Pre-Trading Thoughts

Al Ahly Pharos

The CBE's MPC is scheduled to meet on Thursday, 21 November.

The IMF mission that is in Cairo is set to complete the fourth review of Egypt’s USD8 billion loan program this week.

Egypt’s unemployment rate rose to 6.7% of the total workforce in the third quarter of 2024, up 0.2 percentage points from the previous quarter.

The Madbouly government on Thursday inked two MoUs with local and international energy players (Taqa Arabia and Voltalia consortium and UAE Alcazar) that could see them develop projects producing some 5.2 GW of renewable energy under a build-own-operate (BOO) system.

Suez Canal revenues have reportedly dropped by 61% YoY in 9M24.

The Cabinet approved amendments to the Unified Budget Act, setting an annual debt ceiling for the government and all 59 of its economic bodies.

The Cabinet approved a new mechanism to ensure all entities responsible for customs clearance work seven days a week, including bank branches at ports.

Egypt is now a member of the Baku Initiative for Climate Finance, Investment, and Trade unveiled at COP29.

The National Industrial Strategy aims to boost the industrial sector's contribution to the country’s GDP from to 20% by 2030 from 14% currently.

The net foreign assets of the CBE increased by about USD168.5 million in October, reaching c.USD10.625 billion.

Dana Gas is waiting for the Egyptian government to pay USD24 million of its dues.

The cost of the export burden rebate program implemented during March 2024 through June 2025 is estimated at EGP23 billion,

We raised our FV of LCSW from EGP30.08/share to EGP37.00/share and maintain our Overweight recommendation for the stock.

SWDY reported 3Q24 consolidated results. Attributable earnings surged to EGP4.8 billion (+92%, +8% QoQ).

MCQE reported enhanced financial performance in 3Q24. Attributable bottom line came in at EGP21.7 million in 3Q24 bouncing back from a recorded loss of EGP1.1 million in the previous quarter and a loss of EGP29.6 million in 3Q24.

SWDY’s Board approved guaranteeing and warranting Elsewedy Electric Power Systems Projects a facility contract of USD329.3 million.

FWRY reported record 3Q24 results. Net profit came in at EGP478 million (+135% YoY, +48.5% QoQ).

NTRA has issued licenses for seven firms to establish and operate call centers using voice over internet protocol and other tools.

GBCO released 3Q24 results. Net profit recorded EGP746 million in 3Q24 (+12.6% YoY, +76.8% QoQ).

State-owned El Nasr Automotive has officially restarted operations after a 15-year hiatus.

JUFO reported 3Q24 financial results. Net profit recorded EGP958 million in 3Q24 (+197.2% YoY, -4.3% QoQ).

POUL reported 3Q24 financial results. Bottom line recorded EGP681.8 million in 3Q24 (+88.2% YoY, +18.9% QoQ).

HDBK 3Q24 standalone bottom line came in strong at EGP3,113 million (+14% q/q, +122% y/y). HDBK is currently trading at 2025 P/E of 2.8x and P/B of 0.8x.

EXPA 3Q24 bottom line post minority interest recorded EGP1,564 million (+21% q/q, +53% y/y).

CANA 3Q24 bottom line recorded a strong EGP1,314 million (+10% q/q, +80% y/y),

BINV’s bottom line in 3Q24 recorded a solid EGP342 million (+6.2% q/q, +423% y/y), bringing 9M24 net profit to EGP1.6 billion (+160 % y/y).

United Bank is studying the acquisition of a bank in the local market.

TAQA and Italian renewable energy developer Voltalia signed a non-binding Memorandum of Understanding (MoU) with EETC and NREA to study a 3.2 gigawatt (GW) capacity wind/solar power plant in Suez.

RMDA reported positive 3Q24 results. Net profit amounted to EGP120 million, up 89.7% QoQ and 54.5% YoY.