Egypt: Qalaa 1Q16 losses

Qalaa Holdings recorded a 1Q16 net loss of EGP242.7m (US$27.3m), greater than the losses of EGP112.2m (US$12.6m) seen in the same period last year, as reported by news organisation Zawya Ltd.

Total revenues saw a 20 per cent increase YoY in 1Q16 compared to the adjusted EGP1.44bn reported for 1Q15. Comparative 1Q15 figures have been adjusted to reflect the divestment of ASEC Minya, ASEC Ready Mix, Ashreq, Misr Qena Cement, Rashidi El-Mizan and Tanmeya, eliminating the figures of divested companies.

Qalaa’s top-line growth was primarily driven by operational improvement at ASEC Cement’s subsidiary in Sudan, Al-Takamol and Qalaa’s energy generation and distribution company, TAQA Arabia. Qalaa holdings Chairman and Founder, Ahmed Heikal, said, "At the mid-way point in 2016, we are laser focussed on our core energy units, Egyptian Refining Company and TAQA Arabia, and will continue to press forward with our divestment programme.

“On that front, ERC – Egypt's largest in-progress private-sector megaproject – is more than 85 per cent complete and we expect to sell the first on-spec product in 2017 as planned, with the first full operational year expected to hike Qalaa's consolidated EBITDA in 2018.” EBITDA for the 1Q16 stood at EGP143.2m.