Sobha Limited · NSE:SOBHA
Sobha — Q1 FY2025 Earnings Presentation
40 slides from Sobha's earnings presentation, Aug 8, 2024
Slide 1: Exchange filing cover letter for investor presentation
Date: August 08, 2024 The Deputy Manager The Manager Department of Corporate Services The National Stock Exchange of India Limited BSE Limited Exchange Plaza, Plot No C/1, G Block PJ Towers, Dalal Street Bandra Kurla Complex Mumbai – 400 001 Mumbai – 400 051 Scrip Code: 532784 & 890205 Scrip Code: S
Slide 2: Investor Presentation June 2024
INVESTOR PRESENTATION Artistic Impression of SOBHA Aranya, Gurgaon June 2024
Slide 3: About Us
01 02 03 04 05 SALES PERFORMANCE FINANCIALS & OPERATIONS ABOUT US CASHFLOW SALES PERFORMANCE FINANCIALS & OPERATIONS PROJECT UPDATES 2
Slide 4: Legacy of Quality
LEGACY OF QUALITY Established in 1995 by Mr. PNC Menon, with a vision to transform the way people perceive ‘Quality’ Diverse portfolio Real estate 29 years of delivering international quality spaces ▪ Residential ▪ Retail Bangalore headquartered Real Estate & Construction firm with focus on resident
Slide 5: Excellence at Scale
137.68 mn 550 sft completed Developments 7 mn 41.25 mn sft annual delivery sft under run rate development 27 25+ EXCELLENCE Cities and 14 states Acre manufacturing AT SCALE across India - footprint facilities 4,050+ 11,600+ Professionals Technicians Own training academy for continuous development pr
Slide 6: Fueling Future Success
UNWAVERING ▪ Continuous investments in research in innovative construction techniques COMMITMENT TO and building material QUALITY ▪ Ensures lasting value and customer satisfaction DIVERSIFICATION ▪ Multiple revenue streams with geographical diversification supports FOR RESILIENCE business resilience
Slide 7: Awards and recognition in Q1 FY 2025
Awards and recognition in Q1 FY 2025 'Best Child and Women Development Initiatives' award! SOBHA (CSR Wing – Sri Kurumba Educational and Charitable Trust) has been recognized for its outstanding work with the ‘Best Child and Women Development Initiatives of the Year 2024’. This prestigious accolade
Slide 8: Cashflow
01 02 03 04 05 SALES PERFORMANCE FINANCIALS & OPERATIONS ABOUT US CASHFLOW SALES PERFORMANCE FINANCIALS & OPERATIONS PROJECT UPDATES 7
Slide 9: Highest ever quarterly collections achieved in Q1-FY25
Highest ever quarterly Collections achieved in Q1-FY25, crossed milestone of Rs.1,500 Cr. Rs Billion TOTAL OPERATIONAL REAL ESTATE ➢ Total collections in Q1-FY25 improved marginally by 3.2% from CASH INFLOW CASH INFLOW previous quarter and by 14.1% compared to Q1-FY24 to Rs. 15.46 bn 15.46 14% 13.55
Slide 10: Cashflow Statement – Q1 FY 2025
Cashflow Statement – Q1 FY 2025 Rs Million PARTICULARS Q1-25 Q1-24 Q4-24 FY-24 Operational cash inflows Real Estate Operations 13,917 11,478 13,339 50,345 Contractual & Manufacturing 1,544 2,073 1,644 7,621 Total Operational cash inflow (A) 15,461 13,551 14,983 57,966 Operational cash outflows Real
Slide 11: Cashflow Statement – Q1 FY 2025 continued
Cashflow Statement – Q1 FY 2025…continued Rs Million Particulars Q1-25 Q1-24 Q4-24 FY-24 Financial Outflows Finance outflow 478 483 464 1,951 Dividend including taxes - - - 284 Total Financial Outflows (D) 478 483 464 2,235 Net Cashflow after Financial & Tax Outflow : (E=C-D) 2,793 1,465 3,125 8,660
Slide 12: Net Debt reduction continued, aided by robust internal accruals
Net Debt reduction continued, aided by robust internal accruals 1.31 1.40 34 1.25 1.23 1.19 1.11 1.20 29.75 30 28.52 28.17 0.97 27.78 1.00 26.54 0.87 26 0.77 23.37 0.72 0.80 0.66 0.63 22 21.10 0.58 0.54 0.50 0.60 18.89 0.47 17.69 18 16.40 0.40 15.69 14.40 14 13.43 12.62 0.20 11.88 10 0.00 Q3-21 Q4-2
