Financial Highlights and Market Situation: Talaat Moustafa Group (TMG), one of Egypt's leading real estate development companies, has achieved significant success and established a strong foothold in the market. This section provides a comprehensive overview of TMG's financial highlights and the prevailing market situation, highlighting key factors that contribute to the company's growth, profitability, and market positioning. TMG's revenue growth has been remarkable, fueled by its successful project developments and effective sales and marketing strategies. The company has consistently demonstrated a strong ability to generate revenue from the sale of residential and commercial properties. This revenue growth is indicative of TMG's market acceptance, customer demand, and strategic market positioning. TMG's profitability stands as a testament to its efficient operations and effective cost management practices. The company has maintained a solid level of profitability over the years, achieving healthy margins through careful project execution, timely delivery, and effective pricing strategies. TMG's ability to generate sustainable profits has helped reinforce its market standing and attract investors. TMG has consistently delivered attractive returns on investment to its shareholders. The company's focus on executing projects with high potential returns, along with its commitment to effective asset management, has translated into favorable ROI figures. TMG's ability to generate substantial returns for its investors has strengthened its reputation as a reliable investment option in the real estate sector. TMG's robust cash flow management practices have played a crucial role in maintaining its financial stability. Effective cash flow management ensures the availability of funds for ongoing projects, debt repayment, and dividend distributions. TMG's prudent financial planning and cash flow optimization strategies contribute to its overall success and long-term sustainability. The real estate market in Egypt experiences dynamic demand and supply patterns influenced by various factors. TMG closely monitors these dynamics to align its project offerings with market demand and optimize its market share. Understanding customer preferences, market trends, and economic indicators allows TMG to adapt its supply to match the evolving needs of homebuyers and investors. TMG operates in a highly competitive environment, competing with other prominent real estate developers in Egypt. The competitive landscape is characterized by factors such as project quality, location, pricing, and reputation. TMG continuously assesses its competitive position and adapts its strategies to differentiate itself and maintain a competitive edge. By offering unique features, innovative designs, and quality construction, TMG strives to distinguish itself from competitors and attract discerning customers. The real estate sector in Egypt operates within a regulatory framework that governs various aspects of the industry. TMG adheres to regulations related to land acquisition, construction permits, environmental sustainability, and customer protection. Compliance with these regulations ensures legal and ethical operations while safeguarding the interests of stakeholders. TMG's commitment to regulatory compliance strengthens its reputation and contributes to its long-term success. The overall economic conditions in Egypt significantly impact the real estate market. Factors such as GDP growth, inflation rates, interest rates, and consumer purchasing power influence demand for properties. TMG closely monitors economic indicators and market trends to identify opportunities and adjust its strategies accordingly. Understanding the macroeconomic landscape helps TMG make informed decisions regarding project timing, pricing, and market expansion. TMG recognizes the importance of understanding and catering to customer preferences and market trends. Evolving customer expectations, such as sustainability, technological integration, and community-centric designs, shape the demand for real estate properties. TMG actively analyzes customer preferences and market trends to align its projects with evolving demands, ensuring customer satisfaction and market relevance. Talaat Moustafa Group (TMG) has achieved remarkable financial success and established a strong market position in the real estate industry in Egypt. Through consistent revenue growth, profitability, favorable returns on investment, and effective cash flow management, TMG has demonstrated its ability to navigate market challenges and deliver value to shareholders. By closely monitoring the market situation, TMG adapts its strategies to changing dynamics, capitalizing on opportunities, and maintaining its competitive edge. Understanding the economic environment, regulatory landscape, and customer preferences allows TMG to sustain its growth trajectory and cement its position as a leading player in Egypt's real estate market. Some selected Financial Ratios: Profitability Ratios: TTM vs 5 Year Average Margins Name Company Industry Gross Margin TTM 31.4% 37.62% Gross Margin 5YA 34.33% 36.54% Operating margin TTM 23.4% -40.32% Operating margin 5YA 26.65% -1.91% Pretax margin TTM 16.97% -177.01% Pretax margin 5YA 20.28% -33.77% Net Profit margin TTM 11.6% -182.89% Net Profit margin 5YA 14.03% -39.65% Name Company Industry Revenue/Share TTM 9.63 6.32 Basic EPS ANN 1.01 0.7 Diluted EPS ANN 1.01 0.7 Book Value/Share MRQ 17.39 9.05 Tangible Book Value/Share MRQ 11.84 7.48 Cash/Share MRQ 2.83 1.75 Cash Flow/Share TTM 2.66 1.02 Management Effectiveness Ratios: TTM vs 5 Year Average Margins Name Company Industry Return on Equity TTM 6% 12.61% Return on Equity 5YA 5.71% 11.22% Return on Assets TTM 1.48% 4.21% Return on Assets 5YA 1.72% 3.89% Return on Investment TTM 4.77% 8.69% Return on Investment 5YA 4.56% 7.72% Name Company Industry EPS (MRQ) vs Qtr. 1 Yr. Ago MRQ 180.65% 119.48% EPS (TTM) vs TTM 1 Yr. Ago TTM 32.29% 52.17% 5 Year EPS Growth 5YA 0% 4.6% Sales (MRQ) vs Qtr. 1 Yr. Ago MRQ 47.58% 35.96% Sales (TTM) vs TTM 1 Yr. Ago TTM 29.47% 40.33% 5 Year Sales Growth 5YA 18.42% 13.96% 5 Year Capital Spending Growth 5YA 26.78% 22.97% Liquidity Ratios: Name Company Industry Quick Ratio MRQ 0.41 0.46 Current Ratio MRQ 1.22 1.84 LT Debt to Equity MRQ 39.36% 23.7% Total Debt to Equity MRQ 83.35% 49.99% Efficiency Ratios: Name Company Industry Asset Turnover TTM 0.13 0.21 Inventory Turnover TTM 0.2 1.85 Receivable Turnover TTM 0.77 3.64 Name Company Industry Dividend Yield ANN 1.75% 1.12% Dividend Yield 5 Year Avg. 5YA 1.39% 1.59% Dividend Growth Rate ANN 21.18% -16.53% Dividend Payout Ratio TTM 20.69% 10.74% Market Ratios: TTM and MRQ Name Company Industry P/E Ratio TTM 9.08 -9.92 Price to Sales TTM 0.96 62.55 Price to Cash Flow MRQ 3.46 -2,377.75 Price to Free Cash Flow TTM 8.26 0.04 Price to Book MRQ 0.53 1.25 Price to Tangible Book MRQ 0.78 1.32 TTM = Trailing Twelve Months. 5YA = 5-Year Average. MRQ = Most Recent Quarter. ANN = Annually