Egyptian conglomerate Qal'a Investment has announced a significant increase in its consolidated revenues for the second quarter of 2026, with a 118% year-on-year growth to EGP 54.5 billion. This strong performance was primarily driven by the Egyptian Refining Company, which operated without any production downtime during the quarter. In contrast, the company had to halt production for 32 days in the same period of 2025 for planned maintenance.
The company's operating profit before taxes, interest, depreciation, and amortization (EBITDA) surged by nearly tenfold, or 880% annually, to EGP 18.2 billion during the second quarter. This substantial increase in profitability enabled Qal'a Investment to achieve a net profit of EGP 2.0 billion, reversing the EGP 1.2 billion net loss recorded in the same period of 2025. The improvement in financial performance was also attributed to the strong recovery in refining margins.
Qal'a Investment's founder and chairman, Dr. Ahmed Heikal, expressed his satisfaction with the company's performance, citing the exceptional results achieved by the Egyptian Refining Company. Heikal highlighted that the company's diversified portfolio and strategic investments have contributed to its resilience and growth. The company's board of directors has approved a plan to increase its stake in the Egyptian Refining Company to 27.1%, further solidifying its position in the sector.
In addition to the strong performance of the Egyptian Refining Company, Qal'a Investment's other operating segments also demonstrated significant growth. The mining sector reported a substantial increase in revenues and a return to profitability. The food sector continued to exhibit revenue growth, while Arab Energy Company posted impressive results across all metrics. The cement sector also showed signs of recovery, with Egyptian companies reporting higher revenues and sales volumes.
Dr. Heikal emphasized that Qal'a Investment remains committed to reducing its debt levels and strengthening its financial position. The company has made significant progress in this regard, with a focus on executing its growth strategy across various sectors and exploring new investment opportunities. Heikal expressed confidence in the company's ability to navigate challenges and capitalize on emerging opportunities.
Hisham Al Khazandar, co-founder and managing partner of Qal'a Investment, praised the company's operational performance during the second quarter, highlighting the improvement in refining margins and the contribution of other sectors to the group's results. Al Khazandar noted that the company's Egyptian Refining Company has made significant strides in reducing its debt, with a focus on generating cash flows and distributing dividends.
Looking ahead, Qal'a Investment is poised for continued growth and expansion, driven by its diversified portfolio and strategic investments. The company remains focused on executing its growth strategy and exploring new opportunities, with a commitment to creating long-term value for its stakeholders. Key points include:
Key points
- Qal'a Investment reports 118% annual growth in Q2 revenue to EGP 54.5 billion.
- The company's operating profit surged by nearly tenfold to EGP 18.2 billion during the second quarter.
- Qal'a Investment achieved a net profit of EGP 2.0 billion, reversing the EGP 1.2 billion net loss recorded in the same period of 2025.
