Godrej Properties Q4 FY25: Net Profit Dips 19%, Contrasts with Record Sales

Real estate developer Godrej Properties has reported a decline in net profit for the fourth quarter of the financial year 2024-25, even as its revenue saw a substantial increase. 

Profit Declines Despite Strong Revenue Growth

The company posted a net profit of ₹382 crore for Q4 FY25, marking a 19% year-on-year (YoY) decline from the ₹471 crore recorded in the corresponding period last year. This fall in profitability occurred despite consolidated revenue from operations surging by a significant 48.77% YoY, climbing to ₹2,122 crore in the quarter ending March 2025, compared to ₹1,426 crore in Q4 FY24.

EBITDA Drops 6% Amid Soaring Expenses

The company's operational performance, as measured by earnings before interest, tax, depreciation, and amortisation (EBITDA), also registered a dip. EBITDA decreased by 6% YoY, settling at ₹567 crore in Q4 FY25, down from ₹601 crore in the same quarter the previous year. This contraction in operational earnings came alongside a significant rise in expenditures. Total expenses for the March 2025 quarter escalated sharply by 54% YoY, reaching ₹2,079 crores. Consequently, the net profit margin saw a considerable reduction, declining sharply to 14.4% in Q4 FY25 from 24.1% in Q4 FY24.

All-Time High Booking Value of ₹10,163 Crore in Q4

Godrej Properties demonstrated robust sales performance during the quarter. The company recorded its highest-ever quarterly booking value, totalling ₹10,163 crore in Q4 FY25. This figure represents a 7% increase and was achieved through the sale of 3,703 homes, covering a total area of 7.52 million sq. ft..

Godrej Properties achieved a key milestone in Q4 FY25, surpassing ₹10,000 crore in booking value for the first time. This marked the seventh straight quarter with bookings above ₹5,000 crore. The company also launched 12 new projects and phases across five cities during the quarter.

Shares Down 22% YTD Despite Strong Sales

Following the announcement of the Q4 results, Godrej Properties' share price exhibited some volatility. As of 2 pm on the day of the announcement, the stock was trading higher by 1.69% at ₹2,195.40 apiece on the BSE. Looking at the longer term, the shares have seen a decline of 14.54% over the last year and are down 22% on a year-to-date basis. The company's market capitalisation stands at ₹65,690 crore.

The Q4 performance presents a mixed picture, pairing strong sales momentum and revenue growth with a decline in reported profit and operating margins, highlighting cost pressures during the period.

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