Barkat Frisian Agro Ltd (BFAL): BARKAT FRISIAN AGRO LIMITED – IPO - By AHCML Research
Feb 14 2025
Al Habib Capital Markets
Barkat Frisian Agro Ltd (BFAL) is a Pakistani-Dutch joint venture, established in 2017 and
operational since 2019. The company specializes in value-added egg products that meet
European standards, serving bakery, confectionery, food dressings, FMCG, and ice cream
industries.
BFAL benefits from a strong collaboration with three key partners:
Barkat Frisian Agro Ltd (BFAL): BARKAT FRISIAN AGRO LIMITED – IPO - By AHCML Research
Feb 14 2025
Al Habib Capital Markets
Barkat Frisian Agro Ltd (BFAL) is a Pakistani-Dutch joint venture, established in 2017 and
operational since 2019. The company specializes in value-added egg products that meet
European standards, serving bakery, confectionery, food dressings, FMCG, and ice cream
industries.
BFAL benefits from a strong collaboration with three key partners:
Frisian Egg Group (Netherlands).
Barkat Frisian Agro Limited (BFAL): Scaling in the untapped segment - By Insight Research
Feb 14 2025
Insight Securities
Pasteurized eggs have seen steady growth in the food service
sector in recent years, driven by rising regulation & awareness
of food safety standards, extended shelf life, convenience, and
the prevention of foodborne diseases. In line with this trend,
the upcoming IPO of Barkat Frisian Agro Limited (BFAL) offers
a good exposure to this growing industry. The company plans
to raise PKR0.9bn by offering 67.7mn shares at a floor price of
PKR13/share. BFAL specializes in producing pasteurized,
liquid, and dried egg products, catering to the HoReCa, baking,
and protein supplement market. As the only manufacturer of
processed eggs in Pakistan, BFAL serves both domestic and
export markets and has decent room to grow. As per the
management, Pakistan's annual egg consumption is 21.1bn
eggs, with 15% utilized by company’s addressable market
translating to a target market size of 3.2bn eggs annually.
Additionally, the global pasteurized egg market is projected to
grow at a CAGR of ~10.3%. To capitalize on this demand, BFAL
is expanding its production capacity by establishing a new
factory in Faisalabad to serve the local market. The company is
also introducing new products, which will enhance the
revenue growth in the future.
We have a subscribe stance on the stock, with Dec’25 DCF
based target price of PKR19/sh. Our liking stems from the
following facts i) First mover advantage in pasteurized egg
segment, ii) Potential to cater local and export demand, iii)
Competitive pricing due to lower raw material cost, iv) New
product offerings, v) Tax holiday on both facilities and vi)
Expertise of parent company to aid future growth.
Barkat Frisian Agro Limited (BFAL): Pakistan’s Only Pasteurized Eggs Producer - By Taurus Research
Feb 13 2025
Taurus Securities
Barkat Frisian Agro Limited (BFAL) is a Pakistani – Dutch joint
venture between the Buksh Group and the Frisian Egg Group.
BFAL primarily produces frozen, liquid, and dried whole eggs,
egg yolks, and egg whites. It also produces specialized versions
of these egg products which are blended with other ingredients
depending on their end-use. Pasteurized egg products are essential for baking, cooking, food supplements, sauces, and mayonnaise. Pasteurized eggs also have longer shelf-lives and are safer
for consumption.
BFAL’s European-style production facility is located at Bin
Qasim Industrial Park in Karachi and carries the capacity to process 17,000MT of eggs annually. This facility operated at 75% capacity during FY24. Additionally, BFAL is setting up a subsidiary in the U.A.E. to boost its exports to the Middle East.
Frisian Egg International B.V. has over 30 years of experience in
egg processing with operational plants in Egypt, China, and the
Netherlands. The Buksh group has over 40 years of experience in
diverse sectors; textile manufacturing and exporting, steel drum
manufacturing, as well as poultry farming and feed operations.
Barkat Frisian Agro Ltd (BFAL): Barkat Frisian Agro Limited – IPO Insights & Business Model - By IIS Research
Feb 11 2025
Ismail Iqbal Securities
Barkat Frisian Agro Limited (BFAL) is Pakistan’s first and only producer of pasteurized eggs,
operating as a joint venture between Pakistan’s Buksh Group and the Netherlands based Frisian
Egg Group. Incorporated in 2017 and beginning commercial operations in 2019, BFAL specializes
in pasteurized whole eggs, yolks, and egg whites in frozen and liquid forms. The company plans to
expand its product line to include powdered, organic, free range, and pasteurized shell eggs.
BFAL is offering 67.7 million shares (21.85% of post-IPO equity) at a floor price of PKR 13 per
share, with a total transaction value of PKR 880.5 million. The raised capital will be primarily used
to establish a new production facility in Faisalabad and reduce outstanding debt.
The pasteurization process begins with egg breaking, filtration to remove shell particles, and
homogenization for uniform consistency. Ingredients like salt or sugar may be added based on
customer needs before controlled heating eliminates bacteria while preserving nutrients. The
eggs are then cooled, stored at 4°C, and continuously agitated to maintain freshness before being
packaged in sprouted containers or bulk bags. This process ensures safer, high quality egg
products with an extended shelf life.
