Lecico Egypt unveils record results

Revenue was up 6% year-on-year at LE425.4m while operating profit (EBIT) was up 27% at LE81.2m (margin up 3.1 percentage points to 19.1%) on the back of improving gross margins in all segments.

Net profit was up 48% at LE49.8m (margin up 3.3 percentage points to 11.7%).

For the first half of the year, revenue was up 11% year-on-year at LE809.2m and EBIT was up 43% at LE152.4m (margin up 4.3 percentage points to 18.8%). Net profit was up 70% at LE84.8m(margin up 3.7 percentage points to 10.5%).

Chairman and chief executive Gilbert Gargour said: "Lecico Egypt's second quarter results are the strongest in our history with record sales and profits.

"However, we face a strong challenge as significant cost increases in energy and fuel and increased taxes on operations are being implemented by the Government. These changes will result in a 20% increase in our costs from July onwards. We are enacting price increases where possible but challenging markets mean that we are unlikely to be able to pass on the full effect of these cost increases immediately. - See more at: http://www.stockmarketwire.com/article/4867661/Lecico-Egypt-unveils-record-results.html#sthash.LWXPxHSL.dpuf