Impending departure: Engro Corp CEO steps down

Published: April 21, 2015
Muhammad Aliuddin Ansari . PHOTO COURTESY: ENGRO

Muhammad Aliuddin Ansari . PHOTO COURTESY: ENGRO

KARACHI: Engro Corporation will see the departure of its president and chief executive officer Muhammad Aliuddin Ansari after he announced stepping down from his position with effect from May 11, 2015, according to a statement issued on Tuesday.

Ansari took over the helm in 2012 as president of Engro Corp. and chairman of all subsidiaries at a time when the company was facing an imminent loan default, low employee morale and high attrition along with severe performance issues across the company’s flagship businesses, added the statement. He assumed the responsibility after the departure of Asad Umar, who headed the corporation from January 2004 to April 2012. Umar had a lengthy 27-year career at Engro, one of the largest private sector conglomerates of the country.

During Ansari’s tenure, Engro gained on all fronts including the company’s balance sheet Revenues grew from Rs125 billion to a record Rs176 billion, up by 40%. During the time, share price rose 300% and the company declared record cash dividends of Rs3 billion in 2014.

His efforts also contributed to increasing the company’s market capitalisation from Rs47 billion in 2012 to Rs116 billion at the end of 2014.

However, the year 2014 was also a crucial one for Engro’s businesses. The fertiliser business posted the highest ever topline in its history – Rs61 billion – and declared a record-breaking profit of Rs8.2 billion.

As the president, Ansari provided leadership for a number of key strategic projects including construction of the world’s fastest LNG terminal – in a record time of 300 days – while delivering excellent progress on Thar coal mining and power projects.

In 2014, the company also commissioned its first international project in power space – an 84MW captive power plant for Nigeria’s largest oil refinery. Meanwhile, the food business too, reflected a strong turnaround demonstrating a 36% volumetric growth and becoming market leader in the ambient UHT category.

Under his management, the statement added, he spearheaded a series of transformational initiatives which have helped increase engagement levels to 62%; decreased attrition to acceptable levels and strengthened the talent pipeline.

The company will announce Ansari’s successor in the near future.

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Reader Comments (14)

  • Apr 21, 2015 - 10:45PM

    Ali Ansari’s departure is a big loss for Engro. Amazing leader with a strong track record of delivering results. Hopefully his talent will be re-applied in growing another local organization. He is a national asset. Recommend

  • MK
    Apr 21, 2015 - 11:41PM

    The story is missing a key piece of info: why did he step down????Recommend

  • Optics
    Apr 22, 2015 - 5:04AM

    What about the huge losses in rice and Canada?@Monis: Recommend

  • Apr 22, 2015 - 5:57AM

    When Asad Umar left for a higher calling Engro’s largest investment in a billion dollar fertiliser plant was being strangulated by govt by supplying gas legally agreed for engro to govt cronies instead. Imminent loan default is understandable in that case Some the plant was non-functional and legal wrangling over the gas-supply issue was proceeding at the Sindh High Court. Engro did grow to a whole new level in the 8 years’ worth of Asad Umar leadership.
    Likewise, Ansari also continued expansion of the company in his 3-year stint; once the already built fertiliser plant became operational, loans were paid and profits made. Venturing further into the highly lucrative yet tricky energy sector is a good play.

    All in all, Engro is poised to take the scene by storm.Recommend

  • Rana Asas
    Apr 22, 2015 - 5:59AM

    sad but…. Engro Corp’ll not give up. New Challanger will make new history inssallah.Recommend

  • Farooq naqvi
    Apr 22, 2015 - 7:51AM

    BECAUSE HE is not SON of the soil migrated FAMILY from indiaRecommend

  • Sajjad
    Apr 22, 2015 - 8:00AM

    This is the same man who said last year that Engro is on the growth path but still posted disappointing results.Recommend

  • Mahmood
    Apr 22, 2015 - 8:28AM

    @FarooqNaqvi : all our ancestors were Indian at some point. Why so shocking? Lets give credit where its due.Recommend

  • B
    Apr 22, 2015 - 10:51AM

    @Farooq naqvi: I am sorry; Organization never discriminate on such basis; Recommend

  • Imran
    Apr 22, 2015 - 11:05AM

    Is He joining also PTI?????Recommend

  • Proud Pakistani
    Apr 22, 2015 - 3:09PM

    Here’s the correct capabilities of Mr Asad of PTI portrayed just on the begining. He’s just a master of Hala Gulla and nothing else.Recommend

  • AD
    Apr 22, 2015 - 9:50PM

    @B: I disagree, organization discriminate on the basis of race specifically. Look at oil and gas sector and shipping company. Majority of there workers belongs to Punjab ! Pakistan Refinery Limited, over crowded with Punjabis…Recommend

  • Syed Kashif Hussain
    Apr 23, 2015 - 2:00AM

    I salute Mr. Ansari for Wat he did for the company in fact he did for Pakistan. Recommend

  • Usman ul haq
    Apr 24, 2015 - 3:55PM

    I hope ENGRO Corp will find equally matched replacement, otherwise a great loss for this corp.
    My good wishes for this departing CEO.Recommend

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