Press Release

VIS Reaffirms Entity Ratings of Muller & Phipps Pakistan (Private) Limited

Karachi, October 24, 2025: VIS Credit Rating Company Limited (VIS) has reaffirmed the entity ratings of Muller & Phipps Pakistan (Private) Limited (‘M&P’ or ‘the Company’) at ‘A+/A1’ (Single A Plus/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' signifies strong likelihood of timely repayment of short-term obligations with excellent liquidity factors. Outlook on the assigned rating is ‘Stable’. Previous rating action was announced on September 9, 2024.

M&P benefits from a strong and long-standing presence in Pakistan’s logistics and distribution sector. The Company maintains a leading position, supported by its extensive nationwide footprint, diversified customer portfolio, and relationships with over 75 principals across pharmaceuticals, healthcare, consumer goods, and telecommunications. These segments are characterized by relatively stable and inelastic demand, lending resilience to the topline.

M&P’s ability to consistently add new principals, expand into new towns, and strengthen its logistics network reinforces its competitive standing against smaller, regionally concentrated players. Despite industry challenges, the Company is well-positioned to navigate a competitive market, optimize margins, and effectively manage cost fluctuations. The Company demonstrates resilience and consistent revenue growth, despite the cost-sensitive operating model and a requirement for significant working capital. While the working capital-intensive model necessitates strategic capital allocation, management is successfully navigating this dynamic. Sustained strengthening of capitalization and cash flow coverage, alongside maintenance of adequate liquidity, will be important rating considerations.

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 October 24, 2025 VIS Credit Rating Company Limited. All rights reserved. Contents may be used by news media with credit to VIS.