Godrej Properties Q1: Net Debt Jumps 42% to Rs. 4.637 Cr
By Team Homes | Monday, 18 August 2025

Godrej Properties Q1: Net Debt Jumps 42% to Rs. 4.637 Cr

Godrej Properties Q1 results

Godrej Properties reported a sharp 42 percent rise in net debt in Q1 FY26, which stood at Rs. 4,637 crore compared with Rs. 3,269 crore in the same period last year.

The company attributed the increase to its aggressive housing portfolio expansion, amid buoyant real estate demand. Its debt-to-equity ratio rose to 0.26 from 0.19, still within what management considers a comfortable range. Managing Director & CEO Gaurav Pandey told analysts that the company has capped net debt at Rs. 10,000 crore, which would imply a debt-to-equity ratio of 0.5, a level it views as manageable.

Key Highlights

  • Net debt surged 42 percent YoY to Rs. 4,637 crore; debt-to-equity at 0.26
  • Acquired Rs. 11,400 crore land parcels; FY26 target Rs. 20,000 crore
  • Net profit rose 15 percent to Rs. 598 crore; pre-sales down 18 percent YoY

He noted that cash flow from operations and borrowing capacity will support near-term requirements, while the final debt position will depend on business development exceeding the Rs. 20,000 crore acquisition guidance.

Godrej Properties continued its aggressive land acquisition strategy, purchasing five parcels in Mumbai, Pune, Bengaluru, and Panipat with a combined revenue potential of Rs. 11,400 crore during the quarter. For FY26, it has guided acquisitions worth Rs. 20,000 crore.

Operationally, pre-sales fell 18 percent YoY to ₹7,082 crore in Q1, but the company is on track to maintain its position as India’s top real estate player in sales bookings for a third consecutive year. For FY26, it is targeting Rs. 32,500 crore in sales bookings, up from its record Rs. 29,444 crore in FY25.

Also Read: Godrej Properties Posts Record Rs. 600 Cr Profit in Q1 FY26

On the financial front, consolidated net profit rose 15 percent YoY to Rs. 598.4 crore, even as total income dipped slightly to Rs. 1,620.3 crore. In FY25, Godrej Properties reported Rs. 1,389.2 crore profit on revenue of Rs. 6,967 crore.

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