Loay Jassim Al-Kharafi, Chairman of Egypt Kuwait Holding
Jon Rokk, CEO of Egypt Kuwait Holding
Business
Egypt Kuwait Holding Revenues Surges 32% during 1H 2025 to USD 397 million | Net Profit increases 1%to USD 101million
KUWAIT CITY, Aug 17: Egypt Kuwait Holding Company (EKH) one of the MENA region’s leading investment companies, today announced its consolidated financial results for the period ended 30 June 2025. EKH reported consolidated revenues of USD 397 million in 1H25, up 32% y-o-y, supported by broad-based growth across its portfolio, reflecting strong operational momentum. Profitability remained solid, with gross profit and EBITDA margins of 43% and 42%, respectively, underpinned by robust performance across core segments.
Net profit increased 1% y-o-y to USD 101 million, with a net profit margin of 26%. The y-o-y comparison is impacted by a one-off FX gain of USD 49 million recorded in 1H24. Excluding this, net profit would have more than doubled y-o-y. Net profit attributable to equity holders of the parent stabilized at USD 90 million.
On a quarterly basis, revenues rose 75% y-o-y and 18% q-o-q to USD 215 million in 2Q25, translating into net profit more than doubling y-o-y and rising 57% q-o-q to USD 62 million, supported by solid operational performance and portfolio optimization efforts
Commenting on the Group’s Performance, Loay Jassim Al-Kharafi, Chairman of Egypt Kuwait Holding (EKH), expressed his satisfaction with the progress achieved in executing the Group’s strategy, which focuses on diversifying its portfolio across sectors and geographies, while rebalancing its asset base to simplify the balance sheet, unlock value, and ensure resilience and sustainable growth.
He highlighted that the Group launched commercial operations in the Kingdom of Saudi Arabia, supplying natural gas to industrial clients in Dammam Industrial City 3, a rapidly developing hub. This achievement represents a milestone in the Group’s journey, positioning EKH as a contributor to the Kingdom’s Vision 2030 industrial development agenda.
Al-Kharafi further noted that the Group continues to advance its new clean energy project in the United Kingdom, which represents a compelling investment opportunity that will generate foreign currency revenues while enhancing the Group’s ability to scale its investment activities into new global markets over the long term.
He also emphasized the significant progress made in implementing the Group’s exit strategy from Delta Insurance, where the process is progressing as planed and is expected to close in 2H25, pending the necessary regulatory approvals.
Al-Kharafi also noted that the Group continues to advance its corporate identity transformation, with the Board having resolved to call for a General Assembly to vote on changing the company’s name to “Valmore Holding”. This new identity builds on EKH’s legacy of success while aligning the Group’s positioning with its future growth strategy and international expansion plans, reflecting its ambition to transform into a global investment company.
He concluded by affirming that EKH will continue to strengthen its portfolio, ensure sustainable value creation, maximize shareholder returns, and unlock long-term growth opportunities across its platform
Commenting on the Group’s Performance, Jon Rokk, CEO of Egypt Kuwait Holding (EKH), expressed his pride in the strong results achieved by the Group in the first half of 2025, supported by exceptional operational performance, notable growth across key subsidiaries, and tangible progress in implementing strategic objectives.
Rokk confirmed that despite the operational challenges faced by AlexFert, which included a temporary suspension of feedstock supplies during 2Q and its impact on utilization rates, the company succeeded in growing both revenues and net profit to surpass last year’s levels. Sprea Misr also delivered a notable performance, with revenues increasing 21% in USD terms during y-o-y 1H25, in line with management’s strategy to expand market share. At the same time, Nilewood produced its first MDF board in June, with final commissioning works nearing completion in preparation for the full commercial launch in 4Q25.
He added that NatEnergy continued to expand gas connection services within its concession areas, achieving sustained growth and underscoring management’s focus on margin-accretive activities. Meanwhile, ONS recorded revenue growth of 9% y-o-y in 1H25, supported by higher production from the two newly commissioned wells.
Rokk highlighted the clear progress made in portfolio optimization plans. The signing of the agreement to manage the divestment of Delta Insurance, followed by the subsequent offer submitted by Wafa Assurance, represented important milestones in the program. In addition, the Group successfully divested Shield Gas in the UAE during 1Q25, along with other investment exits in 2Q25, generating proceeds of USD 35 million during 1H25.He reaffirmed the Group’s continued commitment to executing its strategy, strengthening its investment portfolio and balance sheet, and creating sustainable value:
Fertilizers | AlexFert
AlexFert recorded revenues of USD 118 million in 1H25, up 11% y-o-y, driven by the increase in global urea prices, which averaged USD 396/ton vs. USD 333/ton in 1H24, reflecting a 19% y-o-y increase. Gross profit and EBITDA margins expanded by 2pp y-o-y in 1H25 to 40% and 47%, respectively. Net profit came in at USD 40 million, with net profit margin expanding by 2pp y-o-y to reach 34% in 1H25.
