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and serves top-tier multinationals, financial institutions,
as well as private sector companies, with its average tenor
standing at three years. HTT supports its clients by enabling
themto focus on their core competencies and strengthswhile
directing their scarce funding resources to mainstream op-
erations; leaving vehicle sourcing and management to HTT.
The company’s service agreements entail acquisition, reg-
istration, and maintenance of the vehicle, in addition to in-
surance that extends to third-party damage and passengers
within the vehicle. Other complementary services include
f leet management reports.
Tasaheel
is themost recent addition toGBAuto’s portfolio of fi-
nancing businesses. It launched operations inAugust 2015 and
provides direct microfinance lending to eligible clients, with a
specific focus on group lending to women. Through Tasaheel,
GB Auto aims to help low-income earners generate higher
returns to improve their living standards, which in turn sup-
ports overall community development and economic growth.
Currently, the company operates a nationwide network of 70
branches, with plans to further sustainably expand its nation-
al network to at least 100 branches and have over 2,000 people
in employment by 2020. Like Drive and GB Lease, Tasaheel is
regulated by and operates under the auspices of the EFSA.
2016 Business Review
The Financing Businesses under GB Capital are on a path of
constant growth; overall revenues for FY16 increased 66.3%
y-o-y to LE 1,739.6 million compared to LE 1,046.2 million last
year. Total gross profit rose 73.2% y-o-y to LE 404.9 million
versus LE 233.8million in FY15.
At 23.3%, the division’s gross profit margin showed consecu-
tive quarterly improvements and remains robust compared
to market norms. Nonetheless, gross profit margin is an
unusual measurement of profitability or operations for
aTTENTION
TO DETAIL
2016 ANNUAL REPORT
42
Our Business Units