Egytrans outperforms with revenues growing 5 times in H1

Egytrans, a leading provider of logistics and transportation solutions in Egypt, continues to outperform with  26  percent growth in revenues during the first half of 2019 which is nearly 5 times the market growth of 4.3 percent.

Egytrans consolidated 1H19 Revenues increased by 25.7 percent to reach 156.1 million Egyptian pounds driven by growth in regular business.

Meanwhile,  Net Profits after Taxes witnessed a slight decrease of 5.1 percent, reaching 23.7 million pounds down from 25 million pounds, registering a Net Profit Margin of 15.2 percent vis-a-vis a margin of 20.1 percent in 1H18, as a result of FX loss in the amount of 3.3 million pounds due to EGP appreciation in addition to a lower Net Interest Income which decreased by 58.4 percent to 1.5 million pounds.

EBITDA margin lost 760.1 bps to reach 19.6 percent vs. 27.2 percent for both halves respectively, pulled down by the increase in operating costs by 49 percent in 1H19 while Cost/Revenues ratio rose to 1,071.6 bps to record 68.6 percent in 1H19 vis-à-vis 57.9 percent in the same period of the previous year as a result of decrease in projects business line.

In the meantime, cash balance decreased by 28.6 percent to 87.1 million pounds by end of 1H19 down from 122 million pounds by end of 2018. This decline was as a result of paying dividends to shareholders of EGP 1/share in addition to profit share paid out to employees and members of the BoD as well as payment of some of the company’s liabilities.

Commenting on the performance Abir Leheta, Chairman of Egytrans said “The Group posted an excellent first-half 2019, confirming the robustness of its business model and the commitment of its team to satisfying its customers. Our different business activities contributed to this organic growth momentum.”

Egytrans’ separate revenues reached 137.4 million pounds, registering a 30.1 percent increase Y-o-Y. In the meantime, costs increased to 103.1 million pounds. On the other hand, SG&A added 8.7 percent to 15.7 million pounds. As a result, EBITDA margin declined 13.3 percent to 18.5 million pounds in first half of 2019 from EGP 21.3 million in first half of 2018. Net profits after taxes decreased by 12.5 percent to  25.5 million pounds in the first half of 2019 vis-à-vis 29.2 million pounds a year ago, representing net profit margin of 18.6 percent in first half of 2019 vis-à-vis 27.6 percent in first half of 2018.

Egyptian Transport & Logistics (ETAL),recorded a slight 2.7 percent decrease in 1H19 revenues recording 10.1 million pounds. Meanwhile, Net Profits after Taxes increased by 3 percent Y-o-Y to 3.4 million pounds  in 1H19 mainly due to lower taxes which dropped 71.2 percent to 0.8 million pounds in 1H19 compared to 2.7 million pounds registered during the same period last year.

Egytrans Depot Solutions (EDS), a fully owned subsidiary of Egytrans, specializing in storing, cleaning and repairing liquid bulk cargo containers (ISO Tanks), recorded a remarkable jump in its 1H19 Net Profits after Taxes to USD 0.267 million vis-a-vis USD 0.175 million in 1H18. On the top-line level, revenues