Oberoi Realty (OBEROIRLTY) Q4 14/15 earnings summary

Executive summary

• FY2015 consolidated revenue rose 9.89% YoY to ₹94,015.80 lakh; PBT increased 5.35% to ₹48,922.34 lakh and PAT grew 1.95% to ₹31,711.98 lakh.

• Strong residential bookings and higher project revenue supported growth, while operating cash flow was negative ₹97,122.95 lakh as inventory and project investment expanded.

Financial highlights

• Consolidated revenue from operations rose 15.56% to ₹92,266.75 lakh; other income fell 69.35% to ₹1,749.05 lakh.

• EBITDA was ₹53,127.88 lakh vs. ₹49,183.81 lakh; depreciation and amortisation rose 48.42% to ₹4,029.30 lakh, and interest and finance charges were ₹176.24 lakh.

• Consolidated EPS was ₹9.66 vs. ₹9.48; standalone revenue was ₹76,105.55 lakh, up 7.82%, and standalone PAT was ₹30,476.99 lakh, up 3.27%.

• Consolidated cash and bank balances ended at ₹29,368.49 lakh vs. ₹49,974.07 lakh; net cash from operations was an outflow of ₹97,122.95 lakh.

Outlook and guidance

• FY2016 was expected to mark the start of Indian economic growth; economists forecast GDP growth of 7.0–8.0%, while outlook depended on REIT rules, the proposed Real Estate Bill and Mumbai’s Development Plan.

• Priorities included high-quality execution, opportunities around Mumbai and in NCR and Bangalore, and strengthening architect, designer, contractor and vendor relationships.

• Funding options may include debt, equity or a mix, depending on opportunities; future land acquisitions are to align with development strategy and financial prudence.