Macrotech Developers shares Q2 biz update, pre sales up 57%, net debt reduces

“Generally, Q2 is the weakest quarter of the year due to monsoons and inauspicious period (Pitrupaksh / Shraadh) and consequently, H1 tends to be around 40-45% of full year sales. Our strong performance in H1FY23, inspite of rising home loan rates and rising prices, evidences the strength of housing demand from Tier-1 developers in India and indicates the start of a long-term upcycle for quality housing in India,” the company informed in an exchange filing today.

Meanwhile, Lodha’s collections were ₹2,375 crore in 2QFY23 up 24% on a YoY basis. Collections were predictably impacted by seasonal factors – lower construction activity during monsoon and deferral of registerations during 15 day inauspicious period, the company added. Further, Macrotech‘s net debt reduced by around ₹60 crore to ₹8,796 crore.

The real estate company added 4 new projects having 2.2 million sq. ft. of saleable area with GDV of ₹3,100 crore across various micro-markets of MMR and Pune. In H1, it added ₹9,300 crore of GDV which is 62% of its full year guidance of ₹15,000 of GDV addition. “We continue to have a robust pipeline of business development opportunities as landowners witness the value creation for them due to Lodha’s involvement.”

The $225 million bonds were fully repaid in September 2022, 6 months ahead of schedule. With this, there is no further obligation on MDL’s balance sheet wrt the London investments. “Further, this quarter saw repatriation of ₹100 crore from UK to India. Inspite of the challenging economic environment in the UK, we expect additional repatriation of ₹1000 crore from the UK to India in CY2023,” Macrotech said.