DLF Q2 profit rises 21% to Rs 131.5 crore

DLF on Tuesday reported 21 per cent rise in consolidated net profit at Rs 131.50 crore for the quarter ended September mainly on lower expenses. Its net profit stood at Rs 109.06 crore in the year-ago period, DLF said in a BSE filing. However, income from operations fell by 7 per cent to Rs 1,865.49 crore during July-September quarter of this fiscal from Rs 2,013.15 crore in the corresponding period of the previous year. Total income decreased by 6 per cent to Rs 1,997.02 crore from Rs 2,135.59 crore in the review period.

Commenting on the result, DLF CFO Ashok Tyagi said, "One housing project has hit the revenue recognition threshold that has contributed to the increase in net profit". The company's net profit increased despite fall in sales as its total expenses declined to Rs 1,071.13 crore from Rs 1,356.52 crore during the period under review. Finance cost increased to Rs 705.58 crore during July- September quarter against Rs 603.11 crore in the corresponding period of previous year. Tax expense rose to Rs 77.55 crore from Rs 43.06 crore during the review period. On operational front, DLF's net sales booking stood at Rs 1,610 crore in the first half of this fiscal against Rs 1,230 crore in the corresponding period of the previous year.

The leasing volumes stood at 0.13 mn sq ft during the first half as compared to 1.01 mn sq ft in the year-ago period. "Projects in DLF (Phase 5, Gurgaon) continue to garner reasonable interest and clock sales inflow in otherwise subdued market conditions. Various other micro markets in other geographies remain soft and revival of these markets is expected in the next 18-24 months," DLF said.