New Risk • Jul 21
New major risk - Revenue and earnings growth Earnings have declined by 6.3% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risks Earnings have declined by 6.3% per year over the past 5 years. High level of non-cash earnings (22% accrual ratio). Minor Risk Dividend is not well covered by cash flows (303% cash payout ratio). Reported Earnings • May 21
First quarter 2026 earnings released: EPS: US$0.023 (vs US$0.021 in 1Q 2025) First quarter 2026 results: EPS: US$0.023 (up from US$0.021 in 1Q 2025). Revenue: US$166.3m (flat on 1Q 2025). Net income: US$27.2m (up 12% from 1Q 2025). Profit margin: 16% (up from 14% in 1Q 2025). Revenue is forecast to grow 3.4% p.a. on average during the next 3 years, compared to a 8.5% growth forecast for the Capital Markets industry in Africa. Over the last 3 years on average, earnings per share has fallen by 12% per year and the company’s share price has also fallen by 12% per year. Announcement • Mar 11
Valmore Holding, Annual General Meeting, Apr 02, 2026 Valmore Holding, Annual General Meeting, Apr 02, 2026, at 15:30 Egypt Standard Time. Location: cairo Egypt Announcement • Nov 03
Al-Wafaa Life Insurance Company completed the acquisition of Delta Insurance Company (CASE:DEIN) from Egypt Kuwait Holding Company (S.A.E.) (CASE:EKHO) and others. Al-Wafaa Life Insurance Company proposed to acquire Delta Insurance Company (CASE:DEIN) from Egypt Kuwait Holding Company (S.A.E.) (CASE:EKHO) and others for EGP 5 billion on December 8, 2024. Wafa will acquire 100% stake or 100 million shares in Delta Insurance Company at a price of EGP 50 per share through a mandatory purchase offer in accordance with the laws and regulations applicable. The purchase price is subject to adjustments. As part of the mandatory purchase offer, Wafa aims to hold a minimum of 51% in Delta Insurance Company. In a separate agreement, AXA Egypt S.A.E proposed to acquire Delta Insurance Company from Egypt Kuwait Holding Company for EGP 5 billion. The transaction will be funded through internal resources of Wafa Assurance. The offer is valid for 20 days, starting from September 29th's trading session until the end of October 27th's trading session.
The transaction is subject to consummation of due diligence investigation, approval by financial regulatory authority and other relevant regulatory authorities including FRA, Supervisory Authority of Insurance and Social Welfare of Morocco. On May 25, 2025, AXA Egypt S.A.E withdrew its plans to acquire Delta Insurance Company. As of June 11, 2025, Al-Wafaa Life Insurance Company proposed to acquire 125 million shares in Delta Insurance Company at a price of EGP 40 and intends to de-list the shares of Delta Insurance Company. As of September 28, 2025, the Financial Regulatory Authority (FRA) approved publishing the MTO prospectus. As of October 22, 2025, the deal was approved by the Board of Directors of Egypt Kuwait Holding Company.
Al-Wafaa Life Insurance Company completed the acquisition of Delta Insurance Company (CASE:DEIN) from Egypt Kuwait Holding Company (S.A.E.) (CASE:EKHO) and others on November 2, 2025. Reported Earnings • May 18
First quarter 2025 earnings released: EPS: US$0.023 (vs US$0.048 in 1Q 2024) First quarter 2025 results: EPS: US$0.023 (down from US$0.048 in 1Q 2024). Revenue: US$179.8m (flat on 1Q 2024). Net income: US$34.1m (down 37% from 1Q 2024). Profit margin: 19% (down from 30% in 1Q 2024). Revenue is forecast to grow 9.6% p.a. on average during the next 3 years, compared to a 7.5% growth forecast for the Capital Markets industry in Africa. Over the last 3 years on average, earnings per share has fallen by 17% per year whereas the company’s share price has fallen by 20% per year. Announcement • Mar 14
Egypt Kuwait Holding Company (S.A.E.), Annual General Meeting, Apr 08, 2025 Egypt Kuwait Holding Company (S.A.E.), Annual General Meeting, Apr 08, 2025, at 14:30 Egypt Standard Time. Location: cairo Egypt Major Estimate Revision • Oct 17
Consensus revenue estimates fall by 18% The consensus outlook for revenues in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from US$802.0m to US$660.0m. EPS estimate fell from US$0.18 to US$0.12 per share. Net income forecast to grow 20% next year vs 18% growth forecast for Capital Markets industry in Egypt. Consensus price target down from US$1.44 to US$1.41. Share price was steady at US$0.82 over the past week. Announcement • Sep 23
Egypt Kuwait Holding Company (S.A.E.)(CASE:EKHOA) dropped from FTSE All-World Index (USD) Egypt Kuwait Holding Company (S.A.E.)(CASE:EKHOA) dropped from FTSE All-World Index (USD) Reported Earnings • Aug 18
