Today: We have earnings updates from Qalaa, Taqa, Ascom, and Taaleem Management Services. We also the latest on the EGX's performance in Q2 + news from Telecom Egypt and Orascom Development.

🔔 EGX30 ended +0.7% by market close at 52,928 points, the EGX70 rose 1.5% to 17,049 points, and the EGX100 rose 1.2% to reach 22,887 points.

💸 The number of transactions reached 231,451 spread across 3,685,974,970 stocks leading to a turnover of EGP 11.962 billion.

🏷️International investors were the only net buyers. 

📈 Top gainers for the market as a whole included Delta For Printing & Packaging (+20.0%), Glaxo Smith Kline (+20.0%), Nozha International Hospital (+13.0%)

📉 Top losers for the market included Alexandria New Medical Center (-16.2%), Egyptian Real Estate Group (-4.9%), and Catalyst Partners Middle East (-4.3%).

⬆️ Top gainers for EGX30 were Abu Qir Fertilizers (+2.4%), Arabian Cement (+2.2%), and Fawry (+1.9%).

⬇️ Top losers for EGX30 included Palm Hills Developments (-1.9%), GB Corp (-1.3%), and Raya Holding (-1.0%).

Other Important Stats: 

🧈 24K Gold reached EGP 6,628 per gram, down 0.9% day-on-day and down 7.5% month-on-month.

💲 The USD reached EGP 50.5 at the National Bank of Egypt.

Qalaa Holdings (CCAP) slipped to a consolidated net loss attributable to shareholders of EGP 46.0 million in 4Q 2025, compared with a EGP 420.7 million profit a year earlier, according to its latest earnings release. The reversal came despite improving operating performance across several key subsidiaries, as interest provisions tied to debt restructuring agreements with local banks continued to weigh on the holding company's bottom line. Quarterly revenue edged 2% lower YoY to EGP 34.9 billion.

Where the profits came from

While the parent company posted a loss, several core businesses delivered stronger results:

Egyptian Refining Company (ERC): Net profit reached EGP 2.2 billion, compared with a EGP 1.0 billion loss in 4Q 2024, as stronger refining margins offset a 3% decline in revenue to EGP 30.7 billion.

Taqa Arabia (TAQA on the EGX): Net profit rose 27% YoY to EGP 353.0 million.

Ascom (ASCM on the EGX): Reported a EGP 70.8 million net loss, a sharp improvement from the EGP 404.2 million loss recorded a year earlier.

ASEC Holding remained profitable, although earnings fell 79% YoY due to a high comparison base, while Dina Farms narrowed its quarterly loss to EGP 28.8 million.

The full-year picture

The same trend carried through 2025. Qalaa reported EGP 135.5 billion in annual revenue, down 9% YoY, while posting a consolidated net loss of EGP 1.2 billion, versus a EGP 6.4 billion profit in 2024. Its listed subsidiaries, however, delivered stronger annual performances, with Taqa Arabia increasing net profit 50% YoY to EGP 1.1 billion and Ascom swinging to a EGP 308.3 million profit from a EGP 338.9 million loss a year earlier.

Recent stock performance

Investors have remained optimistic despite the weak headline earnings. Qalaa shares are up 43.7% since the start of 2026, bringing their 12-month gain to 67.1%. Ascom has rallied 37.9% year-to-date, taking its one-year gain to 76.1%, while Taqa Arabia has been broadly flat this year, rising just 0.4%, though it remains 11.8% higher than a year ago.

Looking ahead

Management said its priority remains expanding cash generation while reducing leverage through targeted investments across its subsidiaries. ERC also fully repaid its senior debt in June 2026, potentially paving the way for future dividend distributions. Meanwhile, Qalaa plans to unlock value through five IPOs over the next two years, with National Ports Management expected to become the group's first listing in 2026.

Taaleem Management Services (TALM) reported a 9% YoY decline in net profit to EGP 737 million during the nine months ended 31 May 2026, as higher interest expenses tied to debt-funded campus expansions weighed on the bottom line, according to its latest earnings release. Revenue, however, climbed 34% YoY to EGP 2.41 billion, supported by rising student enrollment and higher average revenue per student.

Growth story remains intact

Student enrollment jumped 28% YoY to 15,681, while average revenue per student increased 15%. Despite the rapid growth, Taaleem is currently operating at just 48% of its licensed capacity of 32,550 students, leaving significant room to expand enrollment using its existing campus network before requiring substantial additional investment.

