Eastern Co. marks profits of LE 4.2B in 2017/18



Wed, 25 Jul 2018 - 01:10 GMT


Wed, 25 Jul 2018 - 01:10 GMT

FILE - Cigarette

FILE - Cigarette

CAIRO – 25 July 2018: Net profit of Eastern Company jumped 42.5 percent during the fiscal year of 2017/2018, up to LE 4.2 billion, from LE 2.98 billion during the prior year of 2016/2017, according to the financial indicators published by the company.

The indicators showed that the revenues marked an increase of 27.23 percent, recording LE 13.4 billion in 2017/2018, compared to LE 10.5 billion during 2016/2017.

Eastern company attributed the hike in profits to the LE 1 billion increase in the gross profit and the rise in the interest payable by LE 0.3 billion.

The board of directors of the company approved the splitting of its stock to be valued at LE 0.50 instead of LE 5.

In March, the extraordinary general assembly approved in March splitting the stock by a 1:3 ratio to be valued at LE 5 instead of LE 15.

A filling to the Egyptian Exchange (EGX) revealed that the board of Eastern Company approved in April to raise the company’s paid capital to LE 2.25 billion, from LE 1.5 billion, with an increase of LE 750 million.

The company clarified that the increase of the capital will be financed by the company’s reserves; LE 500 million from its legal reserve which amounts to LE 693.1 million, and about LE 250 million from other reserves that are worth LE 927.8 million.

During the first nine months of 2017/2018, the company recorded a net profit of LE 3.4 billion, compared to LE 1.3 billion during the period of July-March of 2016/2017.

On a different note, the company announced the launch of a new type of cigarettes under the name of ‘Cleopatra Golden’ with a price of LE 15.5.

The company announced a hike in the prices of its cigarettes ranging between LE 1-5 per pack of smokes.

Eastern Co is a public company, listed on the Egyptian Exchange (EGX) since September 1995. It operates within the food, beverage and tobacco sector focusing on tobacco. It was established in July 1920.



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