NEW DELHI, Feb 8: Godrej Properties Ltd has achieved a significant reduction in its net debt, which has decreased by 49 percent to Rs 3,848 crore for the quarter ending December, primarily due to strong internal cash flow and successful equity fundraising efforts.
As of September 30, 2024, the company’s net debt was recorded at Rs 7,572 crore, as stated in their latest investor presentation.
Pirojsha Godrej, Executive Chairperson of Godrej Properties, remarked, “In the third quarter, we raised Rs 6,000 crore through the Qualified Institutional Placement (QIP) method to enhance our growth capital.”
He further noted that the company’s net debt-to-equity ratio has improved to 0.23.
Pirojsha indicated that these funds would be directed towards land acquisitions in major cities to foster business expansion.
According to the presentation, collections from customers for pre-sales climbed 27 percent to Rs 3,069 crore in the third quarter of the 2024-25 fiscal, bolstering the company’s internal cash flow.
As one of the premier real estate developers in India, Godrej Properties maintains a prominent presence in the Mumbai Metropolitan Region (MMR), Pune, Delhi-NCR, and Bengaluru.
The company emerged as the largest publicly listed real estate developer in terms of sales bookings for the calendar year 2024, achieving property sales worth Rs 28,800 crore. Last week, Godrej Properties reported an impressive over 2.5-fold increase in its consolidated net profit, reaching Rs 162.64 crore for the December quarter, fueled by higher income due to robust housing demand.
For the same quarter a year earlier, the net profit was Rs 62.27 crore.
Total income also saw a significant increase, more than doubling to Rs 1,239.97 crore from Rs 548.31 crore in the corresponding period last year.
For the first nine months of the 2024-25 fiscal, net profit rose to Rs 1,017.90 crore, up from Rs 254.01 crore in the prior year.
Total income for this period reached Rs 4,285.99 crore compared to Rs 2,419.40 crore in the same timeframe last year. (PTI)
