The University of Management and Technology (UMT) is a prominent educational institution established by the Provincial Assembly of the Government of Punjab through ACT XV of 2004 (University of Management and Technology, Lahore Act 2004). It operates as a non-profit organization dedicated to providing higher education. The university is recognized and accredited by the Higher Education Commission (HEC) of Pakistan, which ensures its academic standards and quality. UMT has established campuses in Lahore and Sialkot, extending its reach to students across the region. The university offers a range of programs aimed at fostering academic excellence and leadership in various disciplines, particularly focusing on management, technology, and related fields. With its accreditation by the HEC, UMT is considered one of the leading institutions in Pakistan, contributing to the development of skilled professionals and leaders in diverse sectors.

The University of Management and Technology (UMT) traces its origins back to the Institute of Leadership and Management Trust (ILM Trust), which was founded in 1990 by the renowned educationist Dr. Hasan Sohaib Murad. Initially, ILM Trust focused on providing technical diplomas but later expanded its offerings to include degree programs, marking the beginning of its broader educational mission. Over the years, ILM Trust evolved into a significant player in Pakistan's education sector. Beyond the establishment of UMT, ILM Trust also franchised numerous TKS Schools and ILM Colleges, further strengthening its educational presence across the country. These institutions have contributed to shaping the educational landscape of Pakistan, particularly in the fields of leadership, management, and technical education. Today, UMT, alongside ILM Trust's educational franchises, plays a pivotal role in fostering academic excellence and leadership skills, with a substantial influence on Pakistan's educational infrastructure.

The University offers degrees and programs in 55+ educational disciplines which are broadly classified as Engineering, Sciences, Life Sciences, Social Sciences and Management Sciences. The University also has 3 institutes in the fields of Islamic studies, aviation studies, Information Technology and liberal arts. The University has a student enrollment of 25,000+ students. The University has separate dedicated faculty teams for each individual educational department and currently has 1000+ faculty members employed with 300 PhDs. The main Lahore campus has been constructed on land owned by the trust which spans across an area of ~200 kanals with a student range of 25000+. The purpose-built campus comprises buildings for different departments with classrooms, cafeterias, auditorium rooms, and halls for catering to students and faculty. The University’s library for faculty members and students has a substantial number of resources available. Furthermore, the campus has well-equipped laboratories for facilitating science students

The University, is a non-profit educational institution that is chartered by the Government of Punjab. As an independent corporate body, the University operates under the governance of a Board of Governors, which is comprised of professionally qualified personnel from various disciplines. This governance structure ensures that UMT is managed by a diverse group of experts with experience in different fields, enabling the university to maintain high standards of education and administration. The Board plays a critical role in guiding the university's strategic direction, overseeing its operations, and ensuring its alignment with the mission of providing quality higher education.

The structure is seen as stable as the second generation of Murad family has been inducted in the operations of ILM Trust and the University.

The Board of Governors of UMT and Board of Trustees of ILM Trust consist of highly dedicated individuals who possess significant experience and strong acumen in the field of education. These members bring with them a deep understanding of both domestic and international dynamics within the education sector. Their collective expertise ensures that the university remains aligned with the latest trends and best practices in higher education, both locally and globally. The strategic guidance and leadership provided by these boards contribute to UMT’s commitment to maintaining high educational standards and fostering a forward-thinking academic environment that meets the evolving needs of students and the broader community.

The financial strength of the University remains adequate owing to the growing performance over the years.

The Board of Governors is the highest authority of the University for formulating policies and plans pertaining to the academic and administrative affairs of the University. The members of the Board of Governors and their positions have been defined in the Charter of the University. The Board of Trustees is the authoritative body for the ILM Trust.

The Board of Governors includes representatives from the ILM Trust, Government and Regulatory Bodies. Mr. Ibrahim Hasan Murad Honors Chairman & President University of Management and Technology. With multiple leadership roles under his belt, Mr. Ibrahim Hasan Murad primarily aims to provide opportunities for a powerful future ahead.

