Led by Egyptian Ghabbour family, GB Auto posts $51.8 million in profit in 9M 2022

Ghabbour Auto Group (GB Auto), a Cairo-based automaker owned by the family of late Egyptian auto tycoon Raouf Ghabbour, outperformed the previous year’s financial results as its profit at the end of the first nine months of its 2022 fiscal year surged above $50 million.

According to figures contained in the group’s recently published financial results, its profit at the end of the first nine months of its 2022 fiscal period rose by 26.5 percent, from EGP1 billion ($40.8 million) to EGP1.27 billion ($51.8 million), despite disruptions to its operating environment.

Despite a single-digit increase in revenue from EGP22.89 billion to EGP22.39 billion, the group’s earnings surged by more than 26 percent during the period under review thanks to comprehensive operational efficiency measures and improved pricing techniques implemented by management.

The surge in the group’s earnings will build on its financial performance in 2021, when its profit increased by 66.6 percent from EGP1.11 billion ($70.6 million) to EGP1.85 billion ($117.6 million), reflecting increased consumer demand across the group’s business lines.

CEO of GB Auto Nader Ghabbour remarked on the group’s financial results, stating that the group’s success in the first nine months of the year highlighted its tenacity as it navigated through adverse market conditions in terms of supply availability.

“Our strength lies in our prudent strategies and diverse portfolio of products and services that complement one another,” he added, adding that the business was also able to leverage greater inventory levels to hedge against supply chain disruptions while improving its pricing approach.

GB Auto was establishend in 1985 by the late Egyptian auto mogul Raouf Ghabbour. It grew to become one of the Middle East and North Africa’s leading automobile distributors and assemblers under his guidance.

At present prices, the Ghabbour family’s 62.9-percent stake in GB Auto is worth nearly $125 million, making the family one of the wealthiest investors on the Egyptian Exchange.