Godrej Properties Q3 Results: Profit Slumps 69%, Revenue Down 55%

Godrej Properties Ltd.'s profit and revenue declined in the third quarter even as booking volume increased.

The real estate developer's revenue from operations slumped 55% over a year earlier to Rs 170.49 crore in the three months ended December, according to its exchange filing.

• Total income, including other income, fell 38% year-on-year at Rs 306 crore.

• Net profit slumped 69% to Rs 14.35 crore.

• Total booking value rose 25% year-on-year to Rs 1,488 crore.

• Booking volume increased to 2.4 million square feet.

The company, in its investor presentation, said it has launched three new projects/phases in the third quarter, and four new projects/phases in the nine months ended December. It also added two new residential projects in Bengaluru with a combined saleable area of 4.1 million sq ft in the reported quarter.

Its workforce strength stood at 124% of the pre-Covid level at the end of the quarter, it said.

“The real estate sector has recovered from the initial impact of the pandemic. Government action to reduce stamp duties and premiums in Maharashtra combined with a higher intent towards home ownership as a result of the pandemic have helped drive a turnaround in sentiment towards residential real estate,” Pirojsha Godrej, executive chairman at Godrej Properties, said in a media statement. “We are pleased to see construction levels and cash flows normalise in the third quarter. With a large number of new project launches planned for the fourth quarter, we expect to end the year on a strong note and enter the new financial year with strong momentum.”

Fund Raising

Besides, Godrej Properties approved a fundraising worth Rs 3,750 crore in one or more tranches. It will raise funds via issuance of equity shares, fully convertible debentures, partly convertible debentures, or any other method thereof, it said in a separate filing.