SODIC (Sixth of October Development and Investment Company) announced strong consolidated financial results for the first half of 2025, ending June 30, with net profit surging by 107% and revenues rising by 22% compared to the same period last year, Invest-Gate reports.

The company reported revenues of EGP 4.8 bn, driven primarily by unit handovers in West Cairo, which accounted for 56% of the total value, while East Cairo contributed 44%.

Gross profit recorded a significant increase of 96% to reach EGP 2.8 bn, with a gross profit margin of 58%. Operating profit climbed by 155% to EGP 1.8 billion, with a 38% margin.

Net profit after tax and minority interest stood at EGP 1.3 bn, reflecting a net profit margin of 27%, and earnings per share reached EGP 3.64.

During the period, net cash collections amounted to EGP 8.5 bn, compared to EGP 5.95 bn in the first half of 2024. The company delivered 313 units across its projects, including 148 in East Cairo and 165 in West Cairo, down from 478 units delivered during the same period last year. Construction spending reached EGP 4.9 bn, compared to EGP 3.1 bn in the previous year.

On March 11, SODIC signed a EGP 2.45 bn bridge facility agreement with CIB to fund the construction of its North Coast project, June. On May 12, the company entered into a partnership with Rola Land Reclamation to develop a 1,000-feddan plot in New Sphinx City in West Cairo. On June 17, SODIC announced the early handover of units at its VYE project in New Zayed, six months ahead of schedule. This was followed by the early delivery of the first units at its June project on the North Coast, announced on July 14.

SODIC continues to maintain a strong liquidity position, with EGP 2.4 bn in cash and cash equivalents as of June 30. The company’s leverage remains low, with a debt-to-equity ratio of 0.39x and total outstanding bank debt of EGP 4.9 bn. This compares to a ratio of 0.33x and debt of EGP 3.8 bn at the end of 2024.

Total receivables stood at EGP 81.1 bn, including EGP 18.5 bn in short-term receivables, providing clear visibility on future cash flows. Receivables linked to delivered and revenue-recognized units amounted to EGP 8.9 bn. A further EGP 72.2 bn in receivables related to undelivered units were disclosed in the financial statement notes.

Unrecognized revenues from contracted but undelivered units reached EGP 89.4 bn by the end of June, offering a solid outlook for future earnings.

Commenting on the results, Ayman Amer, SODIC’s General Manager, said: “We’re pleased to announce a strong financial performance for the first half of 2025, marked by a 107% increase in net profit and solid revenue growth. The partnership agreement to develop a 1,000-feddan plot in New Sphinx City is a major milestone in our expansion strategy, doubling our undeveloped land bank from 4 mn to over 8 mn sqm.”