Sobha Developers Q1 net profit up 14 pc to Rs 57 cr

Bangalore-based Sobha Developers today reported a 14 per cent increase in consolidated net profit for the quarter ended June 30 at Rs 57 crore.
The company had reported a net profit of Rs 50.1 crore in the corresponding quarter last fiscal.
Its total revenues for the April-June quarter increased 25.83 per cent to Rs 582.6 crore from Rs 463 crore in the year-ago period.
"The sales in the first quarter have been subdued primarily due to the weak market sentiment in the real estate sector which has also impacted price realisations," company's Vice Chairman and Managing Director JC Sharma said in the analyst call.

The company's total expenditure during the quarter increased to Rs 339.1 crore against Rs 327.4 crore a year ago.
During the first quarter, the company recorded new sales of 7.54 lakh square feet valued at Rs 482.2 crore with an average realisation of Rs 6,388 per sqft.

The company also collected Rs 593 crore of operational cash flows and net operational cash flow of Rs 73.9 crore.
"We have unrecognised revenues to the tune of Rs 2,494 crore of sold units. Out of this, we expect around Rs 893 crore to be realised this fiscal," he said.
The company has a healthy pipeline of about 10 million square feet of new project launches planned in the next few quarters in its existing markets.

"This month, we launched two new projects- Sobha Arena in Bangalore of 1.01 million sqft and Sobha Lake Edge with an area of 2.4 lakh sqft in Thrissur," he said.