الرئيس التنفيذي والعضو المنتدب بشركة مدينة مصر لـ CNBC عربية: التحوط من التضخم وراء ارتفاع الطلب على الوحدات السكنية في 9 أشهر
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00:00 and the results we see are not in line with the company's history, thank God.
00:05 In response to your question, the results are supported by several things,
00:09 but the main thing I think about is the effort of the team that works on it.
00:13 The company has been two years old, and it has a new approach and a new strategy,
00:17 and there is new blood in the management and a new idea.
00:21 I always say that whoever enters the company in the city of Qatar,
00:24 he feels that it is a startup company, not a company that is 40 years old.
00:27 The enthusiasm and ability to achieve results, thank God,
00:32 is supported by some economies, of course.
00:35 The Egyptian market is not enough for someone to go through certain circumstances
00:39 related to the smoking economy that the whole world witnesses.
00:43 We have always been used in the Egyptian market, in the smoking economy,
00:47 and in similar circumstances that we are going through,
00:49 that the consumer refuses real estate as a safe place to save money and invest,
00:54 because it has been proven through history that it is capable of doing this.
00:57 There is no new in this matter, and thank God, this is what has been done during this year.
01:02 In the first nine months, there is a very big movement in the market,
01:05 and I think you are following the results of the rest of the sector,
01:08 and thank God, all the results are very positive.
01:10 The second big part of it is internal management,
01:13 and the part that is called by the economies of the Egyptian market in general,
01:16 which is related to the global market.
01:18 Yes, Mr. Abdullah, you also talked about the growth of sales,
01:22 but was there also a rise in the prices of real estate that were made during the past period
01:28 and had a clear impact on the results of your business in the third quarter?
01:33 Not especially in the third quarter,
01:37 but we really got an increase in prices, not a small one,
01:40 in the price of Egyptian real estate at the beginning of 2023.
01:45 So the level at which the prices were raised,
01:47 almost in relation to the projects you have?
01:51 If we take an average of all nine months since the beginning of the year until today,
01:55 I think the average increase in prices is less than 60%.
01:58 Yes.
01:59 You also launched the Toba platform,
02:02 and therefore we would like to know the size of the demands that were during this period,
02:07 how many came, and for the facilities that you provided.
02:11 Thank God, the Toba system is a very innovative system,
02:15 and it is about facilitating the Egyptian consumer in these economic conditions,
02:19 the acquisition of real estate.
02:21 The system itself is a long explanation of how it facilitates the acquisition of real estate,
02:26 but thank God, it was accepted according to our expectations.
02:28 On the contrary, because it is a new and innovative idea,
02:31 we were limited to a certain number of units within the 200 units that we were allocated to this system,
02:37 and we launched this less than a month and a half,
02:40 and thank God, we sold them completely before the end of the year.
02:44 We were the target to finish these 200 units by the end of the year.
02:48 We hope that by the end of this month, they will be sold, God willing.
02:51 So, the acceptance of the system, which is really clear,
02:54 that it has proven its ability to encourage people to buy real estate,
02:57 thank God, it has proven its seriousness.
02:59 Mr. Abdullah, in the previous time, you pointed out the diversification of investment
03:04 through the increase in the activities of the company,
03:07 and you pointed out, first of all, the importance of the construction sector,
03:13 and specifically the development of real estate.
03:15 Today, where did this strategy of yours reach?
03:18 How much investment has been put into diversifying the activities in Egypt?
03:24 When we talk about diversifying activities,
03:28 we always talk about activities related to the activities of real estate development.
03:34 As you said, the way of PropTech and the financial solutions
03:41 that we have created to facilitate the acquisition of real estate,
03:45 are at the forefront of these innovations.
03:47 We have created a branch for this matter,
03:49 and for these digital innovations and those related to the financial engineering of real estate.
03:54 We have created a branch called Egypt City Innovation Labs,
03:57 only for innovation in these matters.
03:59 This is one of the most important things that happened in the last quarter.
04:02 And the next period is also about the creation of activities
04:06 that are distributed in the hospitality, service departments, and community management.
04:12 These are all things related to the activities themselves,
04:15 and as you said, we are very interested in this matter.
04:19 Still, the biggest expenditure we have is in the construction sector,
04:22 because this is the second most successful sector.
04:24 Approximately, how many percentages, or if you have more numbers,
04:27 on this level of expenditure?
04:29 We have spent on the construction sector,
04:33 specifically, or the largest part of the construction sector,
04:36 for 9 months, about 1.5 billion.
04:38 And these are being translated, because 1.5 billion is the real expenditure,
04:41 but they are being translated to a larger amount of work,
04:43 or a larger amount of funds with the contracting and construction companies.
04:46 I think the transfer budget is about 4 or 5 billion pounds,
04:49 the amount of contracts with the contracting companies in the first 9 months.
04:52 And God willing, before the end of the year, there will be more, God willing.
04:55 Mr. Abdullah, there was a denial from your side
04:58 regarding your request by the General Investment Fund
05:01 to acquire a share.
05:03 In your opinion, today, are you open to any request
05:06 regarding the acquisition of a share in the company you have?
05:09 I always say in this matter, the company of the city of Egypt,
05:14 the company of the state-owned company of Bursa,
05:17 is open to any request to acquire.
05:19 The administration and the board of directors are always open.
05:21 Is there a bid now directed to you? Is it a new bid?
05:24 No, in fact, nothing has happened in the last period in this regard.
05:30 Yes, and what about the company's distribution?
05:33 Is it for this period and the next period?
05:36 We are still in the process of distributing.
05:40 In 2022, we were at the end of 2022,
05:43 and at the beginning of 2023, we distributed 15 inches
05:46 on the coupon share for profits of 22,
05:49 and it was distributed on two tranches.
05:52 One of them was in May, the last one,
05:54 and one of them was completed at the end of October.
05:57 We are trying to put the policy that this company always has,
06:00 as the investor always looks for, for example,
06:03 an increase in the share price, and there is always a return
06:06 on the investment coming from the dividend yield.
06:09 We are trying to put the policy that we always have a clear,
06:12 honest, and sustainable distribution policy,
06:15 and we can't explain it now exactly.
06:18 Thank God, as you can see, the results of the profits,
06:21 thank God, exceeded our expectations, exceeded the target,
06:24 and we will follow the same policy in distributing
06:27 a part of the profits, God willing, so that there is always