Pa k i s t a n L e a s i n g

Ye a r B o o k 2 0 0 9

Macro Perspective
The following sections contain a description of the overall size of leasing sector in Pakistan
and its performance during the last three years.

Trends of Aggregate Indicators

The trends of industrys aggregate indicators for the last three years are given below: -

Leasing Companies
(All figures are in Rs. Million)
2007
No of Companies
22
Paid-up Capital
11,330
Reserves
4,968
Total Equity
16,298
Investment in Lease Finance 63,003
Investments
20,783
Borrowings
76,802
Revenues
12,173
Operating Expenditure
3,907
Financial Charges
7,888
Taxation
91
Net Profit
275
Cash Dividend
685
Total Assets
115,401

2008
20
15,070
5,755
20,825
63,081
28,553
86,034
13,750
3,712
8,342
411
1,632
543
123,925

2009
14
8,842
(1,068)
7,774
50,737
8,135
50,892
8,014
4,478
7,033
(377)
(3,633)
0
76,165

Figures include 11 leasing companies and 3 investment banks.

The number of companies and the paid up capital are Industrys input parameters whereas
revenues, profits, financial charges and investments are the output parameters indicating
the extent of the benefits provided by the industry to the lessors, shareholders etc.
A graphic view of the Leasing Companies is given below: No. of Companies

20

15

10

2007

2008

Paid up Capital

Reserves

14,000

5,000

12,000

4,000

10,000

3,000

8,000

2,000

6,000

1,000

Rs. in million
16,000

25

2009

Rs. in million
6,000

4,000

2,000

-1,000

-2,000
2007

2008

2009

2007

2008

2009

31

Pa k i s t a n L e a s i n g
Ye a r B o o k 2 0 0 9

Investment in Lease Finance

Revenues

Total Assets

Net Profit

Rs. in million
70,000

Rs. in million
14,000

Rs. in million
2,000

60,000

12,000

1,000

50,000

10,000

40,000

8,000

Rs. in million
140,000
120,000
100,000

80,000
-1,000

60,000

6,000

30,000
20,000

4,000

10,000

2,000

-2,000

2007

2008

2007

2009

20,000
0

-4,000

40,000

-3,000

2008

2009

2007

2008

2007

2009

2008

2009

Modarabas
Key aggregate indicators of 04 Modarabas (Member of LAP) are presented below: (All figures are in Rs. Million)
2007
No of Companies
5
Paid up Capital
1,852
Reserves
2,909
Total Equity
4,761
Investment in Lease Finance 9,905
Investments
2,034
Borrowings
6,394
Revenues
2,855
Operating Expenditure
1,915
Financial Charges
579
Taxation
0
Net Profit
361
Cash Dividend
276
Total Assets
12,914

2008
5
2,378
2,722
5,100
8,517
1,343
4,757
3,158
2,067
612
0
462
341
12,644

2009
4
2,123
2,367
4,490
5,920
912
994
2,722
1,994
363
(0)
365
296
8,003

A graphic review of 04 Modarabas are as under: No. of Companies

6
5

Paid up Capital

Reserves

Rs. in million
2,500

Rs. in million
3,000
2,500

2,000

2,000
1,500

1,500
1,000

1,000
500

1
0
2007

32

2008

2009

500

2007

2008

2009

2007

2008

2009

Pa k i s t a n L e a s i n g
Ye a r B o o k 2 0 0 9

Investment in Lease Finance

Rs. in million
10,000

Revenues

Rs. in million

3,500

9,000

3,000

8,000

2,500

7,000
6,000

2,000

5,000
1,500

4,000
3,000

1,000

2,000

500

1,000
0

2007

2008

2009

Net Profit

2007

2008

2009

2008

2009

Total Assets
Rs. in million
14,000

Rs. in million
500
450

12,000

400
350

10,000

300

8,000

250
6,000

200
150

4,000

100

2,000

50
0

0
2007

2008

2009

2007

Consolidated Trends of Aggregate Indicators (2007-2009)

(All figures are in Rs. Million)
2007
No of Companies
27
Paid up Capital
13,182
Reserves
7,877
Total Equity
21,059
Investment in Lease Finance 72,908
Investments
22,817
Borrowings
83,196
Revenues
15,028
Operating Expenditure
5,822
Financial Charges
8,467
Taxation
91
Net Profit
636
Cash Dividend
961
Total Assets
128,315

2008
25
17,448
8,477
25,925
71,597
29,896
90,792
16,907
5,779
8,954
411
2,094
884
136,569

2009
18
10,965
1,299
12,264
56,657
9,047
51,886
10,736
6,472
7,396
(377)
(3,268)
296
84,168

33

Pa k i s t a n L e a s i n g
Ye a r B o o k 2 0 0 9

Trend Key Ratios

Leasing Companies
The following tables show the key ratios of the leasing companies: -

2007

2008

2009

Earning per Share (Rs.)

