MM Group for Industry and International Trade (MTI), a company for manufacturing, trading, and distribution in Egypt, has announced its results for the first quarter (Q1) of fiscal year (FY) 2016/ 2017.
MM Group said that profitability remains strong as MTI’s net income came in at EGP 130 million in the first quarter of 2017, a 171% increase compared to the first quarter (Q1) of 2016.
As for revenues, MTI has achieved a 38% increase from Q1 2016 to Q1 2017 (revenues in Q1 2017 amounted to EGP 1.508bn) on the back of outstanding performance from MTI’s consumer electronics segment.
The group has recorded EGP 145m gross profit in Q1 2017, up 76% y-o-y with a significant improvement in margins, reaching 10% (2+% absolute increase over Q1 2016).
The group’s earnings before interest, taxes, depreciation, and amortisation (EBITDA) increased to EGP 115m in Q1 2017, up 74% y-o-y, with an 8% margin. This represents a 2+% absolute increase from the same period last year.
MTI’s net profit saw significant improvement compared to the same period last year, recording a total of EGP 130m in Q1 2017, more than a 171% increase.
Furthermore, margins continued to improve, with a net profit margin of 9% compared to 4% in Q1 2016.
Khaled Mahmoud, chairperson and CEO of MTI, said that the company has new partnership with Chinese telecom equipment Huawei. MTI’s new partnership with Huawei is expected to significantly increase Huawei’s market share in the Egyptian market. The new partnership will allow MTI to target a new and wider segment of the Egyptian mobile phone market.
“We are still committed to exploring opportunities across new and existing business lines,” said Mahmoud. “We will focus on adding new products, such as home appliances, to diversify our consumer electronics portfolio. We will also continue to seek a market entry into the microfinance sector, as well as growing our e-payments investments organically or through acquisitions,” he added.
Founded in 1895, MM Group is a family-owned conglomerate that has been in the market for over 120 years.