DLF first quarter profit rises 12% to Rs 527 crore; re-enters Mumbai market – Times of India

The company’s net profit stood at Rs 469.57 crore in the year-ago period.
Total income rose marginally to Rs 1,521.71 crore in the April-June period of 2023-24 financial year from Rs 1,516.28 crore in the year-ago period, according to a regulatory filing.

The company’s sales bookings remained flat at Rs 2,040 crore in the June quarter.
DLF also announced its re-entry into the Mumbai real estate market through a partnership with realty firm Trident Group.
In 2012, DLF sold 17 acres of prime land in Mumbai to Lodha Developers (now renamed as Macrotech Developers) for about Rs 2,700 crore. DLF had bought the land from National Textile Corporation for Rs 703 crore in 2005.
DLF had also formed a joint venture with Akruti City to develop few projects.
According to a separate regulatory filing, DLF Home Developers Ltd’s (DHDL) wholly-owned arm Pegeen Builders & Developers will allot 9,800 equity shares of Rs 10 each at par to Delhi-based realty firm Trident Buildtech.
In this regard, DHDL has executed a securities subscription and shareholders’ agreement. Pursuant to the allotment, the stake of DHDL, a subsidiary of DLF, in Pegeen will come down to 51 per cent.
Currently, Trident, through its wholly-owned subsidiary Sahyog Homes Ltd, is developing a slum rehabilitation project in Andheri (West), Mumbai.
Pegeen has also agreed to enter into a development agreement with SHL to develop the first phase of the project.
DLF did not give any further details about this proposed project.
In a statement, DLF said its sales bookings for the April-June quarter stood at Rs 2,040 crore.
“Our launched inventory continues to witness healthy traction from customers,” it said.
DLF said it remain optimistic about the demand for housing as the cycle continues to remain positive.
“We are gearing up for bringing new products into the markets during the fiscal. We believe that macro tail winds along with the strong demand outlook augur well for our business,” the company said.
Further, DLF said it will continue to focus on strengthening balance sheet and cash generation.
“Strong collections led to a further reduction in net debt during the quarter. Consequently, our net debt now stands reduced to the lowest ever at Rs 57 crore,” the statement said.
The office portfolio maintained its stability while the retail business continues to follow an upward growth trajectory.
The consolidated revenue of DLF’s rental arm DLF Cyber City Developers Ltd (DCCDL) stood at Rs 1,412 crore, reflecting a year-on-year growth of 12 per cent. The consolidated profit for the quarter stood at Rs 391 crore, a y-o-y increase of 21 per cent.
“We are experiencing strong demand for our new office developments. We have achieved pre-leasing of approximately 82 per cent across our two new office complexes – DLF Downtown in Gurugram and Chennai.
“We remain enthused about the growth prospects of our retail business and remain committed towards expanding our retail offerings in multiple markets,” the company said.
With a strong pipeline of new launches planned for this fiscal and a strong rental portfolio, DLF said it remains confident of delivering consistent and profitable growth across its businesses.
DLF is India’s largest realty firm in terms of market capitalisation. It has developed more than 150 real estate projects and developed an area in excess of 330 million square feet.
It 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 group has an annuity portfolio of over 40 million square feet. The company has 215 square feet of development potential across residential and commercial segments.