0.24
Return on Equity (%)
1.69
Return on Assets (%)
0.24
Capital Ratio (X)
0.16
Leverage Ratio (X)
6.08
Current Ratio (X)
1.13
Investment in lease finance (%)
54.59
Book value per Share (Rs.)
10.74
Time Interest Earned (X)
1.05
Total Assets / Net Worth (X)
7.08
Financial Charges/Total Expenses (%) 66.36

1.08
7.84
1.32
0.20
4.40
1.26
50.90
9.12
1.20
5.95
69.21

(4.11)
(46.74)
(4.77)
0.07
7.29
1.28
34.22
9.06
0.65
9.80
58.51

Earning per Share

Return on Equity

Return on Assets

2.0

10

1.5

1.0

0.5

-10

-0.5

1.0
0.0

0.0

-1.0

-1.0

-1.5

-20

-2.0

-2.0

-2.5

-30

-3.0
-4.0

-40

-5.0

-50

-3.0
-3.5
-4.0
-4.5

2007

2008

2009

2007

2008

2009

-5.0

2007

Capital Ratio

Leverage Ratio

Current Ratio

0.25

1.40

7
0.20

2009

1.20

1.00

0.15

2008

0.80

4
0.10

0.60

0.40

0.05

0.20

1
0

34

2007

2008

2009

0
2007

2008

2009

2007

2008

2009

Pa k i s t a n L e a s i n g
Ye a r B o o k 2 0 0 9

Investment in Lease Finance

Book Value Per Share

Time Interest Earned

60.0

12.00

1.40

50.0

10.00

40.0

8.00

30.0

6.00

20.0

4.00

10.0

2.00

1.20
1.00
0.80
0.60

0.40
0.20
0

0
2007

2008

2009

2007

2008

2009

2007

Total Assets / Net Worth

Financial Charges/Total Expenses

12.0

70.0

2008

2009

60.0

10.0

50.0

8.0

40.0
6.0
30.0
4.0

20.0

2.0
0

10.0
0
2007

2008

2009

2007

2008

2009

Modarabas
Key Ratios of 04 Leasing Modarabas (Members of LAP) are presented below:-

2007
Earning per Certificate (Rs.)
1.53
Return on Equity (%)
7.59
Return on Assets (%)
2.80
Capital Ratio (X)
0.43
Leverage Ratio (X)
1.71
Current Ratio (X)
1.00
Investment in lease finance (%)
76.70
Book value per Certificate (Rs.)
12.12
Time Interest Earned (X)
1.62
Total Assets / Net Worth (X)
2.71
Financial Charges/Total Expenses (%) 23.22

2008
1.94
9.06
3.65
0.49
1.76
1.12
67.36
13.28
1.75
2.48
22.84

2009
1.72
8.13
4.56
0.64
0.67
0.91
63.60
12.82
2.16
1.78
15.39

35

Pa k i s t a n L e a s i n g
Ye a r B o o k 2 0 0 9
Earning per Share

Return on Equity

Return on Assets

Capital Ratio

2.00

10.0

5.0

0.7

1.80

9.0

4.5

1.60

8.0

4.0

1.40

7.0

3.5

1.20

6.0

3.0

1.00

5.0

2.5

0.80

4.0

2.0

0.60

3.0

1.5

0.40

2.0

1.0

0.20

1.0

0.5

2007

2008

2009

2007

2008

2009

0.6
0.5
0.4
0.3
0.2
0.1

2007

2008

2009

2007

2008

Leverage Ratio

Current Ratio

Investment in Lease Finance

Book Value Per Share

1.80

1.20

80.0

14.0

70.0

12.0

1.60

1.00

1.40

60.0

1.20

0.80

1.00

0.60

8.0

40.0
6.0

30.0

0.40

4.0

20.0

0.40

0.20

0.20
0

10.0

50.0

0.60

0.80

2007

2008

2009

2.0

10.0
2007

2008

2009

2007

2008

2009

2007

2008

Time Interest Earned

Total Assets / Net Worth

Financial Charges/Total Expenses

2.50

3.00

25.0

2.50

2.00

20.0

2.00
1.50

15.0
1.50

1.00

0.00

10.0

1.00

0.50

5.0

0.50
0
2007

2008

2009

2007

2008

2009

2007

2008

2009

Consolidated Trends of Key Ratios (2007-2009)

36

2009

2007

2008

2009

Earning per Share (Rs.)

0.48
Return on Equity (%)
3.02
Return on Assets (%)
0.50
Capital Ratio (X)
0.19
Leverage Ratio (X)
5.13
Current Ratio (X)
1.12
Investment in lease finance (%)
56.82
Book value per Share/Certificate (Rs.) 11.40
Time Interest Earned (X)
1.08
Total Assets / Net Worth (X)
6.09
Financial Charges/Total Expenses (%) 56.34

1.20
80.08
1.53
0.23
3.88
1.25
52.43
9.69
1.23
5.27
52.96

(2.98)
(26.65)
(3.88)
0.13
4.86
1.25
37.01
9.79
0.73
6.86
51.44

2009

Pakistan Leasing Year Book 2009

Statistical Over View of

Leasing Sector in Pakistan
Year wise Lease Disbursement

Rs. in million

40,000.0
35,000.0
30,000.0

25,000.0
20,000.0
15,000.0
10,000.0
5,000.0
0

2007

2008

Total Lease Disbursement

2009

SME Lease contribution

Investment in Lease (Assets Wise) 2008-2009

Plant & Machinery
Vehicles (Private)
Vehicles (Comm.)
Equipments
Others
Total

Rs. in million
22,755.99
19,081.66
11,100.56
2,614.86
2,471.75
58,024.81

%
39.22
32.89
19.13
4.51
4.26
100.00

Consolidated Sector wise Exposure of

Leasing Sector in 2008-2009
Rs. in million

37