Second quarter 2024 earnings released: EPS: US$0.018 (vs US$0.031 in 2Q 2023) Second quarter 2024 results: EPS: US$0.018 (down from US$0.031 in 2Q 2023). Revenue: US$119.3m (down 23% from 2Q 2023). Net income: US$20.3m (down 42% from 2Q 2023). Profit margin: 17% (down from 23% in 2Q 2023). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 12% p.a. on average during the next 3 years, compared to a 7.1% growth forecast for the Capital Markets industry in Africa. Over the last 3 years on average, earnings per share has increased by 2% per year but the company’s share price has fallen by 12% per year, which means it is significantly lagging earnings. Reported Earnings • May 16
First quarter 2024 earnings released: EPS: US$0.048 (vs US$0.047 in 1Q 2023) First quarter 2024 results: EPS: US$0.048 (up from US$0.047 in 1Q 2023). Revenue: US$180.3m (down 16% from 1Q 2023). Net income: US$53.6m (up 2.2% from 1Q 2023). Profit margin: 30% (up from 24% in 1Q 2023). The increase in margin was driven by lower expenses. Revenue is forecast to grow 9.3% p.a. on average during the next 3 years, compared to a 4.4% growth forecast for the Capital Markets industry in Africa. Over the last 3 years on average, earnings per share has increased by 9% per year but the company’s share price has fallen by 9% per year, which means it is significantly lagging earnings. Upcoming Dividend • Apr 21
Upcoming dividend of US$0.06 per share Eligible shareholders must have bought the stock before 28 April 2024. Payment date: 30 April 2024. Payout ratio and cash payout ratio are on the higher end at 88% and 89% respectively. Trailing yield: 13%. Within top quartile of Egyptian dividend payers (6.2%). In line with average of industry peers (13%). Reported Earnings • Feb 26
Full year 2023 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2023 results: EPS: US$0.14 (down from US$0.19 in FY 2022). Revenue: US$747.7m (down 29% from FY 2022). Net income: US$179.2m (down 14% from FY 2022). Profit margin: 24% (up from 20% in FY 2022). The increase in margin was driven by lower expenses. Revenue exceeded analyst estimates by 1.7%. Earnings per share (EPS) missed analyst estimates by 18%. Revenue is forecast to grow 5.7% p.a. on average during the next 3 years, compared to a 4.6% growth forecast for the Capital Markets industry in Africa. Over the last 3 years on average, earnings per share has increased by 15% per year but the company’s share price has fallen by 5% per year, which means it is significantly lagging earnings. Price Target Changed • Dec 19
Price target decreased by 7.1% to US$1.56 Down from US$1.68, the current price target is an average from 4 analysts. New target price is 93% above last closing price of US$0.81. Stock is down 33% over the past year. The company is forecast to post earnings per share of US$0.17 for next year compared to US$0.19 last year. New Risk • Nov 14
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 34% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (34% accrual ratio). Minor Risk Paying a dividend despite having no free cash flows. Reported Earnings • Nov 14
Third quarter 2023 earnings released Third quarter 2023 results: Revenue: US$201.4m (down 26% from 3Q 2022). Net income: US$36.1m (down 43% from 3Q 2022). Profit margin: 18% (down from 23% in 3Q 2022). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 9.9% p.a. on average during the next 3 years, compared to a 6.9% growth forecast for the Capital Markets industry in Africa. Over the last 3 years on average, earnings per share has increased by 28% per year but the company’s share price has fallen by 4% per year, which means it is significantly lagging earnings. Announcement • Oct 31
Egypt Kuwait Holding Company (S.A.E.) enter into a binding agreement to acquire 9.45% stake in Bawabet Al Kuwait for $47.5 million. Egypt Kuwait Holding Company (S.A.E.) enter into a binding agreement to acquire 9.45% stake in Bawabet Al Kuwait for $47.5 million on October 29, 2023. Reported Earnings • Aug 15
Second quarter 2023 earnings released Second quarter 2023 results: Revenue: US$162.2m (down 41% from 2Q 2022). Net income: US$40.4m (down 40% from 2Q 2022). Profit margin: 25% (in line with 2Q 2022). Revenue is forecast to grow 7.5% p.a. on average during the next 3 years, compared to a 6.7% growth forecast for the Capital Markets industry in Africa. Over the last 3 years on average, earnings per share has increased by 33% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Reported Earnings • Jun 25
First quarter 2023 earnings released: EPS: US$0.049 (vs US$0.058 in 1Q 2022) First quarter 2023 results: EPS: US$0.049 (down from US$0.058 in 1Q 2022). Revenue: US$215.0m (down 22% from 1Q 2022). Net income: US$55.4m (down 15% from 1Q 2022). Profit margin: 26% (up from 24% in 1Q 2022). The increase in margin was driven by lower expenses. Revenue is forecast to grow 4.2% p.a. on average during the next 3 years, compared to a 6.8% growth forecast for the Capital Markets industry in Africa. Over the last 3 years on average, earnings per share has increased by 31% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Reported Earnings • May 16
