Kolte-Patil Developers rallies 12% on highest-ever quarterly sales in Q3

The management said that this growth was achieved on the back of firm realisations and highest-ever quarterly sales volumes, which improved 102 per cent QoQ and 31 per cent YoY

Housing market, Homes, Real estate, Realty
SI Reporter Mumbai
2 min read Last Updated : Jan 13 2023 | 2:00 PM IST
Shares of Kolte-Patil Developers (KPDL) rallied 12 per cent to Rs 294 in Friday’s intra-day trade, after the company posted highest ever quarterly sales of Rs 716 crore, up 28 per cent year-on-year (YoY) in the December quarter (Q3FY23). The company also posted highest ever quarterly sales volumes of 1.13 million square feet, up 31 per cent YoY, during the quarter.

The management said that this growth was achieved on the back of firm realisations and highest-ever quarterly sales volumes, which improved 102 per cent QoQ and 31 per cent YoY.

KPDL is a leading Pune based real estate player with growing presence in Mumbai and Bengaluru. The company launched around 2 million square feet of inventory across 6 projects in Pune and Mumbai. The new launches contributed around 57 per cent to the pre-sales value for the quarter.

KPDL entered an agreement with Marubeni Corporation (Japan) during the quarter. Marubeni will invest Rs 206.5 crore in the company’s Pimple Nilakh residential project and will be entitled to around 2.85 lakh sq. ft. of saleable area in the project.

"The housing demand has been resilient across key markets, backed by improved affordability parameters from the longer-term perspective and persistence of flexible, hybrid work formats. With increased consolidation and formalization of the sector, buyers and land owners are turning to quality developers and KPDL is well positioned to capitalize on the opportunities with focus on delivering value across the entire ecosystem of stakeholders," the management said.

Analysts at CRISIL Ratings believe that the KPDL group will continue to benefit over the medium term from its strong brand and established position. The financial risk profile will be comfortable, driven by low reliance on external debt.

"The group has a strong brand in Pune’s real estate market and an established track record, supported by the promoters’ experience of around three decades. Sales will be healthy over the medium term because of steady demand, mainly in the affordable and middle-income projects. The business risk profile is supported by healthy collection, backed by track record of execution and delivery. Slowdown in sales velocity and collections due to macroeconomic factors may constrain cash flow, and hence, will be a key monitorable," the ratings agency added.
 


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Topics :Buzzing stocksKolte-Patil DeveloperReal estate stocksQ3 resultsstocks to watch

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