1Q 2025 was good to our friends at EFG Holding, where revenues for the quarter would have been up 31% y-o-y if you set aside the impact of a one-off FX windfall booked in 1Q 2024 on the back of the devaluation of the EGP, the company said in an earnings release (pdf). Factoring in the exceptional FX gain last year, the company’s top line was down 34% y-o-y in 1Q 2025 at EGP 5.6 bn, while net income after tax and minority interest declined at the same pace to EGP 1.2 bn.

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EFG Hermes saw solid operational growth: Adjusted for the windfall, investment bank EFG Hermes’ revenues would have risen 30% y-o-y in the quarter. The unit’s sell-side division turned in a 46% y-o-y rise in revenue at EGP 2 bn, while buy-side revenues grew 50% y-o-y to EGP 449 mn. The firm’s brokerage business had strong quarters in Kuwait and the UAE, while its private equity business booked its first quarter of management fees from its Saudi Education Fund. Including revenues from holding and treasury activities, revenues at the investment banking platform were down 54% y-o-y to EGP 2.9 bn.

The group’s NBFI arm EFG Finance saw its top line jump 23% y-o-y to EGP 1.3 bn during the three-month period, driven largely by growth at microfinance provider Tanmeyah, where revenues rose 51% y-o-y to EGP 625 mn. Fintech platform Valu turned in 26% y-o-y growth in revenues at EGP 485 mn. EFG Finance’s bottom line more than doubled y-o-y to EGP 297 mn in the quarter.

And Bank NXT delivered steady growth: The company’s commercial banking arm Bank NXT reported EGP 1.4 bn in revenues for the quarter, up 11% y-o-y. The growth was supported by higher net interest income following a combined 800 bps of hikes rolled out by the central bank last year. The bank’s bottom line rose 5% y-o-y to EGP 498 mn, with EFG Holding’s share standing at EGP 255 mn.

What they said: “Our first quarter results reflect the strength and resilience of EFG Holding’s diversified platform and geographic footprint, even as we cycle a uniquely high base from last year,” Group CEO Karim Awad said (pdf). “When adjusted for these extraordinary items, our performance this quarter demonstrates solid operational growth across all lines of business and a clear trajectory of growth.”

1Q highlights: Awad highlighted several milestones hit across the company’s subsidiaries during the quarter, including Valu’s progress toward the EGX debut (see story above). Meanwhile, EFG Hermes executed landmark transactions including the IPO of Nice One in KSA and the Adnoc Gas’ USD 2.8 bn offering in the UAE.

EASTERN COMPANY LOGS A EGP 7 BN BOTTOM LINE-

IN OTHER EARNINGS NEWS- Tobacco giant Eastern Company’s net income climbed 36% y-o-y to EGP 7 bn in 9M FY 2024-2025, according to the company’s latest financial statement (pdf). Revenues climbed 74% y-o-y during the nine-month period to EGP 78.5 bn, which the company attributed to “pricing adjustments rather than an expansion in sales volume.”

Margins came under pressure: Despite the top line growth, headwinds that included a significant rise in costs eroded the company’s gross income margin to 31%, down from 37% in the same period last year, the company noted. “The company is fully aware of these challenges” and will prioritize improving margins and operational efficiency going forward, the statement reads.

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