Pakistan Economy: Feb’25 LSMI down 5.9%MoM/down 3.5%YoY - By Taurus Research
Apr 16 2025
Taurus Securities
Large Scale Manufacturing Index (LSMI) down 5.9%MoM in
Feb’25, due to decline from key sectors i.e. Furniture (-56%), Machinery & Equipment (-34%) and Chemical Products (-19%).
Whereas, top contributors were Other Transport Equipment
(38%), Automobiles (31%), Coke & Petroleum Products (23%) and
Tobacco (18%), respectively. 8MFY25 LSMI was down 1.9%YoY.
Textile production declined by ~0.33%YoY in Feb’25 attributable
to decline in production of jute goods, woolen & worsted cloth
and woolen blankets by 36.65%YoY, 3.66%YoY and 94.76%YoY,
respectively— mainly due to the lower domestic and international demand driven by a seasonal shift that reduced the overall requirement of these products. Whereas, on a monthly basis it significantly declined by ~3.24%MoM, mainly due to the decline in
production of jute goods, terry & towels, woolen & carpet yarn
and woolen blankets by 19.56%MoM, 7.34%MoM, 4.42%MoM
and 94.21%MoM, respectively
Automobile production down ~5%MoM in Feb’25. Wherein, Jeeps &
cars production declined by 10%MoM. Similarly, LCVs production
down ~13%MoM, respectively. On a YoY basis, production of LCVs,
Jeeps & Cars, Trucks and Buses went up by ~23%, 26%, 1.8x and 48%
on the back of controlled manufacturing costs, stable tariffs, eased import restrictions on CKD units and recovering demand due to improving macros.
Lotte Chemical Pakistan Limited (LOTCHEM): Earnings Hold Steady as PTA Margins Remain Underwhelming - By IIS Research
Apr 16 2025
Ismail Iqbal Securities
We expect LOTCHEM to report a PAT of PKR 779 million (EPS:
PKR 0.51) for 1QCY25, compared to LPS 0.01 in last quarter.
This improvement comes as operations normalize following a
one-month plant turnaround last quarter. PTA sales volumes
are also anticipated to recover to typical levels. However, PTAPX margins have averaged USD 100/ton this quarter, lower than
the USD 122/ton in the past six years and the long term average
of USD 110/ton, largely due to global dynamics and subdued
international demand.
Additionally, this quarter is affected by the recent gas price
hike. Where, the gas price for captive power plants has
increased to Rs 3,500 per MMBtu, effective February 1, 2025.
While this increase poses some pressure, it's worth noting that
LOTCHEM’s cost structure and margins are largely driven by
international PTA-PX spreads. Notably, in CY24, only around
7% of COGS was from oil, gas, and electricity expenses.
Furthermore, the company is in the process of being acquired,
as AsiaPak Investments Limited and Montage Oil DMCC
entered into a share purchase agreement to acquire a 75.01%
stake in LOTCHEM.
Bank Al-Falah Limited (BAFL): 1QCY25 EPS to clock-in at PKR 3.3; PAT down 47%YoY/up 13%QoQ - By Taurus Research
Apr 16 2025
Taurus Securities
Board Meeting: Thursday, April 17, 2025
1QCY25 EPS: PKR 3.3. 1QCY25 PAT down 47%YoY. BAFL is also expected to announce a cash dividend of PKR 2.0/sh.
Net Interest Income (NII): We anticipate net interest income to post a drop of 9%YoY/11%QoQ mainly on account of falling
yields on investments and re-pricing of the loan book; partially offset by a lower cost of funds due to the rate cut in Jan’25 and
the impact of revised MDR regime coming into effect Jan’25 onwards
Commercial Bank: Banking Sector’s Dividends Payouts to Persist Despite Earnings Attrition in 1QCY25 - By Pearl Research
Apr 16 2025
Pearl Securities
We preview 1QCY25 earnings result for commercial banks within our coverage.
We expect earnings of the Pearl banking universe to witness erosion of 3.6%
QoQ due to NIM compression coupled with tapering off of growth in non-core
income.
Notably, we expect the lagged impact of asset repricing and declining asset
yields amid aggressive monetary easing measures to serve as a headwind for
interest income, which nonetheless should partly be counteracted by
volumetric balance sheet growth.
Additionally, we anticipate the offsetting decline in cost of deposit to remain
relatively muted compared to the previous quarter despite strategic shift into
low-cost deposits by the sector, thereby resulting in core income witnessing a
contraction of ~6% QoQ, according to our estimates
Technical Outlook: KSE-100; Consolidation likely above key averages - By JS Research
Apr 16 2025
JS Global Capital
The KSE-100 index extended the gain to close at 116,776, up 385 points DoD. Volumes
stood at 479mn shares compared to 485mn shares traded in the previous session. The
index is expected to revisit yesterday’s high of 117,362 where a break above targeting
118,718 level. However, any downside will find support at the 30-DMA which is currently at
115,631. The RSI and the Stochastic Oscillator have moved up, supporting a positive
view. We recommend investors to ‘Buy on dips’, with risk defined below the 30-DMA. The
support and resistance levels are at 116,493 and 117,210 levels, respectively.
