Fawry Releases 1H2023 Results

كتبت : عبير عاطف – بوابة الاقتصاد

Fawry books stellar results, with a 42.4% year-on-year revenue expansion driven by a broadened service offering and diversified revenue streams.

13 Fawry (the “Company”, FWRY.CA on the Egyptian Exchange), Egypt’s leading provider of e-payments and digital finance solutions, announced today its consolidated results for the six-month period ended 30 June 2023. The Company recorded revenues of EGP 1,444.2 million, expanding 42.4% year-on-year (y-o-y). Fawry recorded adjusted net profit of EGP 327.9 million, up 290.4% y-o-y and yielding a net profit margin (NPM) of 22.7%. Statutory net profit came in at EGP 283.1 million, growing 441.2% y-o-y and with an associated margin of 19.6% in 1H2023. On a quarterly basis, the Company posted total revenues of EGP 768.5 million, growing 44.6% year-on-year. Meanwhile, adjusted net profit for the quarter stood at EGP 181.1 million, recording bottom-line expansion of 341.5% year-on-year and with an NPM of 23.6%. Finally, statutory net profit booked EGP 159.8 million during 2Q2023.

Chief Executive’s Review
As we head into the second half of the year, I am proud to announce Fawry’s strong financial and operational results for the first half of 2023. Throughout this six-month period, the Company has continued building on its strong customer base and extensive service offering, managing to book stellar results across our lines of business. Our top-line expansion of 42.4% year-on-year, reaching EGP 1,444 million during 1H2023 is a direct reflection of our ability to adapt to evolving consumer needs as we continue to diversify our services and appeal to more consumers throughout the country. By the same token, our increased profitability at the gross profit, EBITDA, and adjusted net profit levels are consistent with our continued cost control efforts, both direct and indirect, in response to increased inflation which has affected the country since 2022.

During the period, our four main business segments continued their growth trajectory, with the Banking Services segment expanding well beyond the rest to contribute 52.3% of revenue growth for the period. Our Alternative Digital
Payments segment continues to expand in absolute terms, while making way for the achievement of our long-term vision of revenue diversification and slowly declining in its concentration towards overall revenues.

On the operational front, I am excited to announce that the Company has managed to achieve record EBITDA and Net income margins since its inception. It is also worth mentioning that in June the company reached a new milestone by managing to process 5 million transactions a day, cementing Fawry’s operational and technical strength. There has also been a remarkable expansion of our mobile wallet transactions and mobile wallet throughput value, recording 67.6 million transactions and EGP 80.5 million during the six-month period, a rise of 73.9% and 107.7% year-on-year, respectively.

With a strong start to the year during the six-month period, I am confident that the remainder of 2023 will see Fawry continue to roll-out and grow its operations nationwide. As the Company evolves to match changing demand, Fawry will further cement its position as the leading provider of digital finance solutions in Egypt.