Shriram Properties posts modest 5% growth in net profit, touches ₹17.5 crore in Q1 FY25


Bengaluru-headquartered real estate developer Shriram Properties on August 14 posted a modest 5% growth in its net profit for the April-June quarter of the financial year 2024-25 at 17.5 crore. The company’s net profit stood at 16.6 crore in the year-ago period, the regulatory filing showed.

Shriram Properties posts 5% growth in net profit to 17.5 crore in Q1 FY25 (Representational photo)(HT Photo)

Total income during the quarter ended June 30, grew 34% annually to 210.9 crore, from 157.2 crore in the same period last year, according to the regulatory filing.

Shriram Properties reported sales volumes of 7 lakh square feet and sales value of 376 crore for the three-month period.

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“Industry demand remained a bit soft, amidst slowdown in customer decision making ahead of election outcomes, water scarcity in Bengaluru and unseasonal rains in Chennai during the quarter,” the company statement noted, adding that the brand’s decision to defer its launch in Pune to Q2 FY25, in view of prolonged approval processes, also impacted volumes.

Additionally, Shriram Properties has appointed Ravindra Kumar Pandey as the Chief Financial Officer and elevated Rajesh Yashwant Shirwatkar as the Deputy Chief Financial Officer.

Elaborating on plans for the rest of FY25, the company said that it has 4 launches lined up for the ongoing quarter and over 6 projects for the back half of the year.

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According to the company statement, gross collections stood at 321 crore during the first quarter of the ongoing fiscal, up 10% year-on-year. Shriram Properties handed over more than 500 units during the three-month period.

Net debt was a shade higher at 482 crore in Q1 and debt-equity ratio stood at 0.37:1, the company statement said.

“Our strong market presence and success of our strategic initiatives give us confidence in maintaining growth and delivering on promises in the years to come. Our solid project pipeline, a strong execution platform, and our unwavering focus on costs and quality will contribute towards profitable growth even in the future,” said Murali M, CMD, Shriram Properties.

New launches

The company statement noted that Shriram properties has acquired development rights tied to a land parcel near Yelahanka in North Bengaluru alongside another near Electronic City, with an aggregate development potential of approximately 0.8 million square feet and gross development value of around 500-600 crore. The company is proposing to launch a new residential development in the North Bengaluru land parcel during Q2FY25, it added.

Also Read: Why are real estate developers making a beeline for Mumbai and Bengaluru markets?

Shriram Properties Ltd is primarily focused on the mid-market and affordable housing categories. The company’s key markets include Bengaluru, Chennai and Kolkata, which together account for nearly 85% of its development activities.

Shriram Properties has delivered 44 projects with a saleable area of 24.4 million sq ft and has a development pipeline comprising 42 projects with an aggregate development potential of 42.1 million sq ft, as of June 30, 2024.



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