El Sewedy Electric, an Egypt-based integrated cable and electrical product manufacturer led by multimillionaire businessman Ahmed El Sewedy, has announced a double-digit increase in its profit for 2021.
According to its earnings release, its net profit increased by 16.7 percent from EGP3 billion ($191 million) in 2020 to EGP3.5 billion ($224.5 million) at the end of 2021, owing to strong growth in sales and revenue.
The multinational electric company and leading energy solution provider with active operations in the Middle East and Africa ended the year with a strong double-digit revenue growth of 30 percent from EGP46.4 billion in 2020 to EGP60.5 billion in 2021.
The strong revenue growth was driven by a 60-percent increase in wire and cable sales from EGP18.5 billion to EGP29.6 billion, as well as a 36.7-percent increase in transformer sales revenue and an 11.5-percent increase in turnkey projects.
In terms of revenue contribution, the wires and cables segment contributed 49 percent to consolidated revenues, up nine percentage points from the previous year, while turnkey projects, meters and transformers contributed 42 percent, four percent and three percent, respectively, to the group’s consolidated revenue.
As a result of the strong performance, the electric company’s assets increased significantly from EGP54.9 billion to EGP67.7 billion, while total wealth attributable to shareholders rose from EGP17 billion to EGP19.1 billion.
While commenting on the group’s financial performance for the year, El Sewedy, CEO of the multinational electric company, stated that the group finished the year with a strong performance as it continued to drive growth across all of its operating segments.
“We kept our net profit margins nearly stable at around 6-percent. Elsewedy’s growth has spread across all of its segments, and I anticipate that our recent investments will yield good returns in 2022 and beyond,” he said.
Egytech Cables, a 99.98-percent-owned subsidiary of Elsewedy Electric, recently signed a new contract with Kuwait’s Public Authority for Housing Welfare worth KWD8.49 million ($28.1 million).
It also signed a contract worth EGP443.4 million ($28.3 million) in January for a five-year electrification project in Egypt’s new administrative capital.
