Valmore Holding · EGX:VLMR
Valmore — Egypt Kuwait Holding — Q1 2025 Earnings Presentation
38 slides from Valmore's earnings presentation, May 2025
Slide 1: Egypt Kuwait Holding Investor Presentation Q1 2025
Egypt Kuwait Holding Investor Presentation Q1 2025 May 2025
Slide 2: EKH Overview
EKH OVERVIEW 2
Slide 3: EKH | A Leading MENA-Based Investment Company
EKH | A LEADING MENA-BASED INVESTMENT COMPANY Egypt Kuwait Holding Company (EKH) is one of the MENA region’s fastest- growing and prominent investment companies, established in 1997 by a USD642mn USD248mn USD163mn FY24 Revenue FY24 EBITDA FY24 Attrib. Net Profit consortium of Kuwaiti and Egyptian bu
Slide 4: Diverse Portfolio | Investments Across Five Strategic Sectors
DIVERSE PORTFOLIO | INVESTMENTS ACROSS FIVE STRATEGIC SECTORS Chemicals Building Materials Utilities Oil and Gas Non-Banking Financial Services Natural Gas & Exploration & Consumer & Fertilizers Petrochemicals MDF Electricity Distribution Insurance Production Microfinance & Production • 110k m² faci
Slide 5: Charting Success | Investment Milestones
CHARTING SUCCESS | INVESTMENT MILESTONES ▪ Acquired 100% of Sprea and Plastichem 1997 ▪ Established EKH ▪ Established Building Materials Industries ▪ Increased stake in AlexFert to 57.4% ▪ Established NATGAS with Shell & GAIL (India) - ▪ Acquired a minority stake in Delta Insurance 2007 Company (BMI
Slide 6: Unlocking Value | The Investment Case for EKH
UNLOCKING VALUE | THE INVESTMENT CASE FOR EKH Diversified, resilient portfolio Experienced management team Multiple Investments, with superior cashflow ` Proven track record across multiple sectors generation, diversified across various sectors and geographies and geographies to mitigate market risk
Slide 7: Our Strategy
OUR STRATEGY 7
Slide 8: Transforming to Maximize Value | The Strategic Approach for EKH
TRANSFORMING TO MAXIMIZE VALUE | THE STRATEGIC APPROACH FOR EKH Optimise core portfolio Diversify and grow foreign currency Leverage competitive advantages, improve cost efficiency, Explore new sectors, grow export capabilities, and expand and propel export potential to maximize profitability and in
Slide 9: Our Investments
OUR INVESTMENTS 9
Slide 10: AlexFert | Overview
Non-Banking Chemicals Building Materials Utilities Oil and Gas Financial Services ALEXFERT | OVERVIEW Alexandria Fertilizers Company (AlexFert) is an established player in the fertilizer production space producing ammonia, urea, and ammonium USD66.8mn USD33.7mn USD18.6mn sulphate, with exports to ke
Slide 11: AlexFert | Financial and Operational Performance
Non-Banking Chemicals Building Materials Utilities Oil and Gas Financial Services ALEXFERT | FINANCIAL AND OPERATIONAL PERFORMANCE Revenue growth was largely supported by upward EBITDA margin expanded by 4pp y-o-y to reach 50% in NPM expanded by 3pp y-o-y in 1Q25, driven by both trending urea export
Slide 12: Sprea Misr | Overview
Non-Banking Chemicals Building Materials Utilities Oil and Gas Financial Services SPREA MISR | OVERVIEW Sprea is engaged in the production of 19 different petrochemical products at its state-of- the-art downstream petrochemicals production facility USD48.0mn USD10.5mn USD9.78mn located in 10th of Ra
Slide 13: Sprea Misr | Financial Performance
Non-Banking Chemicals Building Materials Utilities Oil and Gas Financial Services SPREA MISR | FINANCIAL PERFORMANCE Revenues1 grew 42% y-o-y and 58% q-o-q, driven by higher EBITDA margin narrowed by 20pp y-o-y, reflecting Net profit1 fell 50% y-o-y, NPM was down 38pp y-o-y, due sales volumes normal
Slide 14: Sprea Misr | Key Products and Revenue Distribution
Non-Banking Chemicals Building Materials Utilities Oil and Gas Financial Services SPREA MISR | KEY PRODUCTS AND REVENUE DISTRIBUTION Revenue Revenues (USDmn) KEY Distribution by PRODUCTS Product | 1Q25 Sulfuric Acid Formica sheets Powder Liquid SNF SNF 0.01% Formica sheets 1%0.2% 22% +54% +149% +16%
