Qalaa Holdings saw its net income after minority interest jumped 419% in 2023 to EGP 6.5 bn, driven by gains from stake sales and debt restructuring and settlement, the company said in its latest earnings release (pdf). The company’s revenues grew 17% y-o-y in 2023 to EGP 97.1 bn, primarily driven by the company’s flagship oil refinery, the Egyptian Refining Company (ERC), which accounted for around 90% of Qalaa’s total revenues for the year.

What’s behind Qalaa’s bottomline surge? Qalaa said it has received EGP 2.4 bn so far from the sale of its stake in Ethiopia’s Kurmuk Gold Project. In addition, the company also received EGP 1.5 bn from the sale of assets in TAQA Arabia and the revaluation of the energy company also brought EGP 1.5 bn into Qalaa’s coffers. Qalaa also gained EGP 1.3 bn from the settlement of ASEC Holdings’ debt.

On a quarterly basis: The company logged EGP 4.8 bn in net income after minority interest during 4Q 2023, up 1070% from the EGP 408.9 mn in the same period a year earlier. The company saw its revenue up 9% y-o-y to EGP 26.4 bn.

Receivables owed to the ERC went up: ERC’s receivables owed by the state-run Egyptian General Petroleum Corporation (EGPC) rose to USD 384 mn by the end of April, up from USD 332 mn at the end of December 2023. ERC’s net senior debt stood at USD 600 by the end of April, after paying back USD 632 mn in 2023. ERC is targeting to fully settle its senior debt next year.

What’s next: “As we head into 2024, we are looking to continue building on our strong top-line performance over the past year. In parallel, we remain committed to prioritizing the growth of our subsidiaries’ cashflows and deploying them in a prudent manner towards high-yield incremental investments that fall in line with our debt repayment plan,” Qalaa Holdings Chairman Ahmed Heikal said.

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