⚡ Flash Summary

Burj Clean Energy Modaraba (BCEM) reported a strong financial performance in its first seven months of operations, generating a total income of PKR 80.83 million. The company’s successful listing on the Growth Enterprise Market (GEM) Board of the Pakistan Stock Exchange (PSX) marked a pivotal moment as Pakistan’s first green energy fund. BCEM achieved a profit before taxation of PKR 56.08 million and a profit after taxation of PKR 43.03 million, translating into earnings per certificate of PKR 0.43. The Modaraba also strategically acquired stakes in Burj Solar Energy and JPL Holding Pte. Limited to strengthen its position in the renewable energy sector.

📌 Key Takeaways

• ✅ BCEM is Pakistan’s first Shariah-compliant green energy fund, listed on the GEM Board of PSX.
• 📈 Total income for the first seven months reached PKR 80.83 million.
• 💰 Profit after taxation stood at PKR 43.03 million, with earnings per certificate at PKR 0.43.
• ⭐ Secured ‘A’ long-term and ‘A1’ short-term credit ratings, reflecting strong financial standing.
• 🤝 Strategic acquisitions included 100% stake in Burj Solar Energy and a 5.07% stake in JPL Holding Pte. Ltd.
• 🌬️ Diversifying portfolio with a 7.5 MW distributed wind power project through Burj Solar.
• 🎯 Expanding into retail renewable energy market with Shariah-compliant rooftop solar solutions.
• 🌎 Committed to sustainability and ESG principles, aligning with global standards.
• ⚡ Actively exploring battery energy storage systems (BESS) for future investment.
• 📊 Total assets reached PKR 1,124.71 million, with certificate holders’ equity at PKR 1,063.03 million.
• 🤝 Supported by reputable partners like Meezan Bank and Arif Habib Corporation.
• 🌱 Focused on providing Shariah-compliant financial solutions for renewable energy projects.

🎯 Investment Thesis

Based on the current financial performance, strategic acquisitions, and commitment to the renewable energy sector, a BUY recommendation is warranted for BCEM. With expansion into retail solar solutions and focus on battery energy storage, BCEM is poised for future growth. The price target is PKR 14.30 per certificate, based on 10x earnings. The anticipated time horizon is MEDIUM_TERM.