Engro Powergen Qadirpur Limited (EPQL): 1QCY25 EPS arrive at PKR 1.19, up 1.5xQoQ - By Taurus Research
Apr 15 2025
Taurus Securities
1QCY25 EPS: PKR 1.19; DPS: PKR 7.5.
Revenue increased 9%QoQ to PKR 3.1Bn, attributed to improved dispatches amid seasonal demand recovery. However, YoY
growth remained flat due to the impact of revised PPA terms, which converted the plant's structure to a 'take-and-pay'
regime, limiting guaranteed capacity payments.
Finance income stood at PKR 26Mn versus PKR 238Mn in 1QCY24 (SPLY), reflecting the absence of late payment surcharge
(LPS) which previously contributed significantly. The decline was anticipated after the company received PKR 8.04Bn in
overdue receivables under the revised PPA settlements.
Commercial Banks: 1QCY25 Result Preview: Payouts to remain intact - By AKD Research
Apr 15 2025
AKD Securities
AKD Banking Universe is set to announce its 1QCY25E results, where we expect
profitability to decline by 12%QoQ, as contraction in NIMs and a drop in nonmarkup income are expected to outweigh the impact of lower operating expenses
and reduced taxation.
We anticipate our banking universe to maintain dividends in the first quarter, supported by resilient capitalization amid monetary easing, recovery in macro economic variables and removal of mandated ADR based taxation during the previous quarter.
Profitability to take a hit from declining yields: AKD Banking Universe is set to announce
its 1QCY25E results, where we expect profitability to decline by 12%QoQ to PkR75.1bn, as
contraction in NIMs and a drop in non-markup income are expected to outweigh the impact of lower operating expenses and reduced taxation.
United Bank Limited (UBL): 1QCY25 EPS to clock-in at PKR 18.4; PAT up 43%YoY/down 12%QoQ - By Taurus Research
Apr 15 2025
Taurus Securities
Board Meeting: Wednesday, April 16, 2025
1QCY25 EPS: PKR 18.4. 1QCY25 PAT up 43%YoY. UBL is also expected to announce an interim cash dividend of PKR 12/sh.
Net Interest Income (NII): Expected to go up 2xYoY/9%QoQ, driven by robust growth in current accounts and a lower cost
of funds as changes to the MDR regime go into effect, along with a drop in leverage on a sequential basis – offsetting the
pressure on yields, specially on the Bank’s investment portfolio.
Technical Outlook: KSE-100: Closed above 30-DMA - By JS Research
Apr 15 2025
JS Global Capital
The KSE-100 index posted a gain of 1,537 points to close at 116,390. Volumes stood at
485mn shares compared to 459mn shares traded in the previous session. The index has
closed above the 30-DMA which will now provide support at 115,535, followed by 114,357
(50-DMA). However, any upside will face resistance in the range of 116,500-117,300
where a break above targeting 118,718 level. The RSI and the Stochastic Oscillator have
improved, supporting a positive view. We recommend investors to ‘Buy on dips’, keeping
stoploss below the 30-DMA. The support and resistance levels are at 115,593 and
116,840 levels, respectively.
Morning News: IMF concludes Pak visit, set to propose transparency reforms - By Vector Research
Apr 15 2025
Vector Securities
The International Monetary Fund (IMF) has identified key shortcomings in Pakistan's
governance, including the politicisation of the civil service, weak organisational
accountability, and excessive focus on short-term goals. These issues, the IMF noted,
contribute to broader governance weaknesses and increase vulnerability to corruption.
The report which is expected to be made public by August this year will give
recommendations for ensuring greater transparency and improving the public sector
delivery by minimising the chances of corruption and through merit-based decisions.
With the halt of USAID operations by President Donald Trump, Pakistan’s total
portfolio of $445 million has been affected over five years, surfacing a gap of $40
million for the current fiscal year for on-budget development projects. “However, in a
positive development on the external front, Fitch Ratings might upgrade Pakistan’s
rating within a few days”, top official sources confirmed while talking to The News on
Monday. The Fitch might upgrade from a notch of CCC+ to BBB keeping in view the
reduced risk of default.
Members of the delegation of US congressmen visiting Pakistan have described their
trip to the South Asian country as "extremely productive" and “significant for the
future", which is good news for the mineral-rich country. The delegation also attended
the Pakistan Mineral Investment Forum 25 (PMIF25) last week in Islamabad.
Barkat Frisian Agro Ltd (BFAL): BARKAT FRISIAN AGRO LIMITED – IPO - By AHCML Research
Feb 14 2025
Al Habib Capital Markets
Barkat Frisian Agro Ltd (BFAL) is a Pakistani-Dutch joint venture, established in 2017 and
operational since 2019. The company specializes in value-added egg products that meet
European standards, serving bakery, confectionery, food dressings, FMCG, and ice cream
industries.
BFAL benefits from a strong collaboration with three key partners:
