PACRA Maintain Entity Rating of Techno Time Construction (Pvt.) Limited

Techno Time Construction (Pvt.) Limited ("TTC" or "the Company") has maintained its established position in Pakistan's construction sector, backed by a portfolio of government-funded projects and strategic joint ventures. The Company has further diversified into housing society development and solid waste management services, marking a strategic expansion beyond its core expertise in roads, bridges, and flyovers. For the period ending June 2025, TTC's revenue stood at PKR 4.99 billion (Jun-24: PKR 5.08 billion), reflecting the sustained execution of its substantial project pipeline, valued at approximately PKR 29.06 billion. Despite inflationary pressures impacting sector-wide margins, TTC's gross profit margin remained resilient at 24.6% (Jun-24: 26.3%), supported by a selective bidding approach and built-in escalation clauses in longer-term contracts. The Company's equity base has shown consistent strengthening, rising to PKR 3.495 billion as of June 2025 (Jun-24: PKR 2.834 billion), underscoring a solid financial foundation and accumulation of retained earnings. Leverage remains low, with a debt-to-capitalization ratio of 7.4% in Jun-25 (Jun-24: 9.1%). TTC’s funding needs are primarily met through internally generated cash flows and non-funded bank facilities, which are instrumental in securing performance guarantees for large-scale projects. The assigned rating reflects TTC's experienced sponsorship, sustained revenue base, healthy project pipeline, and improved equity cushion. The Stable Outlook incorporates expectations of continued operational stability, timely execution of ongoing projects, including key housing and waste management ventures, and prudent management of working capital pressures.
The ratings remain sensitive to the cyclical and competitive nature of the construction industry, which is susceptible to delays in public sector disbursements and economic volatility. The Company's ability to sustain profitability, efficiently convert receivables, and strengthen governance practices will be important for the rating trajectory.

About the Entity
Techno Time Construction (Pvt.) Limited was founded as a partnership in 2012 and incorporated as a private limited company in 2017. The Company is owned and managed by three brothers, Mr. Atta Ullah Khan, Mr. Zaka Ullah Khan, and Mr. Samee Ullah Khan, who collectively bring decades of hands-on industry experience. Mr. Samee Ullah Khan currently serves as Chief Executive Officer, following a transition in March 2024.