Shams Power (Private) Limited (the “Company”) was incorporated in Pakistan as a private limited company on January 15, 2015, under Section 32 of the Companies Ordinance, 1984 (subsequently repealed upon the enactment of the Companies Act, 2017 on May 30, 2017). The Company was converted into a public limited company on December 12, 2020. The registered office of the Company is located at Al-Maalik, 19-Davis Road, Lahore.

Shams Power (Private) Limited (“Shams Power” or the “Company”) traces its origins to 2015 when it was established as a joint venture between two prominent energy sector entities in Pakistan, PITCO (Private) Limited (“PITCO”) and Orient Operating Company (Private) Limited (“OOC” or “Orient Operating Company”). The Company’s formation was driven by the shared vision of expanding into renewable energy, with a specific focus on solar power generation and the adoption of innovative distributed energy business models. PITCO is a long-established multidisciplinary engineering and consulting firm with roots dating back to 1938. Over decades, it has developed strong expertise in the energy and power sector, including renewable energy, power generation, transmission and distribution, climate change, and infrastructure advisory services. PITCO’s experience spans policy advisory, project development, technical studies, and transaction support for utilities, regulators, independent power producers, and development institutions. Orient Operating Company, an affiliate of the Orient Group, brings extensive operational experience in the power sector, particularly in the operations and maintenance of power generation facilities. The company has been actively involved in managing and operating conventional power assets, contributing operational discipline, technical oversight, and commercial understanding of power sector dynamics. Building on the complementary strengths of its sponsors, Shams Power was established to translate PITCO’s technical and advisory expertise and Orient Operating Company’s operational capabilities into the development of solar power projects. The Company adopted long-term contractual structures to provide reliable and cost-efficient solar energy solutions to commercial and industrial customers.

Shams Power Limited is a leading solar energy developer in Pakistan focused on the commercial and industrial sectors. With a combination of operational models, the company’s principal objective is to develop, design, construct, own, and operate solar electric power generation plants, while generating and supplying electricity to clients under long-term arrangements. Its turnkey approach covers feasibility, design, installation, grid integration, and ongoing operations and maintenance, allowing clients to adopt renewable energy with minimal upfront cost and operational burden. Shams Power has successfully served major industrial and commercial clients across Pakistan, contributing to energy cost savings, sustainability goals, and the wider adoption of distributed solar generation in the country.

Shams Power Limited is a subsidiary of Orient Operating Company (OOC), which holds a 55% stake in the company, while Pakistan Industrial Trading Corporation (PITCO) holds the remaining 45%.

The sponsors of Shams Power Limited, Pakistan Industrial Trading Corporation (PITCO), and Orient Operating Company (OOC), have demonstrated strong operational continuity and sector presence over several decades. PITCO, established in 1947, has consistently delivered engineering and energy services across Pakistan, including advisory and project management for power and industrial infrastructure, reflecting its enduring position in the sector. Orient Operating Company, incorporated in 2007 and part of the Orient Group, brings over a decade of experience in operations and maintenance of power generation assets, providing sustained technical support for energy projects. Their long-term engagement in both conventional and renewable energy sectors, consistent delivery of projects, and regulatory compliance record underscore the stability of the sponsor base, which in turn reinforces confidence in Shams Power’s ability to maintain and expand its renewable energy operations.

The sponsors of Shams Power Limited possess significant expertise in energy project development and execution. PITCO has been involved in engineering consulting, feasibility studies, and technical advisory for power and industrial projects, including renewable energy assessments, system design optimization, and regulatory compliance, demonstrating a strong understanding of complex project environments. Orient Operating Company (OOC) contributes operational knowledge from managing and maintaining power generation facilities, enabling efficient plant performance and long-term operational planning. Together, the sponsors have overseen Shams Power’s deployment of distributed solar solutions for major industrial and commercial clients, including design, equipment selection, and integration with client infrastructure. Their ability to coordinate multi-stakeholder projects, navigate Pakistan’s regulatory landscape, and implement technically sophisticated solutions reflects a high level of practical business insight and sector-specific judgment, supporting informed strategic decisions at Shams Power Limited.

