Press Release

VIS Reaffirms Entity Ratings of Zaman Textile Mills (Private) Limited

Karachi, May 06, 2026: VIS Credit Rating Company Limited reaffirms Entity Ratings of Zaman Textile Mills (Private) Limited (‘ZTML’ or ‘the Company’) at 'A-/A2' (‘Single A minus’/’A Two’). Medium to long term rating of 'A-' indicates good credit quality; protection factors are adequate. Risk factors may vary with possible changes in the economy. Short term rating of 'A2' indicates good likelihood of timely repayment of short-term obligations with sound short-term liquidity factors. Outlook on the assigned ratings remains ‘Stable’. Previous Rating action was announced on March 12, 2025.

Zaman Textile Mills (Private) Limited was incorporated in Pakistan in 1969 and was later converted into a private limited company in 2016. The Company is primarily engaged in the manufacturing, processing, dyeing, and sale of yarn and fabric. ZTML has evolved into an integrated textile manufacturer, with operations spinning, weaving, and processing. Its product portfolio includes a range of yarn and greige/processed fabric, supported by in-house dyeing and finishing facilities. The Company operates through a multi-location manufacturing footprint across Sindh.

The assigned ratings reflect the Company’s sound capital structure, supported by earnings retention and sponsor support in the form of interest-free loans. However, business risk continues to pose stress with inflationary pressures leading to high working capital financing requirements and need to increase volumes to support growth.

The Company recently added to its weaving operations and is now undertaking renewable energy (wind turbine) investment, aimed at improving cost efficiency. Timely execution and realization of expected benefits will remain critical for sustaining profitability and supporting debt servicing capacity with increased long-term financing for these projects.

For further information on this ratings announcement, please contact at 021-35311861-64 or email at info@vis.com.pk.













Applicable Rating Criteria:
Corporates
https://docs.vis.com.pk/docs/CorporateMethodology.pdf

VIS Issue/Issuer Rating Scale
https://docs.vis.com.pk/docs/VISRatingScales.pdf

Information herein was obtained from sources believed to be accurate and reliable; however, VIS Credit Rating Company Limited (VIS) does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. VIS, the analysts involved in the rating process and members of its rating committee do not have any conflict of interest relating to the rating(s)/ranking(s) mentioned in this report. VIS is paid a fee for most rating assignments. This rating/ranking is an opinion and is not a recommendation to buy or sell any securities. Copyright May 05, 2026 VIS Credit Rating Company Limited. All rights reserved. Contents may be used by news media with credit to VIS.