During the quarter, revenue from the real estate business stood at Rs 222.9 crore (down 73.6% YoY) while the revenues from the contractual and manufacturing business were at Rs 141.7 crore (down 60.7% YoY) in the June quarter. Profit before tax in Q1 FY21 stood at Rs 5.4 crore, down by 96.2% from Rs 142.4 crore in Q1 FY20. Current tax expense increased 2.7% on a year-on-year (YoY) basis to Rs 11.3 crore in Q1 June 2020. Sobha has achieved total sales volume of 0.65 million square feet valued at Rs 488 crore during Q1 FY21. Total average price realisation showed upward trend compared with Q1 FY20, amid good sales traction for luxury and super luxury projects across cities. The level of inquiries from customers are now almost back to pre-COVID levels. The company said it achieved total cash inflow of Rs 547 crore during the quarter despite various operational challenges. During the quarter, the firm has generated net operational cash flow of Rs 93 crore and it continues to focus on efficient cash flow management. The company's average borrowing cost also came down during the quarter and stands at 9.64% as of 30 June 2020. Sobha said it continue to enjoy sufficient liquidity from banks/financial institutions at a much lower cost than industry average. Speaking on the occasion, J.C. Sharma, vice chairman and managing director, Sobha, said, As we start FY-21 in the middle of an unprecedented pandemic, we are pleased to inform that we have posted a better than industry average sales performance. This was backed by increased use of digital platforms and technology in our sales and marketing efforts, along with already existing self reliant model of construction operations. Company was also able to use various augmented reality and virtual reality tools to enhance customer experience. With more and more companies opting for work from home, inherent demand for better quality homes, low interest rates and other benefits extended by government, demand is likely to sustain in the coming quarters and organized players are expected to perform better. Sobha is a real estate player primarily focused on residential and contractual projects. The company currently has ongoing real estate projects aggregating to 38.52 million square feet of developable area and 26.81 million square feet of saleable area, and ongoing contractual projects aggregating to 9.48 million square feet under various stages of construction. As on 30 June 2020, the company has delivered about 109.74 million square feet of developable area. The company has a real estate presence in 10 cities, viz. Bengaluru, Gurugram, Chennai, Pune, Coimbatore, Thrissur, Kozhikode, Kochi, Gujarat (Gift City) and Mysore. Overall, Sobha has footprint in 27 cities in 14 states across India. The scrip shed 0.07% to Rs 221.40 on Friday. It traded in the range of 219.55 and 226.50 during the day. Powered by Capital Market - Live News |