Coffee with: National Printing CEO Sherif El Moallem. Fresh off a stellar EGX debut, National Printing still has a few cards to play. The company is planning to invest up to USD 20 mn to boost capacity by as much as 20%, grow exports to 45% of output, and keep the option open for a future primary issuance.

We sat down with CEO Sherif El Moallem to talk through the company’s expansion plans, how it’s managing its finances post-listing, and what its first earnings as a publicly traded firm revealed.

(Tap or click the headline above to read this story with all of the links to our background as well as external sources.)

Quick recap: National Printing was only the second company to IPO on the EGX this year, following Bonyan’s float in July. The secondary sale — 10% of the company — raised some EGP 450 mn and was a hit, being 23.6x oversubscribed. Half of the offering went to a Saudi institutional investor, while the rest was picked up by local investors. The stock jumped 9.4% on debut to close at EGP 23.25 and was sitting at EGP 21.01 as of yesterday’s close.

The IPO was about more than just the debut. El Moallem says the listing set the stage for future fundraising: “One of the benefits of the IPO is that it makes a future primary issuance easier if we decide we need it. We’ve thought about that option, but there are no concrete plans or timeline in place at the moment.”

Expansion is already underway. National Printing is putting USD 18-20 mn into increasing capacity by 10-20% across subsidiaries Shorouk, Uniboard, and Baddar. “At Baddar, the new machines are already being installed and should be operational by the end of 4Q, which means we’ll start to see results in 2026,” El Moallem told us. At Uniboard, capacity will expand by 10% with installation planned for 2Q 2026 and output expanding into 2027. Shorouk’s expansion is still under review, with updates expected early next year.

Exports are the growth story. Management wants exports to account for more than 45% of revenues within five years, up from 25% today, with duplex board, corrugated boxes, and specialty papers driving growth. “Our current focus markets are MENA and Africa, but we are also expanding into Europe and the US,” El Moallem said. He added that diversification across products and geographies helps hedge against FX and geopolitical risks.

Integration is the edge. El Moallem argues the group’s integrated model — spanning raw materials to finished products — is a key competitive advantage. “Integration delivers two things: higher quality, because we control the process end to end, and lower costs, since we manage inputs internally,” he explained. Expansion also makes it harder for new entrants: “Building a company of this size takes decades, expertise, and significant hard-currency investment. That’s not easy for newcomers to replicate.” With a client base weighted toward defensive sectors like FMCG, pharma, and education, National Printing has enjoyed resilient demand.

Margins are thinner, but in line with expectations. Profitability slipped in 1H 2025, but El Moallem says that was expected. “We knew revenues would grow but that margins would tighten,” he told us. Last year’s numbers were flattered by some EGP 18 mn in FX gains after the float of the EGP and by lower interest rates. The only real surprise was an unplanned maintenance shutdown at Uniboard, which temporarily took capacity offline. “That issue is resolved in Uniboard, and we expect the second half of the year to be stronger because there will be no repeat of the shutdown,” El Moallem said.

The balance sheet is holding up. With an equity ratio of 1.1-1.2x, the company can comfortably fund its current projects — including the expansion program — through a mix of debt and internal financing. “Larger projects in the coming years might require fresh capital, but that’s a decision for later,” El Moallem said.

Looking ahead: Over the next five years, El Moallem sees the biggest opportunities in exports, scale, and portfolio diversification. Risks? FX volatility, high borrowing costs, and geopolitics. “High borrowing costs, in particular, limit growth when financing machinery. If the central bank continues to cut rates, the outlook improves significantly,” he said. National Printing will start publishing quarterly earnings disclosures this month. “For investors, the key is to track both financial and production KPIs — the same ones we disclose quarterly in line with our budget.”

Tags: