DLF announces Financial Results for Q4 & FY21
Demand in the residential business exhibited a strong comeback in the fiscal. New Sales bookings for the fiscal stood at Rs 3,084 crore, reflecting a Y-o-Y growth of 24%. DLF’s new product launches of Independent Floors in DLF City and New Gurgaon witnessed healthy absorption vindicating demand for quality products in established locations. We clocked new products sales booking of Rs 908 crore during the second half of the fiscal. Optimized cost structures and efficient working capital management coupled with a steady ramp-up in collections led to positive cash flows in all quarters. Consequently, its Net Debt stood at Rs 4,885 crore, a reduction of Rs 382 crore. The company is enthused with the recovery witnessed in the residential markets and expect this growth cycle to continue in the long run. Given the strong outlook for the residential segment, we continue to embark on this upcycle by scaling our new products offering across segments and geographies. The rental business continued its sustained performance. Office rentals grew by 10% during the fiscal. Retail business exhibited steady recovery during the second half of the fiscal. With consolidated Revenue of Rs 4,385 crore as compared to Rs 5,085 crore last year, the performance was muted due to the impact on retail business. EBITDA stood at Rs 3,417 crore as compared to Rs 3,722 crore last year. Net Profit at Rs 913 crore as compared to Rs 1,317 crore, primarily due to lower retail revenue and lower interest income. The development of Downtown at Gurugram and Chennai and the data center at Noida remains on track. The retail business witnessed a steady recovery, with the luxury segment leading it. Healthy footfalls and higher spend per footfall were evident in the second half. The rental business is witnessing some short-term impact with new leasing activity remaining tepid due to the resurgence of the pandemic. We, however, believe it is a temporary blip, and the underlying attractiveness of the Indian market is expected to remain in place. The IT sector, including captives, continued to exhibit growth and hiring activity is expected to rise; hence, we continue to maintain a positive outlook for the rental business.
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