DLF posted a near 35% year-on-year increase in its net profit to Rs 513.46 crore for the third quarter ended December 31, 2022, supported by a sharp decline in finance costs. Finance costs declined over 34% on a y-o-y basis to Rs 95.43 crore during the quarter. Total expenses were lower by 5% y-o-y to close to Rs 1,152 crore.
The company’s consolidated revenue from operations declined moderately by 3.5% y-o-y and stood at about Rs 1,495 crore. The residential business clocked one of the highest quarterly new sales bookings of Rs 2,507 crore, reflecting a y-o-y growth of 24%. Cumulative new sales for nine months of FY23 increased 45% y-o-y to Rs 6,599 crore.
The Ebitda (earnings before interest, tax, depreciation and amortisation) margins, at about 32%, declined 200 basis points y-o-y during the quarter. Consequently, Ebitda came in lower by 8.4% y-o-y to Rs 477.20 crore. The company’s luxury project — The Grove at DLF5, Gurugram in the National Capital Region (NCR) — was completely sold out and sales bookings during the quarter from the project stood at Rs 1,570 crore. The second phase of the recently launched The Valley Gardens in Panchkula also saw robust sales momentum, with sales bookings of Rs 540 crore during the quarter.
The office portfolio continued its gradual path to recovery, while retail business remained strong. Rental income registered a growth of 15% y-o-y to Rs 1,003 crore.The consolidated revenue from the segment were up 16% y-o-y to Rs 1,363 crore. Ebitda stood at Rs 1,061 crore, with a y-o-y growth of 16%. Net profit at Rs 358 crore, was up 27% y-o-y.
The company reduced its debt further, with the company’s net debt at Rs 2,091 crore at the end of the December 2022 quarter. “We remain enthusiastic about the housing industry’s intrinsic growth potential, which continues to be supported by a resilient economy. Occupiers’ attendance across the portfolio continues to inch upwards with gradual recovery across the office segment. While global headwinds continue to persist, leading to a challenging environment, we expect demand for quality office assets at established locations should continue to garner interest of large occupiers. The retail business continues to exhibit healthy growth, and consumption trends continue to reflect sustained momentum,” company said in a statement.