Profit before tax tumbled 28.2% year on year to Rs 234.80 crore in the quarter ended 30 June 2023.

The company reported pre-sales of Rs 3,350 crore in Q1 FY24, recording a growth of 17% on a YoY basis. Collections decreased by 8.4% YoY at Rs 2,400 crore during the quarter.

Adjusted EBITDA stood at Rs 460 crore, sliding 48.89% YoY in Q1 FY24. Adjusted EBITDA margin reduced to 28.7% in Q4 FY23 as compared to 33.7% recorded in Q1 FY23.

Abhishek Lodha, MD & CEO, Macrotech Developers, said, “Our pre-sales for the quarter at Rs 33.5 billion grew by 17%. Our ‘for-sale' business has shown a stupendous growth of 30%. With the likelihood of downward journey of interest rates in next few quarters after witnessing a pause by the RBI, we see momentum for housing continuing to strengthen. Our strong start and industry tailwind has positioned us extremely well on our path to achieve our pre-sales guidance for the year. Strong demand conditions, improving seasonality, along with forthcoming launches at multiple new locations will lead to continuing momentum for our business in FY24.

We have burgeoning pipeline of business development opportunities on the back of our strong brand and proven ability to quickly monetize any land asset making landowners prefer Lodha. We added five new projects with GDV potential of Rs ~120 billion in Q1 FY24.

Our net debt has increased marginally, primarily on account of front loaded business development investment. We remain on the path to achieve our full year guidance of reduction of net debt to lower of 0.5x equity and 1x operating cash flow, with significant debt reduction to be seen in H2. It is pleasing to note that, continuing strengthening of balance sheet has led to further credit rating (or outlook) upgrades for us - by ICRA to A+/ Positive and by India Ratings to A+/ Stable. Our average cost of funds continues to trend down despite rising policy rates and was at ~9.65% (down 15bps for the quarter).”

Macrotech Developers (Lodha Group) is primarily engaged in the business of real estate development.

Shares of Macrotech Developers gained 2.01% to Rs 742.10 on the BSE.