Egypt-based Sodic, a leading real estate development company, has posted a revenue of EGP1.17 billion ($65.9 million) for the first half of the year, reflecting a year-on-year (y-o-y) increase of 88 per cent.

The strong performance was driven by timely deliveries in Eastown Residences and Westown Residences, a statement said. The two projects represented 54 per cent and 29 per cent of the delivered value respectively.

Net profit jumped 130 per cent y-o-y, reaching EGP340 million. This compares to EGP148 million for the same period last year. Net profit margin reached 29 per cent, this compares to 24 per cent for the same period last year.

Sodic delivered 614 units across eight projects in the first half of the year more than double the 302 units delivered during the same period last year. Deliveries witnessed an increase of 103 per cent y-on-y, with Eastown Residences and Westown Residences constituting 63 per cent and 30 per cent of the delivered units respectively.

Gross profit margin remained strong coming in at a healthy 37 per cent. The robust profitability came on the back of strong margin improvement in Eastown as delivery progresses into more profitable phases.

Operating profit for the first half doubled to reach EGP325 million, up 100 per cent from EGP162 million for the same period last year. Operating profit margins come in at 28 per cent, an improvement of 173bps as revenue growth outstrips growth in SG&A.

Magued Sherif, managing director, Sodic said: “Sodic today is reaping the benefits of our land bank expansion strategy that began in 2014. Delivering solid year-on-year growth and record levels of revenues and earnings. Our sales momentum continues with the second quarter of 2017 witnessing the launch of Sky Condos, our premium apartment offering in Villette. The launch was met with strong demand for this differentiated product.”

“We look forward to the second half of the year that will mark the launch of Sodic East, kick-starting our revenue share development in New Heliopolis. We reiterate our targets for the year with confidence in the depth of the real estate market and in the strength of our company to deliver exceptional value to all its stakeholders,” he added. – TradeArabia News Service