Cairo – Mubasher: Heliopolis Company for Housing and Development on Tuesday reported that its profits nearly halved in the first quarter of fiscal year 2018/2019.
The housing firm's net profit slid 88.6% to EGP 8.7 million in the three-month period ended September, versus EGP 76.8 million in the prior-year period, the company said in a filing to the Egyptian Exchange (EGX).
Revenues shrank to EGP 193.7 million in Q1-18/19, from EGP 215.4 million in the same quarter a year earlier.
The EGX-listed property developer attributed the decline in its profits to a 40% decrease in sales volume as compared with the estimated budget, pressured by the recession in the real estate market.
The EGP 34 million installment of the leasing finance due on 25 August also weighed on the company’s profit, according to the filing.
Heliopolis Housing previously posted a 28.1% year-on-year drop in net profit for FY17/18, recording EGP 250.79 million, versus EGP 348.8 million a year earlier.
