In line with its strategic investment plan, Raya Holding is pumping new investments in its operations. The strategic plan is focused on Raya Smart Buildings, BariQ, Ostool, in addition to the newly established line of business for social media.
Medhat Khalil, Raya Holding Chairman and CEO, stated that "we are keen to capitalize on investment opportunities and we continue to focus on our long-term vision of a diversified investment portfolio while creating value for our shareholders. Raya Group has successfully obtained banking credit facilities of 100 million EGP, with 36 million EGP from Audi Bank, 44 million EGP from HSBC Bank and 20 million EGP from the International Company for Leasing, Incolease. These loans will be utilized for the company's current investment plan, in line with its diversification strategy."
It is worth mentioning that Raya Smart Buildings is one of the first Egyptian companies that work in the field of smart buildings, with a land bank of 26,600 square meters and a built up area of 115, 000 square meters in 6th of October, New Cairo and Smart Village, and a total investment of 700 million EGP in the coming three years.
Reinforcing Egypt's national initiatives, Raya established BariQ, a Polyethylene Terephthalate manufacturing company, a material used in food, beverage, and mineral water bottles. With a capital of 45 million EGP and a total investment of 100 million EGP, BariQ is considered the first factory in Egypt in this field and will start its production before end of 2011.
Raya also established Ostool for land transport in a joint venture with Citadel Capital Group, with a capital of 40 million EGP and expected total investment of 50 million EGP till end of next year. In addition, Raya just recently announced the establishment of a new company, specialized in social media, with a total investment of 20 million EGP in the coming three years.
Financial Highlights:
Raya's consolidated revenues reached 1, 123.4 million EGP during the first half of 2011, constituting a decrease of 11% against H1 2010, while in Q2 2011 the consolidated revenues reached 627.3 million EGP with an increase of 26.4% over the first quarter of 2011.
In the first half of 2011, the consolidated gross profit reached 138.3 million EGP representing a decrease of 8% from the first half of 2010. Consolidated gross profit reached 71.6 million EGP in the second quarter of 2011 with a 7.2% increase over first quarter 2011.
Net Operating Income recorded 30.9 million EGP with a decrease of 10.7% from H1 2010 while recording an increase of 75.1% to reach 19.7 million EGP in comparison with first quarter of 2011.
In addition, Raya's net income after tax and minority interest totaled EGP 13.38 million EGP, constituting a decrease of 35.5% in comparison to the same period of 2010, while an increase of 1149% was marked over the first quarter of 2011.
Despite of the current economic situation, Raya was able to cut its G&A cost by 4.6 million EGP to reach 98.6 million in the first half of 2011 in comparison to 103.2 million EGP in H1 2010.
-Ends-
© Press Release 2011
