EFG Hermes Holding [HRHO]
Egypt / Non-Banking Financials / Q1 Results 2021
Fair Value EGP15.4
set on 22 Dec 2020
Investment Rating: Overweight | Risk Rating: Medium
Group’s recovery backed by healthy financials: EFG Hermes Holding [HRHO] reported a net profit growth of 223% y/y to EGP292mn in Q1 2021. Results clearly show signs of recovery from a weaker comparable period affected by the COVID-19 outbreak and burdened by precautionary provisions. The group’s net revenues grew to EGP1.2bn (+30% y/y), with the investment banking (IB) platform back on track. Meanwhile, growth at the non-banking financial services (NBFS) platform progressed, contributing 48% to the group’s bottom line. Recovery and solid financials nudged ROAE higher into double digits at 11%.
Sherif El Etr
Equity Analyst
T +202 3300 5720