Godrej Properties plans to launch projects worth more than ₹32,000 crore in the second half of FY27, even as its consolidated net profit for the September quarter fell 62 per cent year-on-year to ₹154 crore, the company’s management said during its earnings call.
Managing Director and Chief Executive Officer Gaurav Pandey said the company had a cumulative launch pipeline of over ₹32,000 crore for the second half of the financial year. He said the company was confident that both the third and fourth quarters would be strong for launches and sales.
Godrej Properties recorded total income of ₹2,575 crore in the September quarter, up 38 per cent from ₹1,867 crore in the corresponding period last year. However, earnings before interest, tax, depreciation and amortisation fell 72 per cent to ₹171 crore from ₹614 crore.
The developer reported sales worth ₹8,000 crore during the quarter. Its booking value for the six months ended September rose 7 per cent year-on-year to ₹16,659 crore, which the company described as its highest-ever first-half booking value.
The company said operating indicators remained strong despite the decline in reported profit. Sustenance sales rose 83 per cent year-on-year to ₹5,054 crore, while cash collections increased 31 per cent to ₹5,318 crore during the quarter. Collections for the first half of FY27 rose 25 per cent to ₹9,666 crore.
Projects that supported quarterly sustenance sales included Godrej Trilogy in Mumbai, Godrej Vanantara in Bengaluru and Godrej Samaris in Gurugram. Each contributed more than ₹500 crore in sales, according to the company. Godrej Brooklyn Avenue in Hyderabad, launched towards the end of the first quarter, also contributed more than ₹500 crore in bookings.
Godrej Properties said it had launched only one-third of its expected annual launch pipeline during the first half of FY27 but had achieved 43 per cent of its annual bookings guidance. The company expects the second half of the financial year to be its strongest period for both launches and sales.
Land acquisition will remain subject to internal return thresholds. Chairperson Pirojsha Godrej said the company would pursue business development only when projects met return metrics including an internal rate of return of about 20 per cent and a bookings-to-net-profit margin of 15 per cent.
The company’s operating cash flow rose 33 per cent year-on-year and 297 per cent quarter-on-quarter to ₹1,584 crore in the second quarter. Godrej Properties expects collections of ₹15,000 crore and operating cash flow of ₹7,000 crore in the second half of FY27.
Pirojsha Godrej said FY28 would be important for the company as the impact of its recent growth becomes visible in reported financials under project completion accounting. The company expects to generate positive free cash flow and a reported return on equity of 20 per cent in FY28.