First quarter 2023 earnings released First quarter 2023 results: Revenue: US$224.9m (down 18% from 1Q 2022). Net income: US$60.0m (down 3.1% from 1Q 2022). Profit margin: 27% (up from 23% in 1Q 2022). The increase in margin was driven by lower expenses. Revenue is forecast to grow 6.6% p.a. on average during the next 3 years, compared to a 8.6% growth forecast for the Capital Markets industry in Africa. Over the last 3 years on average, earnings per share has increased by 34% per year but the company’s share price has only increased by 4% per year, which means it is significantly lagging earnings growth. Reported Earnings • Feb 26
Full year 2022 earnings released: EPS: US$0.13 (vs US$0.13 in FY 2021) Full year 2022 results: EPS: US$0.13. Revenue: US$1.05b (up 37% from FY 2021). Net income: US$209.4m (up 47% from FY 2021). Profit margin: 20% (up from 19% in FY 2021). The increase in margin was driven by higher revenue. Revenue is forecast to stay flat during the next 3 years compared to a 1.4% decline forecast for the Chemicals industry in Egypt. Price Target Changed • Dec 26
Price target decreased to US$1.70 Down from US$1.84, the current price target is an average from 4 analysts. New target price is 37% above last closing price of US$1.24. Stock is down 7.1% over the past year. The company is forecast to post earnings per share of US$0.22 for next year compared to US$0.13 last year. Reported Earnings • Nov 16
Third quarter 2022 earnings released: EPS: US$0.056 (vs US$0.038 in 3Q 2021) Third quarter 2022 results: EPS: US$0.056 (up from US$0.038 in 3Q 2021). Revenue: US$273.0m (up 40% from 3Q 2021). Net income: US$63.6m (up 49% from 3Q 2021). Profit margin: 23% (up from 22% in 3Q 2021). The increase in margin was driven by higher revenue. Revenue is expected to fall by 2.4% p.a. on average during the next 3 years compared to a 2.8% decline forecast for the Chemicals industry in Egypt. Over the last 3 years on average, earnings per share has increased by 29% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Reported Earnings • Aug 15
Second quarter 2022 earnings released Second quarter 2022 results: Revenue: US$284.8m (up 67% from 2Q 2021). Net income: US$72.4m (up 101% from 2Q 2021). Profit margin: 25% (up from 21% in 2Q 2021). The increase in margin was driven by higher revenue. Over the next year, revenue is forecast to stay flat compared to a 15% growth forecast for the Chemicals industry in Egypt. Price Target Changed • Jun 14
Price target increased to US$1.86 Up from US$1.73, the current price target is an average from 3 analysts. New target price is 40% above last closing price of US$1.33. Stock is up 31% over the past year. The company is forecast to post earnings per share of US$0.21 for next year compared to US$0.13 last year. Major Estimate Revision • May 30
Consensus EPS estimates increase by 20% The consensus outlook for earnings per share (EPS) in 2022 has improved. 2022 revenue forecast increased from US$856.5m to US$904.0m. EPS estimate increased from US$0.20 to US$0.24 per share. Net income forecast to grow 40% next year vs 35% growth forecast for Chemicals industry in Egypt. Consensus price target broadly unchanged at US$1.75. Share price was steady at US$1.35 over the past week. Reported Earnings • May 18
First quarter 2022 earnings: Revenues exceed analysts expectations while EPS lags behind First quarter 2022 results: EPS: US$0.063 (up from US$0.032 in 1Q 2021). Revenue: US$291.2m (up 63% from 1Q 2021). Net income: US$71.1m (up 98% from 1Q 2021). Profit margin: 24% (up from 20% in 1Q 2021). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 32%. Earnings per share (EPS) missed analyst estimates by 27%. Over the next year, revenue is forecast to stay flat compared to a 33% growth forecast for the industry in Egypt. Over the last 3 years on average, earnings per share has increased by 20% per year but the company’s share price has only increased by 1% per year, which means it is significantly lagging earnings growth. Buying Opportunity • Apr 19
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 11%. The fair value is estimated to be US$1.57, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 14% over the last 3 years. Earnings per share has grown by 16%. For the next 3 years, revenue is forecast to grow by 8.2% per annum. Earnings is also forecast to grow by 12% per annum over the same time period. Upcoming Dividend • Apr 14
Upcoming dividend of US$0.07 per share Eligible shareholders must have bought the stock before 19 April 2022. Payment date: 21 April 2022. The company last paid an ordinary dividend in February 2012. The average dividend yield among industry peers is 4.6%. Major Estimate Revision • Apr 13