The sponsors of Shams Power Limited demonstrate solid financial capacity to support renewable energy investments. PITCO has maintained a consistent portfolio of engineering and energy projects over decades, generating steady revenue streams that provide resources for advisory and project support services. Orient Operating Company (OOC), as part of the broader Orient Group, benefits from access to diversified corporate resources and investment channels, enabling it to fund operations and project development requirements. Their established financial credibility with lenders and industry partners reinforces confidence in the company’s ability to execute ongoing and future renewable energy projects.

The Board of Shams Power Limited comprises four members, ensuring a balanced structure with equal representation from its major stakeholders. The Board includes two members representing PITCO and two members representing OOC. Omar Mohy Ud Din Malik serves as Chief Executive Officer, Usman Hamid Malik as Technical Director, Jamshed Afzal as Finance Director, and Asad Qamar as Projects Director. This composition ensures expertise across leadership, technical operations, finance, and project management, supporting the company’s objectives in renewable energy generation.

The Board is composed of seasoned professionals whose collective expertise forms a foundation for the company's strategic direction in the renewable energy sector. Leading the executive team is Omar Mohy Ud Din Malik, whose over two decades of experience in power generation and industrial energy projects across diverse geographies provide critical leadership. Technical oversight is anchored by Usman Hamid Malik, whose 19-year career includes the design and project delivery of over 5,500 MW of power plants. Financial governance and compliance are managed by Jamshed Afzal, an ACCA with more than 11 years of cross-industry experience in finance, audit, risk management, and corporate governance across various industries. Completing the directorship is Asad Qamar, an FCA whose extensive twenty-year background in accounting, finance, taxation, and process improvement ensures rigorous project and financial oversight. Together, their complementary skills drive informed and effective corporate governance.

The Board maintains its effectiveness through a disciplined schedule of meetings and a structured committee system that delegates focused oversight. In the fiscal year 2025, the full Board demonstrated full commitment, with all four members attending each of the four scheduled meetings. To deepen its supervisory role, the Board has established four dedicated committees: the Finance Committee, the Human Resource Committee, the Procurement Committee, and the Technical Committee. These committees operate under formal terms of reference and meet at regular intervals to scrutinize specific operational areas. This two-tiered approach ensures that both high-level strategy and detailed functional review receive dedicated attention, enhancing overall governance and decision-making efficacy.

Financial transparency is maintained through the external audit conducted by the reputable firm Hassan Farooq & Company. For the fiscal year ended June 30, 2025, the financial statements were subject to a comprehensive independent audit. The auditors, Hassan Farooq & Company, issued an unqualified audit opinion, confirming that the financial statements present a true and fair view of the company’s financial position, performance, and cash flows in accordance with the applicable accounting and reporting standards.

The senior management of Shams Power Limited operates under a streamlined hierarchical structure designed for clear accountability and strategic alignment. The CEO, Omar Mohy Ud Din Malik, reports directly to the shareholders and provides overarching leadership. Reporting to the CEO are the heads of key functional divisions: the Technical Director, the Finance Director, the Chief Operating Officer (COO), the Chief Financial Officer (CFO), and the Head of Business Development. This structure ensures that operational, financial, and strategic functions are directly integrated under executive leadership, facilitating cohesive decision-making and effective implementation of company objectives.

The senior management team is composed of highly qualified professionals with substantial and relevant experience. Omar Malik, the CEO, holds an MBA and over two decades of industry experience, leading the company for the past ten years. Usman Malik, the Technical Director, brings 19+ years of specialized expertise with an MSc in Electrical Engineering and a decade of service. Jamshed Afzal, the Finance Director, is an ACCA with 11+ years in finance and has been with the company for ten years. The team is further strengthened by COO Aijaz Butt (MBA, 38+ years' experience), CFO Mr. Sajjid Naseem (MBA, 6+ years' experience), and Head of Business Development Syed Irteza Ubaid (MBA, 12+ years' experience), all of whom possess deep institutional knowledge and industry acumen.

