DLF Ltd's Q1FY19 consolidated net profit rises 58.19% yoy to Rs172.44cr: Beats Estimates

The company’s consolidated revenue stood at Rs1,507.35cr, down 26.39% yoy, but up 9.41% qoq.

Aug 10, 2018 05:08 IST India Infoline Research Team

DLF Ltd Q1FY19

Consolidated Results Q1FY19: (Rs. in cr)

Q1FY19 YoY (%)
Revenue 1,507.35 [26.4]
EBITDA 308.55 [65.8]
EBITDA Margin (%) 20.5 [2,363]
Net Profit (adjusted) 172.44 58.2
***EBITDA margin change is bps
For Q1FY19, DLF Ltd’s revenue declined by 26.4% yoy to Rs1,507.35cr. This was lower than consensus estimates of Rs2,614.2cr. The company’s EBITDA for the quarter stood at Rs308.55cr, lower by 65.8% yoy which is higher than consensus estimates of Rs241.3cr. The company reported consolidated profit of Rs172.44cr, up 58% yoy, which beat consensus estimates of a loss of Rs12cr.

For Q1FY19 – DLF Cyber City Developers Limited (DCCDL) results were as follows:
  • Consolidated revenue for Q1FY19 stood at Rs 1,227cr.
  • EBIDTA at Rs920cr.
  • Consolidated PAT at Rs363cr.
Highlights of Q1FY19:
  • DLF achieved new sales of Rs600cr during the quarter.
  • Project under construction in development business stood at ~6mn sq.ft. 
  • Project under construction in lease business stood at ~3.7mn sq.ft. 
  • Gross leasing in DCCDL of ~0.91mn sq.ft and in DLF of ~0.1mn. sq.ft..
Other Highlights:
  • According to DLF, the adoption of accounting standard IndAS 115 has necessitated reversal of revenues and margins recognized on open contracts (where control is deemed to have not passed over to the customers till March 31, 2018).
  • The margins reversed from the opening reserves in the Balance Sheet as on April 1, 2018, stood at Rs 5,383cr (net of taxes). The company has achieved completions in almost all of the projects and significant deliveries are under way. These deliveries are expected to be completed within next couple of years, which shall result in reversal being accrued back over the same period.
  • Net profit would have been lower by Rs111cr, if revenues had been accounted for using the earlier standard.
  • New sales booking during the quarter stood at Rs600cr. Given the current momentum, the company remains on track to achieve fresh sales booking of Rs2,000 – 2,250cr in the current fiscal.
  • The commercial leasing business continues to grow steadily and is experiencing healthy momentum. DLF continues to incur capex for further building the portfolio and expects the under construction portfolio, ~ 3.7mn sq.ft, to begin generating revenues from the next fiscal.

Technical View:

DLF Ltd ended at Rs. 196.60, down by 4.05 points or 2.02% from its previous closing of Rs. 200.65 on the BSE.
The scrip opened at Rs. 202 and touched a high and low of Rs. 203.35 and Rs. 194.80 respectively. A total of 89,69,875 (NSE+BSE) shares were traded on the counter. The stock traded below its 200 DMA.

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