EFG Holding's Revenue Hits EGP 6.5 Billion, Boosted by aiBANK and EFG Finance

EFG Holding Group showed a solid performance in the second quarter of 2026. Its commercial banking and non-banking financial services sectors really helped boost the group's overall results, making up for some slowdown in investment banking activities. This happened even with ongoing regional market volatility, macroeconomic pressures, and fluctuating exchange rates.

The group's revenues climbed 7% year-on-year, reaching EGP 6.5 billion during the second quarter. This was mainly thanks to the continued growth of aiBANK and EFG Finance. Additionally, aiBANK saw its loan portfolio expand and net interest income rise, while valU reported higher securitization gains.

aiBANK and EFG Finance Drive Revenue Growth

The group's results revealed a clear difference in performance across its main business platforms. EFG Finance's revenues jumped 15% year-on-year to about EGP 2 billion, while aiBANK's revenues increased by 30% to EGP 2.1 billion.

aiBANK's growth was fueled by its expanding base of income-generating assets and a growing loan portfolio. This positively impacted both its net interest income and net fees and commissions.

aiBANK's net profit after tax rose by 33% year-on-year in the second quarter, hitting EGP 788 million. EFG Holding's share of this profit was EGP 404 million.

In the non-banking financial services sector, EFG Finance continued to make a strong contribution to the group's results. Its net profit after tax and minority interests more than doubled compared to the second quarter of the previous year, reaching EGP 535 million.

This platform benefited from revenue growth at both EFG Finance Holding and valU. Operating expenses remained largely stable compared to the previous year, thanks to lower provisions and expected credit losses, which helped offset the impact of higher employee costs.

Increased securitization gains at valU also helped boost the non-banking financial services sector's performance during this period.

Limited Profit Dip Despite EFG Hermes Pressures

On the other hand, EFG Hermes, the investment banking arm, faced some challenges in the second quarter. Its revenues reached EGP 2.4 billion, affected by the performance of the holding company's activities and the treasury sector. There was also a drop in revenues from the promotion and underwriting sector compared to the high comparison base in the second quarter of 2025.

The holding company and treasury activities were impacted by losses in net asset value linked to exchange rate movements, especially with the Egyptian Pound strengthening against the US Dollar by the end of Q2, while the exchange market remained volatile.

The high comparison base from the second quarter of 2025 also affected the results, as that period included realized and unrealized gains from investments and seed capital.

Excluding the net losses from the holding company and treasury activities in both comparison periods, EFG Hermes achieved a net profit after tax and minority interests of EGP 694 million, a 50% year-on-year increase. This was driven by improved performance in brokerage, asset management, and direct investment (buy-side) activities.

Overall, EFG Holding Group's net profit after tax and minority interests for the second quarter of 2026 was EGP 776 million, a slight 3% decrease year-on-year.

A 36% year-on-year drop in taxes helped support profitability. This was due to deferred tax gains related to unrealized losses in seed capital, as well as foreign exchange differences.

Conversely, the group's total operating expenses, including provisions and expected credit losses, rose by 11% year-on-year to EGP 4.5 billion.

This increase is mainly linked to higher employee costs, continued business growth at aiBANK and valU, and the inflationary pressures facing the Egyptian market.

Karim Awad, CEO of EFG Holding Group, stated that the group continues to focus on strengthening its financial position. They are also implementing a disciplined approach to cost management and seizing selected growth opportunities across their main platforms.

He added that the group's diversified business model provides flexibility in dealing with the uncertainty in regional markets while maintaining profitability. He also noted the ongoing implementation of initiatives aimed at expanding product offerings and deepening the group's presence in its various activities.

Awad explained that the group is also moving forward with plans to enhance its adaptability and support long-term sustainable growth opportunities. They are looking forward to launching new activities in the coming period, which will help build a more scalable and future-ready company.

The Q2 2026 results clearly show that EFG Holding's diversified business portfolio played a crucial role in reducing the impact of pressures faced by the investment banking sector. This is because both the commercial banking and non-banking financial services platforms continued to achieve strong growth rates.

The group maintains its strategy of financial discipline and strengthening its financial position, while striving for balanced growth across its various sectors. This is happening at a time when economic and geopolitical challenges and regional market volatility continue.