With a bold strategic vision and an unwavering commitment to excellence, Housing and Development Bank has delivered outstanding financial results and remarkable leaps across all business segments. This achievement underscores the successful execution of its new 2025–2030 strategy, adding yet another milestone to its journey of sustainable growth and reaffirming its position as one of the largest full-fledged commercial banks in the Egyptian banking sector.

The Bank delivered strong growth rates, marking a significant leap in performance across all business segments during the financial period ending June 30, 2025. The standalone financial results revealed a growth in net profit before provisions and income taxes, reaching EGP 12.221 billion compared to EGP 7.692 billion during the financial period ending June 30, 2024, with an increase of EGP 4.529 billion, representing a growth rate of 58.9% during the first half of 2025.

CEO and Managing Director Hassan Ghanem expressed his pride of the Bank’s success in beginning to capitalize on its newly implemented strategic plan for the period 2025–2030. The Bank’s strong financial performance during the fiscal period ending June 31, 2025, reflects the effectiveness of the strategy initiated earlier this year, which aims to position Housing and Development Bank to be a bank of choice in the Egyptian banking sector, by enhancing operational efficiency, increasing institutional resiliency, in a way that strengthen its ability to innovate and achieve sustainable growth.  In addition to working to build and develop a fully integrated digital ecosystem that keeps pace with the rapid evolution of the banking industry, with strong dedication to enhancing the customer experience and reinforcing the trust built over more than 45 years by offering banking products and services that meet their evolving needs and aspirations with professionalism and efficiency, ensuring banking service excellence. Through these efforts, the Bank continues to strengthen its leading position as one of the largest full-fledged commercial banks in the Egyptian banking sector. Highlighting the Bank’s commitment to building strong and effective relationships with its clients across both the retail and corporate segments by providing flexible, and customized financial solutions that meet their needs and expectations in terms of pricing and cost.

Pointing out the Bank’s maintaining its focus on enhancing operational efficiency and proactively managing financing costs. This enabled the bank to fully capitalize on available opportunities while ensuring effective resource management to drive sustainable profitability. These efforts delivered clear results, reflected in the solid improvement in financial performance. Net operating income rose by 59.8% year-on-year to reach EGP 14.503 billion in the first half of 2025, compared to the same period in 2024, while net profit after provisions and income taxes increased by 73.1% year-on-year to EGP 8.927 billion, representing a substantial increase of EGP 3.769 billion compared to EGP 5.158 billion by the end of the first half of 2024. These strong results underscore the effectiveness of the bank’s operational policies and the success of its new strategic direction in approaching challenges as opportunities, strengthening its financial position, and fostering sustainable growth.

Ghanem also highlighted the Bank’s continued commitment to placing customer satisfaction at the forefront of its new strategy, with a strong focus on understanding the aspirations of both current and potential customers and addressing their needs with resilience and efficiency. This customer-centric approach has been instrumental in expanding Housing and Development Bank’s customer base and increasing its market share by reinforcing trust and encouraging customers to invest in the bank’s comprehensive portfolio of financial products and services. As a result, customer deposits grew by 4.5% year-to-date, reaching EGP 151.545 billion in the second quarter of 2025, compared to EGP 144.959 billion at the end of 2024, marking an increase of EGP 6.586 billion. This growth was driven by an increase in corporate deposits, which recorded EGP 72.963 billion, reflecting a growth rate of 13.1% year-to-date, alongside the bank’s commitment to diversifying its corporate deposit portfolio to mitigate risks, enhance financial stability, and ensure sustainability by channeling deposits across a broad range of sectors and companies.

Referring to the Bank's continued development and reinforcement of its leading position in the Egyptian banking sector, contributing to the sustainable growth of its total assets, which reached EGP 192.701 billion up from EGP 179.456 billion at the end of 2024, with an increase of EGP 13.245 billion and a growth rate of 7.4% during the fiscal period ending June 31, 2025. This was supported by the growth of the Bank’s loan portfolio across both the retail and corporate segments, with gross loans reaching EGP 60.729 billion with a growth rate of 8.5% in the first half of 2025. This growth was primarily driven by the growth in the corporate loan portfolio, which reached EGP 31.138 billion, with an increase of EGP 2.777 billion, representing a year-to-date growth rate of 9.8%. The retail loan portfolio reached EGP 29.590 billion, with an increase of EGP 1.978 billion, representing a year-to-date growth rate of 7.2%. The bank also achieved a notable improvement in asset quality, reducing its non-performing loans (NPL) ratio to 5.35% in the first half of 2025 compared to 6.48% at end of 2024. This reflects the bank’s commitment to growing its financing volumes while maintaining high asset quality standards and ensuring portfolio diversification across various sectors to ensure sustainable growth. In parallel, the NPL coverage ratio strengthened significantly to 159.5% in June 31, 2025 compared to 137.1% at the end of 2024.

