Godrej Properties Ltd.'s booking value fell and profit missed estimates in the pandemic-marred first quarter of the ongoing fiscal.
The real estate developer reported a profit of Rs 17 crore in the April-June period against a net loss of Rs 191.62 crore in the preceding three months, according to an exchange filing. The bottom line was cushioned by lower expenses amid local lockdowns. But it fell way short of Rs 163-crore profit estimated by a consensus of analyst forecasts tracked by Bloomberg.
Q1 FY22 Highlights (QoQ)
The real estate developer's revenue from operations tumbled 80% to Rs 86.16 crore, against the Rs 426.1-crore forecast.
Total expenses fell 69% to Rs 196.48 crore.
Total income, including other income, fell 54% to Rs 232 crore.
Total booking value slumped 81% to Rs 497 crore.
Booking volume dropped 82% to 771,817 square feet.
“The quarter has been disappointing operationally due to the impact of the second wave,” Pirojsha Godrej, executive chairman at Godrej Properties, said in the statement. “Sales in June and July were 384% higher than those in April and May and we expect to see very strong sales momentum in the remainder of the financial year given a large number of launches that are planned. We also expect significant portfolio additions this financial year, which will benefit the medium-term growth trajectory of our business.”
Other Highlights
Godrej Properties leased more than 1 lakh square feet of office space at Godrej Two, Mumbai, despite two months of lockdown.
Bought a 20% stake in a company to develop a commercial project with Godrej Fund Management under its commercial platform in Indira Nagar, Bengaluru. Godrej Properties didn't disclose the name of the company it bought stake into.
The said project offers 1.05 million sq. ft. of leasable area. Godrej Properties' economic interest is 20% equity in the project-specific company.
Delivered 0.5 million sq. ft. in Pune in Q1 FY22.
The workforce strength stood at 131% of pre-Covid level as of
June-end.
The company, in its investor presentation, said it has exited the Ambernath project in Mumbai Metropolitan Region due to non-receipt of certain approvals within the expected timeline from the joint venture partner and regulatory authorities. “No capital had been paid to the JV partner.”
Shares of Godrej Properties were trading flat after the results were announced compared with a 1.55% gain in the Nifty 50.
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