SODIC Records Outstanding Results with EGP 50.3 Billion in Gross Contracted Sales, up a Sharp 66% YoY, and EGP 2.53 Billion in Net Profit, up 84% YoY

The remarkable success of the newly launched ‘Ogami’ in 2024, was met with exceptional demand further anchoring SODIC in Egypt’s North Coast market.

, Sixth of October Development & Investment Company “SODIC” has released its consolidated financial results for the full year ended 31st of December 2024.
Operational & Financial Highlights
* Gross contracted sales EGP 50.3 billion, up 66% YoY
* Cancellations 2% of gross contracted sales
* Net Cash collections EGP 15 billion
* Timely delivery of 1,045 units
* Gross profit: EGP 5.41 billion, up 52% YoY, reflecting a gross profit margin of 55%
* Operating profit: EGP 3.31 billion, up 78% YoY, implying an operating profit margin of 34%
* Net profit after tax and non-controlling interests EGP 2.53 billion, up 84% YoY, delivering a net profit margin of 26%

Operational Overview

SODIC’s growth strategy and operational excellence have driven exceptional results for 2024, with 1,270 units sold during the year, generating gross contracted sales of EGP 50.3 billion, with a significant increase of 66% over EGP 30.26 billion recorded in 2023.

Gross contracted sales were diversified across SODIC’s main markets, heavily driven by the North Coast, accounting for 66% of total sales, led by the strong demand for the newly launched project Ogami, which contributed to c. EGP 24.5 bn in contracted sales, representing 49% of SODIC’s contracted sales in 2024. West Cairo projects contributed 29% of the company’s gross contracted sales on the back of robust sales in The Estates & Estates Residences, which contributed 12% of sales.

SODIC recorded EGP 1 billion cancellations during the period, representing 2% of the year’s gross contracted sales, a significant improvement from 4% in 2023.

Net cash collections reached EGP 15 billion for the period. This compares to collections of EGP 11 billion in 2023.

SODIC’s operational efficiency was reflected in the timely delivery of 1,045 units during the year, of which 736 were in East Cairo projects, while West Cairo accounted for 309 of the delivered units. This compares to 1,427 units delivered during 2023.

CAPEX spent on construction during 2024 amounted to EGP 8.5 billion, compared to EGP 6.2 billion spent last year.

Financial overview:

Income Statement
Revenues of EGP 9.75 billion were recorded during the year, compared to EGP 10.33 billion of revenues recorded in 2023. Revenues were driven by deliveries in East Cairo’s projects which accounted for 51% of SODIC’s deliveries by value. East Cairo’s project, mainly Villette, accounted for 39% of the value delivered during the full year. West Cairo contributed 49% of the delivered value.

Gross profit came in at EGP 5.41 billion, implying a gross profit margin of 55%, gross profits recorded a 52% growth YoY.

Operating profit of EGP 3.31 billion was recorded during 2024, reflecting a healthy operating profit margin of 34%, growing to 78% YoY.

Net profit after tax and non-controlling interests came in at EGP 2.53 billion and implying a net profit margin of 26% and EPS of EGP 7.09.

Balance Sheet
SODIC continues to maintain a strong liquidity position with total cash and cash equivalents amounting to EGP 3.4 billion.

Bank leverage remains low, with bank debt to equity standing at 0.33x. Bank debt outstanding amounted to EGP 3.8 billion as of 31 December 2024. Debt to equity amounted to 0.37x at year-end 2023, with EGP 3.22 billion of outstanding debt.

Total receivables stood at EGP 83.2 billion, of which EGP 16.4 billion are short-term receivables providing strong cash flow visibility for the company. A total of EGP 8.6 billion of receivables are reported on the balance sheet, reflecting only the receivables related to delivered units already recognized as revenue. On the other hand, some EGP 74.6 billion of receivables related to undelivered units are disclosed in the footnotes.

SODIC’s total backlog of unrecognized revenue stood at EGP 87 billion as of 31 December 2024, providing strong revenue visibility for the company.

Key Corporate Highlights
• April 24th: SODIC, and Nobu, the renowned luxury lifestyle brand announced the signing of Nobu Hotel and Restaurant East Cairo. The signing marked Nobu and SODIC’s third venture in Egypt, following the announcement of Nobu Hotel, Restaurant, and Residences in both West Cairo and North Coast Egypt in August 2023.
• June 11th: SODIC signed an agreement with Marriott International, Inc. to bring the Tribute Portfolio brand to two of the leading developer’s hotels in West Cairo and the North Coast.
• September 2nd: SODIC announced the launch of its newest coastal project, Ogami, located on Egypt’s North Coast and home to the exclusive Nobu Hotel and Residences enclave in the region.
• September 27th: SODIC celebrated the grand opening its newest retail destination, Eastown District New Cairo “EDNC”, inaugurating its flagship retail destination in New Cairo.
Commenting on the results Ayman Amer SODIC’s General Manager said, “We are proud to report an exceptional set of results with growth across all operational and financial metrics. Our record-breaking gross contracted sales of EGP 50.3 billion, reflecting a 66% YoY increase, were driven by strong demand for our newly launched North Coast project, Ogami, which contributed to c. EGP 24.5 billion in total sales, while net profit increased by 84% YoY, recording EGP 2.53 billion. Our strong performance across all financial metrics is a testament to the strength of our brand and the confidence our customers have in our ability to consistently create value. This remarkable achievement underscores our commitment to delivering world-class projects, supported by our recent strong strides in retail and hospitality. We look forward to another year of strong results as we push forward with our diligent management approach that continues to set SODIC apart.
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