Commercial International Bank [COMI]: Earnings Beat Despite Higher Provisions
Overweight and 12M PT maintained
Commercial International Bank [COMI]
Egypt / Banks / Q4 2020 Results
12M PT EGP83
(+35%) set on 25 Oct 2020
Investment Rating: overweight | Risk Rating: medium
Earnings better than expected
Net profit retreated 12.7% y/y to EGP10.3bn as a result of higher provisions build-up (+3.5x y/y) of EGP5.0bn (-30% q/q). This was despite higher net interest income (NII) (+16.3% y/y) of EGP25.1bn (-1.6% q/q). Earnings came in 10.3% higher than our estimates of EGP9.3bn, thanks to better NII (+3.1%) and despite higher provisions by 8.4% (vs. our estimates of EGP4.6bn).
Shihab M. Helmy
Equity Analyst
T +202 3300 5723