The effectiveness of the management team is demonstrated by its stability, depth of experience, and alignment with the company's long-term goals. The team ensures rigorous oversight through regular leadership meetings, strategic review sessions, and targeted operational briefings, which facilitate timely decision-making and cohesive action across all business units. The team maintains clear communication channels and established escalation protocols, ensuring that operational challenges are addressed proactively and strategic initiatives are implemented with discipline.

The Company's management information and core operations are supported by a dedicated enterprise resource planning (ERP) system. Scarlet ERP, provided and supported by Scarlet IT Systems (Pvt.) Limited serves as the primary platform for operational and financial management. Implemented on March 15, 2015, the system has been integral to core business functions, including comprehensive record management, financial and operational reporting, and workflow automation. The system is maintained through periodic vendor-driven enhancements and stability upgrades, with ongoing improvements incorporated as required, ensuring it remains a tool for data-driven decision-making and efficient process management.

The Company maintains a robust control environment that integrates organizational governance, technological systems, and stringent quality standards. Clear reporting lines and experienced financial oversight under the CFO, Mr. Sajjid Naseem, ensure accountability and discipline. The control framework is further strengthened by proactive adherence to a rigorous regulatory and quality structure. While the renewable energy sector is governed by NEPRA's Distributed Generation and Net Metering Regulations (2015) and the IGCEP framework, Shams Power applies quality controls that exceed baseline requirements. The company's internal governance incorporates international IEC Standards for equipment installation, qualification, and safety assurance, going beyond the mandatory AEDB/PPIB certification for installers. This commitment to superior standards ensures operational integrity, mitigates risk, and reinforces a culture of compliance and excellence.

Pakistan’s total installed power generation capacity stood at approximately 46,600 MW as of FY25, with renewables contributing over 12% of the energy mix. Solar has emerged as the fastest-growing segment, driven by high grid tariffs, reliance on imported fuels, and circular debt pressures, prompting accelerated adoption of distributed generation. This is evidenced by a dramatic surge in solar panel imports, which grew to an estimated 12.7 GW in the first nine months of FY25 alone, following a policy relaxation on import restrictions. Net-metered solar capacity crossed 5 GW by FY25, supported by this multi-gigawatt annual import trend, with total market value for imported modules exceeding PKR 590 billion in recent years. The competitive landscape features over 600 certified EPC contractors, though a smaller subset of financially robust firms, including key players like Reon Energy, Nizam Energy, and Shams Power, execute the majority of utility-scale and commercial projects. Demand for hybrid PV-plus-storage systems is strengthening for Commercial & Industrial (C&I) consumers seeking cost stability and resilience. While robust supply of PV modules has been restored, commercial-scale Battery Energy Storage System (BESS) supply remains a constraint due to cost, limiting deployment. The Government’s Alternative & Renewable Energy Policy 2019, targeting a 30% renewable share by 2030, continues to support long-term growth, underpinned by declining technology costs.

Shams Power Limited occupies a distinct and resilient position within Pakistan's competitive solar energy market. Unlike typical EPC-only competitors, the company's business model is anchored in a long-term Power Purchase Agreement (PPA) and Build-Own-Operate-Transfer (BOOT) framework. This approach provides a significant competitive advantage by stabilizing project economics through predictable, contracted revenue streams that spread capital exposure over time. The company further strengthens its standing through a diversified portfolio of industrial clients, which mitigates risks associated with uneven sectoral growth. The combination of a contractual model, financial resilience, and strategic foresight positions the company to effectively navigate prevailing market challenges, including grid saturation, currency volatility, and policy uncertainty, reinforcing its role as a reliable, long-term energy partner for commercial and industrial clients.

