This Article is From Feb 12, 2015

Sobha Q3 Net Profit up 3% at Rs 60.1 Cr

Realty firm Sobha Ltd today reported a 3 per cent increase in its consolidated net profit at Rs 60.1 crore for the quarter ended December.

Its net profit stood at Rs 58.1 crore in the year-ago period.

Total income rose by 26 per cent to Rs 686.8 crore in the third quarter of this fiscal from Rs 545.5 crore in the corresponding period of the previous fiscal, the Bengaluru- based company said in a filing to the BSE.

Sobha informed that the Board, at its meeting held today, appointed Subhash Mohan Bhat as the Chief Financial Officer (CFO) of the company.

During the October-December quarter, Sobha said it has launched two new projects comprising 0.8 million sq ft of developable area and 0.67 million sq ft of saleable area.

It completed and handed-over three real estate projects of 1.18 million sq ft of developable area and 5 contractual projects of 0.96 million sq ft of developable area.

Sobha achieved new sales bookings of 0.66 million sq ft worth Rs 427 crore.

Commenting on the results, Sobha Vice Chairman and Managing Director JC Sharma said: "Our financial performance has been satisfactory but our operational performance did not live up to our expectations."

"We anticipated the economy to show improvement and the demand to revive post formation of the new government, but in reality, the market conditions were not as favourable as we had expected," he added.

For Sobha, Sharma said, Bengaluru continues to hold the fort, exhibiting resilience and accounting for majority of the new sales. "Delayed project approvals have affected the saleability of our projects in the other regions."