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In a move reflecting its robust financial performance, Elsewedy Electric, a prominent multinational cable and electrical equipment manufacturer led by Egyptian businessman Ahmed El-Sewedy, has announced dividends totaling EGP1.06 billion ($22 million) for its shareholders for the 2023 fiscal year.
At the recently concluded extraordinary general meeting (EGM) on April 18, the leading electrical equipment manufacturer, controlled and majority-owned by the El-Sewedy family, agreed to disburse EGP0.50 ($0.01037) per share, amounting to EGP1.06 billion ($22 million) as a cash dividend for 2023. This decision underscores the company’s commitment to rewarding its stakeholders for their continued support.
Additionally, the board of directors approved plans to reduce the issued and paid-up capital by EGP30 million ($623,000) by canceling 30 million treasury shares at a par value of EGP1 ($0.02076) per share. Following this reduction, Elsewedy Electric’s issued and paid-up capital will decline to EGP2.14 billion ($44.42 million) from EGP2.17 billion ($45.5 million), while the authorized capital will remain at EGP5 billion ($103.8 million).
Continued growth and financial performance
Established in 1938 by the El-Sewedy family, Elsewedy Electric has been a key player in the electrical equipment manufacturing sector, contributing significantly to various projects across the Middle East and North Africa.
With a majority stake of 68.1 percent jointly owned by Ahmed El-Sewedy and his siblings, Sadek and Mohammed, totaling 1,478,358,330 ordinary shares, the company continues to flourish under the leadership of the Egyptian billionaire family.
At the end of the 2023 fiscal year, Elsewedy Electric reported an 86.7-percent year-on-year surge in consolidated net profit after minority interest to EGP10.11 billion ($209.88 million) from EGP5.41 billion ($112.3 million) in 2022. This was driven by a 65-percent surge in revenue, rising from EGP92.16 billion ($1.91 billion) in 2022 to EGP152.18 billion ($3.16 billion) in 2023.
Leadership’s vision for the future
Commenting on the company’s financial performance, Ahmed El-Sewedy, CEO of Elsewedy Electric, expressed satisfaction, stating, “Elsewedy Electric ended 2023 on a very strong note, achieving substantial top and bottom-line growth. Our success continues to be driven by robust performances across our diverse lines of business.”
He further added, “Overall, our strategic growth initiatives across the group’s diverse segments and geographies, along with a continuous commitment to improving working capital efficiency and cash management, have been key drivers of our financial success and have expanded our capacity to pursue new strategic opportunities.”
Elsewedy Electric’s commitment to rewarding shareholders and implementing strategic measures for sustained growth underscores its position as a leading player in the global electrical equipment manufacturing sector.
