Latest news with #SobhaLtd
Economic Times
4 days ago
- Business
- Economic Times
Sobha Q4 Results: Profit jumps nearly 6-fold to Rs 41 crore
Realty firm Sobha Ltd on Thursday reported a nearly six times jump in its consolidated net profit to Rs 40.85 crore in the March quarter on higher revenue. ADVERTISEMENT Its net profit stood at Rs 7.02 crore in the year-ago period. Total income rose to Rs 1,270.73 crore in the fourth quarter of the last fiscal from Rs 791.25 crore in the corresponding period of the preceding year, according to a regulatory filing. During 2024-25 fiscal, Bengaluru-based Sobha Ltd net profit surged to Rs 94.68 crore from Rs 49.11 crore in the preceding year. Total income increased to Rs 4,162.75 crore last fiscal from Rs 3,217.88 crore in the 2023-24 fiscal. Jagadish Nangineni, Managing Director of Sobha, said, "The fourth quarter of 2024-25 reflected steady and encouraging progress for Sobha, supported by strong sales, successful project launches, solid revenue growth, and healthy cash inflows." ADVERTISEMENT The Rights Issue has further strengthened the company's financial position, enabling it to stay focused on execution and expansion, he added. "With the real estate sector continuing to perform well, we see strong potential in the year ahead. The current financial year looks promising, with a robust pipeline of project launches and our planned entry into new cities," Nangineni said. Founded in 1995, Sobha has delivered over 143.65 million square feet of developable area across 27 Indian cities. (You can now subscribe to our ETMarkets WhatsApp channel)
Time of India
4 days ago
- Business
- Time of India
Sobha Q4 Results: Profit jumps nearly 6-fold to Rs 41 crore
Realty firm Sobha Ltd on Thursday reported a nearly six times jump in its consolidated net profit to Rs 40.85 crore in the March quarter on higher revenue . Its net profit stood at Rs 7.02 crore in the year-ago period. Total income rose to Rs 1,270.73 crore in the fourth quarter of the last fiscal from Rs 791.25 crore in the corresponding period of the preceding year, according to a regulatory filing. During 2024-25 fiscal, Bengaluru-based Sobha Ltd net profit surged to Rs 94.68 crore from Rs 49.11 crore in the preceding year. Total income increased to Rs 4,162.75 crore last fiscal from Rs 3,217.88 crore in the 2023-24 fiscal. Live Events Jagadish Nangineni, Managing Director of Sobha, said, "The fourth quarter of 2024-25 reflected steady and encouraging progress for Sobha, supported by strong sales, successful project launches, solid revenue growth, and healthy cash inflows." The Rights Issue has further strengthened the company's financial position, enabling it to stay focused on execution and expansion, he added. "With the real estate sector continuing to perform well, we see strong potential in the year ahead. The current financial year looks promising, with a robust pipeline of project launches and our planned entry into new cities," Nangineni said. Founded in 1995, Sobha has delivered over 143.65 million square feet of developable area across 27 Indian cities. ETMarkets WhatsApp channel )
Yahoo
08-02-2025
- Business
- Yahoo
Sobha Ltd (BOM:532784) Q3 2025 Earnings Call Highlights: Strong Sales Growth Amid Project Delays
Release Date: February 07, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Sobha Ltd (BOM:532784) reported a significant increase in total real estate sales value, with Bangalore contributing 72.1% of the total sales. The company launched a new project, Ayana in Bangalore, adding 1.13 million square feet to its salable area. Sobha Ltd has a strong residential pipeline of 21 million square feet across 19 projects and 10 cities. The company plans to expand its operations to Greater Noida, Kour, and Mumbai, increasing its presence to 15 cities. The real estate revenue yet to be recognized from already sold units stands at about 15,000 crores, with a profit before tax margin of about 28% at the project level. The company faced delays in launching some projects, impacting its ability to meet pre-sales targets. Reported margins for the quarter were lower than expected due to one-time losses in contractual projects. There was a slower pace of sales in projects with higher ticket sizes, affecting overall sales velocity. Interest costs have not decreased significantly despite an increase in cash balances. The company has faced challenges in maintaining sales velocity in certain regions, particularly in projects with larger ticket sizes. Warning! GuruFocus has detected 5 Warning Signs with BOM:532784. Q: Given the pre-sales target of 8,500 crores, is it still reasonable to expect meeting this guidance by March, considering the current run rate and pending launches? A: (Managing Director) We did about 4,444 crores in the first 9 months, and while our guidance was higher, delays in certain projects have impacted this. We aim to reach last year's sales value, and if additional projects launch as planned, we might exceed that. Q: Why are the reported margins lower this quarter despite better revenue recognition, and when can we expect a turnaround? A: (CFO) The lower margins are due to one-time losses from contractual projects and increased costs in some real estate projects. We expect margins to improve as these issues are resolved and as we recognize more revenue from real estate projects. Q: Can you explain the impact of higher realization per square foot on project margins and sales velocity? A: (Managing Director) The increase in realization is due to market price rises and changes in inventory mix. While higher ticket sizes have slowed sales in some projects, new launches and inventory adjustments should improve sales velocity. Q: What is the realistic PBT margin at the project level after accounting for corporate overheads? A: (CFO) After accounting for overheads, the realistic PBT margin at the project level should be in the range of 15% to 18%. Q: How much of the 9 million square feet launched this year has contributed to sales, and what is the plan for future launches? A: (Managing Director) We launched 4.6 million square feet this year, with about 50% of larger projects opened for sale. We plan to launch more phases based on sales velocity and aim to meet our target of 9 million square feet. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
