Fawry continues to have a great run on the Egyptian Exchange. The Egyptian electronic payments company that went public less than a year ago now has a market cap of EGP 13.3 billion (USD 830 million). Its stock price has increased by almost 300% to EGP 18.78 (USD 1.17) since its debut on the Egyptian Exchange in August last year.
After an initial surge during the first two months of the stock market debut, Fawry’s share price remained almost flat until March. In fact, they saw one of their lowest points on March 18. when the company’s stock was trading at EGP 7 per share.
For context, Fawry had gone public with its shares priced at EGP 6.46 apiece, and the price increased by over 31% on the first day of its trading to EGP 8.48.
Since its lowest point in March, Fawry has seen an increase of over 250% to climb to EGP 18.78 on Monday, July 6. If the stock continues to do well, the Egyptian company may hit a billion-dollar market cap within the next few weeks.
Fawry currently offers over 250 electronic payment services through its network of over 105,000 service points across 300 cities in Egypt, including ATMs, mobile wallets, retail shops, post offices, and little vendor kiosks.
The surge in its stock price coincides with the COVID-19 pandemic. The pandemic has accelerated adoption of digital payments and e-commerce all across the region. As the leading player in Egypt in the payments space, Fawry is receiving a lot of interest from investors.
We will be able to learn more details of how the pandemic has helped the Egyptian company increase its revenues when it announces the results for the second quarter within the next few weeks.
Its revenues in the first quarter of 2020 were EGP 257.99 million (USD 16.04 million), up from EGP 173.88 million (USD 10.81 million) for the same period in 2019. The profits of the Egyptian company had increased by over 80% to EGP 38.04 million (USD 2.37 million) in 2020 Q1. It had made EGP 20.9 million (USD 1.3 million) in 2019 Q1.
USD 1 = EGP 16.08 at the time of writing.
This article first appeared on MENAbytes.