The Sixth of October Development and Investment Company (SODIC) has reported strong growth across its operational and financial KPIs in the first quarter (Q1) of 2021.
It also noted that it gained revenues amounting to EGP 849m, up 60% year-on-year (y-o-y). The data was released as part of its consolidated financial results for Q1 of 2021, which ended on 31 March.
Commenting on the results, the company’s Managing Director Maged Sherif said, “The strong momentum of last year’s Q4 was carried over, helping us deliver the best first quarter on record for gross contracted sales.”
“Construction and deliveries are ongoing across our projects, supporting our commitment to timely deliveries,” he added, “We continue to invest in our portfolio of prime assets to deliver on our strategy to create sizable future recurring revenues for the company.”
Gross contracted sales for the quarter recorded EGP 1.85bn, representing 333 units sold, mainly generated from an residential increase of 114% in Q1 of 2021. This represented over EGP 865m on 205 units sold.
SODIC’s newest West Cairo project, Karmell, had the most significant contribution to gross contracted sales, generating 35% of the quarter’s sales.
Other West Cairo projects contributed a further 27%, driven by the strong performance of the company’s signature project, The Estates. East Cairo projects, led by SODIC East and Villette, represented 38% of the company’s gross contracted sales during the quarter.
Cancellations of EGP 147m were recorded during Q1 of 2021, representing 8% of the quarter’s gross contracted sales, compared to a cancellation rate of 22% during Q1 of 2020.
Net cash collections reached EGP 1.23bn for the period, with delinquencies coming in at 10.9%. This compares to collections of EGP 986m and a delinquency rate of 11.2%, recorded during the same period in 2020.
SODIC delivered some 120 units during Q1 of 2021. East Cairo projects, namely Eastown Residences and Villette, accounted for 60 of the delivered units, while the company’s West Cairo and North Coast projects accounted for 52 and eight deliveries, respectively. This compares to 100 units delivered across SODIC’s projects during Q1 of 2020.
CAPEX spent on construction during Q1 of 2021 amounted to EGP 776m, compared to EGP 950m spent during the same quarter of last year.
