Contact Financial reports 71% Q3 profit surge, driven by innovation and market demand
Strong growth in financing, insurance, and digital platforms solidifies market leadership
Contact Financial Holding, Egypt’s leading non-bank financial services provider, announced its consolidated financial results for the third quarter of 2024, reporting a substantial 71% year-on-year profit increase. This robust growth highlights Contact’s effective operational strategy, which emphasizes innovation and responsiveness to market demand.
In Q3 2024, Contact’s consolidated operating income rose to EGP 692 million, reflecting a 36% year-on-year increase, while the total financing portfolio expanded to EGP 20.8 billion. This growth demonstrates Contact’s commitment to delivering diversified financial solutions tailored to the evolving needs of the Egyptian market. Key drivers included increased demand across segments such as personal and auto finance, coupled with strong performance in mortgage and working capital financing.
The insurance division also achieved impressive results, with gross written premiums (GWPs) increasing by 50% to EGP 1.8 billion during the first nine months of 2024. This success was driven by Sarwa Life and Sarwa Insurance, which expanded their product offerings and market reach, enhancing Contact’s income streams and reinforcing its position in the industry.
On the digital front, Contact continued to lead in fintech innovation with its "ContactNow" app, Egypt’s first all-in-one digital financial platform. Since the start of 2024, the app has recorded 234,000 new downloads, bringing the total to 1.1 million since its launch, and onboarded 150,000 new customers. Offering a range of financial services, including bill payments and installment plans, "ContactNow" has boosted user engagement by seamlessly meeting customer needs.
In the automotive sector, Contact’s "ContactCars.com" platform saw an 80% increase in user traffic, reaching 1.3 million monthly users. Paid dealer registrations also grew by 52%, cementing the platform’s leadership in vehicle transactions in Egypt. Additionally, the introduction of the "Otlobha" service, which enables users to secure competitive car prices, has enhanced customer satisfaction and expanded the platform’s user base.
Commenting on the results, CEO Said Zater stated, “Our Q3 results reflect Contact’s resilience and ability to innovate in a dynamic market. The recent opening of our Dubai branch marks a significant milestone in our regional expansion strategy, aimed at providing convenient financial services to Egyptians residing in the UAE. We remain committed to advancing our digital platforms and expanding our financing and insurance product offerings to drive sustainable growth and profitability.”
Contact Financial Holding has become synonymous with Said Zater, a prominent figure in the non-banking financial services sector in Egypt and the Middle East. Since joining Contact Financial Group in 2001, Zater has played a pivotal role in its growth. Under his leadership as Managing Director and Group CEO since 2020, Contact has achieved remarkable expansion over the past five years.
Zater also spearheaded the establishment of Egypt’s first Consumer Finance Federation, serving as its inaugural president since 2021. His efforts in regulating the consumer finance market have significantly contributed to its growth and success.