Beating the street estimates, Godrej Properties posted over four-fold jump in net profit at Rs 520 crore in Q1FY25 as compared to Rs 125 crore in corresponding quarter of previous financial year. The jump in profit was aided by lower taxes and expenses.
As per a Bloomberg poll, analysts estimated profit of 377 crore. The company said it was highest-ever net profit for it. However, the company’s revenue from operations fell 21% to Rs 739 crore in Q1FY25 as compared to Rs 936 crore in Q1FY24. Analysts expected revenues of Rs 1,338 crore.
Tax expenses more than halved to Rs 30 crore in Q1FY25 and total expenses fell 18% to Rs 921 crore. Its booking value grew by 283% to Rs 8,637 crore in Q1FY25. It was Godrej Properties’ highest-ever quarterly sales for Q1 and its second highest quarterly sales ever, it said.
Pirojsha Godrej, chairperson, Godrej Properties said, “With a robust launch pipeline, strong balance sheet, and resilient demand, we are on track to achieve our bookings target of Rs 27,000 crore in FY25 while also achieving our highest-ever deliveries and collections performance.”
“Godrej Properties delivered another robust quarter registering a multi-fold growth in bookings, operating cashflows, and earnings. The residential real estate sector in India has been strong over the past three years and we believe the sectoral tailwinds will continue over the next few years,” he said.
The significant levels of business development they have executed in previous years at favourable terms continue to allow them to scale their bookings and in turn our earnings, he said. The company’s stock rose 1.32% to Rs 3,223 on Wednesday.
The company in another announcement on Wednesday said that it has acquired ~46-acre land parcel in Indore, making a foray into the city. The development on this land will primarily comprise plotted residential units and will offer an estimated saleable area of ~1.16 million square feet, it said.