Hermes records net profit of LE 249M in Q1 2018

CAIRO – 14 May 2018: Egyptian Financial Group Hermes Holding (EFG Hermes) consolidated profit marked an increase of 6 percent on a year on year basis, during the first quarter of 2018, recording LE 249 million ($14.04 million) after tax and minority interest.

EFG Hermes’ revenues reached LE 945 million, according to the company’s press release.

The release revealed that fee and commission income rose 41 percent year on year to LE 659 million in 1Q2018, with the group’s solid performance during the quarter being driven by the strength of its non-bank financial institutions (NBFIs) and buy-side business.

For the standalone profit, Hermes marked a decline to LE 33.75 million, compared to LE 207.15 million in Q1 of 2017.

“In spite of challenging regional market conditions, EFG Hermes is off to a strong start in 2018 aided by a strategy that focuses on building Egypt’s leading NBFI platform, a larger buy side business and a sell side business that extends beyond MENA into frontier markets. As those business lines continue to ramp up, we will, for the first time, segregate our consolidated profits between the investment bank and the NBFI to give our shareholders greater clarity into the value we have created by launching the latter three years ago,” EFG Hermes Holding Group CEO Karim Awad said.

“Our traditional lines of business continue to bolster the firm’s standing as a regional leader, with our Investment Banking Division closing four key equity, M&A and debt capital market transactions. Our Securities Brokerage Division was once again the largest broker in the region, while our buy-side platform saw revenues grow more than twofold for the quarter,” Awad noted.

In 2017, EFG Hermes’ consolidated profit declined 13.22 percent in 2017, recording LE 1.23 billion after tax and minority interest, compared to LE 1.41 billion in 2016.

Egyptian Financial Group Hermes Holding (EFG Hermes) is a public company, listed on the Egyptian Exchange (EGX) since February 1999.

It operates within the diversified financial sector focusing on investment banking and brokerage. It has 36 subsidiaries operating across the Caribbean, Northern Africa and Middle East. EFG Hermes is based in 6th of October, Egypt, and was established in January 1984.