By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
DailynewsegyptDailynewsegypt
  • Home
  • Business
    BusinessShow More
    Research centres define optimal investment portfolio amid high inflation
    Research centres define optimal investment portfolio amid high inflation
    March 26, 2023
    Valuation dispute halts SODIC’s acquisition of Orascom for Real Estate
    Valuation dispute halts SODIC’s acquisition of Orascom for Real Estate
    March 26, 2023
    Abu Dhabi Islamic Bank - Egypt achieves net profit of EGP 2.190bn in 2022
    Abu Dhabi Islamic Bank – Egypt achieves net profit of EGP 2.190bn in 2022
    March 26, 2023
    JICA organizes hybrid event titled ‘Promoting Social and Continuous Learning in Egypt and Japan’
    JICA organizes hybrid event titled ‘Promoting Social and Continuous Learning in Egypt and Japan’
    March 26, 2023
    Financial position of banks in Egyptian market increases to EGP 11.399trn in 2022: CBE 
    Financial position of banks in Egyptian market increases to EGP 11.399trn in 2022: CBE 
    March 26, 2023
  • Politics
    PoliticsShow More
    Health Minister opens 1st production line of ‘Hepatitis B and Pentavalent’ vaccines in Egypt
    Health Minister opens 1st production line of ‘Hepatitis B and Pentavalent’ vaccines in Egypt
    March 26, 2023
    Al-Sisi follows up on Justice Ministry's efforts to accelerate trial procedures at courts
    Al-Sisi follows up on Justice Ministry’s efforts to accelerate trial procedures at courts
    March 26, 2023
    Egypt participates in Earth Hour initiative 
    Egypt participates in Earth Hour initiative 
    March 26, 2023
    Egypt's Health Minister discuss bilateral cooperation with an Italian delegation 
    Egypt’s Health Minister discuss bilateral cooperation with an Italian delegation 
    March 23, 2023
    Egypt’s foreign minister phones Algerian counterpart over boosting ties
    Egypt’s foreign minister phones Algerian counterpart over boosting ties
    March 22, 2023
  • Interviews
    InterviewsShow More
    Government should help Egyptian arts revive its pioneering role: Omar Abdel Aziz
    Government should help Egyptian arts revive its pioneering role: Omar Abdel Aziz
    March 15, 2023
    Interconnected healthcare systems in Africa require political will from North African leaders: Amref official
    Interconnected healthcare systems in Africa require political will from North African leaders: Amref official
    March 12, 2023
    EGX ready for government’s IPOs programme: Chairperson
    EGX ready for government’s IPOs programme: Chairperson
    February 15, 2023
    British International Investment invests $4.5bn in 700 businesses across Africa: Sherine Shohdy
    February 15, 2023
    Valeo has invested around €0.5bn in Egypt over the past 10 years: CEO
    Valeo has invested around €0.5bn in Egypt over the past 10 years: CEO
    December 27, 2022
  • Culture
  • Opinion
  • Sports
  • Lifestyle
Reading: EFG Hermes reports increase in net profits in Q2, H1 2017
Share
Notification
Latest News
Research centres define optimal investment portfolio amid high inflation
Research centres define optimal investment portfolio amid high inflation
Business
Valuation dispute halts SODIC’s acquisition of Orascom for Real Estate
Valuation dispute halts SODIC’s acquisition of Orascom for Real Estate
Business
Abu Dhabi Islamic Bank - Egypt achieves net profit of EGP 2.190bn in 2022
Abu Dhabi Islamic Bank – Egypt achieves net profit of EGP 2.190bn in 2022
Business
JICA organizes hybrid event titled ‘Promoting Social and Continuous Learning in Egypt and Japan’
JICA organizes hybrid event titled ‘Promoting Social and Continuous Learning in Egypt and Japan’
Business
Financial position of banks in Egyptian market increases to EGP 11.399trn in 2022: CBE 
Financial position of banks in Egyptian market increases to EGP 11.399trn in 2022: CBE 
Business
Aa
Aa
DailynewsegyptDailynewsegypt
  • Home
  • Business
  • Politics
  • Interviews
  • Culture
  • Opinion
  • Sports
  • Lifestyle
  • Home
  • Business
  • Politics
  • Interviews
  • Culture
  • Opinion
  • Sports
  • Lifestyle
Have an existing account? Sign In
Follow US
  • Advertise
© 2023 DNE News. All Rights Reserved.
Dailynewsegypt > Blog > Business > EFG Hermes reports increase in net profits in Q2, H1 2017
Business

EFG Hermes reports increase in net profits in Q2, H1 2017

Reem Hosam El-din
Last updated: 2017/08/15 at 4:22 PM
By Reem Hosam El-din 4 Min Read
Share
SHARE

EFG Hermes, one of the leading financial services corporation in the Middle East and North Africa (MENA) region, reported on Tuesday that it has been able to achieve strong results during the second quarter (Q2) and the first half (H1) of 2017. These strong results were achieved despite the slow market activity in Q2 during the holy month of Ramadan and the feast that followed, Eid Al-Fitr.