The Board of Governors and Board of Trustees at the UMT bring a wealth of experience and insight into the education sector, with the majority of the members having significant backgrounds in both academic and administrative aspects of education. This extensive experience allows them to provide valuable guidance and ensure that the university operates at the highest standards. Both Boards convene twice a year, during which they review the university's performance, strategic goals, and future direction. They are supported by two key bodies. The Academic Council – Responsible for advising on academic policies, curriculum development, and overall educational quality, ensuring that UMT’s academic offerings remain relevant and rigorous. The Finance and Planning Committee – prepare the annual statement of accounts and propose annual budget estimates and advise the Board of Governors thereon; (b) review periodically the financial position of the University; (c) advise the Board of Governors on all matters relating to finance, investments and accounts of the University; and (d) perform such other functions as may be prescribed by the Statute.

Alam and Aulakh Chartered Accountants are the external auditors of the University. The auditor has expressed an unqualified opinion on the financial statements for year-end Jun-24. The firm is QCR-rated, however, not on SBP’s panel of auditors.

The University’s organizational structure has been optimized according to its operating and administrative needs. The University mainly operates through administration, treasurer, academic, internal audit, research and compliance functions. The Rector is responsible for overseeing all of these departments, ensuring they operate efficiently and in alignment with the university’s goals. The Rector reports directly to the Chairman of the Board, who in turn reports to the Board of Governors. The Head of Internal Audit operates independently and reports directly to the Audit Committee of the Board. This structure ensures transparency and accountability within the university, with clear lines of authority and responsibility at every level of the organization.

All the members of the strategic management group have experience of at least two decades. The Chairman & President, Mr. Ibrahim Hasan Murad, has Master’s degree in Educational Leadership and Management and has been associated with the University for over a decade. Ibrahim Murad started working as President in UMT, simultaneously establishing many organizations under the shade of ILM Trust and UMT, including First IBL Modaraba. Dr. Asif Raza-Rector, has done his PhD Communication and Electronic System Engineering from Beijing University of Aeronautics and Astronautics, China. He has an experience of working at different academic and administrative designations at different institutes i.e. NESCOM and PAF College of Aeronautical Engineering. Treasurer/CFO: Muhammad Toheed Akram, a Chartered Accountant (ICAEW), FCCA (UK), Certified Internal Auditor (CIA, USA), and BSc (Hons) graduate from Oxford Brookes University (UK), is an accomplished finance professional with extensive expertise in financial management, risk assessment, and compliance. Having held key leadership roles such as CFO and Group Head of Internal Audit, he is known for driving strategic planning, process optimization, and governance excellence across industries.

The long-standing association of the senior management of the University has ensured consistency in the overall policies, and strengthening of the management structure.

The University has deployed proper technology infrastructure to effectively manage the information related to its main activities. The University uses Microsoft Dynamics 365 as its ERP software. Reports are regularly shared with the management of the University.

There is proper segregation of all the duties which provides support to the control environment of the University. Furthermore, in-house presence of internal audit department ensures that the policies and procedures are implemented.

The education industry has experienced strong expansion due to growing education importance, and increasing enrollment ratios. The vast youth population coupled with strong government incentives are the major factors pioneering growth in the Asia Pacific region, with China, India, and Indonesia being the frontrunners. In Pakistan, the education sector can be characterized as a competitive industry with a large number of players. The demand for education has been elevated due to population growth and increasing literacy rates over the past years.

The University has a considerable market share in the education sector of Punjab. The University is among the top five universities of Lahore based on the programs being offered to students, enrolment, and faculty.

The income of the University primarily comes from tuition fees, which form the largest portion of its revenue. Other minor sources of income include hostel fees, as well as fines and penalties. In recent years, the university has experienced significant growth in enrollment numbers and undertaken various expansion projects, both of which have contributed to an increase in overall revenue. During FY24, the total revenue of UMT was PKR 7,201 million, which represents a 17% (YoY) increase compared to FY23, when revenue stood at PKR 6,190 million. This growth in revenue highlights the university’s successful expansion and increasing demand for its academic offerings, positioning UMT as a key player in the higher education sector in Pakistan.

