PACRA Maintains the Entity Ratings of Din Energy Limited

Pakistan’s renewable energy sector continues to progress under the Alternative and Renewable Energy (ARE) Policy, which aims to diversify the national energy mix and reduce reliance on imported fuels. Projects have benefitted from lower-cost inputs and sovereign-backed commitments, but challenges remain, including delayed payments from CPPA-G, macroeconomic headwinds, and regulatory uncertainties. Against this backdrop, Din Energy Limited (Din Energy), a 50 MW wind IPP established in 2014 in Deh Kohistan, Sindh, has sustained reliable operational performance under a cost-plus tariff arrangement. In FY25, the plant delivered 111.42 GWh of electricity, compared to 108.96 GWh in FY24, reflecting a 2.26% year-on-year growth, these figures are reported excluding NPMVs. Operations are supported by global O&M partners Siemens Gamesa Renewable Energy (Pvt.) Limited and Orient Energy Systems (Pvt.) Ltd. Financial results remained stable, with revenue of PKR 1,825 million in FY25 versus PKR 2,313 million in FY24, reflecting seasonal factors and indexation-related adjustments. Receivables eased to PKR 571 million in FY25 from PKR 611 million in FY24, reflecting improved collections though inflows remain an important monitorable. Liquidity is supported by internal cash flows, improved receivable turnover, and access to working capital lines, while deleveraging has advanced with repayment of 17.5% of foreign debt and 32.5% of local obligations in FY25. Nonetheless, Din Energy’s financial risk profile remains characterized by high leverage, with borrowings comprising nearly three-fourths of capitalization and debt-servicing ratios sensitive to cash flow timing. Continued debt reduction and stronger cash flow generation will be key to enhancing long term resilience.
Din Energy’s credit profile is anchored by predictable tariff-based revenues, prudent financial discipline, and the expertise of its O&M operators, though the company remains exposed to sector-specific risks, particularly payment delays and potential regulatory shifts arising from power sector reforms. Going forward, sustaining generation output, improving receivable turnover, and advancing debt reduction will be key to preserving credit strength.

About the Entity
Din Energy Limited (Din Energy) is part of the Din Group, a diversified Pakistani business house with established operations across textiles, real estate, finance, and energy. Incorporated in 2014, the company owns and operates a 50 MW wind power project in Deh Kohistan, Sindh. The total project cost amounted to USD 63.906 million, financed 80% through an equal mix of local and foreign debt. To date, Din Energy has successfully repaid around its local and its foreign borrowings, reflecting disciplined financial management and the project’s healthy cash generation. The company is overseen by a four-member Board of Directors led by Chairman Shaikh Muhammad Pervez, a senior leader of the Din Group with decades of business experience, and Chief Executive Officer Fawad Jawed, who brings strategic insight and operational expertise to the platform. Together, they provide cohesive governance and long-term direction for the company. The management team is led by experienced professionals such as Project Manager Mr. Mansoor Khan and Chief Project Coordinator Mr. Sohail Rana, whose technical and financial expertise underpin day-to-day execution. With sound governance, a balanced capital structure, and reliable execution, Din Energy is well placed to continue contributing to Pakistan’s clean energy transition.