According to EFG Hermes, the net profit achieved from the company’s continued operations in Q2 of 2017 after tax and minority interest increased by 718% year-on-year (y-o-y) to reach EGP 395m, while operating revenues climbed 252% in the same period to go beyond the EGP 1bn mark.

“Our strategy to diversify our lines of business has started to create significant value for our shareholders as our non-bank financial operations continued their stellar growth trajectory, with revenues from the platform more than doubling year-on-year in the second quarter,” said EFG Hermes Group’s CEO, Karim Awad. “Meanwhile, our frontier markets and structured products businesses began contributing to our brokerage revenues during the second quarter,” he added.

The business lines of the investment bank have also been able to deliver good results in the aforementioned quarter of 2017, with solid growth recorded in the advisory, brokerage, and asset management businesses that—together with the growth in non-bank financial institutions (NBFI) and treasury operations—helped the group’s revenues go beyond the EGP 1bn mark for the quarter. In the process, fee and commission revenues rose 136% y-o-y to contribute EGP 639m to the top business line of EFG Hermes.

Regarding costs, employee expenses stood at 39% of total operating revenues in Q2 2017. EFG Hermes said it considers this good enough with the employee expenses staying below 50% despite the higher overseas salaries following the flotation of the Egyptian pound, the inflationary pressure, the hiring of new employees to support the development of new businesses, as well as some one-off expenses.

Accordingly, EFG Hermes said it achieved a net operating profit of EGP 462m in Q2 2017, with a 507% y-o-y increase and a net operating profit margin of 46%, up from 26% a year earlier.

EFG Hermes has sold its majority stake in Crédit Libanais (CL). It continues to divest its remaining stake of it following the sale of the subsequent deconsolidation in the second quarter of 2016. In the second quarter of 2017, EFG Hermes removed about 3.65% of CL’s shares, leaving the Firm with a 9.46% stake at the end of the period.

It is worth mentioning that if the non-recurring gain resulting from the sale of CL’s shares during the specified quarter was excluded, EFG Hermes’s net profit after tax and minority interest would have risen by 252% y-o-y in Q2 2017 to EGP 170m.

EFG Hermes is an investment bank specialised in securities brokerage, asset management, investment banking, private equity, and research. It was founded in 1993 in Egypt. The company has offices in Egypt, UAE, KSA, Qatar, Oman, Kuwait, Jordan, and Lebanon with over 800 employees from 25 nationalities. It serves clients from the MENA region, Europe, and the US.

You Might Also Like

Research centres define optimal investment portfolio amid high inflation

Valuation dispute halts SODIC’s acquisition of Orascom for Real Estate

Abu Dhabi Islamic Bank – Egypt achieves net profit of EGP 2.190bn in 2022

JICA organizes hybrid event titled ‘Promoting Social and Continuous Learning in Egypt and Japan’

Financial position of banks in Egyptian market increases to EGP 11.399trn in 2022: CBE 

TAGGED: EFG Hermes, Profit
Share this Article
Facebook Twitter Email Print
Previous Article The unseen sides of Egypt
Next Article Beltone achieves operating revenues worth EGP 326.2m in H1 2017 with six-fold increase y-o-y
Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Ad image

Stay Connected

Facebook Like
Twitter Follow
Instagram Follow
Youtube Subscribe

Latest News

Research centres define optimal investment portfolio amid high inflation
Research centres define optimal investment portfolio amid high inflation
Business
Valuation dispute halts SODIC’s acquisition of Orascom for Real Estate
Valuation dispute halts SODIC’s acquisition of Orascom for Real Estate
Business
Abu Dhabi Islamic Bank - Egypt achieves net profit of EGP 2.190bn in 2022
Abu Dhabi Islamic Bank – Egypt achieves net profit of EGP 2.190bn in 2022
Business
JICA organizes hybrid event titled ‘Promoting Social and Continuous Learning in Egypt and Japan’
JICA organizes hybrid event titled ‘Promoting Social and Continuous Learning in Egypt and Japan’
Business
//
Egypt’s only independent daily newspaper in English. Discuss the country’s latest with the paper’s reporters, editors, and other readers.

Quick Link

  • Home
  • Business
  • Politics
  • Interviews
  • Culture
  • Opinion
  • Sports
  • Lifestyle

Sign Up for Our Newsletter

Subscribe to our newsletter to get our newest articles instantly!

© 2023 DNE News. All Rights Reserved.

Join Us!

Subscribe to our newsletter and never miss our latest news, podcasts etc..

Zero spam, Unsubscribe at any time.

Removed from reading list

Undo
Welcome Back!

Sign in to your account

Lost your password?