EFG Hermes profit up 38pc to $16.8m
Cairo, November 14, 2013
EFG Hermes, a leading investment bank in the Arab world, reported a 38 per cent year-on-year rise in net profit after tax for the third quarter to EGP116 million ($16.84 million) on revenues of EGP528 million.
Revenues in Q3 grew 12pc year-on-year from the same quarter last year, with a net operating margin of 32pc, the bank said.
Revenue from the investment bank rose 8pc year-on-year, while revenue from the commercial bank rose 14pc year-on-year in Q3.
The investment bank side recorded an operating profit of LE14 million in the third quarter with an improvement of operating margin. This came as GCC operations continue to drive growth of the fee and commission business, with 50pc of fees and commissions being generated outside Egypt in Q3, up from 43pc in the previous quarter, it said.
Commenting on the quarter’s results and the firm’s short-to-medium-term outlook, chief executive officer of the Investment Bank at EFG Hermes Karim Awad said: "I am pleased to report an ongoing recovery in the investment bank business, with growth in total revenues and a year-on-year increase in fees and commissions. We are entirely confident that we have the people, systems, product offering and client base we need to capture growth in the period ahead."
The firm’s brokerage business in Egypt retained its market-leading position, while its operations in Kuwait and UAE continue to grow. The team also began the roll-out of its new EFG Hermes Online suite of trading applications for individual investors. - TradeArabia News Service