Key Points:
- Oriental Weavers plans a major investment to address Egypt’s skills gap, focusing on building a talent pipeline for the company.
- The Khamis family, leading the world’s top machine-woven carpet maker, strengthens its Egyptian roots through education initiatives.
- This move strengthens Oriental Weavers’ social responsibility efforts, potentially improving education standards in local communities and securing a qualified workforce.
Oriental Weavers, a leading global manufacturer of carpets and textiles led by Egyptian businesswoman Yasmine Mohamed Khamis and her siblings, announced plans for a significant investment in Egypt’s education sector. This move aims to address the country’s skills gap.
The announcement came from Yasmine Khamis on the sidelines of the United Nations Global Compact Annual Forum hosted by the UNGCNE. While details remain unclear, the move is seen as a strategic effort to develop a talent pool tailored to the company’s needs. This could involve technical programs focusing on production, design, or machine operation.
The planned investment is expected to improve the education standards of communities near its factories, fostering goodwill and creating a more stable, qualified workforce. This investment builds on Oriental Weavers’ existing social responsibility initiatives.
Oriental Weavers: A family-run success
Founded in 1979 and listed on the Egyptian Exchange (EGX) in 1997, Oriental Weavers has become a global leader in machine-woven carpets, rugs, and textiles. With production facilities in three countries, the company distributes its products in roughly 150 countries.
Under the leadership of the billionaire Khamis family, with Yasmine Khamis and her siblings at the helm, Oriental Weavers continues to solidify its position in global carpet manufacturing. The family, which is one of Egypt’s wealthiest, retains a 56.58 percent stake in the company.
Oriental Weavers sees sales boom
Oriental Weavers closed fiscal year 2023 with robust financial results. Consolidated revenues reached EGP17.66 billion ($571.53 million), a remarkable 33.2-percent year-on-year increase from EGP13.25 billion ($428.95 million) in 2022.
This growth was driven by a 34 percent rise in export revenue, which accounted for 64% of total revenue, and a 31 percent increase in local sales. The company attributes this performance to higher average selling prices and local currency devaluation.
Gross profit up 103 percent
Gross profit saw an exceptional 103 percent year-on-year jump to EGP2.55 billion ($82.53 million), compared to EGP1.25 billion ($40 million) the prior year. This surge resulted in a commendable gross profit margin of 14.4 percent, credited to operational efficiency, group reengineering efforts, and favorable pricing dynamics.
The performance solidifies Oriental Weavers’ resilience and strategic prowess, positioning them as a key player in the evolving global carpet manufacturing landscape. The impressive figures underscore the success of the company’s operational strategies and market adaptability.
