Sixth of October Development & Investment Company (SODIC) releases its consolidated financial results for the three months ended March 31, 2022, Invest-Gate reports.

SODIC declares that gross contracted sales grew 102% YoY in Q1 2022, carrying over the strong momentum of Q4 2021, and record EGP 3.74 bn, representing 573 units sold across all projects, to set a new record for contracted sales during any Q1 in terms of both number and value of units sold.

Cancellations of EGP 388 mn are recorded during Q1 2022, representing 10% of the quarter’s gross contracted sales compared to a cancellation rate of 8% recorded during Q1 2021.

Moreover, SODIC has delivered some 165 units in Q1 2022, of which 42 were in West Cairo projects, while East Cairo and North Coast projects account for 116 and 7 of the delivered units, respectively compared to 120 units delivered across all projects during Q1 2021.

During Q1 2022, SODIC delivered 10 units in SODIC East, marking the first deliveries on what is set to be a full-fledged world-class mixed-use in East Cairo.

Also, CAPEX spent on construction during the quarter amounts to EGP 634 mn compared to EGP 776 mn spent during Q1 2021.

SODIC’s financial statement reveals that the company generated EGP 1.19 bn in revenues during Q1 2022, representing a 40% increase compared to EGP 849 mn in the same period last year. Revenues were mainly driven by deliveries in East Cairo projects which accounted for 67% of deliveries by value, led by commercial project EDNC and Villette’s Sky Condos, which accounted for 29% and 22% of the delivered value, respectively.

Furthermore, West Cairo and North Coast projects contribute 30% and 3% of the delivered value during Q1 2022.

Additionally, gross profit logs EGP 503 million, implying a gross profit margin of 42% vs. EGP 282 million and a gross profit margin of 33% recorded during Q1 2021. As gross profit margin expands 900 bps YoY, supported by a better delivery mix, with high margin EDNC leading the quarter in terms of delivered value.

Operating profit levelled up to EGP 267 mn during Q1 2022, from EGP 129 mn in 1Q 2021, supported by higher revenues and gross profit, operating profit margin improves 700 bps YoY and comes in at 22% during 1Q 2022 vs. 15% during Q1 2021.

Alike, net profit after tax and non-controlling interests comes in at EGP 226 mn, growing from EGP 100 mn during 1Q 2021. Net profit margin improves 700 bps to 19% during Q1 2022, on the back of the improvement in operating profitability.