Godrej Properties (GODREJPROP) Q4 13/14 earnings summary

Executive summary

• FY14 consolidated total income rose 20% to ₹1,254.2 crore, EBITDA rose 21% to ₹357.6 crore and net profit rose 15% to ₹159.4 crore amid a difficult market.

• Registered booking value reached ₹2,438 crore; Q4 bookings of ₹1,066 crore marked the highest quarterly sales and exceeded ₹1,000 crore for the first time.

• Eight project additions totaling 13.42 million sq. ft. lifted the development portfolio above 100 million sq. ft.

Financial highlights

• Consolidated revenue from operations was ₹1,179.2 crore versus ₹1,037.1 crore in FY13; total revenue was ₹1,254.2 crore versus ₹1,047.6 crore.

• Consolidated profit after minority interest increased to ₹159.4 crore from ₹138.4 crore; basic and diluted EPS were ₹8.62 versus ₹8.21.

• Standalone total income rose to ₹766.6 crore from ₹489.5 crore; standalone profit after tax declined to ₹97.7 crore from ₹122.7 crore, with EPS of ₹5.28 versus ₹7.28.

Outlook and guidance

• FY15 business development focus: Mumbai, NCR, Bengaluru, Chennai and Pune, with capital-efficient structures and a continued emphasis on timely launches and execution.

• Management expected the real estate sector to remain under pressure in FY15, while anticipating improved economic sentiment and a better operating environment over the following years.

• Strategy includes joint development, development-manager and residential co-investment models; operational priorities include optimizing return on capital and strengthening risk management.