DUBAI // If it wasn't for a one-off gain, EFG-Hermes's first-quarter profits would not have been all that impressive. In fact, the company could well have incurred a net loss.
One of the largest investment banks in the region, EFG-Hermes on Monday said its net profit for the quarter more than tripled to 483.6 million Egyptian pounds (Dh317m), from 140.1m pounds in the same period last year. However, the net earnings were boosted by a gain of 505m pounds on the sale of the bank's 29.16 per cent stake in Banque Audi of Lebanon.
Without the sale, EFG-Hermes could have reported a 21m pound loss, which is 38 per cent more than Shuaa Capital's forecast loss of 15m pounds for the first three months of this year.
EFG sold its entire stake in the Lebanese lender for US$913m (Dh3.35 billion) in January and has realised the gains from the sale. The bank said it would seek new investment opportunities.
Ghida Obeid, a banking analyst at Shuaa Capital, said there were signs of "marked improvement" at the operating level and there was less risk now compared with a difficult situation last year. But the outlook remains bearish for overall activity in regional equity markets this year.
"Hence, we only see minor operating improvement in the second part of 2010 for EFG-Hermes," she wrote in a note to investors on Monday.
The silver lining for existing investors is the fact that fee and commission revenue, a key source of income for the bank, climbed 57 per cent to 267m pounds. The bank said it had observed increased market activity for investment banking deals as well as brokerage activity.
Like their international peers, regional investment banks have struggled to maintain profitability and have exited most of their boom-era financial investments in order to improve their balance sheets and raise liquidity. EFG shares are down 15.4 per cent since their 12-month peak last month. They gained 0.8 per cent to 31.25 pounds in trading in Cairo yesterday.
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Yemen's Bahais and the charges they often face
The Baha'i faith was made known in Yemen in the 19th century, first introduced by an Iranian man named Ali Muhammad Al Shirazi, considered the Herald of the Baha'i faith in 1844.
The Baha'i faith has had a growing number of followers in recent years despite persecution in Yemen and Iran.
Today, some 2,000 Baha'is reside in Yemen, according to Insaf.
"The 24 defendants represented by the House of Justice, which has intelligence outfits from the uS and the UK working to carry out an espionage scheme in Yemen under the guise of religion.. aimed to impant and found the Bahai sect on Yemeni soil by bringing foreign Bahais from abroad and homing them in Yemen," the charge sheet said.
Baha'Ullah, the founder of the Bahai faith, was exiled by the Ottoman Empire in 1868 from Iran to what is now Israel. Now, the Bahai faith's highest governing body, known as the Universal House of Justice, is based in the Israeli city of Haifa, which the Bahais turn towards during prayer.
The Houthis cite this as collective "evidence" of Bahai "links" to Israel - which the Houthis consider their enemy.
'Panga'
Directed by Ashwiny Iyer Tiwari
Starring Kangana Ranaut, Richa Chadha, Jassie Gill, Yagya Bhasin, Neena Gupta
Rating: 3.5/5
The Bio
Amal likes watching Japanese animation movies and Manga - her favourite is The Ancient Magus Bride
She is the eldest of 11 children, and has four brothers and six sisters.
Her dream is to meet with all of her friends online from around the world who supported her work throughout the years
Her favourite meal is pizza and stuffed vine leaves
She ams to improve her English and learn Japanese, which many animated programmes originate in
more from Janine di Giovanni
Company Profile:
Name: The Protein Bakeshop
Date of start: 2013
Founders: Rashi Chowdhary and Saad Umerani
Based: Dubai
Size, number of employees: 12
Funding/investors: $400,000 (2018)