Slide 15: Sprea Misr | Product Offering
SPREA MISR | PRODUCT OFFERING Product Range Overview Sulfuric Acid Formaldehyde Liquid Sulfonated Phenol FD Resin & Naphthalene Melamine FD Liquid Melamine Molding Urea Formaldehyde Urea Resin Compound Formaldehyde Impregnated Kraft Impregnated Urea Molding Paper Novolac SNF Powder Powder Glaze Deco
Slide 16: Nilewood | Overview
Non-Banking Chemicals Building Materials Utilities Oil and Gas Financial Services NILEWOOD | OVERVIEW Nilewood, a joint venture between EKH and Germany's Homann Holzwerkstoffe, is an upcoming MDF production company. Its state-of-the- EGP3.6bn 1H25 73% Total investment Expected start date EKH effecti
Slide 17: NatEnergy | Overview
Non-Banking Chemicals Building Materials Utilities Oil and Gas Financial Services NATENERGY | OVERVIEW NatEnergy is the largest private sector operator of natural gas pipelines in the MENA region. NatEnergy groups EKH subsidiaries NATGAS, Fayum Gas, USD17.5mn USD4.44mn USD4.14mn and Nubaria Gas, whi
Slide 18: NatEnergy | Financial Performance
Non-Banking Chemicals Building Materials Utilities Oil and Gas Financial Services NATENERGY | FINANCIAL PERFORMANCE1 Revenues grew 40% y-o-y, driven by increased connections to Both gross and EBITDA margins contracted by 7pp y-o-y due Excluding impact of FX gains booked in 1Q24, normalised earnings
Slide 19: Kahraba | Overview
Non-Banking Chemicals Building Materials Utilities Oil and Gas Financial Services KAHRABA | OVERVIEW Founded in 2004, Kahraba is the oldest and one of the largest power developers in the region, with a generation and distribution capacity of USD13.4mn USD2.69mn USD1.29mn approximately 645 MW. Kahrab
Slide 20: Kahraba | Financial Performance
Non-Banking Chemicals Building Materials Utilities Oil and Gas Financial Services KAHRABA | FINANCIAL PERFORMANCE Revenues rose 37% y-o-y driven by 43% y-o-y surge in EBITDA margin narrowed by 10pp y-o-y to 20% as a Y-o-y decline in net profit driven by higher input costs distribution volumes result
Slide 21: Kahraba | Operational Performance
Non-Banking Chemicals Building Materials Utilities Oil and Gas Financial Services KAHRABA| OPERATIONAL PERFORMANCE Installed Capacity (MW) Electricity Distribution Volumes (MW) Kahraba’s installed power distribution capacity close to doubled y-o-y in 2025, reaching 510 MW, This expansion in scope dr
Slide 22: Offshore North Sinai (ONS) | Overview
Non-Banking Chemicals Building Materials Utilities Oil and Gas Financial Services OFFSHORE NORTH SINAI (ONS) | OVERVIEW On the upstream front, ONS operates six wells within a 443 km2 concession situated 65 km offshore North of Port Said city. The facilities include a USD14.4mn USD11.3mn USD6.51mn pi
Slide 23: Offshore North Sinai (ONS) | Financial & Operational Performance
Non-Banking Chemicals Building Materials Utilities Oil and Gas Financial Services OFFSHORE NORTH SINAI (ONS) | FINANCIAL & OPERATIONAL PERFORMANCE Revenues declined 4% y-o-y, resulting from temporary planned shutdown for pipeline EBITDA margin contracted by 6 pp y-o-y, weighed down by weaker top-lin
Slide 24: Non-Banking Financial Services | Overview
Non-Banking Chemicals Building Materials Utilities Oil and Gas Financial Services NON-BANKING FINANCIAL SERVICES | OVERVIEW EKH’s NBFS portfolio consists of two leading Egyptian insurance companies, Delta Insurance and Mohandes Insurance, in addition to one rapidly USD16.5mn USD4.29mn USD2.95mn grow
Slide 25: Consolidated Performance
CONSOLIDATED PERFORMANCE 25
Slide 26: Consolidated Performance | Income Statement Highlights
