Oriental Weavers aims to expand its export operations during the current year, with plans to increase its business base in key markets such as France, Brazil, and Germany in the current quarter.
According to the company’s business results statement disclosed to the stock exchange, export sales amounted to EGP 2.9bn during the third quarter of the current year, showing a growth rate of 58% annually and 2% quarterly. The company is currently expanding both through export and establishing a presence in foreign countries, with the company’s international markets reaching approximately 130 countries. It successfully added 12 new countries during the third quarter of the current year.
The company explained that it benefited from the increase in its sales, along with the direct benefit from the devaluation of the Egyptian pound against the dollar due to export sales and external expansions. The sales of the U.S. dollar, in particular, increased by about 59% during the third quarter, and it is expected to further increase in the coming period due to increased demand in the current quarter driven by the rising appetite of retailers in the United States.
Meanwhile, the company’s sales in the European market jumped by 88% during the third quarter, driven by the introduction of new products to the market, increasing the company’s sales volume. The devaluation of the Egyptian pound against foreign currencies also boosted sales levels.
The company noted that sales to the Gulf Cooperation Council (GCC) declined by 20% due to inventory storage, along with competition from Turkish carpets, especially in the Saudi market. On the other hand, sales in the African region witnessed significant growth of 153% on an annual basis during the current quarter, driven by strong demand in Libya, Kenya, and Tanzania.
The consolidated net profits of the company during the first nine months of the current year jumped by 118%, reaching EGP 1.54bn, compared to EGP 706m during the same period last year. The company’s total revenues during the same period recorded EGP 12.8bn, compared to EGP 9.5bn during the comparative period, representing an increase of 36%.
