We hope you had a nice Eid Break with family and friends. Today we have the latest financial results of Beltone, Madinet Masr, & Ferchem, which all showed profit declines in Q1. We also have IPO news from Korra Energi. Let's dive in.

🔔 EGX30 ended -0.4% by market close on Monday at 52,658 points, the EGX70 rose 0.5% to 14,651 points, and the EGX100 rose 0.4% to reach 20,477 points.

💸 The number of transactions reached 176,373 spread across 1,737,576,939 stocks leading to a turnover of EGP 9.921 billion.

🏷️ Local investors were the only net buyers. 

📈 Top gainers for the market as a whole included Egyptian Gulf Marseilia For Real Estate Investment (+10.3%), International Co For Investment & Development (+10.0%), Speed Medical (+6.7%).

📉 Top losers for the market included Golden Textiles & Clothes Wool (-5.6%), Misr Hotels (-5.1%), and Creast Mark For Contracting And Real Estate Development (-5.0%).

⬆️ Top gainers for EGX30 included Palm Hills Developments (+5.9%), Orascom Construction (+3.5%), and GB Corp (+2.8%).

⬇️ Top losers for EGX30 included Raya Holding (-2.2%), CIB (-2.2%), and Egypt Aluminum (-2.2%).

Other Important Stats: 

🧈 24K Gold reached EGP  7,839 per gram, up 0.3% day-on-day but down 2.0% month-on-month.

💲 The USD reached EGP 52.23 at the National Bank of Egypt.

Financial services provider Beltone Holding (BTFH) reported a net profit of EGP 695 million for Q1 2026, marking a marginal 1% year-on-year decrease primarily as integration costs tied to its recent acquisition of Baobab Group and platform expansion expenses weighed on profitability, according to its latest earnings release.

Total consolidated operating revenue surged 142% year-on-year to EGP 6.8 billion, driven by continued expansion across the group’s non-banking financial services platform and the first-quarter consolidation of Baobab’s operations following the EUR 197.6 million acquisition completed in February.

Baobab quickly became Beltone’s largest revenue contributor, accounting for 53% of consolidated operating revenue and giving the company direct exposure to several African markets including Senegal, Côte d’Ivoire, and Nigeria as part of its regional expansion strategy.

Other business lines also delivered solid growth during the quarter:

Leasing and factoring revenue rose to EGP 720 million as the outstanding portfolio expanded 19% year-on-year to EGP 13.7 billion.

Mortgage finance generated EGP 541 million in revenue, up 23% year-on-year, supported by larger financing tickets and a 54% increase in the outstanding portfolio.

Consumer finance revenue reached EGP 417 million, while downloads of the company’s “seven” application surpassed 1 million users.

Investment banking revenue climbed 21% year-on-year to EGP 325 million amid a stronger deal pipeline and growing GCC advisory activity.

Securities brokerage revenue rose 27% year-on-year to EGP 300 million as market share reached 5.6%.

Microfinance revenue increased 60% year-on-year to EGP 291 million following continued branch network expansion across 18 governorates.

SME financing revenue rose 30% year-on-year to EGP 130 million, with the outstanding portfolio growing 58% to EGP 1.9 billion.

Recent stock performance:

Beltone’s shares are down 10.5% since the start of 2026, though the stock remains up 10.4% compared with levels recorded 12 months ago.

Madinet Masr (MASR) reported Q1 2026 consolidated net profit after tax and minority interests of EGP 677.7 million, down 14.6% YoY, mainly due to revenue mix normalization as unit deliveries—which typically carry lower margins than primary sales—contributed a higher share to the top-line, according to its latest earnings release.

Revenues rose 7.4% YoY to EGP 2.75 billion, supported by the continued acceleration of construction and unit delivery activity. 

Sales momentum remains strong:

New sales reached EGP 11.7 billion for the quarter, reflecting a mild 7.0% structural contraction compared to the EGP 12.6 billion recorded in Q1 2025 as the Egyptian real estate market normalized following two exceptional years of demand acceleration. Despite lower absolute value, the company successfully scaled sales volumes, selling 1,495 units during the quarter—a 59.0% increase year-on-year from 940 units in Q1 2025. 

Sarai led overall performance, generating EGP 5.0 billion in new sales (accounting for 42.8% of the total), followed closely by the company's New Heliopolis development at EGP 3.9 billion (33.2%). Meanwhile, the newly introduced Mostakbal City venture, The Butterfly, brought in EGP 695.8 million (5.9%), while the Taj City development generated EGP 417.4 million (3.6%). Contributions from other projects and subsidiaries rounded out the top-line sales with EGP 1.7 billion.

Looking ahead:

The company's operational focus remains centered on accelerating delivery metrics, effectively monetizing its substantial 12.8 million sqm land bank, and maintaining a heavily disciplined approach to capital allocation across its East Cairo master plans and its flagship Upper Egypt expansion, Zahw Assiut. 

It’s worth noting that the company ended the quarter with an unrecognized revenue backlog of EGP 98.2 billion, marking a 3.5% growth from year-end 2025 and providing strong visibility on future revenues and medium-term cash conversion.

Recent stock performance:

The company has seen a strong start to the year, with its share price rising 62.7% since the beginning of 2026. This makes its share value up 49.4% compared to levels recorded 12 months ago.

Ferchem Misr for Fertilizers and Chemicals (FERC) reported net profit after tax of EGP 218.2 million in Q1 2026, down 61.6% year-on-year, as rising production costs weighed on profitability despite higher revenues, according to its latest financial results.

Revenue increased to EGP 2.03 billion during the quarter, compared with EGP 1.47 billion a year earlier, reflecting stronger top-line performance even as margins came under pressure.

In parallel, the company is advancing its expansion strategy. In April, Ferchem Misr announced it is close to signing an agreement to establish a new joint venture, Nile Ferchem for Phosphate Fertilizers, with an issued capital of EGP 400 million to develop an integrated phosphate complex in Sokhna. The project aims to upgrade low-grade phosphate into higher-value fertilizers, with Ferchem holding a 60% controlling stake.

Recent stock performance:

Ferchem Misr’s shares are down 5.7% since the start of 2026, but remain up 41.9% over the past 12 months.

Korra Energi (KORA) completed its initial public offering on the EGX, with the retail tranche oversubscribed 31.35 times, reflecting strong investor demand.

The offering attracted subscription orders exceeding 3 billion shares, enabling the company to raise EGP 735 million through the sale of an 11% stake. The shares were priced at EGP 2.97 each, representing a 7.19% discount to the independent financial advisor’s fair value estimate of EGP 3.20 per share.

Trading in the newly listed stock is expected to begin following the Eid break. The transaction marks the second IPO on the EGX this year, following the listing of Gourmet Egypt in February.

Company background:

Founded in 1997, Korra Energi evolved from its original structure into a diversified engineering and infrastructure group operating across Egypt and regional markets, including Saudi Arabia and Iraq.

Its operations span electromechanical contracting, renewable energy installations, water desalination, district cooling systems, and agricultural investments, alongside broader industrial services.

Korra Energi also holds a 34.54% stake in Cairo Oils and Soap (COSG), which is listed on the EGX.

The company is targeting total business volume of EGP 9.5 billion by the end of this year, with a longer-term goal of reaching EGP 17 billion by the end of the decade, its management told Asharq earlier this month.

Today:

Elsewedy Electric - record date for EGP 1.85 per share. The distribution date is June 4.

3 June:

Rameda - distribution date for EGP 0.030 per share. The record date was May 31.