Dar Saada Residences: Revenue Increases by 33.5% by the End of September 2025

The activity of the Dar Saada Residences Group during the third quarter of 2025 was characterized by several key developments. The secured revenue remained stable at 3.7 billion dirhams, primarily due to the signing of agreements related to the resettlement program in Casablanca, which involves 10,300 units. Additionally, there was an increase in activity, taking into account the change in accounting method regarding revenue recognition. The Group is currently in the process of selling land for 260 million dirhams from its securitization fund, which will facilitate the repurchase of this securitized asset and the establishment of a financing plan for acquiring other securitized assets. Furthermore, the Group has maintained control over its debt levels. Dar Saada Residences has continued construction on housing projects in Casablanca as part of the resettlement program, which includes over 10,300 social housing units valued at 2.6 billion dirhams. The management is pleased to announce that in November 2025, it was provisionally selected in the call for expressions of interest (AMI) for the resettlement program for households in Marrakech, organized by Al Omrane Marrakech. This new program strengthens the Group's portfolio of strategic projects, complementing its efforts in Casablanca. Following the publication of the results of AMI 04/2025 on the Moroccan Public Markets Portal in November 2025, the management expressed satisfaction at being provisionally selected for the resettlement program in Marrakech. The company secured 7,650 units valued at 1.9 billion dirhams, while its sister company, Saada X, was awarded 7,773 units for the same value, confirming the operational strength and execution capacity of the Group in the social housing segment. This new contract adds to an already robust order book, following the acquisition of a program for over 10,300 social housing units in Casablanca, valued at an estimated 2.6 billion dirhams. This project represents a significant opportunity to reinforce their commitment to social housing, support public resettlement policies, and continue implementing their multi-year strategic plan. In terms of pre-sales, the Group achieved a total of 1,341 pre-sold units by the end of September 2025, compared to 977 units during the same period in 2024, excluding units allocated under the Casablanca resettlement program. New subdivision and residential unit projects will be launched for pre-sale as part of the new direct housing aid program. The secured revenue remained stable at 3.7 billion dirhams as of September 30, 2025, mainly attributed to the signing of agreements related to the Casablanca resettlement program in 2024. The Group recorded a revenue of 275 million dirhams by the end of September 2025, up from 206 million dirhams during the same period in 2024. In the third quarter alone, revenue reached 113 million dirhams, compared to 32 million dirhams in the same period the previous year. The total number of units under production stands at nearly 11,800, with 6,100 units launched in the first half of 2025. It is noteworthy that an update to the accounting plan for the real estate sector (PCSI) was implemented starting January 1, 2025. Consequently, from this date, financial statements will reflect the divergence between the new accounting method established by CNC notice No. 20 for revenue recognition and the previous method used by Dar Saada Residences under the PCSI in effect until December 31, 2024. As a result, from January 1, 2025, the Group modified its revenue recognition method for its real estate development activities. In line with a reassessment of control transfer criteria under IFRS 15, revenue is now recognized at the date of signing the notarial deed (legal delivery of the property). This change provides a more accurate representation of when control of real estate is effectively transferred to clients, aligning with new local accounting requirements. In line with its ongoing debt management policy, the Group repaid 313 million dirhams of financial debt, excluding interest. Thus, total debt as of September 30, 2025, including lease contracts (IFRS 16) and excluding short-term cash, amounts to 1.6 billion dirhams, down from 1.71 billion dirhams at the end of 2024. There have been no changes in the consolidation scope compared to the end of 2024, and the Group did not acquire any land during the third quarter of 2025.