GB Auto net income triples in 2Q off of higher revenues
GB Auto’s net income more than tripled to EGP 374.3 mn in 2Q2021, compared to EGP 115.8 mn in the same period last year, the company said in an earnings release (pdf). Revenues surged by 81% y-o-y to EGP 7.27 bn during the quarter thanks to improved market conditions and stronger consumer demand, which saw car sales reach more than 10.1k, up from 4.2k last year.
In detail: Revenues in the auto and auto-related segment almost doubled to EGP 5.4 bn, helping it to an EGP 260.9 mn profit during the quarter after having made an EGP 27.8 mn loss in 2Q2020. GB Capital delivered EGP 1.85 bn in revenues, notching 41% top line growth from last year, while net income was up 6% to EGP 143.6 mn.
Looking forward: Improved market conditions and rising market demand are expected to continue to back the company’s performance through to year-end, said GB Auto CEO Nader Ghabbour. The company has recently added the Changan and Haval brands to its portfolio and sees its market share growing as “supply constraints related to the semiconductor shortage begin to ameliorate, ” he said. Over at GB Capital, the company plans to expand its non-banking financial services sector via “innovation and tech-driven offerings,” noted Ghabbour.
ALSO REPORTING EARNINGS- Prime Holding reported a EGP 14.9 mn net loss in 2Q2021, after its EGP 3.6 mn profit in the same quarter last year, the company said in its earnings release (pdf). Revenues also declined 24% to EGP 22.6 mn in 2Q2021 compared to EGP 29.7 mn last year.
AND- Misr Cement Qena’s consolidated net profits rose 9.2% to EGP 69 mn in 1H2021, compared to EGP 63 mn in the same period last year, according to the company’s earnings release (pdf). The growth comes despite a 4.7% decline in revenues to EGP 1.29 bn in 1H2021.