At least 85 people were killed and 80 more wounded when suspected militants targeted a mosque in Egypt's north Sinai with a bomb and gunfire, MENA state news agency said on Friday, citing an official source.
At least 75 more people were wounded in the attack that targeted worshippers during weekly Friday prayers, the report said.
The government declared three days of mourning after the attack on the mosque.
Daesh's Egypt branch has killed hundreds of policemen and soldiers, and also civilians accused of working with the authorities, in attacks in the north of the Sinai peninsula.
Friday's attack took place roughly 40 kilometres west of the provincial capital of El-Arish during weekly prayers, police officials said.
The officials said a bomb went off at the mosque during prayers then gunmen opened fire.
The victims included civilians and conscripts praying at the mosque.
Egypt has declared three days of national mourning following the attack.
At least 30 ambulances rushed to the scene and local hospitals declared states of emergency as they treated the victims. There were appeals for donations of blood and medical supplies in the aftermath.
Egyptian TV reports put the number of casualties at about 150, but the country's Health Ministry said at least 75 people were injured.
Parliamentarian Mustafa Bakri called the attack a "massacre" as he wrote on Twitter: "The situation is catastrophic."
He added: "The terrorists were masked and surrounded the mosque during prayer, and terrorists wearing belts were hidden among the worshippers."
He wrote that the militants outside were armed with machine guns.
He vowed that Egypt will defeat terrorism, adding: "These are not Muslims. These are killers."
Egyptian President Abdel Fattah el-Sisi convened members of his cabinet for a security committee meeting following the attack.
Egypt's military has been fighting an insurgency on the Sinai Peninsula since the overthrow over former President Hosni Mubarak in 2011.
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