In an interview with PTI, the company’s managing director Iranian BomanThe bank, who is also the president of the highest body of real estate agents, CREDAI, said the company will invest heavily in construction and land purchases this fiscal year to grow its business.
“We will invest Rs 800-900 crore in construction during this fiscal year. In the last fiscal year, we invested around Rs 400 crore,” he said.
Irani said the company has surplus liquidity of around Rs 3,000 crore to make investments for growth.
“We raised Rs 800 crore from a qualified institutional placement (QIP) plus our internal cash flow,” he said.
Irani said demand in the real estate market remains strong. The company has therefore targeted a 32% growth in sales bookings for this fiscal year to reach Rs 3,000 crore. “We hope to surpass that figure,” he added.
The company has already achieved advance sales of Rs 611 crore in the first quarter of this fiscal year, up 22 per cent from Rs 502 crore in the same period last year.
During the entire period 2023-24, the company sold properties worth Rs 2,266 crore.
Earlier this month, Keystone Realtors reported a 45 per cent decline in its consolidated net profit to Rs 25.82 crore for the June quarter of this fiscal due to higher expenses.
The company had posted a net profit of Rs 46.97 crore for the year-ago period.
Total revenue rose to Rs 437.20 crore during the April-June period this fiscal from Rs 282.82 crore in the corresponding period last year.
Total expenses, including construction expenses, increased to Rs 398.16 crore from Rs 216.54 crore during the period under review.
In the June quarter, the company launched two new projects with an estimated GDV (gross development value) of Rs 2,017 crore as per its guidance of launching two projects per quarter.
The company acquired one more project in the first quarter with an estimated GDV of Rs 984 crore.
Keystone Realtors has 34 completed projects, 15 projects in progress and 27 upcoming projects. To date, the company has delivered over 25 million square feet of construction area, with a pipeline of over 43 million square feet of construction area in progress.
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