EFG Holding posts strong Q2 2025 growth driven by diversified performance
EFG Holding, a financial institution with a universal bank in Egypt and the leading investment bank in the Middle East and North Africa (MENA), reported a 21 per cent year-on-year (YoY) revenue increase in Q2 2025 to EGP6.1bn, supported by strong results across all business lines—particularly EFG Finance, its non-bank financial institutions (NBFI) platform, and Bank NXT, its commercial bank.
Total operating expenses, including provisions and expected credit losses (ECL), rose 22 per cent YoY to EGP4.1bn, driven by higher provisions—mainly in EFG Finance—and increased general and administrative (G&A) costs, while employee expenses remained flat. With revenue growth outpacing expense growth, net operating profit rose 19 per cent YoY and net profit before tax increased 21 per cent YoY. Net profit after tax and minority interest grew 2 per cent YoY to EGP802m.
Group CEO Karim Awad said: 'Our second quarter results demonstrate the continued resilience and strength with which EFG Holding operates, supported by its diversified platform and strong geographic footprint. EFG Holding's first half of 2025 has been defined by meaningful milestones and strong momentum. Foremost among these is Valu's listing on the Egyptian Exchange (EGX) in June, complemented by Amazon's decision to exercise its Option Agreement with EFG Holding to acquire a direct stake in Valu. The period's financial results highlight the standout performance of EFG Finance, driven by Valu and Bank NXT. Our Asset Management platform continues to expand, with assets under management growing, while the Investment Banking division closed transactions totaling more than $1bn in the quarter.'
Business line performance
EFG Hermes
posted flat revenues at EGP2.7bn, with a 131 per cent YoY increase in combined Holding & Treasury Activities, Brokerage, and Buy Side revenues. Holding & Treasury Activities rebounded to EGP397m from a loss of EGP503m in Q2 2024. Brokerage revenues rose 25 per cent YoY, led by Egypt, Kuwait, and UAE markets. Net profit after tax and minority interest fell 11% YoY to EGP268m, due to lower profitability in the Investment Banking division.
EFG Finance
revenues surged 66 per cent YoY to EGP1.8bn, driven by broad-based growth. Valu led with a 71 per cent YoY revenue increase, fueled by securitisation gains, higher fees, and a 60% rise in loan issuances to EG4.7bn. Tanmeyah and Corp-Solutions also saw growth, with Leasing's portfolio doubling to EGP17.7bn. Operating expenses jumped 82 per cent YoY to EGP1.2bn due to inflation-driven costs, higher provisions, increased staff costs, and one-time listing expenses. Net profit after tax and minority interest fell 15 per cent YoY to EGP230m, due to higher minority interest after Valu's share distribution and reduced ownership from 95 per cent to 67 per cent.
Bank NXT
delivered 30 per cent YoY revenue growth to EGP1.6bn, led by higher net interest income and interest-earning assets. Operating expenses rose 23 per cent YoY to EGP694m, offset by a 27 per cent decline in provisions and ECL. Net profit after tax and minority interest jumped 39 per cent YoY to EGP304m.
Awad concluded: 'Amid ongoing geopolitical volatility and persistent macroeconomic headwinds, market dynamics across the MENA region remained varied, both in terms of liquidity and overall performance. Nonetheless, the Brokerage business delivered notable growth in total executions, driven primarily by robust activity in Kuwait and the UAE. Bank NXT continued to broaden its portfolio, diligently cultivating a strong base that will underpin future growth and generate lasting value. Anchored by a solid foundation, the firm is well-positioned to adeptly navigate changing market conditions and confidently capitalise on emerging opportunities for the benefit of clients and shareholders alike.'
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Arabian Business
3 hours ago
- Arabian Business
Invest in seconds: PRYPCO unveils instant AI valuations for fractional real estate in Dubai
UAE-based PropTech firm PRYPCO has partnered with Ovaluate — the world's first AI-driven Automated Valuation Model (AVM) platform — to launch the first-ever instant valuation engine for fractional real estate. Integrated into PRYPCO Blocks, the Dubai Financial Services Authority (DFSA)-regulated fractional ownership platform, the new tool delivers accurate, regulator-approved property valuations, for both fractional and full ownership assets, in just 10 seconds. Ovaluate's AVM technology draws on real-time market data and global valuation standards to generate transparent, unbiased, and compliant reports. UAE PropTech launches Dubai real estate valuation service Amira Sajwani, Founder and CEO of PRYPCO, said: 'Fractional ownership has transformed real estate investing, and trust depends on valuations that are accurate, transparent, and fast. 'With Ovaluate's AI-driven valuation technology integrated into PRYPCO Blocks, every investor now gets instant, data-backed insights. It's about levelling the playing field, strengthening market transparency, and reinforcing Dubai's leadership in PropTech innovation'. The partnership marks a major step for transparency in real estate, offering valuation capabilities once reserved for institutional investors to a wider global audience. Omran Yousef, Founder and CEO of Ovaluate, said: 'Our mission has always been to ensure property valuations are instant, unbiased, and methodologically sound. By partnering with PRYPCO Blocks, we're not just enhancing that standard, we're bringing it into a new era of real estate investment, where technology and transparency empower every investor'. Since launching, PRYPCO Blocks has made premium, regulated property investment accessible to investors in more than 200 countries, starting from just AED2,000 ($544).
