EFG-Hermes Drops to Lowest Since June After Fourth-Quarter LossNadine Marroushi
EFG-Hermes Holding SAE dropped to the lowest level more than nine months after Egypt’s biggest publicly traded investment bank reported a fourth-quarter loss.
The shares declined 2.1 percent to 9.49 pounds, the lowest since June 24, at the close in Cairo. The benchmark EGX 30 Index retreated 2.2 percent.
The bank reported a loss of 21 million pounds ($3.1 million) after tax and before minority interest compared with a profit of 30 million pounds a year earlier, according to a statement to the Egyptian and London stock exchanges today. Group operating expenses for the quarter rose 14 percent to 407 million pounds, while revenue increased 7 percent.
EFG-Hermes said employee expenses, a one-time tax payment and accrued utility bills in its commercial and investment banking arms contributed to the higher costs. The bank is in the process of selling a majority stake of its main business lines of investment banking, asset management and brokerage to Qatar’s QInvest LLC.