Egypt, Elsewedy review progress on Ain Sokhna phosphate complex    US employment cost index 3.6% up in year to June 2025    Egypt welcomes Canada, Malta's decision to recognise Palestinian state    Pakistan says successfully concluded 'landmark trade deal' with US    Sterling set for sharpest monthly drop since 2022    Egypt, Brazil sign deal to boost pharmaceutical cooperation    Modon Holding posts AED 2.1bn net profit in H1 2025    Egypt's Electricity Ministry says new power cable for Giza area operational    Egypt's Al-Sisi, Italian defence minister discuss Gaza, security cooperation    Egypt's FM discusses Gaza, Nile dam with US senators    Aid airdrops intensify as famine deepens in Gaza amid mounting international criticism    Egypt exports first high-tech potato seeds to Uzbekistan after opening market    Health minister showcases AI's impact on healthcare at Huawei Cloud Summit    On anti-trafficking day, Egypt's PM calls fight a 'moral and humanitarian duty'    Egypt strengthens healthcare partnerships to enhance maternity, multiple sclerosis, and stroke care    Egypt keeps Gaza aid flowing, total tops 533,000 tons: minister    Indian Embassy to launch cultural festival in Assiut, film fest in Cairo    Egyptian aid convoy heads toward Gaza as humanitarian crisis deepens    Culture minister launches national plan to revive film industry, modernise cinematic assets    I won't trade my identity to please market: Douzi    Sisi sends letter to Nigerian president affirming strategic ties    Two militants killed in foiled plot to revive 'Hasm' operations: Interior ministry    Egypt, Somalia discuss closer environmental cooperation    Egypt's EHA, Huawei discuss enhanced digital health    Foreign, housing ministers discuss Egypt's role in African development push    Egypt reveals heritage e-training portal    Three ancient rock-cut tombs discovered in Aswan    Sisi launches new support initiative for families of war, terrorism victims    Egypt expands e-ticketing to 110 heritage sites, adds self-service kiosks at Saqqara    Egypt's Irrigation Minister urges scientific cooperation to tackle water scarcity    Palm Hills Squash Open debuts with 48 international stars, $250,000 prize pool    On Sport to broadcast Pan Arab Golf Championship for Juniors and Ladies in Egypt    Golf Festival in Cairo to mark Arab Golf Federation's 50th anniversary    Germany among EU's priciest labour markets – official data    Paris Olympic gold '24 medals hit record value    A minute of silence for Egyptian sports    Russia says it's in sync with US, China, Pakistan on Taliban    It's a bit frustrating to draw at home: Real Madrid keeper after Villarreal game    Shoukry reviews with Guterres Egypt's efforts to achieve SDGs, promote human rights    Sudan says countries must cooperate on vaccines    Johnson & Johnson: Second shot boosts antibodies and protection against COVID-19    Egypt to tax bloggers, YouTubers    Egypt's FM asserts importance of stability in Libya, holding elections as scheduled    We mustn't lose touch: Muller after Bayern win in Bundesliga    Egypt records 36 new deaths from Covid-19, highest since mid June    Egypt sells $3 bln US-dollar dominated eurobonds    Gamal Hanafy's ceramic exhibition at Gezira Arts Centre is a must go    Italian Institute Director Davide Scalmani presents activities of the Cairo Institute for ITALIANA.IT platform    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



EFG Hermes earnings reach EGP 304m on operating revenues of EGP 1.1bn
Large private company to be offered on EGX by November
Published in Daily News Egypt on 18 - 08 - 2019

Daily News Egypt learned that EFG Hermes is preparing for IPO of a large private company on the Egyptian Exchange (EGX), where Hermes was hired as the offering's financial advisor to determine the value of the offer which is expected to take place in November. It comes in parallel with Hermes' preparation for offering another big company on the London Stock Exchange during the last quarter of this year.
With regard to the government's IPO programme, sources at Hermes said the offering has been heavily promoted, but some legal procedures are being finalised, expecting to announce the offering soon.
Hermes is also competing for offering a stake in Abu Qir Fertilizer Company, which is expected to be implemented in 2020.
In terms of acquisitions, Hermes is close to execute about three new deals in the next few months, including a deal for a large desalination company.
Hermes reported earnings of EGP 304m in the second quarter (Q2) of 2019 on operating revenues of EGP 1.1bn. The group's total assets stood at EGP 38.6bn at the end of Q2 of 2019.
“Another buoyant quarter for EFG Hermes, with the Group growing its bottom line by roughly 50% for Q2 and the first half (H1) of the year. The Group's net profits crossed EGP 300m for another quarter, reporting a net profit after tax and minority interest of EGP 304m in 2Q19, up 49% year-over-year, driven by higher net profit reported by the Investment Bank and the NBFIs,” the group said in a statement.
It added that the group's revenues increased 13% y-o-y to reach EGP 1.1bn in 2Q19, driven by strong revenue growth delivered by the NBFIs platform, which contribution to the group's revenues reached 31% in 2Q19.
Fees and commissions, which represented 75% of the Group revenues in 2Q19, rose 15% y-o-y to EGP 784m, underpinned by Tanmeyah's robust revenue growth.
Moreover, it added that the NBFIs platform continues to deliver strong results, with its revenues climbing 73% y-o-y to EGP 322m in 2Q19. Tanmeyah was the main contributor to that growth with its revenues increasing 83% y-o-y to EGP 275m in 2Q19.
Sell-side revenues inched up 4% y-o-y to EGP 364m in 2Q19, on higher brokerage revenues and despite lower investment banking revenues.
Furthermore, the buy-side revenues declined 31% y-o-y to EGP 98m in 2Q19, despite private equity's revenues climbing on higher management fees, as asset management revenues declined on lower incentive fees.
Capital markets and treasury operations revenue contribution to the Group's total revenues came at 25% in 2Q19, with its revenues increasing 6% y-o-y to EGP 267m. Revenues were supported by net interest earned.
Hermes noted that the increase in the Group's operating expenses was confined to a single digit, increasing 9% y-o-y to EGP 672m in 2Q19, on higher employee expenses and other operating expenses related to Tanmeyah's headcount expansion, the increase in its portfolio and higher number of branches as compared to a year earlier. Moreover, employee expenses to operating revenues came at 45% in 2Q19.
The group's revenue growth surpassing the increase in expenses, for a second quarter, thus reporting a net operating profit of EGP 379m, up 21% y-o-y in 2Q19 and a net operating profit margin of 36%.


Clic here to read the story from its source.