Tahawul Tech
7 hours ago
- Tahawul Tech
Kaspersky highlights biometric, signature risks with attempts up by 21.2% in UAE
Kaspersky has detected and blocked over 142 million phishing link clicks globally in Q2 2025, the UAE saw a 21.2% increase from Q1 in phishing attempts. Currently phishing is going through a shift driven by sophisticated AI-powered deception techniques and innovative evasion methods. Cybercriminals are exploiting deepfakes, voice cloning and trusted platforms like Telegram and Google Translate to steal sensitive data, including biometrics, electronic signatures and handwritten signatures, posing unprecedented risks to individuals and businesses. AI-powered tactics transforming phishing attacks AI has elevated phishing into a highly personalized threat. Large language models enable attackers to craft convincing emails, messages and websites that mimic legitimate sources, eliminating grammatical errors that once exposed scams. AI-driven bots on social media and messaging apps impersonate real users, engaging victims in prolonged conversations to build trust. These bots often fuel romantic or investment scams, luring victims into fake opportunities with AI-generated audio messages or deepfake videos. Attackers also create realistic audio and video deepfake impersonations of trusted figures — colleagues, celebrities or even bank officials — to promote fake giveaways or extract sensitive information. For instance, automated calls mimicking bank security teams use AI-generated voices to trick users into sharing two-factor authentication (2FA) codes, enabling account access or fraudulent transactions. Additionally, AI-powered tools analyze public data from social media or corporate websites to launch targeted attacks, such as HR-themed emails or fake calls referencing personal details. Employing new tactics to bypass detection Phishers are deploying sophisticated methods to gain trust, exploiting legitimate services to prolong their campaigns. For instance, Telegram's Telegraph platform, a tool to publish long texts, is used to host phishing content. Google Translate's page translation feature generates links that look like and are used by attackers to bypass security solutions' filters. Attackers now also integrate CAPTCHA, a common anti-bot mechanism, into phishing sites before directing users to the malicious page itself. By using CAPTCHA, these fraudulent pages deflect anti-phishing algorithms, as the presence of CAPTCHA is often associated with trusted platforms, lowering the likelihood of detection. A switch in hunting: from logins and passwords to biometrics and signatures The focus has shifted from passwords to immutable data. Attackers target biometric data through fraudulent sites that request smartphone camera access under pretexts like account verification, capturing facial or other biometric identifiers that cannot be changed. These are used for unauthorized access to sensitive accounts or sold on the dark web. Similarly, electronic and handwritten signatures, critical for legal and financial transactions, are stolen via phishing campaigns impersonating platforms like DocuSign or prompting users to upload signatures to fraudulent sites, posing significant reputational and financial risks to businesses. 'The convergence of AI and evasive tactics has turned phishing into a near-native mimic of legitimate communication, challenging even the most vigilant users. Attackers are no longer satisfied with stealing passwords — they're targeting biometric data, electronic and handwritten signatures, potentially creating devastating, long-term consequences. By exploiting trusted platforms like Telegram and Google Translate, and co-opting tools like CAPTCHA, attackers are outpacing traditional defenses. Users must stay increasingly skeptical and proactive to avoid falling victim,' said Olga Altukhova, security expert at Kaspersky. Earlier in 2025 Kaspersky detected a sophisticated targeted phishing campaign which was dubbed Operation ForumTroll, as attackers sent personalized phishing emails inviting recipients to the 'Primakov Readings' forum. These lures targeted media outlets, educational institutions and government organizations in Russia. After clicking on the link in the email, no additional action was needed to compromise their systems: the exploit leveraged a previously unknown vulnerability in the latest version of Google Chrome. The malicious links were extremely short-lived to evade detection and in most cases ultimately redirected to the legitimate website for 'Primakov Readings' once the exploit was taken down. To be protected from phishing, Kaspersky recommends: Verify unsolicited messages, calls, or links, even if they appear legitimate. Never share 2FA codes. Scrutinize videos for unnatural movements or overly generous offers, which may indicate deepfakes. Deny camera access requests from unverified sites and avoid uploading signatures to unknown platforms. Limit sharing sensitive details online, such as document photos or sensitive work information. Use Kaspersky Next (in corporate environments) or Kaspersky Premium (for individual use) to block phishing attempts.
