Mahindra Lifespace Q4 profit down 35% at Rs 31 cr; record FY'19 sales bookings at Rs 1,023 cr

Realty firm Mahindra Lifespace Developers Ltd Monday reported 35 per cent decline in its consolidated net profit at Rs 31.27 crore for the quarter ended March, although it achieved record sales bookings of Rs 1,023 crore during the last fiscal.

The company had posted a net profit of Rs 47.75 crore in the year-ago period, Mahindra Lifespace said in a regulatory filing.

Total income rose to Rs 246.9 crore in the fourth quarter of last fiscal from Rs 180.6 crore in the corresponding period of the previous year.

During 2018-19, the net profit rose to Rs 120 crore as against Rs 101 crore in the previous financial year. Total income rose to Rs 654 crore from Rs 644 crore during the period under the review.

"We have crossed the Rs 1,000 crore mark in residential sales bookings for the first time. The previous high was around Rs 800 crore," the company's MD and CEO Sangeeta Prasad told PTI.

The Mumbai-based developer also achieved record sales collection from customers at Rs 960 crore, she said.

"With new accounting standard coming into effect, parameters like sales bookings, collections, project completion and acquisition of new projects have become more important to judge a company's performance," Prasad said.

The company's board of directors recommended a dividend of Rs 6 per share (i.e. 60 per cent) for the financial year ended March 31, 2019.

Mahindra Lifespace achieved sales of Rs 1,023 crore in residential business in 2018-19, a growth of 67 per cent. Land leasing in integrated cities and industrial clusters generated annuity income of Rs 243 crore, a growth of 69 per cent over 2017-18.

The company executed definitive agreements to acquire three land parcels having a development potential of around 2.25 million sq ft, launched 1.55 million sq ft of saleable area across various projects and completed 1.84 million sq ft of development area across various projects.

"It is evident that home buyers prefer brands that they trust for development and delivery. It has been vindicated from our overall sales performance in 2018-19. We look forward to continue the performance momentum with impactful launches, both in residential as well as industrial parts of our business; coupled with effective land buying," Prasad said.