Madinet Masr, one of Egypt’s leading urban community developers, announced its consolidated financial results for the first quarter ended 31 March 2026 (Q1 2026), Invest-Gate reports.
Despite a broader market normalization driven by geopolitical tensions, the Company demonstra ted resilient financial performance, with a gross profit margin of 50.3% and a net profit margin of 24.8%. Madinet Masr recorded revenues of EGP 2.8 billion and net profit of EGP 682.5 million, while new sales reached EGP 11.7 billion during the quarter.
The unrecognized revenue backlog reached EGP 98.2 billion, underscoring the strength of the Company’s operational and financial fundamentals.
Key Highlights
• In Q1 2026, Madinet Masr generated new sales of EGP 11.7 billion, compared to EGP 12.6 billion in Q1 2025, a 7.0% decrease reflecting the broader market normalization and geopolitical headwinds impacting the Egyptian real estate sector.
• In Q1 2026, the Company delivered 831 units, a 256.7% increase compared to Q1 2025, reflecting the continued acceleration of construction and delivery activity across the Company’s flagship projects. Revenue from unit deliveries rose 138.5% year -on-year, contributing to resilient top -line performance.
• Madinet Masr generated EGP 2.8 billion in total revenue in Q1 2026, a 7.4% increase compared to EGP 2.6 billion in Q1 2025. The growth was driven by the increase in revenue from unit deliveries • EBITDA amounted to EGP 857.2 million in Q1 2026, with an EBITDA margin of 31.2%.
• Net profit reached EGP 682.5 million in Q1 2026, compared to EGP 794.9 million in Q1 2025, a 14.1% decrease year -on-year. Despite revenue mix normalization driven by market conditions and geopolitical headwinds, the net profit margin stood at 24.8% in Q1 2026, compar ed to 31.0% in Q1 2025. The decline in margin reflects a higher contribution from unit deliveries, which typically carry lower margins than new sales
• Net cash collections grew 33.2% year -on-year to EGP 4.5 billion in Q1 2026, reflecting the strength of the Company’s receivables portfolio and continued improvement in collection quality, with the delinquency rate declining to 1.0% from 1.6% in Q1 2025.
• On March 9th of 2026, Madinet Masr distributed 4.17% stock dividend for the first time in its history, valued at approximately EGP 0.226. Followed by a cash dividend of EGP 0.15 on March 24th. Together , totaling a combined dividend of approximately EGP 0.376 per share, representing a dividend yield of approximately 9% based on the closing share price as of 31 December 2025. It’s also worth mentioning that during Q1 2026 , the stock has gained 22%, rising from 4.23 on 31st December 2025 to 5.17 on 31st March 2026.
Management Comment
As we entered 2026, the Egyptian real estate market continued to normalize following two exceptional years of demand acceleration, while regional geopolitical uncertainties remained elevated. Against this backdrop, Madinet Masr delivered a resilient first -quarter performance, supported by disciplined execution, strong cash generation, and continued progress across our development portfolio.
During the quarter, the Company generated EGP 11.7 billion in new sales and increased its unrecognized revenue backlog to EGP 98.2 billion, reinforcing the long -term visibility of our revenues and cash flows. More importantly, we continued to accelerate th e operational execution phase of our business, with unit deliveries increasing materially year -on-year as construction activity advanced across multiple projects.
This operational momentum translated into resilient profitability despite the expected normalization in revenue mix. As deliveries increase as a share of revenues, margins naturally moderate relative to the exceptionally high levels associated with primary sales; however, this reflects the healthy maturation of our portfolio and the conversion of backlog into recurring cash flows and earnings.
At the same time, strong collections and disciplined balance sheet management enabled the Company to transition int o a net cash position during the quarter, further strengthening our financial flexibility.
Reflecting the strength of our financial position and commitment to shareholder returns, Madinet Masr distributed a 4.17% stock dividend on March 9th, 2026, marking the first stock dividend distribution in the Company’s history, followed by a cash dividend of EGP 0.15 per share distributed on March 24th, 2026. Together, the distributions amounted to a combined dividend of approximately EGP 0.376 per share, representing a dividend yield of approximately 9% based on the closing share price as of 31 December 2 025.
Further reflecting investor confidence in the Company’s long -term growth outlook, Madinet Masr’s share price appreciated by 22% during Q1 2026, increasing from EGP 4.23 as of 31 December 2025 to EGP 5.17 as of 31 March 2026.
Beyond our core developments, we continued advancing our integrated platform strategy through the expansion of our subsidiaries and strategic partnerships across construction, infrastructure, property services, and community management.
Our portfolio of su bsidiaries, including Doors Consultancy & Brokerage, CHUM for community and facility management, Madinet Masr Finishing Solutions for home finishing services, KLUB Kayan for sports club management, and SAFE for fractional real estate investment, is designe d to deepen customer engagement, enhance operational efficiency, and diversify long -term value creation opportunities.
Looking ahead, our priorities remain centered on accelerating deliveries, efficiently monetizing our substantial land bank, and maintaining disciplined capital allocation amid evolving market conditions.
Supported by a strong balance sheet, healthy liquidi ty position, and diversified development pipeline, we believe Madinet Masr remains well-positioned to sustain long -term growth and continue shaping integrated urban communities across Egypt and the region.
Abdallah Sallam
Chief Executive Office