Ultra Pack (Pvt.) Limited (‘Ultra Pack’ or ‘the Company’), a subsidiary of ANS Capital is a private limited entity incorporated in 2016.

Ultra Pack (Pvt.) Limited (UPPL) was incorporated in 2016 to provide industrial packaging solutions, primarily catering to the cement sector, including its associated concern, Kohat Cement Company Limited. The Company commenced full commercial operations in 2017 with the installation of modern extrusion and bag conversion technologies. UPPL’s head office is located in Gulberg III, Lahore, while its manufacturing facility is situated at Sunder Industrial Estate, Lahore. Over time, the Company has leveraged the brand strength of its sponsoring group, ANS Capital, enabling it to establish itself as a notable player in the polypropylene (PP) bag manufacturing segment, currently accounting for approximately 21% of the country’s PP bag production capacity.

Ultra Pack Pvt. Limited (UPPL) is primarily engaged in the manufacturing and distribution of specialized Polypropylene (PP) packaging solutions, operating an installed capacity of ~126 million units per annum through advanced Extrusion and Bag Conversion technologies. The Company’s product portfolio includes Block-Bottom AD-Star Bags for cement, chemicals, and salt; Block-Bottom Open-Mouth Bags for industrial chemicals, animal feed, and agricultural products; Laminated Stitched Bags for the flour, sugar, and rice milling sectors; and Woven PP Fabric for bulk packaging and textile applications. In FY25, UPPL maintained ~50% capacity utilization amid a recovery in domestic infrastructure demand, while strategically expanding its footprint in the agricultural sector to diversify revenues away from the cyclical cement industry. The Company manages a robust import cycle for plastic granules, primarily from Saudi Arabia and the UAE, and operates through a well-defined organizational structure supported by an Oracle-based ERP (R12), facilitating real-time monitoring of production and financial reporting. As of 6MFY26, operations remain on a growth trajectory, supported by increased off-take in the agricultural segment.

Ultra Pack Pvt. Limited is wholly owned by the sponsoring family through ANS Capital (Pvt.) Limited (~100%), with the majority stakes held by Mr. Nadeem Atta Sheikh (~41.87%) and Mr. Aizaz Mansoor Sheikh (~28.59%), while the remaining ~29.54% is held by other family members. This concentrated ownership ensures strong control and alignment with the long-term strategic interests of the broader group, which includes Kohat Cement Company Limited.

The Company exhibits a stable ownership structure, with no major changes expected in the near term, as 100% of shares are held by ANS Capital (Pvt.) Limited. Organizational stability is supported by zero turnover in top management over recent years, ensuring continuity in operational knowledge and strategic initiatives. A formalized line of succession and clearly defined family shareholding could further enhance governance clarity. The long-term association of the sponsoring family and consistent oversight by ANS Capital anchor the Company’s strategic direction.

The Sheikh family, sponsors of UPPL, are considered to possess strong business acumen, with decades of experience across cement, paper, and packaging sectors. Their deep expertise in manufacturing, logistics, and large-scale industrial packaging provides UPPL with operational and strategic advantages. The family’s successful track record with Kohat Cement Company, a leading player in the cement sector, strengthens UPPL’s supply chain management and market positioning, enabling the Company to sustain a ~21% market share in the competitive PP bag segment.

The financial profile of the flagship entity, Kohat Cement Company, is strong, with substantial access to capital markets. Consequently, the sponsors’ capacity to provide financial support to UPPL, if required, is considered high, reinforcing the Company’s credit and operational stability.

The Board of Ultra Pack Pvt. Limited comprises three members, all affiliated with the sponsoring family: CEO Mr. Ibrahim Tanseer Sheikh and Executive Directors Mr. Omer Aizaz Sheikh and Mr. Faisal Atta Sheikh. While the absence of independent directors may constrain impartial oversight, the board benefits from seasoned professionals with an average of ~15 years of relevant experience and a consistent association with the company over eight years. The family-led structure, typical of large private limited entities in Pakistan, enables swift decision-making and close coordination with affiliates, including Kohat Cement Company, ANS Capital (Pvt.) Ltd, and Ultra Kraft (Pvt.) Ltd.

The board members bring substantial industrial and business experience, complemented by positions in ANS Capital (Pvt.) Ltd and Ultra Kraft (Pvt.) Ltd. CEO Mr. Ibrahim Tanseer Sheikh provides 14 years of leadership, focusing on operational efficiency and market expansion. Executive Director Mr. Omer Aizaz Sheikh contributes 19 years of business experience, representing ANS Capital, while Mr. Faisal Atta Sheikh brings 11 years of experience across Ultra Kraft and ANS Capital. CFO Mr. Haider Abbas, an ACCA member, provides strong financial leadership and professional expertise.

Although formal board committees are not established, the Board demonstrates a high level of engagement and strategic oversight. Board members are generally available and maintain regular participation in board meetings, ensuring that key operational and strategic decisions are deliberated effectively. The sponsors’ direct involvement supports alignment with group strategy, reinforces internal control frameworks, and enables the company to respond proactively to input cost fluctuations and changing market dynamics.

Crowe Hussain Chaudhury & Co., Chartered Accountants (QCR-rated), serve as the external auditors of Ultra Pack Pvt. Limited. For the year ended June 30, 2025, the auditors issued an unqualified opinion on the financial statements, reflecting strong adherence to accounting standards and reliable financial reporting. The presence of professional auditors reinforces confidence in the accuracy and integrity of the Company’s financial disclosures.

