PACRA assigns Entity Ratings to University of Management and Technology

University of Management and Technology ('UMT' or 'the University') is a non-profit private organization established in 2004. The University is a distinguished institution that has risen to prominence in the realm of higher education. The University boasts a significant footprint in the academic sector, offering a comprehensive suite of programs, and is characterized by a robust enrollment and a dedicated faculty. Strategic expansionary measures, in synergy with a literacy-focused populace, have catalyzed the University's exponential growth over the years. Amidst the competitive landscape of the educational sector, the University has preserved its commendable standing through the establishment of a multitude of schools and institutes that proffer in excess 190 accredited programs, 83% of students strength is enrolled in the top 50. The university is renowned for its distinguished business school, attracting a substantial number of students owing to the exceptional quality of its faculty. Other then business studies, the most demanding programs are BS in Computer Science, BS in Software Engineering, and Doctor of Physiotherapy. Furthermore, the university is actively pursuing diversification into the field of medical sciences and is making significant strides towards the completion of this strategic initiative. The university is concurrently investing in cutting-edge disciplines such as AI and data analytics, demonstrating a proactive commitment to advancing in these fields, evidenced by a notable increase in student enrollment. The institution boasts a robust risk profile and has consistently amplified its revenue streams, primarily attributable to its escalated capacity for accommodating an increasing student body. The University has consistently sustained healthy margins. The leadership team reflect a positive perspective on the University’s potential to cultivate a financial surplus, vital for underpinning future growth endeavors. The ratings draw strength from the University's strong financial profile represented by moderately leveraged capital structure, strong coverages, and efficient working capital management. Moreover, the presence of renowned educationists on the Board of Governors and Board Trustees ensures stable governance framework adding strength to the University's profile. The University has an array of national accreditations and international linkages.
The ratings are dependent upon the management’s ability to sustain margins while remaining self-sufficient and in surplus for expansionary measures. Prudent management of the working capital, maintaining sufficient cash flows, and coverages remain imperative for the ratings. Any significant deterioration in coverages and/or margins will adversely impact the ratings.

About the Entity
University of Management and Technology ('UMT' or 'the University') was established through ACT XV of 2004 (University of Management and Technology, Lahore Act 2004) by the Provincial Assembly of the Government of Punjab. The University being non-profit educational institute Chartered by the Government, is an independent corporate body run the Board of Governors. The Board of Governors includes representatives from the ILM Trust, Government and Regulatory Bodies. Mr. Ahmed Omer Murad serves as Chairman of the Board of Governors and Board of Trustees. Ibrahim Hasan Murad is a Pakistani educationist, philanthropist and technocrat, holding the position of President of the University. Dr. Asif Raza serves as the Rector. Additionally, Mobeen Asghar, FCA, with almost two decades of extensive experience at various prominent organization, is serving as CFO of UMT.