Godrej Properties shares increases by 8%

12 Apr 2023 CW Team

The stock has recovered 21% from its 52-week low of Rs 10.50 billion, which was reached on March 29, 2023. During FY23, Godrej Properties underperformed the market, falling 38% versus a 3.4% growth in the S&P BSE Sensex.

In an exchange statement, Godrej Properties stated that its sales volumes for the quarter increased by 19% in area terms from 4.42 million sq. ft. to 5.25 million sq. ft. In terms of area, sales volumes increased by 40% in FY23, from 10.84 million square feet to 15.21 million square feet.

In FY23, the company added 18 new projects with a total estimated saleable area of over 29 million square feet and a total anticipated booking value of around Rs 32,0 billion (i.e. more than double the BD guidance of Rs 150 billion of estimated booking value for FY23). This comprised 5 new projects with a projected booking value of Rs 57.50 billion in Q4, according to a press release from Godrej Properties.

According to management, sales growth for the year was driven by a stronger project mix as well as 40% volume growth. It stated that the strong sales performance has led into record collections growth of 41% to Rs 8,991 crore, underpinned by excellent project completions of over 10 million sq. ft.

Analysts at Motilal Oswal Financial Services (MOFSL) increased FY24E/FY25E pre-sales by 23/44 percent, citing recent project additions. Analysts believe the company is on track to meet its pre-sales target of Rs 200 billion by FY26, with another good year of project additions forecast in FY24.

While the company continues to provide great visibility on pre-sales growth with an increase in business development activity, stock performance remains subdued, indicating a concern about profitability. However, given predicted improvements in delivery and profitability beginning in 4QFY23, MOFSL believes re-rating triggers are near.

Godrej Properties has been upgraded to BUY with a SOTP-based target price of Rs 1,575, implying a 40% potential upside. Significant downside risks to our target price include a slowdown in residential absorption, a failure to deliver profitability as expected, and a delay in launching new projects, all of which have a negative influence on sales growth.

Godrej Properties shares jumped by 8% to Rs 1,219.40 on the BSE in intraday trade after the real estate giant posted its highest-ever quarterly and yearly sales. In the January-March quarter, the company announced total bookings of Rs 40.51 billion (Q4 FY23). Overall, booking value increased by 56% year on year (YoY) to Rs 122.32 billion in FY23. The stock has recovered 21% from its 52-week low of Rs 10.50 billion, which was reached on March 29, 2023. During FY23, Godrej Properties underperformed the market, falling 38% versus a 3.4% growth in the S&P BSE Sensex. In an exchange statement, Godrej Properties stated that its sales volumes for the quarter increased by 19% in area terms from 4.42 million sq. ft. to 5.25 million sq. ft. In terms of area, sales volumes increased by 40% in FY23, from 10.84 million square feet to 15.21 million square feet. In FY23, the company added 18 new projects with a total estimated saleable area of over 29 million square feet and a total anticipated booking value of around Rs 32,0 billion (i.e. more than double the BD guidance of Rs 150 billion of estimated booking value for FY23). This comprised 5 new projects with a projected booking value of Rs 57.50 billion in Q4, according to a press release from Godrej Properties. According to management, sales growth for the year was driven by a stronger project mix as well as 40% volume growth. It stated that the strong sales performance has led into record collections growth of 41% to Rs 8,991 crore, underpinned by excellent project completions of over 10 million sq. ft. Analysts at Motilal Oswal Financial Services (MOFSL) increased FY24E/FY25E pre-sales by 23/44 percent, citing recent project additions. Analysts believe the company is on track to meet its pre-sales target of Rs 200 billion by FY26, with another good year of project additions forecast in FY24. While the company continues to provide great visibility on pre-sales growth with an increase in business development activity, stock performance remains subdued, indicating a concern about profitability. However, given predicted improvements in delivery and profitability beginning in 4QFY23, MOFSL believes re-rating triggers are near. Godrej Properties has been upgraded to BUY with a SOTP-based target price of Rs 1,575, implying a 40% potential upside. Significant downside risks to our target price include a slowdown in residential absorption, a failure to deliver profitability as expected, and a delay in launching new projects, all of which have a negative influence on sales growth. See also: Godrej Properties adds 15 land parcels to its portfolioGodrej Properties' net profit up 44.54% in Q3 FY23

Infrastructure Energy

23 Oct 2025

GAIL to Set Up Bengaluru CBG Plant Under New Concession Pact

GAIL (India) Limited has signed a 20-year concession agreement with the Bengaluru City Municipal Corporation (BBMP) to set up a compressed biogas (CBG) plant in the city. The project, expected to produce around 10 tonnes of CBG daily, will utilise municipal solid waste as feedstock, contributing to clean energy generation and efficient waste management. The CBG produced will be used in GAIL’s City Gas Distribution network to promote cleaner fuel usage. The initiative aligns with the government’s Sustainable Alternative Towards Affordable Transportation (SATAT) scheme and GAIL’s broader ..

Infrastructure Energy

23 Oct 2025

Uttarakhand HC Lifts 31-Year Ban on ONGC’s Contractual Hiring

The Uttarakhand High Court has lifted a 31-year-old ban on the Oil and Natural Gas Corporation (ONGC) from hiring contractual workers, a restriction imposed in 1993. The decision enables ONGC’s Dehradun establishment to employ personnel on a contractual basis to meet operational requirements. The long-standing prohibition had limited ONGC’s ability to fill vacancies in its technical and administrative departments, often leading to project delays and higher dependence on outsourcing. With the court’s directive, the public sector enterprise can now proceed with temporary recruitments whil..

Infrastructure Energy

23 Oct 2025

JSW Energy’s Utkal Unit Bags 400 MW, 25-Year Power Supply Deal

JSW Energy Limited announced that its subsidiary, JSW Energy (Utkal) Limited, has secured a Letter of Award (LoA) from Karnataka’s Power Company of Karnataka Limited (PCKL) for the supply of 400 MW of electricity for 25 years. The agreement is part of a competitive bidding process for long-term procurement of power to meet the state’s growing energy demand. The 400 MW capacity will be supplied from JSW Energy’s upcoming thermal power project in Odisha. This development strengthens JSW Energy’s presence in the southern market and aligns with its strategy to enhance long-term contracte..