Beltone ‘s Operating Revenue Grows to $28 Million in Q1 of 2024

Cairo-based Beltone Holding, one of the fastest growing financial institutions in the region, on Monday said that it continued to reap the benefits of its turnaround and growth strategy, driving soaring consolidated top line growth, as Operating Revenue grew 812% y-o-y to a record $28 million during Q1 of 2024.

This growth was driven by the robust expansion of the Non-Banking Financial Institutions (NBFIs) platform coupled with the exceptional performance of the Investment Bank. EBITDA recorded $9.77 million during the first quarter and net profit was $10.97 million compared with a net loss of $1.1 million during the first quarter of 2023.

The Investment Bank’s solid performance contributed to the Group’s impressive results, as operating revenue increased 355% y-o-y to $5.04 million, mainly driven by strong brokerage operations on the back of higher commissions as well as successfully augmenting Margin Lending Portfolio (MLP) to $26 million, which grew by 675% y-o-y, Beltone said in a disclosure to Egyptian stock Exchange (EGX) this morning.

The Assets Under Management (AUM) rose 56% y-o-y to $630 million, compared with $400 million for the corresponding period last year.

The Investment Banking division expanded its 2024 pipeline across different sectors, offering a comprehensive suite of services including M&A, equity capital market (ECM), and debt capital market (DCM) spaces as well as financial and Export Credit Agency (ECA) advisory services and an opportunistic-based credit fund introduced during 2H2023.

NBFIs’ Remarkable Growth

The NBFIs platform witnessed remarkable growth, capturing impressive market shares across the platform and achieving impressive results during the quarter as operating revenue soared 1,297% y-o-y to $22 million. The outstanding portfolio grew 891% y-o-y to $28 million during the same period last year.

Leasing & Factoring and Consumer Finance business lines were the main contributors to the NBFIs record growth, where outstanding portfolios rose 7x and 11x, to $17 million and $60 million respectively.

Beltone Venture Capital (BVC) concluded two new equity investments during the first quarter by investing in BirdNest and Sylndr, as well as one follow-up round for Way Up Sports. In addition, BVC concluded a debt transaction with Sylndr. The newly established Beltone SME’s received initial regulatory approval for its license during the same period.