Investing for the next phase

The company invested EGP 889 million during the period, with 97% of capital expenditure directed toward expansion projects, including Badya University, the first phase of Memphis University, and Nahda University's Nursing Faculty and University Hospital in Beni Suef. Medical education continues to anchor the group's strategy, supported by the launch of the Taaleem Medical Complex at Nahda University and Memphis University's private medical program in East Cairo.

What's next

Management said the board is reviewing strategic options to close what it sees as a gap between Taaleem's market valuation and its long-term growth potential. The company is also preparing to launch the Faculty of Engineering at Badya University, alongside the Faculties of Engineering and Business Administration at Memphis University, with both scheduled to welcome students in the 2026/27 academic year.

Market performance

Taaleem shares have been broadly flat in 2026, gaining 1.1% year-to-date, but remain up 49.4% over the past 12 months.

Egypt's stock market wrapped up the second quarter on a positive note, with the EGX30 climbing 11.4% to close at 50,500 points. Most of those gains, however, came during April and May before June's 4.1% pullback, as investors locked in profits ahead of mid-year portfolio adjustments. Speaking to EnterpriseAM, Sameh Gharib, Capital Markets Expert at Tycoon Securities, said the correction was a natural pause after two months of strong gains, with profit-taking, portfolio closures, and index rebalancing all weighing on the market.

Small caps stole the spotlight

The quarter belonged to smaller companies. The EGX70 surged 23.7% while the EGX100 gained 21.3%, comfortably outperforming the benchmark as lower free-float stocks required less buying power to move higher, Gharib told EnterpriseAM. Travel & leisure and education led sector performance, while basic resources was the only sector to finish the quarter in negative territory. Meanwhile, the EGX's market capitalization climbed 13.7% to EGP 3.68 trillion, with total trading value exceeding EGP 6.9 trillion during the quarter.

Local investors kept the market afloat

Trading flows highlighted a sharp split between domestic and overseas investors. Egyptian institutions were the market's largest buyers, recording net purchases of EGP 9.4 billion, while local retail investors added another EGP 2.1 billion. By contrast, foreign and regional institutions were net sellers of EGP 4.8 billion and EGP 5.1 billion, respectively. Selling also extended to retail investors outside Egypt, with foreign individuals offloading EGP 298.3 million worth of equities and Arab investors selling a further EGP 1.4 billion.

According to Gharib, speaking to EnterpriseAM, much of the regional selling reflected investors raising liquidity in Gulf markets after heightened geopolitical tensions rather than a deterioration in Egypt's market fundamentals.

The next catalyst

Looking ahead, Gharib believes bringing foreign institutional investors back will require more than an improvement in regional sentiment. Speaking to EnterpriseAM, he argued that Egypt also needs a broader pipeline of large, investable listed companies to better compete with increasingly accessible Gulf markets. In the near term, he expects Q3 to be a period of consolidation before the market's typically stronger fourth quarter, though a sustained rally in blue chips will likely depend on foreign and regional institutions easing their selling.

📡 Telecom Egypt (ETEL) has terminated its planned sale of a 75–80% stake in its regional data center business to UK-based Helios Investment Partners, a transaction previously expected to be worth around USD 230–260 million, after key legal and contractual conditions could not be met. Instead, the company will retain full ownership of the business by transferring its data center assets into a wholly owned subsidiary, allowing it to pursue growth independently in one of the fastest-growing segments of the digital infrastructure market.

🏗️  Orascom Development has secured EGP 18 billion in syndicated financing to fast-track construction at its O West project in West Cairo, it said in an EGX disclosure. The funding — from the National Bank of Egypt, Banque Misr, and CIB — will support ongoing residential development and infrastructure works, with the project currently around 25% complete as the developer ramps up delivery of the remaining phases.

Dates to keep an eye out for

Tomorrow:

B Investments - record date for USD 0.030 per share. The distribution date is July 26.

July 26:

Lotus For Agricultural Investment- record date for 0.266 bonus share per original share. The distribution date is July 27.

Gourmet Egypt record date for EGP 0.216 per share. The distribution date is July 29.

July 28:

Egytrans Nosco - record date for EGP 0.20 per share. The distribution date is August 2. 

July 29:

GB Corp - distribution date for EGP 0.15 per share. The record date was April 26.

July 30: 

Misr Fertilizers Production - distribution date for EGP 1 per share. The record date was May 3.

Talaat Moustafa Group - distribution date for EGP 0.15 per share. The record date was May 18.