Madinet Nasr for Housing and Development (MNHD), one of Egypt’s urban community developers, has announced its standalone financial results for 2022, reporting a net profit of EGP 747.4m on total revenue of EGP 5.15bn. The Company reported a net profit of EGP 202.5m for the fourth quarter of 2022, booking a top line of EGP 2.15bn.
MNHD achieves record-breaking gross contracted sales of EGP 11.23bn in 2022, up by 224.4% y-o-y driven by new project launches at Taj City and Sarai during the year. Gross contracted sales reached EGP 3.69bn in 4Q 2022, an increase of 325.1% y-o-y. Furthermore, the newly acquired subsidiaries – Minka and EgyCan – generated EGP 1.17bn in contracted sales which were not consolidated in MNHD’s results for the year.
The Company delivered a total of 2,070 units during FY 2022, an increase of 101.0% y-o-y versus the 1,030 units delivered for 2021. In 4Q 2022, MNHD delivered a total of 957 units, up by 108.0% y-o-y.
Revenue recorded EGP 5.15bn for 2022, up by 145.8% y-o-y, on the back of strong gross contracted sales growth and unit deliveries doubling during the year. MNHD booked EGP 2.15bn in revenue for 4Q 2022, an increase of 173.4% y-o-y.
Meanwhile, gross profit came in at EGP 1.99bn in 2022, climbing 170.5% y-o-y. MNHD’s gross profit margin increased from 35.2% in 2021 to 38.7% in 2022 due to an increase in income from installment sale interest. In 4Q 2022, gross profit came in at EGP 765.7 million, up by 608.9%, yielding an improved gross profit margin of 35.5% against the 13.7% booked in 4Q 2021 on the back of a 267.8% y-o-y increase new sales.
MNHD booked an EBITDA of EGP 1.35bn for 2022, a 153.0% y-o-y increase. The EBITDA margin came in at 26.3% for the year, against a margin of 25.5% recorded one year previously, despite the increase in revenue from unit deliveries. In 4Q 2022, EBITDA recorded EGP 487m, up by 355.7%, yielding a margin of 22.6% against the 13.6% booked for 4Q 2021.
The Company recorded a net profit of EGP 747.4m for 2022, up by 164.5% y-o-y with an associated net profit margin of 14.5% against the 13.5% booked for 2021. Net profit came in at EGP 202.5m for 4Q 2022, up by 710.1%, yielding a net profit margin of 9.4% compared to 3.2% in 2021 as bottom-line results benefitted from a rapid increase in revenue in 4Q 2022.
Net debt stood at EGP 1.48bn at year-end 2022, marking a decrease of 43.6% from the close of 2021, in line with MNHD’s strategy to optimize efficient utilization of borrowing to support growth and manage financial risk. The net debt/EBITDA ratio booked 1.1x for the period, down from 4.9x at year-end.
Total notes receivable recorded EGP 3.95bn in 2022, up by 14.6% from 2021, yielding a receivables/net debt ratio of 2.7x for 2022, up from 1.3x at the close of 2021.
Net cash collections booked EGP 3.56bn in 2022, up by 21.3% y-o-y. In 4Q 2022, the Company made net cash collections of EGP 1.03bn, up 42.1% y-o-y.
Furthermore, MNHD deployed EGP 1.8bn in construction and infrastructure CAPEX during 2022, compared to the outlay of EGP 2.38bn in 2021 following the completion and delivery of several construction projects. The Company made CAPEX outlays of EGP 459.9m in 4Q 2022, almost at par with the EGP 466.3m deployed in 4Q 2021.
