Vikas Oberoi, Chairman &Managing Director, Oberoi Realty Limited has been on board since incorporation of the company. He has more than two decades of experience in the real estate sector. He is involved in the formulations of corporate strategy and planning, overall execution and management and concentrates on the growth and diversification plans of the company.
Oberoi Realty Ltd. is India’s leading real estate development company, headquartered in Mumbai, focused on premium developments in the residential, office space, retail, hospitality and social infrastructure verticals. Oberoi Realty has an established brand and a track record in the real estate industry of developing innovative projects through its emphasis on contemporary architecture, strong project execution and quality construction. Oberoi Realty seeks to create “destination developments” through its in mixed-use and single-segment developments. It has a total of 36 completed projects across Mumbai, the commercial capital of India.
Yash Ved of IIFL provides highlights of a media interaction where Vikas Oberoi says “The total area under development is 20mn sq ft.”
What is your outlook on the real estate prices?
This quarter has been great. We are a growing economy. Real estate is not going out of fashion. Owning a home remains a matter of big pride for each individual. People will continue to buy a house. It is more driven by sentiment.
Comment on your Q4 Performance?
Our performance has been fairly stable in the face of the challenging market environment that has been prevailing since the last few quarters. We have managed to maintain a robust order-book which is a clear reflection of confidence that our customers have in our product and delivery capabilities. Additionally, we have received strong collections through customer receipts along with stable rental income coming from our investment properties.
Going forward, we will continue to focus on our financial prudence in operations and land acquisitions.
Share with us the business highlights of the quarter gone by.
Oberoi Mall contributed Rs. 781.8mn to the operating revenue for the FY12 as against Rs. 667.5mn for FY11 and Rs. 195.9mn for Q4FY12 as against Rs. 197mn for Q3FY12 and Rs. 17.97 croreforQ4FY11.
Commerz contributed Rs. 436.2mn to the operating revenue for the FY12 as against Rs. 45.80 crorefor FY11 and Rs. 110.8mn for the Q4FY12 as against Rs. 107.3mn for Q3FY12 and Rs. 117.4mn for Q4FY11.
The Westin Mumbai Garden City contributed Rs. 905.7mn to the operating revenue for the FY12 as against Rs. 698.7mn for FY11 and Rs. 256.9mn to the operating revenue for the Q4FY12as against Rs. 250mn for Q3FY12 and Rs. 266.8mn forQ4FY11.
Oberoi Esquire: The Company has sold ~7.1 lakhs sqft. till date which comprises ~36% of the project. The total sales value till date is Rs. 8.53bn; but there has been no revenue recognition as it is yet to reach the threshold level of construction completion.
Oberoi Exquisite: The Company has sold ~8.3 lakh sqft. till date which comprises ~54% of the project. The total sales value till date is Rs. 10.20bn and revenue recognized is Rs.2.20bn for FY12 and Rs. 582.6mn for Q4FY12.
Oberoi Splendor Grande: The Company has sold ~2.1 lakh sqft. till date which comprises ~74% of the project. The total sales value till date is Rs. 2.87bn and revenue recognized is Rs. 1.49bn for FY12 and Rs. 650.6mn or Q4FY12.
Oberoi Splendor: The Company has sold ~12.3 lakh sqft. till date which comprises ~96% of the project. The total sales value till date is Rs. 14.53bn and revenue recognized is Rs. 1.67bn for FY12 and Rs. 455.9mn for Q4FY12.
Brief us about your expansion plans?
The company plans to launch a project each in Mulund and Worli. We expect to launch Worli Project this quarter.
What is your current order book position?
We have an order book of Rs15bn in FY12. The total area under development is 20mn sq ft.
Brief us about your financials?
Oberoi Realty Limited recorded Consolidated Revenue of Rs. 9.74bn for FY12 as against Rs. 10.58bn for FY11. The Consolidated Revenue is Rs. 2.85bn for Q4FY12 as against Rs. 218.26 for Q3FY12 and Rs. 2.95bn for Q4FY11.The Consolidated Profit Before Tax for FY12 was Rs. 6.05bn as against Rs. 6.15bn for FY11.
The Consolidated Profit Before Tax for Q4FY12 was Rs. 1.87bn as against Rs. 1.37bn for Q3FY12 and Rs. 1.65BN for Q4FY11. The Consolidated Profit After Tax for FY12 was Rs. 4.62bn as against Rs. 5.17bn for FY11. The Consolidated Profit After Tax for Q4FY12 was Rs. 1.43bn as against Rs. 1.02bn for Q3FY12 and Rs. 136.66crorefor Q4FY11.
What is your current cash level?
Our current cash level stands at Rs12bn.