The major costs incurred by the University are primarily related to salaries and wages paid to the staff. While these expenses have increased in recent years, the university's margins have still shown improvement, largely due to the higher revenues generated from increased enrollment and expansion projects. In terms of financial performance gross margin for FY24 stood at ~22.8%, a slight decrease from ~25.6% in FY23. This decrease reflects the rising costs associated with the university’s operations, although it still maintains a strong margin overall. Operating margin followed a similar trend, with FY24 at ~11.1%, down from ~12.9% in FY23. This decline is consistent with the increase in operational costs, but the university’s revenue growth has helped to maintain a healthy operating margin. Despite these changes, the university benefits from its minimal finance costs and tax-exempt status, which have contributed to a steady growth in its net profit margin. In FY24, UMT posted a net surplus of PKR 950 million, up from PKR 799 million in FY23. As a result, the net margin increased slightly, standing at ~13.2% in FY24, compared to ~12.9% in FY23. This indicates that, despite some cost increases, the university's overall profitability continues to grow, reflecting effective financial management and strong revenue generation.

Going forward, the University aims to expand its operations by establishing a separate medical and dental college along with a teaching hospital. The projected is to be funded by a mix of equity and debt.

The working capital requirements of the University primarily depend on its trade receivables and trade payables. Trade receivables consist of amounts owed by students for tuition and other fees. Trade payables mainly include salaries owed to employees. The net working capital days stood at 1 day, reflecting a very efficient management of its working capital. Receivable days stood around 17 days, which indicates the average time the university takes to collect payments from students. Payable days of around 16 days, representing the average time taken by the university to pay its staff salaries and other liabilities. With the difference between receivable and payable days being small, the university effectively manages its cash flow and working capital requirements, ensuring it maintains liquidity and operational efficiency. The low net working capital days reflect a well-managed financial structure.

UMT has demonstrated strong financial performance, particularly in terms of its cash generation. The university's Free Cash Flow from Operations (FCFO) showed notable improvement during FY24, rising to PKR 1,180 million, compared to PKR 1,139 million in FY23. This increase in FCFO is primarily a result of the higher income generated during the year, reflecting the success of the university's expansion and increased enrollment. On the funding side, the university’s finance cost for FY24 stood at PKR 128 million, a slight decrease from PKR 138 million in FY23. This reduction in finance costs, combined with strong cash flows, has contributed to a robust interest coverage ratio, which improved to 9.2x in FY24, up from 8.3x in FY23. The university has consistently maintained a strong interest coverage ratio over the years due to its high free cash flows and low finance costs, indicating its ability to meet interest obligations comfortably. Furthermore, the university has a strong debt coverage ratio, which stood at 3.7x in FY24, compared to 3.0x in FY23. This indicates that UMT has a solid ability to cover its debt obligations from its operational income, reflecting a strong financial position and prudent management of debt.

The University maintains a low leveraged capital structure, with a mix of long-term debt and short-term running finance to support its expansion efforts and working capital requirements. As of FY24, long-term debt stood at PKR 182 million, a decrease from PKR 434 million in FY23. Short-term debt remained stable at PKR 196 million in FY24, consistent with FY23. This short-term borrowing is primarily used for working capital needs, allowing the university to manage its day-to-day operations efficiently. As a result, the university’s total debt was PKR 571 million in FY24, down from PKR 867 million in FY23. This reduction in total debt reflects a strategy of managing leverage and potentially reducing reliance on borrowed capital. In terms of equity, the university had an accumulated fund (equity base) of PKR 4,577 million as of FY24, a significant increase from PKR 3,628 million in FY23, indicating strong retained earnings and a solid equity base. This resulted in a leveraging ratio of ~11.1% in FY24, a decrease from ~19.3% in FY23. The lower leveraging ratio highlights the university’s improving financial position, with a greater proportion of its capital coming from equity rather than debt, reflecting a lower financial risk and greater sustainability.