DLF retains FY25 sales bookings target at 17000 crore; receivables from customers at 21000 crore

DLF MD Ashok Tyagi asserts that withdrawal of indexation benefit for calculating LTCG tax on property sales would not have “much bearing” on consumer demand.

New Delhi, Jul 26 (PTI) Realty major DLF has maintained sales bookings guidance of 17,000 crore with likely upside for this fiscal and said it has receivables of around 21,000 crore from customers compared to residual construction expenses of about 11,000 crore on ongoing projects.

In a conference with analysts, DLF Managing Director Ashok Tyagi also asserted that the withdrawal of indexation benefit for calculating long term capital gain (LTCG) tax on property sales would not have “much bearing” on consumer demand.

When asked whether the company would revise its sales bookings guidance upwards, Tyagi said the company would stick to its target with possible upside and might issue fresh guidance after the second quarter when there would be clear visibility of launches of projects.

DLF’s sales bookings jumped over three-fold to 6,404 crore during the first quarter of this fiscal on strong demand for its luxury housing properties. The company had sold properties worth 2,040 crore in the year-ago period.

In May, DLF had given guidance to achieve 17,000 crore worth of sales bookings for the entire 2024-25 financial year as against nearly 15,000 crore in the preceding year.

Asked about the launch pipeline, Tyagi said the company would launch luxury villas in Goa this quarter, a super-luxury project, similar to ‘The Camelias’, in Gurugram during the next quarter. It also expects to launch a project in Mumbai by December and another project in Gurugram during the last quarter of 2024-25.

As per the investor presentation, DLF plans to launch projects worth 42,000 crore during this fiscal.

On capital expenditure plan, Tyagi said the company has a receivables of around 21,000 crore from customers against sales, while the pending construction cost on existing projects is around 11,000 crore. A huge fund is also lying in RERA’s escrow account.

According to its latest investor presentation, the company’s sales bookings in the April-June quarter were driven by its luxury project ‘DLF Privana West’ at Sector 76/77, Gurugram that saw sales of 5,600 crore.

In its super-luxury housing project ‘The Camellias’ at DLF 5, Gurugram, the company sold 4 units for 251 crore.On Thursday, DLF reported a 23 per cent increase in its consolidated profit to 645.61 crore in the first quarter of this fiscal.

Its net profit stood at 527 crore in the year-ago period.Total income rose to 1,729.82 crore during the April-June period of this fiscal from 1,521.71 crore in the corresponding period of the previous year.

In a statement on Thursday, DLF said, “We believe that the residential segment is witnessing a structural upcycle and hence we continue to strengthen our new product pipeline.”

“We stay committed towards leveraging this positive momentum and have planned a strong launch pipeline of an additional 9 million square feet of new products during the fiscal, across various segments and geographies, including Gurugram, Mumbai, Goa and Chandigarh Tri-city,” the company added.

The company said it continues to witness healthy sales momentum and strong growth in collections leading to further improvement in its net cash position.DLF is India’s leading real estate developer and has more than seven decades of track record.

It has developed more than 178 real estate projects and an area in excess of 349 million square feet.

DLF Group has 220 million square feet of development potential across residential and commercial segments.The group has an annuity portfolio (office and retail real estate spaces) of over 44 million square feet.DLF is primarily engaged in the business of developing and selling residential properties (Development Business) and developing and leasing commercial and retail properties (Annuity Business).