AlexFert is expected to deliver a solid operational trajectory, with management demonstrating agility in addressing feedstock supply challenges. The financial outlook remains positive, supported by a favorable pricing environment, with export urea prices surpassing USD 400/ton in June and further rising to USD 476/ton in July.
Petrochemicals | Sprea Misr
Sprea Misr reported revenues of USD 90 million in 1H25, up 21% y-o-y, driven by higher sales volumes in line with management’s strategy to grow market share. Gross profit margin landed at 21%. While EBITDA margins stood at 20%. Net profit came in at USD 18 million, with a net profit margin of 20%.
Sprea’s medium-term outlook remains favorable, supported by stable local prices at current levels, as well as increasing demand from the recovery in construction activity. In addition, management continues to expand the company’s footprint in both local and international markets, with export sales rising to 21% of total sales in 2Q25, compared to 17% in 1Q25.
Utilities & Related Activities | NatEnergy
NatEnergy revenues rose 15% y-o-y in USD terms and 43% y-o-y in EGP terms in 1H25, reaching USD 34 million, driven by strong growth in natural gas connections. The company maintained healthy profitability, with gross profit and EBITDA margins rising to 30% and 29%, respectively. Net profit came in at USD 11 million in 1H25, with a net profit margin of 32%.
NatEnergy’s outlook remains positive, supported by expectations of potential increases in connection prices, revisions to government-set commission fees, and continued expansion of its household customer base in high-potential areas. This is further complemented by management’s ongoing execution of a revenue diversification strategy and continued cost optimization initiatives.
Utilities & Related Activities | Kahraba
Kahraba’s revenues recorded notable growth in 1H25, supported by strong momentum in its electricity distribution business, with distribution volumes rising 40% y-o-y. Gross profit and EBITDA margins came in at 17% and 19%, respectively. Net profit reached USD 3 million in 1H25, reflecting a net profit margin of 11%.
Kahraba is moving forward with its expansion plans, including investment in a second substation within its 10th of Ramadan concession area to meet rising electricity demand driven by accelerating industrial activity. In addition, management continues to explore potential strategic concession acquisitions in 10th of Ramadan and other high-potential areas.
Oil & Gas | ONS
The North Sinai Offshore Concession recorded revenues of USD 31 million in 1H25, up 9% y-o-y, while maintaining strong profitability with gross profit and EBITDA margins of 54% and 82%, respectively. Net profit came in at USD 15 million in 1H25, reflecting a healthy net profit margin of 49%.
The outlook for ONS remains positive in 2025, supported by stable production volumes from recently commissioned wells and ongoing efforts to enhance operational efficiency. In addition, the company will continue to benefit from the 10-year extension of its Concession Agreement, as well as the awarding of the strategically located Fayrouz Onshore Concession, which offers low tie-in costs, rapid monetization potential, and supports long-term operational sustainability and profitability.
Non-Banking Financial Services & Other Diversified Sectors
The diversified segment reported revenues of USD 97 million in 1H25, supported by a number of factors, including the divestment of Shield Gas and other investment exits as part of management’s ongoing portfolio optimization efforts aimed at simplifying the balance sheet.
Mohandes Insurance delivered net profit growth of 21% y-o-y, reflecting the promising fundamentals of Egypt’s insurance sector. Meanwhile, Bedayti posted net profit attributable to equity holders of EGP 42 million in 1H25, up 42% y-o-y, demonstrating sustained growth within this fast-expanding sector despite elevated interest rates.
Egypt Kuwait Holding (EKH), established in 1997 with an issued and paid-in capital of USD 296 million, is dual-listed on both Boursa Kuwait and the Egyptian Exchange. The company is one of the Middle East’s leading and fastest-growing investment entities, with a diversified investment portfolio spanning five key sectors: fertilizers and petrochemicals, gas distribution, power generation and distribution, insurance, and non-banking financial services.
The headquarters of Bank of Japan is seen in Tokyo on Jan 23, 2024. (AP)
Japan’s central bank survey shows an improved outlook for manufacturers”>
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TOKYO, Oct 1, (AP): Sentiment among Japan’s large manufacturers improved for a second straight quarter, according to a closely watched Bank of Japan survey, making a rate hike by its central bank more likely. The quarterly survey, called the “tankan,” showed the outlook among major manufacturers, the key so-called diffusion index, rose 1 point to plus 14 from the findings in June.
The survey is an indicator of companies foreseeing good conditions minus those feeling pessimistic. The tankan for large manufacturers was plus 12 in March, marking the first drop in a year. Sentiment among large non-manufacturers was unchanged at plus 34, according to the latest tankan. The relative optimism in the latest tankan reflects some relief over an agreement on tariffs with the US, reached in July.
The deal with the administration of President Donald Trump imposes a 15% tariff on most goods exported to the US. Some goods face higher tariffs. Initially, the US imposed a 25% tariff on auto imports, so the latest deal is an improvement for Japanese automakers. It also increases certainty over US policy, at least for now.
However the higher tariffs imposed on exports to the world’s biggest market are still squeezing profits, wages, investment and spending for many industries. Kei Fujimoto, senior economist at SuMi Trust, said that despite the concerns about the tariffs’ impact on Japanese corporate earnings, the damage so far has been relatively limited. Inbound tourism is also helping.
