Mahindra Lifespace Developers Reports Growth in Pre-sales and Land Leasing
Mahindra Lifespace Developers Limited (MLDL), the real estate and infrastructure development business of the Mahindra Group, has released its financial results for the quarter ended September 30, 2024. The company follows the Completion of Contract method as per INDAS 115 for revenue recognition.
- Pre-sales for the quarter reached Rs. 1,415 crore, reflecting a significant YoY growth of 77%.
- The saleable area totaled 1.70 million square feet, while the RERA carpet area amounted to 1.29 million square feet.
- In the residential business, Q2 FY25 saw pre-sales of Rs. 397 crores for a saleable area of 0.53 million square feet and RERA carpet area of 0.42 million square feet.Gross Development Value Addition and Land Leasing
- In the first half of FY25, Mahindra Lifespace Developers added a gross development value of Rs. 1,800 crore from the development of society in Sai Baba Nagar, Borivali. This project consists of seven societies and marks the company's third such project in Mumbai.
- Additionally, the company expects a gross development value potential of Rs. 250 crore from a two-acre land parcel adjacent to its project 'Mahindra Zen' in Bengaluru.
Collections and Land Leasing
- The residential business achieved collections of Rs. 999 crore in Q2 FY25.
- In the same quarter, the company leased 16.1 acres of land in the IC&IC (Industrial Cluster and Integrated Cities) business for Rs. 87.1 crore. For Q2 FY25, land leasing amounted to 34.9 acres, fetching a total of Rs. 163.2 crore.
Consolidated Performance
The consolidated total income for Mahindra Lifespace Developers stood at Rs. 16.0 crore in Q2 FY25, compared to Rs. 25.7 crore in Q2 FY24 and Rs. 206.7 crore in Q1 FY25. However, the company reported a loss of Rs. 14.0 crore in Q2 FY25 after considering non-controlling interest, whereas a loss of Rs. 19.0 crore was recorded in the same period last year. Additionally, the company had a profit of Rs. 12.7 crore in Q1 FY25.
In the first half of FY25, the consolidated total income amounted to Rs. 222.7 crore, outperforming the 135.8 crore recorded in the same period last year. However, a loss of Rs. 1.3 crore was incurred after accounting for non-controlling interest, indicating improvement compared to a loss of Rs. 23.2 crore in H1 FY24.
Overall, Mahindra Lifespace Developers has showcased remarkable growth in pre-sales and successful land leasing in the residential and IC&IC businesses. The positive performance in collection and the prioritization of high-value projects position the company well for future growth in the real estate industry.
