Rating Details	Rating Type	BFR
	Dissemination Date	Current (18-Sep-26 )	Previous (28-Nov-25)
	Action	Maintain	Maintain
	Rating	BFR 3+	BFR 3+
	Outlook	Stable	Stable
	Rating Watch	-	-

Rating Rationale	Factor	Comment
	Ownership	Dawood Equities Limited ('DEL' or 'the Company') is a public listed company. The primary shareholder, Mr. Ayaz Dawood, holds ~19% ownership in the company. B.R.R. Investment (Pvt.) Limited and Equity International (Pvt.) Limited hold stakes of ~10% and 15%, respectively while Mr. Junaid Dada owns 7% of shareholding. The remaining ~49% of the company's shares are free float, held by individual and institutional investors.
	Governance	The Company maintains a strong board structure, comprising one executive director, four non-executive directors, and two independent directors. The Chairman is an independent director and also chairs all board committees, further strengthening governance, oversight, and the effectiveness of the Board's supervisory framework.
	Management and Client Services	The Company maintains a lean organizational structure, supported by a qualified and experienced management team. Client servicing is considered satisfactory, with online trading facilities and research reports available to clients, supporting service accessibility and informed investment decisions.
	Internal Controls and Regulatory Compilance	The Board Audit Committee oversees the outsourced internal audit function, supporting an effective internal control framework. While the requisite policies are in place, their scope and depth could be further strengthened. Compliance oversight remains effective, supported by a dedicated compliance head.
	Business Sustainability	DEL reported a net profit of ~PKR 82mln as at 9MFY26 (SPLY: ~PKR 48mln). The profit stems from brokerage income which stood at ~PKR 275mln.
	Financial Sustainability	DEL engages in proprietary trading (~PKR 77mln) thus is exposed to market risk. A low-leveraged capital structure is present; moreover, the Company has an adequate equity base of ~PKR 457mln at end-Mar '26 to resist market shocks.

Key Rating Drivers

Fiduciary discipline spanning client servicing, compliance, and core risk oversight remains integral to the control architecture, with incremental enhancements poised to further reinforce the overall governance and risk-management environment. Prospectively, deepening management capacity, refining internal control mechanisms, incrementally strengthening client protection, and enhancing grievance-redressal and conflict-management frameworks will remain material to sustaining and elevating the fiduciary profile.

About the Entity
	Legal Structure	Listed
	Year of Establishment	03-May-06
	Type of License	Trading and Self-clearing
	Majority Ownership	Ayaz Dawood (~19%)

Regulatory Disclosures	Analyst	Applicable Criteria	Related Research
	Usama Ali usama.ali@pacra.com +92-42-35869504 www.pacra.com	Assessment Framework | Broker Fiduciary Rating | Jan-26 Methodology | Rating Modifiers | Apr-26	Sector Study | Brokerage Firms | Feb-26

Disclaimer

This press release is being transmitted for the sole purpose of dissemination through print/electronic media. The press release may be used in full or in part without changing the meaning or context thereof with due credit to PACRA. The primary function of PACRA is to evaluate the capacity and willingness of an entity to honor its obligations. Our ratings reflect an independent, professional and impartial assessment of the risks associated with a particular instrument or an entity. PACRA opinion is not a recommendation to purchase, sell or hold a security, in as much as it does not comment on the security's market price or suitability for a particular investor.