Lodha Developers (LODHA) Q4 20/21 earnings summary

Executive summary

• FY21 was sharply split: lockdowns disrupted H1, while demand rebounded in H2; annual pre-sales were ₹5,968 crore and consolidated revenue was ₹5,772 crore.

• More than 5,000 homes were sold and over 4,000 handed over during FY21; residential, industrial and logistics operations span MMR and Pune.

• The IPO raised ₹2,500 crore through a fresh issue; shares began trading on BSE and NSE on April 19, 2021.

Financial highlights

• Consolidated revenue from operations was ₹5,448.57 crore vs ₹12,442.59 crore; total income was ₹5,771.65 crore vs ₹12,560.98 crore.

• Consolidated net profit was ₹47.89 crore vs ₹741.53 crore; EPS was ₹1.01 vs ₹18.38.

• Consolidated EBITDA was ₹1,372 crore; India operations adjusted EBITDA was ₹1,711 crore, with adjusted EBITDA margin of 31.4% vs 30.3% on the comparable FY20 basis.

• Pre-sales were ₹5,968 crore vs ₹6,570 crore; gross collections were ₹5,052 crore vs ₹8,190 crore. Q4 FY21 pre-sales reached ₹2,513 crore.

• Adjusted for the ₹460 crore standalone provision for UK subsidiary loans, the net profitability impact was ₹299.26 crore after a ₹160.74 crore deferred tax asset.

Outlook and guidance

• Medium-term target: scale deliveries to 50,000 homes annually, with affordable and mid-income housing as a growing focus.

• Plans include selective, capital-light JDAs in MMR and Pune and further expansion into Tier 1 cities over the medium to long term.

• Management intends to move toward zero net debt by FY24 and grow industrial and logistics parks with partners, monetizing land holdings.

• Long-term ambition is to become five times larger over 10 years; carbon-neutral operations are targeted by 2035.