Press Release
VIS Reaffirms Entity Ratings of MRA Securities Lim
Karachi, May 2, 2025: VIS Credit Rating Company Limited (‘VIS’) has reaffirmed entity ratings of MRA Securities Limited (‘MRA’ or ‘the Company’) at ‘A-/A2’ (‘Single A Minus/A Two’). Long-term rating of ‘A-’ reflects good credit quality with adequate protection factors. Risk might fluctuate depending on the state of the economy. Short-term rating of ‘A2’ signifies good certainty of timely payment where liquidity factors are sound and good access to capital markets. Outlook on the assigned ratings is ‘Stable’. Previous rating action was announced on January 24, 2024.
MRA Securities Limited is involved in equity brokerage services, with a particular focus on serving domestic retail clients, high net worth individuals, and institutional investors. The Company is headquartered in Karachi, Pakistan, and operates an additional eight branches within the city. Majority shareholding in MRA is vested with the Rafiq family. The Company holds a Trading and Self Clearing (TSC) entitlement certificate issued by the Pakistan Stock Exchange Limited. External auditors of the Company belong to category ‘A’ on State Bank of Pakistan’s (SBP) approved list.
Assigned rating takes into account the Company’s strong presence in the stock market, being recognized among the top brokerage houses on the Pakistan Stock Exchange (PSX), in terms of volumes and value traded. The assigned rating also incorporates the Company’s financial profile, with brokerage revenue recording strong growth on the back of higher market activity amid favorable market conditions, contributing to improved profitability and operational efficiency. Liquidity profile of the Company is considered adequate. Market risk of the Company is low, given reduction in the Company’s proprietary investments. The capitalization profile is supported by a sizeable equity base, in tandem with higher profitability. However, gearing and leverage indicators have weakened. Going forward, continued enhancement in profitability and revenue base, along with improvement in gearing and leverage indicators as well as liquidity profile will be important for the rating.
For further information on this ratings announcement, please contact us at 021-35311861-64 (Ext. 201) or email at info@vis.com.pk.
Applicable Rating Criteria: Securities Firms:
https://docs.vis.com.pk/Methodologies-2025/SecuritiesFirms.pdf
VIS Issue/Issuer Rating Scale
https://docs.vis.com.pk/docs/VISRatingScales.pdf