Ultra Pack Pvt. Limited maintains a well-defined organizational structure, ensuring clear reporting lines and effective operational oversight. Key functions reporting to the CEO include Accounting & Finance, Administration & Security, Internal Audit, IT, Marketing & Sales, HRM, Quality Assurance, and Compliance & QHSE, while the Director Operations oversees Supply Chain, Purchasing, and Production. The structure facilitates accountability, streamlined decision-making, and coordination across all business functions.

The management team is led by CEO Mr. Ibrahim Tanseer Sheikh, who brings extensive industry experience and long-standing association with the company. He is supported by a team of qualified professionals with specialized expertise, including the CFO, marketing, and plant operations heads. Collectively, the management team provides the necessary technical, financial, and operational oversight to drive strategic objectives and support the company’s expansion across multiple cities in Pakistan.

With clear roles and responsibilities, the management team demonstrates effectiveness in executing strategic initiatives and operational objectives. The defined functional structure allows the Company to leverage the experience of its personnel to strengthen business operations and enhance market presence.

The Company utilizes an Oracle-based ERP solution (version R-12), integrating multiple operational modules to monitor daily and monthly performance. This system enables data-driven decision-making across all departments, enhancing efficiency and operational transparency.

Ultra Pack maintains an in-house internal audit function responsible for continuous implementation and monitoring of policies and procedures. This ensures operational efficiency, mitigates risks, and strengthens the internal control environment across all business functions.

The Pakistani packaging industry is a diversified sector dominated by paper, plastic, tinplate, and glass, with paper and plastic maintaining the largest market shares due to their versatility and critical role in industrial applications. For the Company, which specializes in polypropylene (PP) bags, raw material costs are closely linked to international crude oil prices. As of early 2026, the global energy landscape remains volatile due to geopolitical tensions and regional energy deficits, while local industrial energy tariffs further elevate operational costs. Profitability in the sector remains exposed to cost pressures from exchange rate fluctuations and rising energy expenses, which are often difficult to fully pass on to end consumers. Demand for the Company’s products is closely tied to the cement industry, which has shown recovery in FY26, with local dispatches demonstrating strong year-on-year growth, particularly in the North Region where the Company primarily operates. Macroeconomic indicators point to a revival in domestic construction and real estate activity, supporting packaging demand. However, the industry remains sensitive to fiscal policies, such as Federal Excise Duty adjustments, and to supply chain concentration, with significant portions of cost of goods linked to energy (~50%) and raw materials (~12%), underlining the continued exposure of packaging operations to energy tariffs and commodity price movements.

Ultra Pack (Pvt.) Limited manufactures & sells premium quality Polypropylene bags. In the PP bags segment, Syntronics is the largest player in the industry with an installed capacity of ~216mln units followed by Cherat Packaging with capacity of ~180mln units. In polypropylene packaging segment, Ultra Pack holds ~21.4% share in the country’s production capacity.

Primarily, the Company derives its revenues from the manufacturing and sale of PP Bags, followed by coated fabric, laminated stitched bags, and woven fabric. During FY25, the Company’s topline stood at PKR 2,201 million, reflecting a decline compared to FY24 (PKR 2,497 million). On an annual basis, the topline declined from PKR 2,668 million in FY23 to PKR 2,497 million in FY24 and further to PKR 2,201 million in FY25, registering a negative growth trend of -6.4% in FY24 and -11.8% in FY25. During 6MFY26, sales stood at PKR 1,300 million, indicating early signs of volume recovery.

The Company’s gross profit declined to PKR 195 million in FY25 (FY24: PKR 236 million), with the gross margin reducing to ~8.9% (FY24: ~9.5%). Operating profit declined to PKR 24 million in FY25 (FY24: PKR 64 million), resulting in an operating margin of ~1.1% (FY24: ~2.6%). Consequently, the Company reported a net loss of PKR 68 million in FY25, translating into a net margin of ~-3.1%, compared to a net profit of PKR 29 million (net margin: ~1.1%) in FY24. During 6MFY26, the Company reported a net loss of PKR 11 million, reflecting continued margin pressure.

As of March 2026, the sector's sustainability is supported by a recovery in the construction industry and a 13.1% YoY increase in domestic cement dispatches, driven by stabilized macroeconomic conditions and previous monetary easing. While lower interest rates and renewed infrastructure activity bolster revenue prospects, the industry remains vulnerable to geopolitical volatility and regional energy deficits that fluctuate the cost of PP resin. Intense competition and high price sensitivity persist, necessitating a focus on operational efficiency and diversification into agricultural packaging to mitigate the cyclical risks associated with the cement sector.

Ultra Pack’s working capital requirements are met through internal cash flows and borrowings. In FY25, average inventory days improved to 40 days (FY24: 45 days), while gross working capital days remained stable at 93 days (FY24: 94 days). Trade receivable days increased to 53 days (FY24: 49 days), leading to an extension in the net working capital cycle to 61 days (FY24: 54 days). During 6MFY26, net working capital days improved to 28 days, supported by better receivables management.

In FY25, the Company generated negative FCFO of PKR 44 million (FY24: PKR 71 million), driven by weaker profitability and working capital pressures. As a result, the FCFO-to-finance cost ratio declined to -0.7x (FY24: 1.8x), while EBITDA-to-finance cost coverage weakened to 1.0x (FY24: 3.2x). During 6MFY26, FCFO improved to PKR 10 million, though coverage metrics remain constrained.

Ultra Pack maintained a leveraged capital structure in FY25, with total borrowings-to-capitalization at ~38.3%, compared to ~39.3% in FY24. Total borrowings declined to PKR 191 million in FY25 from PKR 255 million in FY24, with borrowings primarily utilized for working capital financing. As of 6MFY26, total borrowings stood at PKR 179 million, indicating a slight deleveraging trend.