EFG Holding Posts 18% Revenue Growth in First Quarter of 2026

EFG Holding, a financial institution with a universal bank in Egypt and investment bank with presence in the MENA region, reported a steady start in 2026, with Group revenues rising 18% year-on-year (YoY) to EGP6.6 billion [US$123 million].

The figures were supported by growth across its investment banking, non-bank financial institutions, and commercial banking businesses. Net operating profit and net profit before tax both increased 20% YoY to EGP2.5 billion [US$46 million] and EGP2.3 billion [US$43 million], respectively.

Net profit after tax and minority interest stood at EGP1 billion [US$18 million], lower than the same period in 2025 due to higher taxes and minority interest. Total assets reached EGP 270.2 billion [US$5 billion] at the end of March 2026.

Karim Awad, Group CEO of EFG Holding, said geopolitical tensions affected the region during the latter part of the quarter but the group remains focused on “disciplined execution, prudent risk management, and sustaining growth.”

Total operating expenses, including provisions and expected credit losses, rose 16% YoY to EGP4.1 billion [US$76 million], attributed to higher administrative expenses, inflationary pressures in Egypt, increased operational activity at EFG Finance, the Group’s NBFI vertical and higher provisions mainly due to a larger loan book in both EFG Finance and Bank NXT.

The group’s investment banking arm, EFG Hermes, posted revenues of EGP3.1 billion [US$57 million], up 9% YoY, supported by holding and treasury activities. Net operating profit rose 31% to EG 1.2 billion [US$22 million], while profit before tax increased 34% to EGP1.1 billion [US$20 million].

However, its sell-side revenues declined slightly despite strong brokerage performance, due to lower investment banking activity compared with a strong base in the same period last year. Buy-side revenues increased 6% year-on-year.

Meanwhile, EFG Finance reported revenues of EGP1.6 billion [US$29.9 million], up 20% YoY, led by Valu, a buy-now-pay-later fintech platform, whose revenues surged 85% YoY due to higher securitization gains and loan issuances.

Despite higher revenues, EFG Finance’s net operating profit declined 37% YoY to EGP276 million [US$5 million], while profit before tax fell 47% to EGP205 million [US$3 million]. Net profit after tax and minority interest for EFG Finance stood at EGP61 million [US$1.1 million].

The company attributed the decline to a 335% increase in provisions and expected credit losses, noting that the comparable quarter last year included expected credit loss reversals. It also cited foreign exchange losses recognized by Finance Holding.

The group’s commercial bank, Bank NXT, reported revenues of EGP1.9 billion [US$35 million] during the quarter, up 34% YoY, driven by a 53% increase in net interest income supported by loan portfolio expansion. The bank’s net operating profit increased 40% YoY to EGP1.1 billion [US$20 million], while profit before tax rose 39% to EGP1 billion [US$18 million]. Net profit after tax reached EGP691 million [US$12 million], up 39% YoY, with EFG Holding’s share totaling EGP354 million [US$6 million].