Press Release
VIS Reaffirms Entity Ratings of Agriauto Industries Limited
Karachi, August 31, 2026: VIS Credit Rating Company Limited (VIS) reaffirms entity ratings of Agriauto Industries Limited at ‘A-/A1’ (Single A minus/A one). 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 'A1' indicates Strong likelihood of timely repayment of short-term obligations with excellent liquidity factors. Outlook on the assigned ratings remain ‘Stable’. Previous rating action was announced on December 30, 2025.
Incorporated in 1981, Agriauto Industries Limited (‘AGIL’ or ‘the Company’) is engaged in the manufacturing and sale of components for automotive vehicles, motor cycles and agricultural tractors. AGIL also serves as the Holding Company of Agriauto Stamping Company (Private) Limited, which is engaged in stamping of sheet metal parts, dies and fixtures for the automobile sector. The registered office of the Company is situated in Karachi, while its manufacturing facility is located at Hub Chowki Distt. Lasbella, Balochistan.
The reaffirmation of the ratings reflects AGIL's strong sponsor profile as a member of the House of Habib (HoH) Group, a well-established Pakistani conglomerate with diversified business interests. The Company benefits from more than four decades of experience in the auto parts industry and maintains long-standing technical collaborations with leading international auto parts manufacturers, which provide a significant competitive advantage. The business risk profile is medium to high due to the cyclical nature of the domestic automotive sector and its sensitivity to macroeconomic environment, demand conditions, auto financing, exchange rates, and regulatory changes, with production still remaining below the historical peak levels despite recovery since FY25. However, AGIL has reported a significant improvement in revenue and profitability during the period under review. The ratings are further supported by the Company's conservative capital structure, healthy liquidity profile, and strengthened debt servicing capacity.
Going forward, the ratings remain sensitive to the Company’s ability to sustain its operating performance and maintain business and financial risk profile in line with the assigned rating level.
For further information on this ratings announcement, please contact on 021-35311861-64 or email at info@vis.com.pk.
Applicable Rating Criteria:
Industrial Corporates
https://docs.vis.com.pk/docs/CorporateMethodology.pdf
VIS Issue/Issuer Rating Scale
https://docs.vis.com.pk/docs/VISRatingScales.pdf