GODREJPROP - Godrej Propert.

📊 NSE: GODREJPROP 🏢 Construction 📅 Last Updated: 12/13/2025 22:28

💰 Financial Performance

Revenue Growth by Segment

Standalone Revenue from Operations grew 46.5% YoY to INR 1,949.62 Cr in FY25. H1 FY26 Total Income grew 16% YoY to INR 3,460 Cr, primarily driven by residential sales momentum.

Geographic Revenue Split

In Q2 FY26, booking value was balanced across four key markets: Bangalore, Mumbai, NCR, and Hyderabad, each contributing over INR 1,500 Cr (approximately 17.6% each of the INR 8,505 Cr total).

Profitability Margins

Net profit margin improved from 16.6% in FY24 to 20.4% in FY25. Standalone Profit after Tax grew 79% YoY to INR 1,011.01 Cr in FY25.

EBITDA Margin

EBITDA margin was 28.8% in FY25, up from 27.4% in FY24. H1 FY26 EBITDA grew 45% YoY to INR 1,529 Cr.

Capital Expenditure

The company added projects with an expected booking value of over INR 20,000 Cr in FY25 and INR 16,250 Cr in H1 FY26 (81% of annual guidance).

Credit Rating & Borrowing

Godrej Properties maintains a credit rating of CRISIL AA+/Stable and ICRA AA+/Stable. Borrowing costs are influenced by parent support from Godrej Industries Ltd, which holds 44.77% equity.

⚙️ Operational Drivers

Raw Materials

Key inputs include construction materials (steel, cement, aggregates) and labor, though specific percentage breakdowns for each are not disclosed in available documents.

Capacity Expansion

Successfully delivered ~18.4 million sq. ft. in FY25. Added 15.06 million sq. ft. of saleable area in H1 FY26 to support future delivery targets.

Raw Material Costs

Raw material costs are managed through design standardization and advanced construction technologies to mitigate inflationary pressures.

Manufacturing Efficiency

Focus on design standardization and advanced construction technologies to improve delivery speed and quality across projects.

Logistics & Distribution

Marketing and distribution costs are expensed in the year of launch, which can temporarily impact margins during high-growth phases like Q2 FY26.

📈 Strategic Growth

Expected Growth Rate

10.40%

Growth Strategy

Growth will be achieved by focusing on top-tier markets (NCR, MMR, Bengaluru, Pune, Hyderabad), leveraging the Godrej brand for Joint Development Agreements (JDAs), and maintaining a robust project pipeline (INR 16,250 Cr added in H1 FY26).

Products & Services

Residential apartments (luxury and premium), plotted developments, and commercial real estate projects.

Brand Portfolio

Godrej Properties, Godrej Zenith, Godrej Miraya, Godrej Reserve, Godrej Avenue Eleven, Godrej Aristocrat, Godrej Tropical Isle, Godrej Regal Pavilion.

New Products/Services

New launches like Godrej Regal Pavilion in Hyderabad achieved INR 1,527 Cr in booking value, contributing significantly to the Q2 FY26 record performance.

Market Expansion

Strong entry into Hyderabad with INR 2,600 Cr sales in the current calendar year; expansion into Tier-2 cities via plotted developments.

Market Share & Ranking

India's largest developer by value of residential sales achieved in FY25.

Strategic Alliances

Joint Development Agreements (JDAs) and a Development Management agreement with Godrej & Boyce for lands in Vikhroli.

🌍 External Factors

Industry Trends

The industry is seeing a shift toward large organized developers with a focus on design, customer experience, and sustainability.

Competitive Landscape

Competes with other national and regional developers; currently leads the market in residential sales value.

Competitive Moat

Durable moat through a 128-year brand legacy, high trust (ranked among most trusted Indian brands), and exclusive development rights for Vikhroli land.

Macro Economic Sensitivity

Highly sensitive to interest rate cycles and the economic environment in India, which affects home loan affordability.

Consumer Behavior

Post-pandemic consumer shift toward larger homes, better amenities, and trusted developer brands.

Geopolitical Risks

Changes in the political and economic environment in India are cited as factors that could affect operations.

⚖️ Regulatory & Governance

Industry Regulations

Operations are governed by RERA, pollution norms, and local building codes. Changes in tax laws or import duties are noted as potential risks.

Environmental Compliance

Commitment to sustainability and cutting-edge technology is central to the Godrej Industries Group philosophy.

Taxation Policy Impact

Effective tax rate for FY25 was approximately 20% based on PBT of INR 1,264.82 Cr and PAT of INR 1,011.01 Cr.

Legal Contingencies

Litigation is mentioned as a general business risk; specific pending case values in INR are not disclosed in the provided documents.

⚠️ Risk Analysis

Key Uncertainties

Accounting mismatches where marketing costs are expensed upfront while revenue is recognized years later; execution risk at a scale of 18.4 million sq. ft. deliveries.