Contact Financial announces 1Q-2023 results

Contact Financial announces 1Q-2023 results

Cairo: Contact Financial Holding SAE (CNFN.CA), Egypt’s largest non-bank financial services provider, announced today its consolidated financial results for the three-month period ending 31 March 2023, reporting solid year-on-year operating income growth across its financing and insurance divisions of 28% and 43%, respectively. Meanwhile, financing net income fell by 14% while insurance net income rose by 35%, with consolidated normalized net income[1] recording EGP 178 million, representing a 3% year-on-year expansion.

1Q-2023 Key Financial and Operational Highlights[2]

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1Q-2022

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Change

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Financing Division

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Total Portfolio (EGP bn)

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11.47

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16.79

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46%

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Financing Operating Income (EGP mn)

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361

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462

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28%

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Financing Net Income (EGP mn)

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141

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121

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-14%

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Insurance Division

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Gross Written Premiums (EGP mn)

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252

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437

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73%

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Insurance Operating Income (EGP mn)

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57

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81

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43%

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Insurance Net Income (EGP mn)

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18

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25

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35%

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Consolidated Results

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Total Operating Income (EGP mn)

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419

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548

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31%

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Net Income (EGP mn)

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154

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136

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-11%

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Annualized Return on Average Equity

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26.0%

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22.3%

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-3.8 pts

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Normalized Net Income (EGP mn)

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173

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178

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3%

During 1Q-2023, Contact’s financing division saw new financing extended rise by 66% year-on-year to record EGP 4.1 billion. Strong year-on-year growth was primarily driven by Contact’s Consumer