AsiaNet-Pakistan Premier Editorial Content and Press Release Distribution Service
Lahore, February 28, 2019 (PPI-OT): M. A. Aleem Khan and Sons (Pvt) Limited (MAAKSONS) has been in the construction industry for many decades. The company has three generations of the sponsoring family in the business and has two main offices – Lahore and Islamabad. The sponsors have a very good understanding of the business. The reporting and functional responsibilities are clearly demarcated. The company has delivered multiple projects. MAAKSONS has a no limit contract license.
Construction business is dependent on award of contract works. Given the slowdown in the economic activity, maintaining a continued healthy business pipeline would be a challenge. Alternatively, the company has a portfolio of properties. The envisaged strategy is to develop these properties to ensure revenue sustainability in the future. Properties are diverse and furnish different propositions to translate them into revenue streams.
Although FY18 depicted robust results, the latest numbers reflect squeeze. The company has a mix of funded and non-funded banking lines to facilitate its business. The control environment may be strengthened by harnessing the audit quality and adopting quarterly accounts. The company has a defined strategy of building assets, required for its operations as well as investment purpose, through surplus cash. Occasionally, funded facilities are also utilized to finance acquisition. The ratings are dependent on sustaining a steady revenue stream and financial risk profile. Any prolonged downturn in subdued business can negatively affect. Good corporate governance practice is considered essential.
For more information, contact:
Analyst
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
Email: hammad.rashid@pacra.com
Web: www.pacra.com