MNHD Reports H1 2022 Revenue of EGP 1.79 Billion
Madinet Nasr for Housing and Development (MNHD) recorded revenues of EGP 1.79 billion for the first half (H1) 2022, up 101.1% year-on-year, driven by higher deliveries and strong growth in gross contract sales.
MNHD recorded revenue of EGP 972.3 million in the second quarter (Q2) 2022, an increase of 120.3% year-on-year.
The Company delivered a total of 832 units in 1H 2022, an increase of 136.4% YoY compared to the 352 units delivered in 1H 2021. On a quarterly basis, MNHD delivered a total of 471 units in 2Q 2022 , up 207.8% year-on-year.
MNHD deployed EGP 798.9 million in construction and infrastructure CAPEX during the six-month period, down from expenditure of EGP 1,182.1 million reserved for 1H 2021 following completion and the delivery of several construction projects. The company achieved CAPEX expenditure of EGP 417.8m in 2Q 2022, down 14.1% YoY from the EGP 486.3m deployed in 2Q 2021
Abdallah Sallam, CEO of MNHD, said, “The Company is more confident than ever in its ability to build and deliver sustainable communities. Our teams worked hard to maintain the positive momentum gained during the first quarter in order to deliver solid operational and financial results. Our performance during the second quarter was very strong and only reinforced our confidence in MNHD’s new growth strategy after an already impressive first quarter.
“In April 2022, we launched Taj Ville, a premium villa complex located within our Taj City development. Taj Ville’s emphasis on villas reflects our efforts to capitalize on our clients’ aspirations for self-contained units. In just a few weeks, we had sold all the self-contained villas in the project. As well as being a testament to the great potential of our undeveloped land bank in Taj City and Sarai, our success in Taj City is a testament to owners’ confidence in MNHD and their confidence in our value proposition. Remarkably, we achieved this strong performance at Taj Ville despite launching the project at the end of the holy month of Ramadan, traditionally a period of subdued activity in the real estate market.
“Demand remains strong despite headwinds, and we have been able to take full advantage of this strength with our stock of ready-to-move inventory, which further provides us with flexibility in the face of an uncertain macro environment. We have also embraced a strategic stance on cancellations, designing our policy to provide relief to delinquent customers, enhance our collection and release in-demand inventory. To date, we have only implemented limited price increases, consolidating buyers’ confidence in our offer, a confidence which was further reinforced by the start of construction of the Shalya complex in Taj City.
He added, “Going forward, we expect the company to continue to deliver positive operational and financial results and give our customers even more reason for confidence and satisfaction. As we prepare for a number of new launches and look for new growth opportunities in the period ahead, we are optimistic and motivated for what the coming quarters have in store. We are confident that the MNHD will continue to surpass even the strong results we have already achieved, and that the company will succeed in generating growth in its portfolio of projects in a sustainable and efficient manner.