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We have a light one today as the earnings updates somewhat wind down from last week’s frenzy.
But before we start, an update from the Central Bank: International investments in Egypt’s treasury bills rose 6.5% month-on-month by May’s end to USD 37.5 billion. Remember, Prime Minister Moustafa Madbouly noted in a presser earlier this week that the “hot money” that went out of Egypt as international investors opted to liquidate their treasury bills amid a global equity sell off comprised between 7-8% of their total domestic holdings, Reuters reported.
Beltone reports a whopping 818% YoY revenue hike in 1H
The Clap:
Beltone Holding saw its operating revenues swell a massive 818% YoY to EGP 2.9 billion on the back of strong performances on both the Investment Banking and Non-Banking
Financial Institutions (NBFIs) fronts, it noted. The company’s NBFIs portfolio soared 697% YoY to EGP 15.2 billion.
Net profit:
Beltone’s net income after tax and minority interest totaled EGP 817 million in 1H 2024 compared to a loss of EGP 146 million in 1H2023. The firm mainly attributes its bottom line growth to a significantly expanded topline figure, coupled with enhanced
efficiency at both the Investment Bank and NBFIs platforms.
NBFIs:
The company’s NBFIs platform recorded a 13x YoY increase in its operating revenue to reach EGP 2.4 billion in 1H 2024 as a result of a significant expansion in its offerings, which drove higher disbursements at its different subsidiaries, it said. The segment’s portfolio grew sevenfold YoY to EGP 15.2 billion in 1H2024.
Investment banking:
Beltone Investment Bank’s operating revenue also saw by a 327% hike YoY to EGP 471 million in 1H 2024, accounting for 16% of its consolidated operating revenue.The segment’s exceptional performance was driven by a significant expansion in Brokerage operations resulting in higher commissions on the back of a ramp up in its margin lending portfolio.
Asset management:
On the asset management front, Beltone maintained its position as Egypt’s largest non-banking affiliated asset management with assets under management reaching EGP 27.7 billion in 1H2024 compared to EGP 21.5 billion in the same period the year before. Similarly, the investment banking division’s operating revenue more than tripled YoY on the back of an expanded offering in equity, debt, and advisory services.
Electro Cables reports 86% profit hike in 1H
The Clap:
Electro Cables Egypt recorded an 86% YoY rise in net income during the first half of the year, raking in over EGP one billion, compared to the EGP 539.18 million it accumulated during the same period last year.
Revenues:
The company’s top line surged 88.5% YoY during 1H 2024 to reach EGP 6.6 billion.
Gross profit:
Elsewedy more than doubled its gross income to EGP 2.1 billion, compared to EGP 1.01 billion representing a 107 % YoY hike from 1H 2023.
Operating profit:
The company’s earnings before interest and tax rose 111.7% YoY to EGP 1.922 billion, it noted.
What else is clapping?
El Nasr Clothes & Textiles (Kabo) recorded a 113% YoY hike in net income after minority interest in the nine months between July 2023 and March 2024, raking in EGP 193 million during the period. The company’s revenues also jumped 76.7% YoY to EGP 699.8 million.
Mena Touristic & Real Estate Investment recorded a 907.2% YoY rise in net losses to EGP 8.7 million, compared to EGP 865,729 in the same period the year before..
The government is reportedly gearing up to ink several agreements with eight local-foreign consortiums to generate a total of 1,700 GWh of electricity from municipal solid waste at a cost of up to USD 1.2 bn, Waste Management Regulatory Authority consultant Khaled Elfarra told Enterprise. EGX-listed firms interested in the waste–to-energy projects — which will repurpose 3.5 million tons of refuse annually — include Orascom Construction, Hassan Allam Holding, Taqa Arabia, and Elsewedy Electric.
Suez Canal Bank announced in an EGX disclosure that it has completed the sale of its 39.7% share in El Sherif Markets to home appliance maker Fresh in an EGP 95.2 million two-phase transaction.
Telecom Egypt is reportedly looking to secure a USD 150 million loan within two months to restructure and extend the maturity of its debts, two sources familiar with the matter told ‘Asharq’ on the condition of anonymity. The new loan is reportedly separate from the EGP 18 billion in financing it is looking to cover its entire overdraft balance.
Head of the Federation of Egyptian Chambers of Commerce’s pharma division Ali Auf told “Al Arabiya” that the Egyptian Drug Authority may approve price hikes for up to 600 drugs within the last quarter of the year. Auf expects up to 1600 pharma products could see price increases between September and the end of next year.
Cabinet is reportedly moving forward with its planned electricity price hikes next month, eying a 30% price increase after completing its study on the plan, a ministry source told Enterprise.
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