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Concrete sees strong profit rise in FY 2024
Concrete Fashion Group (CFGH) reported an 89.9% leap in net profit for FY 2024, reaching USD 16.1 million, up from USD 12.8 million in FY 2023.
The net profit margin also improved to 11.1%, driven by effective cost management and a successful deleveraging strategy that reduced net financing costs by 7.2% YoY to USD 16.3 million.
Sales
Net sales totaled USD 144.8 million, a 3.9% decline from FY 2023.
Manufacturing:
The manufacturing segment (including Swiss Garments Company and Egypt Tailoring Company) saw USD 114.2 million in sales, down 6.6% YoY, but rebounded in H2 with a 21.6% increase.
Retail:
The retail segment posted USD 30.7 million in sales, a 7.3% increase YoY in USD terms, and a 54.6% growth in local currency (EGP), driven by Concrete’s strong performance and a recovery at Euromed in Q4.
Expansion plans: GCC focus
CFG is expanding further into the GCC. The firm’s head of investor relations revealed in December that Concrete is establishing two new companies—one in Saudi Arabia and the other in the Sultanate of Oman—to expand operations and boost profitability.
At the retail segment, the company is also awaiting inauguration of their first regional store in Abu Dhabi, the company’s CEO Alaa Arafa said.
2025 outlook: ambitious plans ahead
“With the first months of 2025 now behind us, the new year is shaping up to be another exciting one for CFG with both our retail and manufacturing operations pressing ahead with their respective growth strategies, “ Arafa noted.
“Over the coming months, we will work to further grow our client portfolio, focusing particularly on securing contracts with new clients from different European and UK markets. As was the case throughout 2024, we will prioritize higher-margin clients as we look to offset rising production and transportation costs,” he added.
Arab Developers reports profit fall in 2024
Arab Developers Holding (ARAB) saw its net income drop to around EGP 92.5 million during the past year, compared to approximately EGP 100 million in 2023.
Mixed performance
Revenues rose to EGP 1.6 billion in 2024, compared to about EGP 1.3 billion in the previous year.
However, earnings per share declined to EGP 0.01, down from EGP 0.08 in 2023.
More details
Arab Developers recorded sales of EGP 4.6 billion in 2024, generated from the sale of 1,137 units, with a total area of approximately 141,000 square meters.
Additionally, the company delivered 491 units, totaling around 84,000 square meters.
Going forward
The company’s CEO Ayman Bin Khalifa noted the management has set a new investment plan for the upcoming period, aiming to:
Maintain advanced execution rates across its projects.
Intensify unit deliveries to clients on agreed timelines.
Complete development of the Porto Dead Sea project.
Continue developing integrated smart residential projects across various real estate development destinations in Egypt.
Expand internationally in the Jordanian and Moroccan markets
According to Central Bank data, remittances sent by Egyptians abroad reached USD 2.9 billion in January — a record for the month — reflecting an 83.2% year-on-year (YoY) increase.
The surge marks a strong start to the year for one of the country’s key sources of hard currency, after a turbulent 2023.
Refresher
Remittance inflows dropped sharply last year, falling 30.8% YoYt o USD 22.1 billion, as Egyptians working abroad either delayed transfers or opted for unofficial channels amid a severe foreign currency crunch.
The discrepancy between official and parallel exchange rates at the time led many to avoid formal banking routes.
So far this year
Remittances sent by Egyptians abroad totaled USD 20.0 billion in the first seven months of FY 2024/2025, according to figures published by the Central Bank of Egypt last week.
Going forward
Fitch Ratings expects inflows to continue on an upward trajectory, projecting a 31%YoY increase in remittances this fiscal year to USD 28.9 billion — equivalent to roughly 9.1% of Egypt’s GDP. The forecast reflects improving sentiment among Egyptian expats and stronger flows through formal channels.
In line with state targets
As one of Egypt’s top foreign currency earners, remittances are a key pillar of the government’s external financing strategy. Authorities are aiming for inflows to grow by 10% annually, with a target of reaching USD 53 billion by 2030
What else is clapping?
Get ready for dividend distributions:
Elsewedy Electric: Distributing over EGP 2 billion, at a rate of EGP 1 per share.
CI Capital Holding for Financial Investments: Distributing EGP 700 million, equivalent to EGP 0.7 per share, in two equal installments on May 29 and September 25.
Madinet Masr for Housing and Development: Distributing EGP 0.25 per share, in two installments in May and October.
ALSO – Edita’s general assembly approved doubling of capital from retained earnings:
In a move aimed at boosting liquidity and trading activity, the general assembly of Edita has approved increasing the company’s issued capital from approximately EGP 140 million to over EGP 280 million, distributed over 1.4 billion shares.
The capital increase will be funded from the company’s 2024 profits.
On the macro front:
Suez Canal revenues climbed to USD 335.6 million in March 2025, up 8% from January’s USD 308.5 million, according to Suez Canal Authority head Osama Rabie.
Rabie said the authority is targeting USD 7 billion in revenues by year-end, despite revenues having fallen 61% in 2024 to USD 3.9 billion, down from USD 10.2 billion in 2023
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