Godrej Properties expects its gross sales bookings in the course of the ongoing fiscal to be at an all-time excessive, beating the earlier 12 months’s report Rs 5,915 crore regardless of the COVID-19 pandemic, as housing demand is consolidating in direction of trusted builders, a prime firm official stated.
In an interview with PTI, Godrej Properties Govt Chairman Pirojsha Godrej stated gross sales bookings throughout June quarter grew 71 per cent to Rs 1,531 crore, surpassing even his expectations.
He stated the corporate’s focus could be so as to add new initiatives for developments and acquire market share in 4 key markets — Delhi-NCR (Nationwide Capital Area), Mumbai Metropolitan Area (MMR), Bengaluru and Pune.
“This 12 months hopefully needs to be our greatest 12 months in gross sales bookings perspective,” he stated.
Throughout 2019-20 fiscal 12 months, Godrej Properties achieved gross sales bookings of Rs 5,915 crore, highest amongst listed realty companies.
The robust gross sales bookings within the first quarter alerts that housing demand is consolidating in direction of trusted builders with wholesome stability sheets, he stated.
Pirojsha stated the enticing cost plan (10:90) supplied by the corporate performed an vital position in sturdy gross sales bookings in the course of the June quarter, and in reality contributed round 80 per cent to the general gross sales.
The corporate achieved a median 11 per cent value improve underneath this scheme, which was launched for less than underneath development initiatives, he stated, including that there was no affect on margins.
Pirojsha stated the scheme won’t be supplied for brand spanking new initiatives the corporate will launch.
He stated the corporate launched just one mission in the course of the first quarter due to the nationwide lockdown, imposed to manage the unfold of coronavirus illness.
Nevertheless, launches would decide up tempo within the second half of this fiscal.
Godrej Properties targets to launch 15 million sq ft space in phases in current initiatives and new initiatives.
Pirojsha stated monetary numbers would stay poor this 12 months attributable to antagonistic affect on development actions in the course of the pandemic, which is able to have an effect on income recognition course of.
Godrej Properties raised Rs 1,000 crore in July via allotment of unsecured, redeemable, non-convertible debentures on a personal placement foundation for a time period of three years at 7.5 per cent rate of interest.
“Our debt numbers will proceed to rise this 12 months. We’ve lot of plans to spend money on new initiatives,” he stated.
Pirojsha stated the corporate is in talks to accumulate new land parcels, both in three way partnership or outright buy, for future developments.
“We’ve large alternatives to drive consolidation course of even sooner and acquire market share,” he stated.
Godrej Properties, the actual property arm of Godrej Group, reported a consolidated web lack of Rs 20.23 crore within the first quarter of this fiscal 12 months as towards a web revenue of almost Rs 90 crore within the year-ago interval.
Complete earnings declined to Rs 195.66 crore within the first quarter of the fiscal from Rs 713.84 crore within the corresponding interval of the earlier 12 months.
Over the past fiscal 12 months, its web revenue stood at Rs 267.21 crore on a complete earnings of Rs 2,914.59 crore.