Today’s Top News & Analysis
Wintershall Dea starts gas production at East Damanhur well
Another huge bond issuance for NUCA
Egypt’s auto sales increased by 23% m/m in September 2023
Egypt's chemical and fertilizers exports decrease 18% y/y in 9M 2023
Egypt's tourist numbers increase by 20% in 9M 2023
EFG Holding's education investment arm to expand into KSA
Fertilizer producers deny any negative effect from gas supply cuts
AMOC Q1 2023/24 prelim.: Strong revenues but slow net profit growth
MACRO
Wintershall Dea starts gas production at East Damanhur well
German oil giant Wintershall Dea has started gas production at its East Damanhour onshore concession. This well is set to produce around 10 mn scf of gas a day. The well is operated by Wintershall, which has a 40% share in the project alongside local energy giant Cheiron Energy (40%), and Croatian national producer INA (20%). (Wintershall Dea)
Another huge bond issuance for NUCA
The New Urban Communities Authority (NUCA) is reportedly about to go through an EGP15bn bond issuance. The proceeds are to be used for new cities' infrastructure. (Al-Mal)
Egypt’s auto sales increased by 23% m/m in September 2023
According to the Automotive Marketing Information Council (AMIC), Egypt’s Auto sales volumes increased 23% m/m to 9,900 vehicles in September 2023, as:
Passenger car sales increased by 15% y/y to 7,887 units.
Bus sales increased by 39% y/y to 689 units.
However, truck sales decreased slightly by 1% y/y. (Enterprise)
Egypt's chemical and fertilizers exports decrease 18% y/y in 9M 2023
Egypt's exports of chemical and fertilizer industries decreased to USD5.3bn in 9M 2023, compared to USD6.48bn same period last year, marking an 18.2% decline. According to data from the Export Council for the sector, fertilizer exports ranked first with a value of USD1.7bn, followed by plastic resin exports at USD1.5bn, and then inorganic chemicals at approximately USD686.5mn. (Economy Plus)
Egypt's tourist numbers increase by 20% in 9M 2023
The number of incoming tourists to Egypt has increased by approximately 20% to 11mn tourists during 9M 2023, according to the CEO of the Egyptian Tourism Promotion Authority. He also added that despite the ongoing events in the region, the preliminary indicators of international tourist flows to Egypt in October show a 10% growth compared to the same period last year. The authority's expectations remain the same for the number of tourists throughout the year at 15mn tourists by the end of 2023. (Asharq Business)
CORPORATE
EFG Holding's education investment arm to expand into KSA
The Education investment arm of EFG Holding [HRHO], Egypt Education Platform (EEP), is studying to launch in Saudi Arabia within 12-18 months. (Enterprise)
Fertilizer producers deny any negative effect from gas supply cuts
Abu Qir Fertilizers [ABUK] and Misr Fertilizers Production (MOPCO) [MFPC] have stated that the reduction in their gas supply has not been impactful so far due to their adequate stockpiles after the government lowered gas supplies to companies with heavy natural gas usage. ABUK stated that the company has seen an 11% decrease in its gas supply to its factories over the past two days, which was managed by conserving consumption. MOPCO clarified that gas supplies to the factory have been reduced since October 27th, but there has been no impact on the company's production volume or its maintenance plan. (Companies disclosures 1, 2)
AMOC Q1 2023/24 prelim.: Strong revenues but slow net profit growth
Alexandria Mineral Oils Co. [AMOC] reported its consolidated Q1 2023/24 net profits with a slow y/y growth of 6% to EGP423mn despite an 18% y/y growth in revenues to EGP7bn. However, the gross profit margin slightly decreased to 9.9% (-0.6pp y/y). (Company disclosure
MARKETS PERFORMANCE
Key Dates
2-Nov-23
MPC Meeting / Determining the CBE's policy rate.
4-Nov-23
MFPC: EGM / Approving the merger contract & amending some articles of the Company's bylaws.
5-Nov-23
Egypt PMI / October 2023 reading.
EFID: OGM / Approving proposed dividends for 31 Dec. 2022.
AMOC: Cash dividend / Deadline for eligibility for a dividend of EGP0.65/Share.
6-Nov-23
EFIH: Cash dividend / Deadline for eligibility for a dividend of EGP0.177/Share.
7-Nov-23
EFIH: Cash dividend / Ex-dividend date for EGP0.177/Share.
CIRA: Cash dividend / Deadline for eligibility for a dividend of EGP0.24/Share.
8-Nov-23
AMOC: Cash dividend / Payment date for a dividend of EGP0.45/share (1st installment).
9-Nov-23
EFIH: Cash dividend / Payment date for a dividend of EGP0.177/share
DOMT: OGM / Approving the proposed dividends.
12-Nov-23
CIRA: Cash dividend / Payment date for a dividend of EGP0.24/share
14-Nov-23
MSCI: MSCI's November 2023 Semi-Annual Index Review Announcement.
23-Nov-23
TALM: OGM / Approving financial statements ending 31 August 2023 and the proposed dividends.
26-Nov-23
EFID: EGM / Discussing capital reduction & amending Articles No. 3, 6 & 7 of the company's bylaws.
30-Nov-23
ZMID: Cash dividend / Payment date for a dividend of EGP0.10/share (2nd installment).