In This Article:
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Quarterly Bookings: INR 464 crores, a 26% YoY increase.
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Half-Yearly Bookings: INR 666 crores, a 32% YoY increase.
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Half-Yearly Collections: INR 497 crores, a 6% YoY increase.
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Revenue (H1 FY25): INR 340 crores, a 144% YoY increase.
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EBITDA (H1 FY25): INR 91 crores, a 153% YoY increase.
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Net Profit (PAT) (H1 FY25): INR 47 crores, a 137% YoY increase.
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Revenue (Q2 FY25): INR 265 crores, a 265% YoY increase.
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EBITDA (Q2 FY25): INR 83 crores, a 320% YoY increase.
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Net Profit (PAT) (Q2 FY25): INR 43 crores, a 93% YoY increase.
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Net Debt: Decreased to a negative INR 195 crores from a negative INR 58 crores as of June 30, 2024.
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Operating Cash Flow (Q2 FY25): INR 106 crores.
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Operating Cash Flow (H1 FY25): INR 203 crores.
Release Date: October 25, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Arvind SmartSpaces Ltd (BOM:539301) reported its best-ever quarter with quarterly bookings crossing INR 400 crore for the first time, reaching INR 464 crore, a 26% YoY increase.
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The company achieved a 32% YoY growth in half-yearly bookings to INR 666 crore and a 6% YoY growth in collections to INR 497 crore.
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Revenue for H1 FY25 increased by 144% YoY to INR 340 crore, with EBITDA growing by 153% to INR 91 crore and PAT by 137% to INR 47 crore.
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The company's net debt position improved significantly, with a decrease to a negative INR 195 crore from a negative INR 58 crore as of June 30, 2024.
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Arvind SmartSpaces Ltd (BOM:539301) is expanding its presence in Bangalore with new residential projects, including a project on ITPL Road with a potential top line of INR 600 crore.
Negative Points
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Despite strong financial performance, the company faces challenges in maintaining a consistent pace of project launches, with some delays in approvals, particularly for large projects like the one in Surat.
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The company's focus on an asset-light model may limit its ability to capitalize on land aggregation opportunities, potentially impacting long-term growth.
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There is a risk of project cancellations or delays due to the reliance on joint development agreements, which require strong partnerships and trust with landowners.
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The company's strategy of outsourcing land aggregation may expose it to risks associated with third-party aggregators, including potential delays and increased costs.
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While the company has a strong pipeline, the ability to maintain a 30-35% growth rate in pre-sales may be challenged by market conditions and competition.
Q & A Highlights
Q: Can you provide insights on the pre-sales growth and the new business development pipeline, especially in the Mumbai market? A: We are confident of achieving a 30% to 35% growth in pre-sales, as communicated earlier. For business development, we have done INR1,000 crores in the first half and aim for INR4,000 to INR5,000 crores for the year. We are evaluating several projects, particularly in Mumbai and Bangalore, and are optimistic about achieving our targets. - Kamal Singal, CEO