“We do not believe inbound-related demand from tourists has peaked. The number of tourists visiting Japan continues to show an upward trend,” he said. The tankan findings could influence an upcoming decision by the Bank of Japan on interest rates. The BOJ has kept rates near zero for years to help stimulate consumer spending and business investment and counter weak demand that led to deflation.
But prices have risen above the central bank’s target range of about 2%. The tankan shows the average inflation outlook for one year ahead was unchanged at 2.4%. Analysts expect the Bank of Japan to raise its benchmark rate soon, but it’s unclear if it will do so at the next meeting later this month, or later. The central bank raised its benchmark rate to 0.5% from 0.1% earlier this year.
Japan’s central bank survey shows an improved outlook for manufacturers”>
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Ambassador of Türkiye to Kuwait, Tuba Nur Sonmez, at a reception organized by the embassy with the attendees
KUWAIT CITY, Sept 30: Ambassador of Türkiye to Kuwait, Tuba Nur Sonmez, has said that there are 427 Kuwaiti companies currently operating in Türkiye, with Kuwaiti investments exceeding two billion dollars, and that the volume of trade exchange between the two countries reached approximately 700 million dollars in 2024. In her speech at a reception organized by the embassy to mark the visit of the President of the Investment and Finance Office at the Turkish Presidency Ahmet Burak Daglioglu, Ambassador Sonmez stressed that the leadership of both countries places great importance on enhancing bilateral relations, which gained new momentum following the visit of His Highness the Amir Sheikh Meshal Al- Ahmad Al-Jaber Al-Sabah to Türkiye last year. She explained that His Highness’s visit to Ankara witnessed the signing of several agreements in the fields of bilateral trade, defense industry, and investment. Cooperation between the two countries covers various sectors, including trade, defense, tourism, and investment. Turkish President Recep Tayyip Erdoan met with His Highness the Crown Prince Sheikh Sabah Khaled Al-Hamad Al-Sabah on the sidelines of the 80th session of the United Nations General Assembly.
Also, the Turkish Embassy has hosted many high-level Turkish officials over the past two years, including Minister of Trade Ömer Bolat and Minister of Treasury and Finance Mehmet imek, who held meetings and events with the Kuwaiti business community. Ambassador Sonmez affirmed that Turkiye and Kuwait are partners in all fields, based on their shared history, religious and cultural affinity, as well as common values, visions, and vibrant business communities, which are the most important pillars upon which bilateral relations are built. She clarified that the current volume of trade and investment figures does not fully reflect the depth of the relationship, affirming the mutual need to connect the business sectors of both countries, build new bridges, and strengthen dialogue. The ambassador said the visit of the Head of the Investment and Finance Office presents an opportunity to unlock joint potential, build new partnerships, undertake bold investments, and shape a future driven by mutual growth.
Meanwhile, Head of the Investment and Finance Office at the Turkish Presidency Ahmet Burak Daglioglu, on the sidelines of the reception, revealed that the visit was aimed at meeting investors, exploring available opportunities in various economic sectors, and encouraging them to invest capital, especially given the existing collaboration between the Investment Office and many Kuwaiti investors in Turkiye. He affirmed that the office supports most Kuwaiti companies with investments in Türkiye. During his visit to Kuwait, Daglioglu toured the headquarters of those companies, met with their owners, and explored opportunities to expand cooperation, particularly as the office reports directly to the Presidency. He stressed that the office aims to attract more capital in new sectors such as insurance, technology, and financial services, in addition to the traditional sectors that have long seen investment in Türkiye, such as the banking sector, particularly Islamic finance. Daglioglu emphasized that supporting entrepreneurs in the technology sector is a top priority for the office, as is assisting Kuwaiti youth in establishing their tech ventures in Türkiye, given its advanced digital infrastructure, adding that the office also helps them overcome most bureaucratic hurdles related to obtaining licenses.
By Fares Ghaleb Al-Seyassah/Arab Times Staff and Agencies
Mexican President Claudia Sheinbaum attends her morning press conference at the National Palace in Mexico City on April 2. (AP)
MEXICO CITY, Sept 30, (Xinhua): Mexican President Claudia Sheinbaum on Monday said she hoped the United States would show “consideration” toward Mexico following the US decision to impose new tariffs on heavy vehicle imports. “We are already in talks, hoping there will be consideration toward Mexico,” Sheinbaum said during her daily press conference, adding the tariffs could be problematic for both countries.
US President Donald Trump on Thursday announced a slew of new tariffs, including a 25-percent tariff on imported heavy vehicles starting Oct 1, as part of his policy to strengthen the domestic industry. Sheinbaum noted that under the United States-Mexico-Canada Agreement on free trade, Mexico’s exports have grown in sectors not subject to tariffs, particularly those excluding finished vehicles, steel or copper, benefiting from the accord’s “zero-tariff” scheme. “Trade ties with the United States continue to be very important and a very significant competitive advantage for Mexico,” said Sheinbaum.
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