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2017 ANNUAL REPORT
previous year, while gross profit came in 12.2% lower at
LE 176.8 million, with a gross profit margin of 16.2%, 1.9
percentage points lower than last year.
Buses were once again the top contributors to the
segment’s prof itability during the year as revenues
gained 18.2% y-o-y despite a 12.7% y-o-y drop in vol-
umes. Trucks came closely behind buses in terms of
contribution to prof it, but the segment saw a 28.3%
y-o-y drop in revenues on a 51.8% y-o-y decrease in
volumes to 750 units. Meanwhile, the Trailers and
Construction Equipment divisions saw improved
performance, with Trailer revenues up 61.8% y-o-y
and Construction Equipment 19.6% y-o-y despite
lower volumes for both.
The sector is experiencing lower demand as tenders for
nationalmegaprojectswinddownfromlevels seen in2015
and2016. However, GBAutomaintained its leadershippo-
sition in the city and intercity bus segments and reported
an uptick in demand from the tourism sector during the
year. Management sees the segment poised for acceler-
ated growth in the coming period, particularly with the
revival of the tourism industry, where the company has
seen rising appetite for its product lineup, a breakthrough
in the segment after GB Auto successfully ventured into
the urban transport and intercity busmarkets.
Truck Sales Volume by Year
(Vehicle Units)
2011
542
2014
1,415
2012
1,090
2016
1,063
2015
1,556
2013
2,292
2017
750
CV&CE Total Revenues by Year
(LE million)
2011
967.3
2014
1892.5
2012
1168.4
2016
1156.2
2015
1708.2
2013
1270.7
2017
2206.2
Egypt Commercial Vehicles & Construction Equipment
2017 ANNUAL REPORT
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