Signatureglobal Eyes Rs 10,000-Crore Sales In FY25 As Gurugram's Real Estate Booms
Gurugram is very uniquely positioned and demand in the region is much larger than what is being supplied right now in terms of housing units, CEO Rajat Kathuria says.
Signatureglobal (India) Ltd. is charting an aggressive growth trajectory, anchored in Gurugram's real-estate market, according to Chief Executive Officer Rajat Kathuria.
"We have about 35 million square feet of developable area, of which only a small portion — 20% — has been launched over the last calendar year," Kathuria said. "Almost 25 million square feet is with the company in advanced stages of approvals, which we intend to launch in two and a half years."
Gurugram is very uniquely positioned and demand in the region is much larger than what is being supplied right now in terms of housing units, according to Kathuria.
Despite selling 2,000 units in the first six months, Kathuria admitted the challenge of estimating actual demand. "That's why you'll often hear in Gurugram markets that projects are sold just because there is very little supply."
"In FY21, we were doing pre-sales of Rs 1,600 crore. This year, we are targeting Rs 10,000 crore. Today, we do in one and a half months the sales we used to do in a whole year in FY21," the CEO said.
While the company uses the completed contract method of accounting, Kathuria highlighted its limitations: "What you see in the profit and loss account is the picture which existed about four years ago."
Despite this lag, Signature Global is confident in its financials, targeting an Ebitda margin of 35% on its Rs 10,000-crore sales goal. "Of this Rs 10,000 crore, the embedded or implied Ebitda of the company is Rs 3,500 crore."
