Godrej Properties forecasts significant growth in revenue and profit in the next fiscal year due to increased delivery of residential projects, and also plans to recognize revenue of ₹40,000 crore by March 2028 from completed projects.
A senior company official stated that Godrej Properties, a real estate firm, will recognize approximately ₹40,000 crore in revenue in its reporting for March 2028. This is linked to the acceleration of construction work to complete ongoing housing projects.
In an interview with PTI, Pirajsha Godrej, Chairman of Godrej Properties Ltd, announced an upcoming sharp increase in profit and revenue in the next financial year, driven by substantial growth in residential real estate deliveries.
According to accounting standards, the company's sales or advance bookings are recognized as income only after the respective projects are completed. Pirajsha noted that many fully sold projects will be handed over within the next 18 months and become eligible for revenue recognition.
He emphasized: 'Thus, in the next financial year, you will see a huge jump in both revenues and profits.' Furthermore, Pirajsha reported that the company has set a target to deliver 13.5 million square feet in the current fiscal year, most of which falls in the third and fourth quarters.
Construction costs rose by 42% year-on-year in the first six months of the current fiscal year. In the latest investor presentation, Godrej Properties indicated that 'BV (booking values) of ₹40,000 crore will be delivered and recognized in the Profit & Loss statement (P&L) by FY28.'
Pirajsha added that 2027–28 will be important for the company, as the exceptional growth in the last two years regarding record advance sales will reflect in the financial figures. He expects both positive free cash flow and a 20% reported ROE (Return on Equity) in FY28.
In recent financial years, Godrej Properties held the position of the largest public firm in the country by volume of sales bookings. The company intends to maintain this position in the current fiscal year. For 2026–27, the company expects sales bookings to grow by 22%, reaching a record ₹41,500 crore, exceeding its annual forecast amid strong demand for residential real estate.
In the previous fiscal year, Godrej Properties sold properties worth ₹34,171 crore, and for the current fiscal year 2026–27, the company set a target for advance sales or bookings of ₹39,000 crore. In the first six months of the current fiscal year, the company's sales bookings grew by 7% to ₹16,659 crore compared to ₹15,587 crore the previous year.
Pirajsha noted that the company sees no issues with demand or absorption for its own projects, stating that 'from the company's perspective, the demand was quite strong.'
Godrej Properties develops group housing projects in the Mumbai Metropolitan Region (MMR), Delhi-NCR, Pune, Bengaluru, and Hyderabad. The company also offers land parcels in various cities across different states.
Last month, Godrej Properties reported a 62% decline in consolidated net profit to ₹154.15 crore for the quarter ending in September, caused by increased expenses. In the same period last year, net profit was ₹405.08 crore. Total revenue in the second quarter of the current fiscal year grew to ₹2,571.73 crore compared to ₹1,950.05 crore in the corresponding period of the previous fiscal year. Meanwhile, expenses in this period increased to ₹2,476.74 crore compared to ₹1,300.98 crore a year earlier.
In the first half of the current fiscal year, net profit fell by 50% to ₹504 crore compared to ₹1,005 crore a year earlier, while total revenue grew to ₹3,916.77 crore from ₹3,570.39 crore.
In 2025–26, the company earned a net profit of ₹1,850 crore on total revenue of ₹8,410.88 crore. Since 2018, Godrej Properties has completed projects spanning over 80 million square feet.