The last of the post-float 1Q earnings are rolling in and 2Q earnings are beginning to trickle in, with Concrete, GTEX’s GoldenTex, and QNB all releasing earnings this week.

CONCRETE SEES INCOME RISING, SALES DIPPING-

Concrete Fashion Group (CFG) saw its net income increase 65.3% y-o-y to USD 5.5 mn in 1Q 2024, driven by stronger operating profitability coupled with a decline in net financing costs, the company said in its latest earnings release (pdf).

The growth came despite a drop in sales: The company saw its net sales dip 8.0% y-o-y to USD 34.2 mn during the quarter, due to a drop in sales from the company’s manufacturing segment, which was impacted by traffic disruptions in the Red Sea, the company said. However, net sales from the company’s retail segment expanded by 50.8% y-o-y during the quarter, driven by strong financial and operational growth across both Concrete and Euromed — the group’s wholesale and uniform manufacturing arm.

Moving forward: “We are eager to capitalize on Egypt’s increasing attractiveness and the rapid growth of the country’s ready-made garments export industry. We are confident that our established reputation, long-lasting relationships with top fashion houses, and world-class facilities will enable us to capture a growing share of this large and expanding market allowing us to attract foreign currency into the country and create jobs in the local economy,” CEO Alaa Arafa said.

GOLDENTEX SEES DROP IN NET INCOME, WHILE SALES INCREASED-

GTEX Holding’s textile arm GoldenTex saw its net income drop 73.8% y-o-y to EGP 6.4 mn in 1Q 2024, which the company attributed to a sharp increase in financing costs in response to the float of the EGP, GoldenTex said in its latest earnings release (pdf). The company saw its sales grow 9.5% y-o-y to EGP 161.5 mn during the same period.

Remember: CFG and GTEX are the product of a demerger at Arafa Holding that took place earlier this year. Shares of the two companies began trading on the EGX in March following the demerger.

QNB SEES HIKE IN NET INCOME -

QNB saw its net income rally 69.6% y-o-y to EGP 6.7 bn in 2Q 2024 on the back of stronger performance across gains on financial investments and dividend income, according to its latest financial results (pdf). Net interest income rose 36.9% y-o-y during the same period to record EGP 9.95 bn.

Remember: QNB Al Ahli — QNB Group’s Egyptian unit — rebranded to QNB late last month with the aim of boosting its presence in the local market through a closer association to the group’s name.

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