Qalaa’s consolidated revenues increased 46% y-o-y to EGP 12.8 billion and recurring EBITDA nearly sevenfold to EGP 1.2 billion in 3Q21

Strong performance driven by the success of Qalaa’s operational and growth strategies across its platform companies and supported by a global rally in commodity prices and improved refining margins at ERC; excluding ERC the Group records a 39% y-o-y growth in revenues to EGP 4.7 billion and recurring EBITDA increased by 63% y-o-y to EGP 520.6 million in 3Q21

Key Operational Highlights

•    TAQA Arabia’s growing revenues were driven by CNG station expansions at TAQA Gas which reached 30 stations in 3Q21, as well as increasing power distribution and generation at TAQA Power;
•    National Printing reaped the rewards of improved export sales and an adjusted pricing strategy at Uniboard as well as growing revenues at its El Baddar subsidiary as it benefits from its new state-of-the-art facility;
•    ASEC Holding’s solid top line results reflect a base line effect with hindered performance in 3Q20 as well as a significant increase in average cement prices in Sudan and higher volumes at Al-Takamol Cement;
•    ICDP delivers 40% growth in 3Q21 supported by growing contributions from its new juice segment as the company works to grow its product range and expand its reach; 
•    Several of Qalaa’s businesses are benefiting from the global rise in logistics and raw material costs. A key focus area over the next three years is to further leverage the competitive advantage of local manufacturing and grow group-wide exports;
•    The Group’s export proceeds recorded c. USD 27.5 million in 3Q21, while local foreign currency revenue recorded c. USD 528.0 million;
•    Management expects continued growth in 4Q21;
•    For the coming period, management remains optimistic about Qalaa’s organic growth strategies through incremental investments to unlock the potential of its subsidiaries;
•    Debt restructuring at Qalaa Holdings and ERC remains a top priority;
•    Continuous adherence to proven health, safety, and business continuity measures that have helped protect and retain all of Qalaa’s c.17 thousand employees. High degree of caution and readiness for risks related to COVID-19 and its emerging variants;
•    Despite a global environment that is less favorable for emerging markets, management remains confident in the Egyptian economy.
Qalaa Holdings, a leader in energy and infrastructure (CCAP.CA on the Egyptian Exchange, formerly Citadel Capital), released today its consolidated financial results for the quarter ended 30 September 2021, recording a 46% y-o-y increase in revenues to EGP 12.8 billion in 3Q21. The solid performance reflects the success of Qalaa’s operational and growth strategies across its platform companies, with improved performance across almost all subsidiaries, as well as a global rally in commodity prices and improved refining margins at ERC. At Qalaa’s bottom-line, the Group booked a net loss of EGP 440.7 million in 3Q21 compared to a net loss of EGP 443.5 million in the same period last year.

Excluding ERC, Qalaa’s revenues grew by 39% y-o-y to EGP 4.7 billion in 3Q21, driven by positive performances across Qalaa Holdings’ portfolio companies, including TAQA Arabia, which recorded a 16% y-o-y increase in revenues in 3Q21. TAQA’s revenue was buoyed by CNG station expansions at TAQA Gas coupled with improved market conditions reflecting positively on total power distribution and generation at TAQA Power. Additionally, National Printing delivered a 37% y-o-y top line increase in 3Q21 as it reaped the rewards of improved export sales and an adjusted pricing strategy at Uniboard. National Printing’s performance also reflects growing revenues at El Baddar as it benefits from its new state-of-the-art facility. Qalaa’s results were also supported by ASEC Holding which delivered a 314% y-o-y growth in revenues in 3Q21. This reflects an increase in average cement prices as well as a low base effect for Al-Takamol Cement’s volumes, with production having been halted in September 2020 during a lengthy overhaul process to transfer technical management to ASEC Engineering.

“Qalaa Holdings successfully delivered strong top line results in 3Q21, with revenues growing by a solid 46% year-on-year driven by the success of our operational and growth strategies across our platform companies,” said Qalaa Holdings’ Chairman and Founder Ahmed Heikal. “Our results reflect the positive impact of a global rally in commodity prices on Qalaa’s businesses, and the recovery in ERC’s refining margins during the period.” 