CONSOLIDATED PERFORMANCE | INCOME STATEMENT HIGHLIGHTS Revenues (USDmn)1 EBITDA (USDmn) | Margin1 Net Profit (USDmn) | Margin Attrib. Net Profit (USDmn) | Margin 801 (20%) 359 (31%) 50 18 CAGR: 362 CAGR: 642 241 78 +5% +9% 186 54 248 58 117 47 14 171 179 23 163 83 226 218 62 30 +1% 50 185 63 116 (46
Slide 27: Stock and Shareholder Returns
STOCK AND SHAREHOLDER RETURNS 27
Slide 28: Stock Information | Dual-Listed with a Diverse Shareholder Base
STOCK INFORMATION | DUAL-LISTED WITH A DIVERSE SHAREHOLDER BASE EKH is listed on both the Egyptian Exchange (EGX) and Kuwait Stock Exchange (Boursa Kuwait) Share Information EGX Boursa Kuwait Currency EGP USD KWD Number of shares 335,461,398 204,185,149 587,238,740 Reuters ticker EKHOA.CA EKHO.CA EK
Slide 29: Shareholder Returns | Consistent Dividend Payouts Since 2007
SHAREHOLDER RETURNS | CONSISTENT DIVIDEND PAYOUTS SINCE 2007 Total of +USD939mn in dividends paid out since 2007 Stock Dividend Stock Dividend 1:10 Cash Dividend Cash Dividend Cash Dividend Cash Dividend 1:10 USD 0.027/share USD 0.011/share USD 0.072/share USD 0.072/share 2007 2008 2009 2010 2011 Ca
Slide 30: Analyst Consensus | Overweight Ratings with Significant Upside
ANALYST CONSENSUS | OVERWEIGHT RATINGS WITH SIGNIFICANT UPSIDE FOR EKH Upside as of Upside as of Research House Publication Date Target Price Rating Publication Date 31-Mar-25 28-Nov-24 USD1.19 +57% +61% OVERWEIGHT 5-Jan-25 USD1.26 +33% +53% +70% BUY 17-Dec-24 USD1.00 +26% +35% BUY 16-Oct-24 USD1.25
Slide 31: Appendix
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Slide 32: Board of Directors
BOARD OF DIRECTORS Loay Jassim Al-Kharafi Adel Al-Alfi Jon Rokk Moataz Al-Alfi Chairman of the Board Vice Chairman of the Board Group CEO Member of the Board (Non-Executive) (Non-Executive) (Executive) (Non-Executive) Sheikh Mubarak Abdulla Al- Saad Al-Saad Hussein Al-Kharafi Talal Jassim Al-Kharafi
Slide 33: Management Team
MANAGEMENT TEAM Tamer Badrawi Jon Rokk Medhat Bonna Khaled El-Demerdash Group Chief Human Resources Group Chief Executive Officer Group Chief Financial Officer Group Legal Counsel Officer Wael El Hatow Passant Fouad Hany Azzam Mohamed Wafaei Chief Investment Officer Chief Marketing and Public Head o
Slide 34: Consolidated Income Statement | 1Q25
CONSOLIDATED INCOME STATEMENT | 1Q25 (in USD) 1Q24 1Q25 Total Revenues 193,053,159 195,467,414 COGS 107,928,310 120,036,867 Gross Profit 85,124,849 75,430,547 % Margin 44% 39% Selling Expenses 1,231,426 1,275,872 G&A 20,449,302 14,024,598 Operating Income 63,444,121 60,130,077 % Margin 33% 31% Inter
Slide 35: Consolidated Balance Sheet | 1Q25
CONSOLIDATED BALANCE SHEET | 1Q25 (in USD) 31-12-2024 31-03-2025 (Cont’d) 31-12-2024 31-03-2025 Property, plant and equipment and projects under construction 239,776,509 236,908,025 Issued & paid-up capital 281,721,321 281,721,321 Investment properties 343,848 343,284 Legal reserve 137,960,942 140,8
Slide 36: Consolidated Cash Flow Statement | 1Q25
CONSOLIDATED CASH FLOW STATEMENT | 1Q25 (in USD) 1Q24 1Q25 (Cont’d) 1Q24 1Q25 Net profit for the period before income tax 94,388,712 50,738,803 Cash flows from investing activities Adjustments for: Interest collected 5,565,971 5,352,120 Depreciation & amortization 14,588,022 12,979,801 Company's sha
Slide 37: Disclaimer
Disclaimer This presentation was prepared by Egypt Kuwait Holding S.A.E. (“EKH”) and is strictly confidential and may contain market sensitive information. All recipients hereof who are permitted to receive the same are bound by the restrictions on disclosure and use and other terms thereof. The pro
Slide 38: Investor Relations Contact Information
Investor Relations Contact Information Omar Nashaat Investor Relations Director [email protected] (+202)33363300 Maryam Saleh Investor Relations Associate [email protected] (+202)33363300 IR Website: ir.ekholding.com Egypt Kuwait Holding | Investor Presentation