Sobha Q1 Results: Profit More Than Doubles

Sobha Ltd.'s net profit more than doubled to Rs 13.6 crore in the first quarter of this financial year.

The realty company had recorded a net profit of Rs 6.06 crore in the same quarter of the previous fiscal, according to its stock exchange notification on Friday.

Revenue increased 33% year-on-year for the three months ended June, reaching Rs 851.9 crore. Operating income, or earnings before interest, taxes, depreciation, and amortisation, fell 57% year-on-year to Rs 23.8 crore. The Ebitda margin contracted 509 basis points to 2.8%.

Sobha had reported an 11% increase in sales bookings to a record Rs 2,078.8 crore in the first quarter as housing demand continues to be strong. Its sales bookings or pre-sales stood at Rs 1,873.7 crore in the year-ago period.

The Bengaluru-based company sold 14.44 lakh sq ft area in April-June period of this fiscal year as against 11.75 lakh sq ft. During the first quarter, Sobha completed 1.07 million sq ft of saleable area and delivered 594 homes across projects.

According to the company, in the quarter ended June, it achieved its highest ever quarterly real estate sales value of Rs 2,079 crore, crossing the Rs 2,000 crore milestone for the first time.

The quarterly results were declared after the market hours. The stock settled 0.86% lower at Rs 1,613.80 apiece on the NSE, compared to a 0.90% decline in the benchmark Nifty 50. Sobha's shares have fallen 13.35% in the last 12 months and risen 2.35% year-to-date.