Cairo – Mubasher: Pharos Research has reiterated their ‘Equalweight’ recommendation on Qalaa Holdings at fair value (FV) of EGP 3 per share.
The Egyptian investment firm has reported being profitable during third-quarter of 2018 on the back of non-cash gains, according to a recent report.
Moreover, Qalaa Holdings reported non-cash gain associated with Africa Railways’ sale or liquidation, and are also anticipating proceeds of $50 million from the sale of Arab Swiss Engineering Co’s (ASEC) share in the Zahana cement plant in Algeria, set to take place in the first half of 2019, Pharos added.
The research firm expects Qalaa Holdings to remain profitable, bolstered by buoyed by one-off gains, “up until the start-up of ERC around June 2018”.
On Saturday, Qalaa Holdings posted EGP 126.4 million in net profit during Q3-19.
The company’s revenue soared 40% year-on-year to EGP 3.28 billion in Q3/2018, according to a company statement.
Earnings before interest, tax, depreciation, and amortisation (EBITDA) surged 43% to EGP 305.6 million, compared to the year-ago period.
In the first nine months of the year, Qalaa’s revenue grew 46% year-on-year to EGP 9.4 billion, while the company’s net profit recorded EGP 426.6 million in the same period, the company revealed.
