Lahore, December 06, 2017 (PPI-OT):The rating reflects sustained market position of the company, having decent foothold in takaful industry. The company has gained momentum in terms of business expansion. The company benefits from its brand as being the dedicated takaful company having significant size. Moreover, after having established branch network, PakQatar Family is gradually expanding wings through alternate distribution networks; wherein the success remains to be seen. Meanwhile, competition from window takaful should be managed well.
The profitability of the company has remained strong as compared to peers, reflecting strong business profile. The financial risk profile has been strengthened based on fresh injection (Rs. 248.7mln). Pak Qatar Family Takaful has strong liquidity coverage to policyholder’s liabilities, which is further topped up by a cushion from liquid investments of the shareholder’s fund. The ‘positive outlook’ captures the company’s ability to improve its market share while improving the persistency of Gross Contribution. Product diversification in non-banca segments should be translated into sizeable volumes with enhanced profitability.
For more information, contact:
The Pakistan Credit Rating Agency Limited (PACRA)
Awami Complex, FB1, Usman Block New Garden Town,
Lahore – Pakistan
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