Realty major DLF on Thursday posted a 66.1 percent increase in its consolidated net profit to Rs 378.1 crore for the second quarter ended September 30, 2021.
In the corresponding quarter last year, the company posted a net profit of Rs 227.7 crore. Total income during the September quarter stood at Rs 1,480.9 crore, up 8 percent, from Rs 1,609.8 crore in the year-ago quarter.
While sales bookings grew 77 percent to Rs 1,512 crore on revival in housing demand, particularly for luxury apartments. New sales bookings during the September quarter stood at Rs 1,512 crore, registering a Y-o-Y growth of 77 percent.
DLF's whole-time director and CEO Ashok Kumar Tyagi said, "We are encouraged by the rising housing sales and improving consumer sentiments across segments and remain committed to bringing new offerings to the market."
"We believe our quality offerings across our completed inventory, growing new product pipeline coupled with a fortified balance sheet has placed the company in a unique position to scale up and leverage this growth cycle," he said in a statement.
"The super-luxury segment exhibited outperformance with 'The Camellias' clocking record new sales of Rs 1,037 crore in the quarter. This demonstrates the quality of demand for best-in-class offerings backed by a strong and credible brand," DLF said. The demand for independent floors across the Gurugram market continues to witness healthy absorption, it noted.
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"The residential business continues to tread on its growth trajectory with healthy traction and strong demand momentum across segments and geographies. We are encouraged with these improving demand trends in the residential markets and expect these trends to remain for the long run," DLF said.
According to the company, with increasing volumes and well-calibrated price hikes, it expects further margin expansion for its projects. The company's net debt stood at Rs 3,985 crore at the end of September.
DLF's rental arm DLF Cyber City Developers Ltd (DCCDL), a joint venture firm with Singapore sovereign wealth fund GIC, continued to exhibit resilient performance while the retail business has exhibited a strong rebound.
The net profit of DCCDL rose 36 percent to Rs 231 crore in the latest September quarter. The consolidated revenue increased to Rs 1,123 crore as compared to Rs 1,040 crore during the same period. DLF has a 66.67 per cent stake in DCCDL.
"The rental business witnessed a temporary dislocation with the second (COVID) wave. With the rapid vaccination drive led by the government and lower infection rates, companies are gradually returning to their workplaces. "Strong business growth and aggressive hiring plans by IT/ITeS will aid in the recovery and growth of this segment. We believe that the long term fundamentals for the business and attractiveness of India as a service market remain intact," DLF said.
On retail business, the company said all its malls have become operational, though, with certain restrictions. "We are witnessing a steady increase in the footfalls and expect growth in consumption across all segments."
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DLF has developed 153 real estate projects and developed an area of approximately 330 million square feet. The company has 215 million square feet of development potential across the residential and commercial segments. The group has an annuity portfolio of over 35 million square feet.
DLF is primarily engaged in the business of development and sale of residential properties (the 'Development Business') and the development and leasing of commercial and retail properties (the 'Annuity Business).
The results came after the close of the market hours. Shares of DLF ended at Rs 399.70, down by Rs 14.60, or 3.52 percent on the BSE.
(Edited by : Jomy Jos Pullokaran)
First Published: IST