Consensus revenue estimates increase by 13% The consensus outlook for revenues in 2022 has improved. 2022 revenue forecast increased from US$767.0m to US$863.3m. EPS estimate increased from US$0.19 to US$0.19 per share. Net income forecast to grow 52% next year vs 27% growth forecast for Chemicals industry in Egypt. Consensus price target of US$1.73 unchanged from last update. Share price was steady at US$1.30 over the past week. Reported Earnings • Mar 03
Full year 2021 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2021 results: EPS: US$0.13 (up from US$0.088 in FY 2020). Revenue: US$767.5m (up 38% from FY 2020). Net income: US$170.9m (up 74% from FY 2020). Profit margin: 22% (up from 18% in FY 2020). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 9.9%. Earnings per share (EPS) missed analyst estimates by 17%. Over the next year, revenue is forecast to grow 10%, compared to a 21% growth forecast for the industry in Egypt. Over the last 3 years on average, earnings per share has increased by 16% per year but the company’s share price has only increased by 4% per year, which means it is significantly lagging earnings growth. Reported Earnings • Nov 18
Third quarter 2021 earnings released: EPS US$0.042 (vs US$0.022 in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: US$211.6m (up 57% from 3Q 2020). Net income: US$46.8m (up 92% from 3Q 2020). Profit margin: 22% (up from 18% in 3Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 11% per year whereas the company’s share price has increased by 14% per year. Major Estimate Revision • Aug 17
Consensus EPS estimates increase to US$0.16 The consensus outlook for earnings per share (EPS) in 2021 has improved. 2021 revenue forecast increased from US$654.0m to US$700.0m. EPS estimate increased from US$0.13 to US$0.16 per share. Net income forecast to grow 43% next year vs 26% growth forecast for Chemicals industry in Egypt. Consensus price target up from US$1.49 to US$1.53. Share price rose 4.3% to US$1.05 over the past week. Reported Earnings • Aug 12
Second quarter 2021 earnings released The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: US$186.1m (up 35% from 2Q 2020). Net income: US$45.2m (up 76% from 2Q 2020). Profit margin: 24% (up from 19% in 2Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 5% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Major Estimate Revision • Mar 16
Analysts update estimates The 2021 consensus revenue estimate was lowered from US$642.8m to US$631.8m. Earnings per share (EPS) increased from US$0.13 to US$0.15 for the same period. Net income is expected to grow by 60% next year compared to 15% decline forecast for the Chemicals industry in Egypt. The consensus price target increased from US$1.62 to US$1.63. Share price is up 3.7% to US$1.16 over the past week. Is New 90 Day High Low • Feb 22
New 90-day high: US$1.15 The company is up 11% from its price of US$1.04 on 24 November 2020. The Egyptian market is up 9.0% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Chemicals industry, which is up 20% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is US$1.57 per share. Is New 90 Day High Low • Feb 02
New 90-day high: US$1.08 The company is up 5.0% from its price of US$1.03 on 04 November 2020. The Egyptian market is up 15% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Chemicals industry, which is up 27% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is US$1.57 per share. Is New 90 Day High Low • Jan 05
New 90-day low: US$0.97 The company is down 8.0% from its price of US$1.05 on 07 October 2020. The Egyptian market is up 3.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Chemicals industry, which is up 7.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is US$1.54 per share. Is New 90 Day High Low • Dec 21
New 90-day low: US$1.00 The company is down 8.0% from its price of US$1.08 on 22 September 2020. The Egyptian market is up 5.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Chemicals industry, which is up 8.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is US$1.54 per share. Is New 90 Day High Low • Nov 26
New 90-day low: US$1.02 The company is down 10.0% from its price of US$1.13 on 27 August 2020. The Egyptian market is up 2.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Chemicals industry, which is up 3.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is US$0.85 per share. Price Target Changed • Nov 12
Price target lowered to US$1.64 Down from US$1.83, the current price target is an average from 6 analysts. The new target price is 53% above the current share price of US$1.07. As of last close, the stock is down 25% over the past year. Is New 90 Day High Low • Oct 28
New 90-day low: US$1.04 The company is down 1.0% from its price of US$1.05 on 29 July 2020. The Egyptian market is up 4.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Chemicals industry, which is up 7.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is US$0.87 per share.