The Lebanese Company for the Development and Reconstruction of the Beirut Central District S.A.L. (Solidere) released its audited consolidated financial statements (which take into account the company’s subsidiaries) for the year 2022, reporting a net loss of $5.17 million, compared to a net loss of $4.28 million in 2021. In detail, revenues from property and land sales plunged by 65.26% y-o-y to $29.60 million, while rental revenues rose by 48.00% to $31.43 million, gains on sale of investment properties increased by 132.24% to $1.03 million, and revenues from provided services inched slightly higher to $8.44 million. In parallel, cost of revenues dropped by 18.33% in 2022 to $71.81 million, thanks to some $29.74 million reduction in the cost of land sales. Consequently, the company recorded a net operating loss of $1.32 million in 2022, compared to a net operating income of $27.36 million in 2021, with general & administrative expenses increasing by 29.74% to $41.79 million. Solidere did not book any impairment provisions in 2022, while it booked around $0.28 million in provisions in 2021. The share of income from associates stood at $7.75 million in 2022, compared to $17.97 million in 2021. The company also reported a net gain on foreign exchange of $29.52 million in 2022, compared to a net loss of $23.71 million in 2021.

On the balance sheet front, the Group’s consolidated assets narrowed by 1.86% in 2022 to just above $1.94 billion as cash and bank balances dropped by $44.56 million, net accounts and notes receivable sank by 81.23% to $2.53 million and net investment properties fell by 0.12% to $608.85 million. Land inventory & projects under construction, however, increased by 0.34% to $856.02 million (circa 44.00% of total assets). On the other hand, the Group’s total liabilities fell by 9.74% in 2022 to $200.88 million, noting that these balances include dividends payable totaling $57.35 million. The Group’s shareholders’ equity ended the year 2022 down by 0.86% at $1.74 billion. Consequently, the company’s book value per share stood at $10.57 at end of year 2022, implying a price to book value multiple of 6.62 for Solidere “A” shares and 6.42 for Solidere “B” shares based on the closing prices of December 7, 2023.