Arabian Business
8 hours ago
- Arabian Business
Sama X is empowering connectivity in the MENA region with satellite powered solutions
In many parts of the Middle East, North Africa, India, and Pakistan, reliable internet remains a distant promise. Sparse infrastructure, challenging geography, and natural disasters have long hampered traditional broadband deployment. Enter Sama X, a company that's not just bridging the digital divide but transforming how remote communities and industries connect to the world. Satellite-powered solutions As an authorised Starlink reseller, Sama X taps into SpaceX's vast constellation of over 7,000 low-Earth orbit (LEO) satellites to deliver high-speed, low-latency internet access where it's needed most. From remote oil fields to ships at sea, from disaster-stricken areas to fibre-starved regions, Sama X offers high-performance connectivity without the need for extensive on-ground infrastructure. This satellite-powered solution is a game-changer for communities and businesses that have long struggled with poor or non-existent coverage. 'We, at Sama X, are building on this foundation to deliver more than just internet access,' said Ramsey Khanfour, the CCO of Sama X. 'From supporting mission-critical operations in remote oil fields to enabling backup networks in both urban and rural places affected by fiber cuts or natural disasters, our solutions are built for responsiveness and resilience. Whether serving ships at sea or mines deep in the desert, we deliver high-performance connectivity with seamless integration'. The LEO advantage Traditional networks often require months of installation and heavy investment, but Starlink's LEO satellites, operating just a few hundred kilometres above Earth, deliver fast, reliable internet with latency as low as 30 milliseconds. By bringing these capabilities to the sky, Sama X empowers users to leapfrog outdated infrastructure entirely, allowing rapid deployment and exceptional performance in even the most remote settings. 'That leap in performance, combined with high data rates, means we can now power real-time applications, such as cloud computing, IoT networks, autonomous mobility, and high-frequency trading, from space,' said Khanfour. 'For businesses in remote locations or fast-changing environments, this is a game changer – they can get connected in hours, not weeks, without waiting for cable trenches, towers, or expensive satellite terminals requiring complex installations'. Recognising that no two users are the same, Sama X provides flexible, tailored connectivity packages to suit a wide range of needs. Whether you're a startup with a single site or a multinational spanning multiple regions, Sama X adjusts bandwidth, hardware, service levels, and local support accordingly. 'At Sama X, we work closely with our customers to understand their business and technical challenges. Our tailored package approach and flexible commercial and business model are designed to fit the customer, not the other way around'. Services include rapid delivery and installation, 24/7 Concierge Support, and real-time performance monitoring through the Sama X customer portal, ensuring that customers stay connected, informed, and in control. A hybrid approach Sama X doesn't just replace traditional networks, it enhances them. By integrating Starlink's satellite service with existing local infrastructure, Sama X offers a hybrid model that works as a reliable backup or even a primary connection where laying fibre simply isn't viable. This approach is particularly valuable for governments and enterprises operating across diverse terrains, ensuring secure and uninterrupted access to cloud services and critical data. The impact of Sama X extends far beyond basic connectivity. In healthcare, it enables telemedicine in rural clinics. In education, it brings online learning to isolated communities. In logistics, it supports real-time tracking and diagnostics. Maritime operations gain dependable offshore communication, and agriculture benefits from data-driven insights for smarter farming. 'As we look ahead, real-time monitoring, asset tracking, disaster recovery, and backup are key use cases in the short to mid-term' said Khanfour. 'Satellites' low latency and global reach will enable use cases such as smart agriculture as well as autonomous manufacturing and supply chain management. Further down the line, we anticipate a growing demand for autonomous vehicles and micro-mobility'. With each connection, Sama X is not just linking users to the internet, it's enabling innovation, inclusion, and growth. A future-ready vision As demand for satellite broadband accelerates, Sama X stands ready to lead the charge. Backed by cutting-edge technology and a deep understanding of local market needs, the company is building more than a network, it's shaping a digitally inclusive future for the regions it serves. 'The combination of Sama X and Starlink LEO capabilities allows for increased use of valuable digital enablers, such as cloud computing, automation, and AI, even in the most isolated locations, unlocking new opportunities and socio-economic gains,' said Khanfour.