Shams Power Limited’s revenues are primarily derived from the sale of energy and the sale of equipment, reflecting the Company’s solar project execution and operating activities. Revenues expanded in line with the growth in its operating base over the review period. Revenues increased from PKR 154 million in FY23 to PKR 354 million in FY24, reflecting the addition of new solar projects and a higher contribution from operational assets during the year. In FY25, revenues were recorded at PKR 352 million, remaining broadly in line with the preceding year, with the marginal change mainly linked to the timing of new project additions. Overall, the revenue trend reflects the Company’s progression from a phase of capacity addition toward a more established level of operations.

Profitability improved as operations scaled up, with gross margins increasing from 43.1% in FY23 to 44.5% in FY24. In FY25, gross margins moderated to 39.6%, reflecting higher depreciation and operating costs as the asset base expanded. Net profit margins declined from 30.0% in FY23 to 15.1% in FY24 and further to 10.2% in FY25, primarily due to higher finance costs following the loan received in FY24. Despite this, margins remain supported by recurring revenues from operational assets.

Shams Power Limited’s sustainability focus extends beyond renewable energy, encompassing both environmental and business resilience. The Company delivers clean, solar-based power solutions to commercial and industrial clients, reducing reliance on fossil fuels and lowering carbon emissions, while its Build‑Operate‑Own‑Transfer and power purchase models provide clients with affordable, low‑carbon energy without upfront investment. Beyond environmental impact, Shams Power operates as a stable, financially sustainable business, maintaining steady revenue streams from operational assets, diversifying its offerings through equipment sales and O&M services, and fostering long-term value for stakeholders. Its approach not only contributes to national climate mitigation and energy efficiency but also strengthens the distributed solar market.

Shams Power Limited operates with a lean working capital structure, as cash generated from operations is reinvested into ongoing business activities rather than parked in short-term investments. Net working capital days improved significantly over the period, declining from 57 days in FY23 to 31 days in FY24, and -27 days in FY25. The improvement reflects stronger cash generation from operating projects, timely recoveries from customers, and effective management of payables linked to project execution and operations. The working capital position in FY25 indicates that operating cash inflows were sufficient to fund day-to-day operations, reducing reliance on external short-term funding.

Coverage indicators strengthened in line with rising operating cash flows. The EBITDA-to-finance cost ratio improved from 3.6x in FY24 to 3.8x in FY25 (FY23: 3.5x), supported by higher earnings from commissioned projects. Free Cash Flow from Operations (FCFO) increased from PKR 171 million in FY24 and PKR 184 million in FY25 (FY23: PKR 63 million), reflecting improved cash generation from core operations. Correspondingly, FCFO-to-finance cost coverage strengthened from 3.3x in FY24 and 3.5x in FY25 (FY23: 2.9x), indicating enhanced capacity to service financing obligations from internally generated cash flows.

The Company’s capitalization reflects its reliance on long-term, project-linked borrowings to fund the development and construction of solar assets. As of FY25, borrowings mainly comprise SBP refinance facilities obtained from Bank Alfalah Limited, arranged alongside IM Solar Limited, a sister concern under common sponsorship, with each entity availing financing for its respective solar projects. These facilities are structured with long tenors and initial grace periods, aligned with the cash flow profile of distributed solar plants, and are secured against project receivables, underlying assets, and sponsor support. The leverage ratio stood at 57.3% in FY23, increased slightly to 59.4% in FY24, and moderated to 56.1% in FY25. The improvement in FY25 was partly supported by an equity injection, as reflected in an increase in issued share capital from PKR 755 million to PKR 882 million, which strengthened the equity base. The capital structure remains aligned with the long-term nature of the Company’s assets, while future movements in leverage will remain dependent on the pace of cash flow generation and scheduled debt repayments.