03 November 23
PERFORMING WELL ON ALL METRICS, SAYS EXEC CHAIRPERSON
Q2 SHOW: Co to see best cash collections, project deliveries this fiscal: Pirojsha Godrej
Mumbai: Godrej Properties, the real estate development arm of the Godrej Group, is on track exceed its guidance of new bookings worth r14,000 crore and re cord best-ever cash collections and project deliveries during the current financial year led by robust housing demand and response to its projects, said a top company official.
The company is currently working on launching 14 new projects and 10 new phases of ongoing pro Jects across key property markets in the second half of the financial year. This is by far the biggest pipe line of launches planned by Godrej Properties in any half yearly period. “We have had a slow start this year, but the second quarter has given a lot of confidence about the full year performance.
We remain on-track to exceed our bookings target of 214,000 crore in FY24 and are confident of also delivering our best-ever cash collections and project deliveries,” said Pirojsha Godrej, executive chair- person, Godrej Properties, told ET The company is performing well on all metrics including sales, col- lections, project delivery and business development with around 50% guidance mark al- ready achieved as on September end. According to Godrej. the company had provided guidance of 12.5 million sq ft deliveries and 15,000 crore business development aga- inst which it has already achieved 52% deliveries and 48% business development.
The residential property sector in India has been strong and resilient over the past 2 years and we believe real estate cycle will continue to strengthen over the next few years.
The developer has recorded its highest ever quarterly sales of 5,034 crore with 5.24 million sq ft of area sold during the September quarter taking its half yearly sales to 7,288 crore, up 48%.
on-year. Apart from higher sales, the company has managed to achieve higher realizations through “double digit” price hikes in its Delhi and Bengaluru projects and “single digit” hikes in Mumbai and Pune projects, Godrej said.
The company launched a total of seven new projects and phases du- ring the quarter, while delivering over 1.55 million sq ft across two markets. Collections also rose 23% to 2,378 crore, leading to net operating cash flow of 1811 crore during the quarter.
The company’s net profit rose 22% to 67 crore on the back of 75% growth in total income at 571 crore during the quarter.
“The residential property sector in India has been very strong and resilient over the past two years and we believe the real estate cycle will continue to strengthen over the next few years,” Godrej said.
According to him, the significant levels of business development the company has executed over the past several years is providing an opportunity to maximize the growth potential in the market. Going forward, the company’s fo- cus will be on bringing these pro- jects to market in the upcoming quarters and execution.
Source- The Economic Times