Corporate news
Heliopolis Housing & Development (HElI) – Financial Results Summary FY2025
1. Financial Performance & Revenue Growth
Heliopolis Housing & Development Company delivered strong financial performance in FY2025, recording a 197% YoY increase in revenues, driven primarily by newly launched projects and its core real estate development activities.
Net profit increased by 5.68%, supported by exceptional profitability margins, with:
Net Profit Margin: 86.28%
Gross Profit Margin: 91.45%
These results reflect high operational efficiency and effective cost management.
2. Key Revenue Contributors – FY2025
Revenue diversification remained a key strength, supported by strategic partnerships:
Madinet Masr: 33.32%
Middle East Development: 18.93%
SODIC: 17.18%
Ejad: 0.62%
Land & Property Sales: 27.19%
Purchased Goods Sales: 1.42%
Rendered Services: 1.34%
The revenue mix highlights the company’s growing reliance on strategic development partnerships, which are expected to continue supporting growth over the next 5–10 years.
3. Expenses & Operating Profitability
The company achieved notable improvements in cost structure:
Finance expenses declined by 53.06%
Other expenses decreased by 73.24%
Interest income fell by 69.72%, reflecting the strategic redeployment of cash assets into land acquisitions and real estate investments, particularly the New Administrative Capital Gardens (Hadayeq Al Assema) project.
This shift signals management’s focus on sustainable operational growth and long-term value creation.
4. Dividend Distribution
The Board of Directors proposed a dividend distribution of EGP 0.435 per share, representing 64.40% payout ratio of earnings per share.
This distribution demonstrates the company’s commitment to rewarding shareholders while maintaining sufficient financial flexibility to support future expansion.
5. Key Financial Indicators
Return on Assets (ROA): 15.72%
Return on Equity (ROE): 27.44%
The stock trades at a Price-to-Earnings (P/E) ratio of 8.35x, significantly below the Egyptian real estate sector average of 15–16x, indicating a potential valuation upside relative to peers.
6. Land Bank & Development Portfolio
HElI maintains a substantial land bank that supports long-term growth visibility:
Heliopolis: 5,500 feddans
New Mansoura: 52,000 sqm
Hadayeq Al Assema: 750 feddans
Misr Ejad – New Heliopolis: 85 feddans
Gadina – New Heliopolis: 25 feddans
In total, the company owns approximately 6,000–6,500 feddans across Cairo and new urban communities, equivalent to roughly 25–27 million sqm, providing a strong foundation for sustainable development and future large-scale projects.
Mostafa Amin -Equity Analyst
MAmin@egy.Primegroup.org