Egypt Cable, a subsidiary of El Sewedy Electric, has signed a contract with the Egyptian Electricity Transmission Company (EETC) to develop the latter’s regional control centre in Greater Cairo. The project’s total cost will reach about EGP 1.2bn, of which EGP 583.7m will be directed to the development operations carried out by Egypt Cable.
The project’s contract was signed last Thursday, and Egypt Cable will start implementing the project within 20 months of receiving the down payment of the contract.
Noteworthy, the profits of El Sewedy Electric decreased by 22% to EGP 2.79bn in the first nine months (9M) of 2019, compared to EGP 3.58bn in the comparison period in 2018. Meanwhile, the company’s revenues increased to EGP 34.5bn in 9M 2019, compared to EGP 30.3bn in the comparison period of 2018.
Moreover, the company achieved net profit of EGP 831.5m in the third quarter (3Q) of 2019, compared to EGP 1.16bn in 3Q 2018.
Ahmed El Sewedy, managing director of El Sewedy Electric, said that the financial and operational results achieved by the company during the mentioned period reflect its success in creating growth opportunities, as its revenues grew by 14%.
He added that the contracting sector is set to launch a variety of design, supply, and construction projects in Egypt, Gulf, and Tanzania.
El Sewedy pointed to the stability of the cable sector as the main pillar of the company’s sustainable growth. “The company is implementing a dam and a hydroelectric power station projects in Tanzania, where it has transported construction equipment,” he said.
The company is also constructing a solar power plant in Benban complex, Egypt, where the commercial operation has started in 3Q of 2019, after linking it to the national electricity grid.
El Sewedy added that the cable sector contributed 48.9% of the company’s total revenues 9M 2019, compared to 57.8% in the same period in 2018.
While the contribution of the contracting sector represented 38.5% of the company’s revenues, compared to 28.2% in the comparison period.
The contribution of the metres and transformers sectors decreased to 7.3% and 3.7% of the total revenues, respectively, in 9M 2019.
Also, the contribution of the electrical products sector decreased to 1.7% of the company’s revenues, compared to 1.9% in the comparison period.