Press Release

VIS Reaffirms Entity Ratings of Multiline Securities Limited

Karachi, January 28, 2025: VIS Credit Rating Company Ltd. (VIS) has reaffirmed entity ratings of Multiline Securities Limited (MSL) at ‘A-/A2’ (Single A Minus/A-Two). Long-term rating of ‘A-’ signifies good credit quality with adequate protection factors. Risk factors may vary with possible changes in the economy. Short-term rating of ‘A2’ depicts Good likelihood of timely repayment of short-term obligations with sound short-term liquidity factors. Outlook on the assigned ratings is ‘Stable’. Previous rating action was announced on November 06, 2023.

Multiline Securities Limited is a public unlisted company incorporated in 2001, providing equity brokerage, investment and portfolio management services to both retail and foreign institutional clients. The company is also member of Pakistan Mercantile Exchange Limited (PMEX). The company operates through its registered offices in Karachi. The Company holds Trading Rights Entitlement Certificate (TREC) granted by Pakistan Stock Exchange (PSX) and is registered with SECP to provide Trading and Self Clearing Services. External auditors of the Company are M/s Rahman Sarfaraz Rahim Iqbal Rafiq Chartered Accountants, which belong to category ‘A’ on the approved list of auditors published by the State Bank of Pakistan (SBP).

Assigned ratings incorporate the business and financial profile of the Company. During FY24, the Company’s brokerage revenue experienced a strong growth, driven by favorable market dynamics and improved macroeconomic. Resultantly, the Company’s operational efficiency witnessed slight improvement, albeit remains on the higher side. Profitability profile of the Company was supported by significant unrealized gains. However, the revenue of the Company in FY25 is expected to be below the level in FY24, given the subdued revenue recorded in 3MFY25. Liquidity profile of the Company is considered sound while the market risk is moderate. Capitalization profile of the Company draws support from its low-leveraged balance sheet along with high equity base. Going forward, diversifying revenue streams, continued enhancement in profitability profile along with maintenance of liquidity and capitalization profile will remain important for the ratings.

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



Applicable Rating Criteria: Securities Firms:
https://docs.vis.com.pk/docs/SecuritiesFirm202007.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 2025 VIS Credit Rating Company Limited . All rights reserved. Contents may be used by news media with credit to VIS .