Today: We have an update from ALCN + the latest PMI figures. Let’s get to it.

🔔 EGX30 ended -2.03% by market close at 46,725 points, the EGX70 rose 0.20% to 11,971 points, and the EGX100 also rose 0.17%  to reach 16,940 points

💸 The number of transactions reached 144,894 spread across 1,293,264,514 stocks leading to a turnover of EGP 6.5 billion.

🏷️ International investors were the only net sellers.

📈 Top gainers across the broader market Abu Qir Fertilizers (+14.9%), Kima (+8.0%), and Kafr El Zayat Pesticides (+7.1%).

📉 Top losers: TMG Holding (-6.3%), Alexandria New Medical Center (-5.1%), Cairo Educational Services (-4.7%.)

⬆️ Top gainers for EGX30 included Abu Qir Fertilizers (+14.9%), Kima (+8.0%), and Valmore Holding- EGP (+7.0%).

⬇️ Top losers for EGX30 included TMG Holding (-6.3%), ADIB (-3.7%), and E-finance (-3.7%).

Other Important Stats: 

🧈 24K Gold reached EGP 8,281 per gram, down -2.4% day-on-day but up 8.9% month-on-month.

💲 The USD reached EGP 49.83 at the National Bank of Egypt.

Alexandria Container & Cargo Handling (ALCN) has agreed to move ahead with a memorandum of understanding to transfer its stake in Egypt Ports Company to the state-owned Holding Company for Maritime and Land Transport, according to a disclosure. The proposed sale is still conditional on an independent valuation and approval from shareholders.

The potential divestment comes as logistics operators navigate heightened geopolitical uncertainty that continues to weigh on global trade flows.

ALCN is controlled by UAE sovereign investor ADQ through AD Ports Group, which holds an indirect 51.33 percent stake after purchasing an additional 19.33 percent from the Saudi Egyptian Investment Company in November.

Next steps

Completion of the transaction depends on the outcome of the fair value review and a shareholder vote, both of which will determine the structure, timing, and ultimate financial impact of the deal.

Egypt's non-oil private sector businesses reported a reduction in their activity levels for the first time in four months in February , with the headline seasonally adjusted S&P Global Egypt Purchasing Managers' Index (PMI) dropping to 48.9 from 49.8 in January. The latest reading ended a three-month sequence of expansion as a softening of demand conditions weighed on output. Sales downturns were recorded in the manufacturing, wholesale and retail, and services parts of the non-oil private sector, while construction was the only monitored sector where new orders improved.

What this means:

The headline PMI is a composite gauge designed to give a single-figure snapshot of operating conditions in the non-oil private sector economy. While the February reading of 48.9 was below the 50.0 neutral threshold, it remained above its long-run average of 48.3. S&P Global Senior Economist David Owen noted that the dip followed an unusually strong run of business performances. Furthermore, the trend between the PMI and non-oil GDP growth suggests that the latest reading was still indicative of a robust upturn in domestic non-oil economic output, consistent with annual GDP growth running at approximately 4.5%.

Output declines as firms continue to shed jobs:

In a shift from recent trends, a fresh decrease in activity concluded a three-month sequence of expansion, marking the first time output has declined since last October. Contractions in business activity and new orders led businesses to curb their capacity and purchases. Consequently, staff numbers dropped for the third month in a row, albeit only slightly. Companies mentioned both active job cutting and hiring freezes , although this was partly offset by hiring at some companies as part of operational improvements.

Cost pressures accelerate, hitting business margins:

Average price pressures in the non-oil economy rose markedly in February, as firms highlighted further increases in material prices and wage costs. Rising global commodity prices, particularly for key items such as oil and metals, hit import expenses. Subsequently, total input costs grew at the fastest rate since May 2025. Despite the sharpest increase in business costs for nine months, selling prices were up only fractionally, with just a small proportion of firms choosing to pass cost increases onto their customers, thereby squeezing business margins.

Outlook:

The contractions in business activity and new orders provided a relatively muted outlook for future output. According to S&P Global's David Owen, Egyptian non-oil companies were notably exposed to the uplift in global commodity prices, and firms will be keen to see commodity markets settle. This is especially important as recent periods of high input cost inflation have typically constrained business output.