Godrej Properties extends rally on robust Q4 results; stock hits new high

The stock hit a new high of Rs 917, up 8%, extending its past two days 8% surged after the company reported an over two-fold jump in its consolidated net profit at Rs 1.41 billion in Q4FY18.

Godrej Properties hit a new high of Rs 917, up 8%, extending past two days' gain of 8% on the BSE, after the realty firm on Friday reported an over two-fold jump in its consolidated net profit at Rs 1.41 billion for the quarter ended March 2018 (Q4FY18) on higher sales. Its net profit stood at Rs 626 million in the year-ago period.

Total income also rose sharply by 84% to Rs 8.48 billion from in the fourth quarter of the last financial year from Rs 4.62 billion in the corresponding period of the previous year.

EBITDA (earnings before interest, tax, depreciation and amortization) margin improved 300 bps to 26% in Q4FY18 from 23.15% in Q4FY17.

Meanwhile, Godrej Properties will raise Rs 10 billion through preferential issue of shares to Singapore-based GIC-managed investment Company.

“The Company has entered into the investment agreement for the purposes of issuing and allotting 12.76 million equity shares to the investor at a price of Rs 783.50 per share aggregating to Rs 10 billion,” Godrej Properties said in a regulatory filing.

At 10:37 am; the stock was trading 5% higher at Rs 896 on the BSE, as compared to 0.30% rise in the S&P BSE Sensex. The trading volumes on the counter more than doubled with a combined 707,635 equity shares changed hands on the BSE and NSE.