Furthermore, Ghanem added that the Bank’s gross loan-to-deposit ratio stood at 40.1% in the first half of 2025, compared to 38.6% at the end of 2024. The 54.1% year-on-year increase in interest income from loans and similar revenues, alongside a 39.2% year-on-year rise in the cost of deposits and similar expenses, drove a sharp increase in net interest income, which reached EGP 13.303 billion, compared to EGP 8.214 billion with an increase of EGP 5.089 billion achieving a year-on-year growth of 62%.

Ghanem also referred to the Bank’s delivering strong returns across its various business lines, underpinned by the effective strategies it adopts, as the Bank’s return on average equity (ROAE) rose to 66.75% in the first half of 2025, compared to 61.53% in the same period of 2024. Likewise return on average assets (ROAA) increased to 9.60% in the first half of 2025, up from 7.50% in the same period of 2024. Housing and Development Bank’s capital adequacy ratio (CAR) reached 35.67%, remaining well above the minimum requirement set by the Central Bank of Egypt. The Tier 1 capital adequacy ratio stood at 34.56%, while the Tier 2 ratio reached 1.11%, reaffirming the Bank’s commitment to maximizing value for shareholders and all stakeholders.

Highlighting the robust growth in the consolidated net profit of the Bank and its subsidiaries and affiliates, reaching EGP 9.560 billion after income taxes, compared to EGP 5.971 billion in the same period last year with an increase of EGP 3.589 billion, reflecting a year-on-year growth rate of 60.1%. This performance was driven by the successful execution of the Bank’s strategic plan to enhance the performance of its group companies and expand its investments.

In addition to the Bank’s outstanding financial results, Ghanem expressed the management’s pride and ongoing efforts to embed sustainability standards across all operational activities. As sustainability is a core pillar of the bank’s new 2025–2030 strategy, given its pivotal role in supporting financial and banking stability while advancing the sustainable development goals. The Bank is fully committed to adopting the best-in-class sustainable practices recognized across the banking sector and actively contributes to financing a number of strategic projects that align with the state's direction toward green economy transformation and sustainable development. In addition to its dedication to implementing environmentally friendly solutions by participating in numerous initiatives aimed at promoting sustainability. On this front, a total of EGP 10.1 billion has been allocated to serve sustainable finance principles across corporate financing, syndicated loans, and SME projects in the first half of 2025 marking a growth rate of 104% compared to the first half of 2024.In addition, total utilized funds from the sustainable finance portfolio amounted to EGP 6.8 billion in the first half of 2025, representing a 98% growth compared to the first half of 2024, across corporate financing, syndicated loans, and SME projects. This reflects the Bank’s ongoing expansion in supporting initiatives with tangible environmental and social impact. As creating long-term, sustainable value for all stakeholders is not only a strategic objective, it is also a moral commitment.

Ghanem also highlighted that, despite ongoing domestic and global economic challenges, the Egyptian economy demonstrated a resilient and balanced performance during the first half of 2025, achieving notable GDP growth alongside a gradual easing of inflationary pressures, supported by the Central Bank’s measures to cut interest rates. These measures positively influenced credit rating agencies’ outlook on the Egyptian economy, strengthened key macroeconomic indicators compared to prior periods, enhanced the competitiveness of the national economy, reinforced the private sector’s contribution across various productive industries, and created stronger momentum for foreign investment inflows, reflecting growing confidence in Egypt’s economic trajectory.

At the end Ghanem expressed his deepest gratitude and appreciation to the Bank’s shareholders, clients, Board of Directors, executive management, dedicated staff, and all stakeholders. Valuing their continued support and unwavering trust in the Bank. He stated that this trust is what drives the bank to deliver even stronger financial and operational results. Affirming his full confidence that the new 2025–2030 strategy, with its ambitious vision and clear pillars for growth and expansion, would enable the bank to sustain its success. He also expressed his firmly belief in the Bank’s ability to implement this strategy efficiently and flexibly, reinforcing its leadership in the banking sector despite the challenges of a constantly evolving economic landscape.