CAIRO: SODIC, Egypt's third-biggest listed developer, swung to a net profit of LE 135.3 million ($22.8 million) in 2010 and doubled project sales, it said on Thursday. The high-end real estate firm, which does not fully recognize revenues until it delivers units, made a net loss of LE 112.5 million in 2009. Egypt's property sector has been a major driver of foreign investment and growth but is now reeling from a string of legal rows over state land sales. Analysts are watching the sector to see how it fares in the political turmoil that ousted president Hosni Mubarak from office. The firm made LE 2 billion worth of sales in projects, a 100 percent increase from last year, while 2010 revenues jumped to LE 520 million, from LE 30.7 million a year earlier. SODIC said it proposed a cash dividend of LE 4 per share. Last year the board also approved a 2.5-for-1 stock split, in line with a new ratio suggested by the financial regulator. Chief Executive Officer Maher Maksoud told Reuters on Feb. 17 that it was assuming zero sales for 2011 but remained optimistic about Egypt's growth prospects. It said it had enough cash in reserve and cash flows, as well as limited outstanding debt and land debt to ride its way through short-term hiccups as a result of the political turmoil. The firm has lowered its planned investments for 2011 to LE 1.2 billion from LE 1.8 billion.