“I would like to highlight a number of positive factors that will continue to influence our results going forward. First, supply chain restrictions and energy shortages in China are giving pricing power to global producers in almost all sectors. Second, the global recovery is causing inflation to pick up. Companies with a high percentage of local inputs and resources will benefit. Third, lack of hydrocarbon investments will put a floor under oil prices and consequently refinery margins. Fourth, high hydrocarbon prices will encourage the shift to renewables, a key focus for TAQA going forward. Fifth, with pressing global environmental issues, general energy efficiency projects will be a focus. Sixth, Egypt's spending on infrastructure will give rise to O&M companies in a variety of sectors to maintain new assets. Seventh, the recovery of tourism and the Egyptian economy along with population growth will drive consumption growth. Eighth, the global political environment will see many global manufacturers to distribute their manufacturing base; a trend that could benefit Egypt. Finally, the pressure on the trade deficit will give rise to an environment supportive of local manufacturing. Qalaa is in the right spot to capitalize on these trends.” said Heikal.

“I would also like to reiterate that the true value of Qalaa’s performing assets is masked due to the adoption of international accounting standards, which account for assets at their historical cost and adjust for impairments, while not taking into consideration any revaluation adjustments,” Heikal added.

Qalaa’s recurring EBTIDA increased to EGP 1.2 billion in 3Q21 compared to EGP 182.1 million in 3Q20, primarily driven by ERC’s positive performance during the period. ERC’s technical management (O&M) is contracted to the Egyptian Projects Operations and Maintenance company (EPROM), a wholly owned subsidiary of the Egyptian General Petroleum Corporation (EGPC). 

Excluding ERC, Qalaa would record a recurring EBITDA increase of 63% y-o-y to EGP 520.6 million in 3Q21, driven by improved profitability across the majority of the Group’s subsidiaries.
“On the profitability front, Qalaa’s recurring EBITDA performance carries forward the strong momentum witnessed since the start of the year,” said Hisham El-Khazindar, Qalaa Holdings’ Co-Founder and Managing Director. “Management’s operational efficiency, pricing, and cost-cutting strategies, as well as our restructuring efforts across our platform companies helped drive profitability in the face of rising global challenges.”

“At TAQA Arabia, we continue to reap the rewards of expanding in the CNG space and successfully capitalized on increased industrial activity with growing gas and power distribution volumes. At National Printing, management’s revised pricing strategy at the Uniboard subsidiary helped offset the rise in raw materials and further supported EBITDA during the period. Meanwhile, at ASEC Holding, increasing cement volumes and prices as well as cost reduction and restructuring efforts led to the turnaround in EBITDA.”

“The Group is also pressing on with its debt restructuring efforts and is negotiating new agreements at the Qalaa Holding level and at ERC. In parallel, we are focused on unlocking new opportunities and generating increased value through strategic, incremental investments in our portfolio companies.”

“We look forward to closing out the year on a positive note and with stronger footing across our diverse operations and markets. We also reiterate our commitment to upholding Qalaa’s comprehensive health and safety measures to protect our c. 17,000 employees who are the key success driver,” concluded El-Khazindar.

Qalaa Holdings’ full business review for 3Q 2021 and the financial statements on which it is based are now available for download on


Previous Qalaa Holdings press releases on this subject and others may be viewed online from your computer, tablet or mobile device at

Qalaa Holdings (CCAP.CA on the Egyptian Stock Exchange) is an African leader in energy and infrastructure. Qalaa Holdings builds responsible and sustainable businesses that add value to the economies and societies in which it does business. Formerly known as Citadel Capital, Qalaa Holdings controls subsidiaries in industries including Energy, Cement, Agrifoods, Transportation & Logistics, Mining and Printing & Packaging. To learn more, please visit


Forward-Looking Statements

Statements contained in this News Release that are not historical facts are based on current expectations, estimates, projections, opinions and beliefs of Qalaa Holdings. Such statements involve known and unknown risks, uncertainties and other factors, and undue reliance should not be placed thereon. Certain information contained herein constitutes “targets” or “forward-looking statements,” which can be identified by the use of forward-looking terminology such as “may,” “will,” “seek,” “should,” “expect,” “anticipate,” “project,” “estimate,” “intend,” “continue” or “believe” or the negatives thereof or other variations thereon or comparable terminology. Actual events or results or the actual performance of Qalaa Holdings may differ materially from those reflected or contemplated in such targets or forward-looking statements. The performance of Qalaa Holdings is subject to risks and uncertainties.

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Qalaa Holdings

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