Mumbai based property developer Lodha, on Friday said it delivered its best ever third quarter pre-sales at Rs 3,410 crore. Collections for the quarter stood at Rs 2,594 crore.
The company added three new projects during the quarter with gross development value(GDV) potential of Rs ~6,000 crore taking the 9m FY24 project addition to Rs 20,300 crore thus surpassing our guidance of Rs 17,500 crore for the year with a quarter to spare.
Despite high level of business development activity during the year, the company’s net debt has remained on a glide down path YTD with its net debt at Rs 6,750 crore vs Rs 7,073 crore in March 23, Abhishek Lodha, MD & CEO, Lodha said.
“We remain on course to achieve our full year guidance for reduction of net debt to lower of 0.5x equity and 1x operating cash flow, with further debt reduction seen in Q4,” Lodha said.
The company has exited the UK market after realisation of the entire balance from UK investments as per its earlier communication. From here on, the company is going to be solely focussed on the significant opportunities in India, he said.
“It is heartening to witness the housing cycle taking shape with each passing quarter. Consumer’s desire to own a quality home early in their life journey and upgrade their lifestyle, continues to strengthen. On the back of steady rise in income levels and ample job creation this desire is translating into robust demand for high quality homes. This fundamental driver of demand has enabled us to deliver our best ever Q3 pre-sales performance at Rs 3,410 crores,” he said.
This was despite the adverse seasonality of inauspicious period of ‘Shraddhh’ falling in October this FY (vs. in September in FY23). Having delivered ~Rs 10,500 crore of sales in the first 3 quarters, the company remains on track to deliver our full year pre-sales guidance of Rs 14,500 crore, he said.
