Shriram Properties on February 14, 2023, announced its financial results for the third quarter ended December 31, 2022. In Q3 FY23, it recorded sales volumes of 1.04 msf and sales value of Rs 605 crore. On a YTD basis, the company’s sales volumes stood at 2.71 msf, up 5% YoY, while sales value increased by 35% YoY at Rs.1,352 crore. The company has reported net profits of Rs 22.4 crore in Q3 FY23, up 69% YoY and 14% QoQ.
Total revenues for the quarter stood at Rs 222 crore, showing an increase of 71% YoY. The revenue from operations grew 60% YoY to Rs.175.8 crore in Q3 FY23. EBITDA margins improved to 22.9%, compared to 18.6% in Q2 FY23. The interest expense during the quarter reduced to Rs.14.5 crore, down 42% YoY and 25% QoQ. The company’s gross debt stood at Rs 504.5 crore, net debt at Rs 427.6 crore, and debt-equity ratio at 0.36x in December 2022.
For the nine months period (9M FY23), the net earnings of Shriram Properties have grown 2.9x from full year FY22. Net profit for the period stood at Rs. 52.4 crore in 9M FY23, against Rs 18 crores for the full year in FY22. The revenue from operations have gone up 2.44x, on YoY basis, to Rs 556.6 crore in 9M FY23, while the total revenue has also gone up 2.29x to Rs 643.0 crore. The company’s aggregate collections were at Rs 887 crore in 9M FY23 and it has handed over 1,200+ units and ~400 plots to customers during this period.
The share of plotted development stood at more than 10% in 9M FY23, as against 25% in 9M FY22. Average realisation for constructed units was increased to Rs 4,957 per sqft in 9M FY23 from Rs 4,542 per sqft in 9M FY22. During the first nine months of FY23, plotted development realisation stood at Rs 3,065 per sqft. as against Rs 2,250 per sqft during this period in the previous year. EBITDA is higher by 59% YoY to Rs 137.6 crore in 9M FY23. Overall finance costs reduced by 20% YoY, while interest expenses were down 32% YoY in 9MFY23. Also, the overall cost of debt is down to 12.5%.
M Murali, CMD, Shriram Properties, said, “We are encouraged by the continuing strong operating and financial performance notwithstanding deferred launches in certain key projects that too have taken-off well in recent weeks. The operating platform remains robust and resilient and is fully geared to optimise volumes in the seasonally peak quarter for us. We expect to see significant momentum in Q4FY23 and on track to deliver full year targets.”
