S,No

Name of Companies
1 Allied Rental Modaraba

2011
2010
Profit/Loss Total Assets
Equity
Profit /Loss Total Assets
Equity
288,293,514 2,110,795,298 1,302,945,936 277,973,164 1,510,871,535 1,149,652,422

2 BF Modaraba

17,491,422

132,439,159

3 BRR Guardian Modaraba

41,702,786

2,966,799,465

4 Crescent Standard Modaraba

5,025,679

5 First Al-Noor Modaraba

127,504,307

3,402,708

104,659,270

102,220,777

732,683,816 (161,233,731) 3,643,074,397

632,893,804

148,239,234

117,551,066

5,024,212

159,131,597

115,030,261

29,892,423

349,432,737

326,139,744

11,034,804

330,869,281

306,873,492

6 First Constellation Modaraba

2,405,351

73,977,637

69,591,101

2,445,264

74,439,593

67,185,750

7 First Elite Capital Modaraba

8,811,772

168,140,039

124,041,952

7,320,231

155,023,312

117,679,778

180,251

613,656,964

562,817,628

(714,030)

586,947,330

547,820,968

8,680,310

375,228,584

335,186,127

(11,849,077)

432,867,007

325,202,187

10 First Habib Bank Modaraba

71,566,614

809,611,550

677,067,738

44,975,845

764,029,782

647,616,784

11 First Habib Modaraba

277,921,978 4,075,214,557 3,059,624,447 267,420,541 3,775,202,662 2,892,195,489

12 First IBL Modaraba

(8,782,498)

283,304,768

233,173,648

2,082,051

379,882,684

247,982,787

13 First Imrooz Modaraba

27,573,010

316,387,849

116,950,752

28,569,858

224,989,438

112,177,742

2,167,572,691

337,139,427

26,234,350 1,761,257,802

331,539,819

8 First Equity Modaraba

9

First Fidelity Leasing

Modaraba

14 First National Bank Modaraba 30,599,608

15 First Pak Modaraba

13,432,493

81,926,896

75,983,182

6,896,655

71,685,225

66,312,689

16 First Paramount Modaraba

27,795,840

245,435,606

144,005,903

16,713,197

227,558,780

126,764,062

17 First Prudential Modaraba

33,269,590

572,123,833

512,996,453

33,292,699

569,102,375

505,487,404

18 First Punjab Modaraba

(70,182,027) 2,628,353,867

296,445,612

7,031,191

2,665,098,306

370,029,639

First Treet Manufacturing

19
Modaraba

123,228,000 1,428,642,000

878,189,000

48,516,000

948,012,000

476,801,000

20 First Tri-Star Modaraba

(1,529,000)

8,005,895

261,045,759

190,277,845

21 First UDL Modaraba

72,959,966

659,927,929

494,661,966

50,768,932

640,295,587

475,164,850

22 KASB Modaraba

40,138,552

1,113,872,460

307,639,655

17,095,690

953,667,713

274,752,640

23 Modaraba Al-Mali

(20,155,120)

213,052,459

178,890,055

(12,913,089)

248,857,837

199,045,175

24 Standard Chartered Modaraba

86,606,872

4,161,109,055

938,069,605

79,879,660 3,605,065,050

928,614,734

25 Trust Modaraba

21,019,459

377,213,880

283,389,001

23,396,924

371,133,905

279,581,825

26 Unicap Modaraba

(357,257)

3,151,921

(173,733)

(456,675)

3,517,143

183,524

SUB TOTAL 'A'

1,127,589,588 26,075,610,438 12,232,514,388 780,913,269 24,468,285,370 11,489,087,447

http://www.nbfi-modaraba.com.pk/statistics.aspx

Pakistan: Investing in Modaraba Companies

By Shabbir Kazmi On September 22, 2013

Most probably Pakistan is the first among the Muslim countries that converted the concept of
Modaraba agreement into an entity. The first ever specific purpose Modaraba was created in mid
eighties, as an attempt to Islamize financial system in Pakistan. The number proliferated to
around 52 but has now reduced to less than half.
Over the years Modarabas have emerged as major non-banking financial institutions (NBFIs)
well as dependable source of medium term financing. They also offer opportunity to investors to
earn Riba-free income. With the opening up of Islamic banks and designated Islamic banking
branches by conventional banks in Pakistan, operations of Modaraba companies have remained
subdued because these have not been able to mobilize low cost funds.
Some of the sponsors made attempt to go beyond leasing (Ijarah) by entering into asset rental,
equities trading and establishing manufacturing facilities etc. However, it is often felt that the
real potential of the sector has not been exploited as yet. May be the time has come to review the
business model and strategies of the players but above all soliciting low cost funds.
The concept of Modaraba entity is almost replica of closed-end mutual fund. The Modaraba
Management Company (MMC) is equivalent to an Asset Management Company (AMC). The
MMCs, like AMCs were expected to float different types of Modarabas but most remained
confined to the first one and if a few had floated more than one, these were merged subsequently.
According to the details compiled based on financial results (year ending June 30, 2012) the
major highlights are: 1) though, there are 24 listed Modarabas bulk of the sector aggregate equity
is contributed by half a dozen companies, 2) largest quantum of profit earned also pertains to
these companies and 3) bulk of investment is in lease finance pertaining to two Modarabas.
Three observations demand specific mention: 1) bulk of the total equity is invested in lease
finance; 2) operating expenses eat up substantial portion of revenue and 3) borrowing is very
high, which also results in higher financial charges.
The way forward could be: 1) preferably arrangement of credit lines from outside Pakistan to
bring down financial cost, 2) inviting foreign investors to become stakeholders in MMCs, 3)
secondary offer of Modaraba Certificates and 4) reduction in number of MMCs (through mergers
and acquisitions) to bring down operating expenses.
Pakistan having a population of 200 million people looks forwards to boosting GDP size as well
as growth rate. The country needs fresh capital for the creation of new infrastructure and
productive facilities. The prevailing situation offers an opportunity worth exploring to foreign
investors, who are keen in earning Riba-free income.
http://www.alhudacibe.com/mc-pak.php