 73% for its blowing machine and 79% for its injection machine, underscoring its strong hold in the PET packaging sector.

The company’s demand primarily comes from sectors such as carbonated and non-carbonated beverages, bottled water, edible oil, pharmaceuticals, and other consumables, with demand peaking during the summer months and the holy month of Ramazan. EcoPack’s customer base is described as strong and high-profile.

Financially, EcoPack reported a 16% increase in topline revenue, amounting to approximately PKR 7.2 billion for FY25, up from PKR 6.2 billion the previous year. PET bottles contributed 64% to this revenue, while PET preforms made up the remaining 36%. The company’s gross profit rose sharply to PKR 1,203 million, leading to a significant increase in net profitability, which stood at PKR 340 million, compared to PKR 129 million in the previous year.

The company’s financial risk profile has improved, highlighted by a reduction in total debt-to-equity ratio from 47% in FY24 to 34% in FY25. The increase in profitability has alleviated pressure on financial coverages, and improved internal cash generation has supported working capital needs.

A previously existing dispute concerning the company’s ownership and management structure has been resolved, providing clarity and stability. With this resolution, coupled with its strong financial performance and governance, EcoPack is poised to maintain its market momentum by further improving margins and sustaining its market share.