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Board
Report
Principal Activities
GB Auto is a leading player in the MENA
region’s automotive industry and is the
holding company for a group of subsid-
iaries operating at all levels of the value
chain, includingassembling, distributing
and selling passenger cars and commer-
cial vehicles, manufacturing semitrail-
ers and superstructures for trucks and
buses, selling automotive components,
motorcycles and three-wheelers, tires,
and construction equipment, as well as
providing after-sales service through a
nation-wide after-sales service network.
The company owns and operates four
manufacturing and assembly facilities
for passenger cars and commercial
vehicles. In 2008, GB Auto established a
non-bank financial services arm, which
now offers various financial solutions
to businesses and consumers through
financial leasing, factoring and microfi-
nance.
The detailed analysis by line of busi-
ness is dealt with by management else-
where in this Annual Report.
Operating Results
The consolidated group revenue for the
year 2014 reached LE 12,322.1 million
versus LE 9,126.7 million the previous
year, an increase of 35.0%. The net profit
for the year after accounting for minor-
ity interest was LE 174.0 million, a 50.0%
rise from 2013.
Dividends
The shareholders will discuss any sug-
gested profit distributions at the upcom-
ing Annual General Assembly Meeting.
Directors
The Directors of the company are shown
on pages 32 and 33 of this Annual Re-
port. Also provided is their industry
background information. The Board is
constituted of four Non-Executive Di-
rectors and three Executive Directors.
Corporate Governance
The Board is committed to and pro-
vides oversight to the management
of GB Auto and its subsidiaries, meet-
ing at least three times each year. The
Board has created a Corporate Gover-
nance Committee of four independent
directors, an Audit Committee of four
independent directors, a Remunera-
tion Committee made up of four inde-
pendent directors, and a compliance
committee with three independent
directors.
Employees
The number of employees at GB Auto
and its subsidiaries as of December 31,
2014 was 7,342 including all subsidiar-
ies and ventures.
Shareholders
The shareholding structure of the com-
pany as of December 31, 2014 was: Dr.
Raouf Ghabbour family and related
parties 61.6%, while public ownership
stood at 38.4%.
The company has also received regu-
latory approval and issued shares of
5% of the issued and paid-in capital to
implement its employee stock owner-
ship program.
Annual General Meeting
The annual general meeting was held
at 3:00pm on 22 March 2015 at the GB
Academy, Main Conference Room – KM
28, Cairo-Alexandria Desert Road.
Auditor
A resolution will be proposed to appoint
the external auditor and authorize the
fees charged. The external auditor au-
thorizes the directors to determine their
remuneration at the Annual General
Meeting.
Approved by the Board
1 March 2015
Ghabbour Auto | 2014 ANNUAL REPORT
44