The Sixth of October Development and Investment Company (SODIC) has released its consolidated financial results for 2021.
Gross contracted sales for the year came in at EGP 11.36bn, a 54% growth YoY, generated by the sale of 1,745 units across all projects, setting a new record for annual gross contracted sales in terms of both number and value of units sold despite challenges posed by the temporary suspension of sales on West Cairo 500 acres project in New Zayed. Despite the limited launches, West Cairo projects accounted for 30% of gross contracted sales during the year, supported by the continued strong demand for the signature project The Estates. East Cairo projects accounted for a further 33% of gross contracted sales during 2021, driven by the strong performance of SODIC East, which contributed 17% to the year’s gross contracted sales. Finally, The North Coast made up 37% of gross contracted sales during 2021, on the back of the successful launch of North Coast project “June” during the fourth quarter of the year, which recorded some EGP 4.14bn in gross contracted sales.
Cancellations of EGP 1.97bn were recorded during 2021, representing 17% of the year’s gross contracted sales. This compares to a cancellation rate of 14% recorded during 2020.
Net cash collections reached EGP 4.95bn for the year, with delinquencies at 6%. This compares to collections of EGP 4.28bn and a delinquency rate of 8% recorded during 2020. SODIC delivered some 1,163 units during the year, of which 345 were in West Cairo projects, while East Cairo and North Coast projects accounted for 800 and 18 of the delivered units, respectively. SODIC also delivered 1,163 units during the previous year.
Additionally, revenues of EGP 6.92bn were recorded during 2021, a 24% growth from EGP 5.73bn recorded during 2020.
Gross profit increased 31% YoY to reach EGP 2.34bn in 2021, implying a gross profit margin of 34%. This compares to a gross profit of EGP 1.78bn and a gross profit margin of 32% recorded last year.
Net profit after tax and non-controlling interests came in at EGP 860m, growing 5% YoY. Meanwhile, total cash and cash equivalents amounted to EGP 1.9bn.
SODIC continues to invest in its assets portfolio in line with the company’s strategy to build a sizable portfolio of prime leasable assets. Investment Property and Investment Property under Development balance amounted to some EGP 3.52bn in December 2021. Total receivables stood at EGP 19.5bn, of which EGP 5bn are short term receivables providing strong cash flow visibility for the company.