Slide 13: Average cost of borrowing in Q1 FY 2025 was 9.40%
Average cost of borrowing in Q1 FY 2025 was at 9.40% Marginal increase in borrowing cost compared to previous quarter 9.35% 9.40% 9.26% 9.11% 9.14% Rate of Interest % 8.93% 8.81% 8.65% 8.57% 8.40% 8.45% Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 Rs Million Finance related outf
Slide 14: Residential Real Estate Portfolio: Projected Cashflow
Residential Real Estate Portfolio: Projected Cashflow as on 30th June 2024 Completed - with Ongoing - Area Ongoing - Area Particulars Total Unit unsold inventory offered for sale not offered for sale Total Saleable area 19.46 24.41 2.28 46.16 Mn sft Sobha’s share of Saleable area 18.14 23.49 2.28 43
Slide 15: Sales Performance
01 02 03 04 05 SALES PERFORMANCE FINANCIALS & OPERATIONS ABOUT US CASHFLOW SALES PERFORMANCE FINANCIALS & OPERATIONS PROJECT UPDATES 14
Slide 16: Robust sales performance backed by new luxury launches
Robust sales performance backed by new luxury residential project launches SALES VALUE NEW SALES AREA ➢ In Q1-FY25 we sold 562 homes with area of 1,175,361 sft across all (RS. BN) (MN SFT) regions, achieving Sales Value of Rs. 18.74 bn, with growth of 24.6% 18.74 over Q4-FY24, at average realization
Slide 17: Region wise Real Estate sales performance - Q1 FY 2025
Region wise Real Estate sales performance - Q1 FY 2025 Total Sobha’s Share Average Price Region wise contribution to Sales Value Area sold Region Sales Value of Sales Value Realization Hyderabad (sft) GIFT City (Rs. Mn) (Rs.Mn) (Rs. / sft) Kerala 1% 5% Tamil Nadu 13% 1% Bangalore 467,071 6,271 5,886
Slide 18: Homes > Rs. 5 Cr. contributed 47% of sale
Homes > Rs. 5 Cr. contributed 47% of sale in Q1-FY25 ➢ Notable shift in product mix in sales was witnessed in Q1-FY25, Ticket size wise contribution to total sale value Major Projects: due to inventory mix gyrating towards high ticket products over >Rs. 5 Cr. • SOBHA Aranya last 2 quarters SOBHA Oak
Slide 19: Cumulative Quarterly Growth Rate of 5.99% over last 10 quarters
Cumulative Quarterly Growth Rate of 5.99% over last 10 quarters QUARTERLY SALES VALUE (RS. MN) 19,516 18,737 17,238 14,634 14,647 15,040 14,247 11,096 11,455 11,642 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 QUARTERLY SALES VOLUME (MN SFT) 1.69 1.66 1.48 1.48 1.34 1.36 1.39 1.34 1.3
Slide 20: Inventory Visibility – Ongoing and Forthcoming Real Estate Projects
Inventory Visibility – Ongoing and Forthcoming Real Estate Projects Forthcoming Projects Residential Inventory visibility Location SBA (Mn sft) No. of Projects Inventory status Mn sft Bangalore 11.37 8 Completed projects 0.18 Gurgaon 3.46 3 Ongoing projects - offered for sale 6.96 Pune 1.00 1 Ongoin
Slide 21: Financials & Operations
01 02 03 04 05 SALES PERFORMANCE FINANCIALS & OPERATIONS ABOUT US CASHFLOW SALES PERFORMANCE FINANCIALS & OPERATIONS PROJECT UPDATES 20
Slide 22: Financial & Operational Highlights – Q1 FY 2025
Financial & Operational Highlights – Q1 FY 2025 Rs Billion TOTAL INCOME REAL ESTATE INCOME ➢ Total revenue recorded in Q1-FY25 was Rs. 6.70 bn, ▪ Real estate business contributed Rs. 4.75 bn (70.9% of overall 9.39 7.41 -29% revenue) -36% 6.70 4.75 ▪ Contractual & Manufacturing clocked Rs. 1.65 bn (2
Slide 23: Profit & Loss Statement – Q1 FY 2025
Profit & Loss Statement – Q1 FY 2025 Rs Million Particulars Q1-25 Q1-24 Q4-24 FY-24 Real Estate Revenue 4,751 7,410 6,080 24,138 Contractual & Manufacturing Revenue 1,653 1,669 1,549 6,831 Other Income 295 313 284 1,209 Total Income 6,699 9,392 7,913 32,179 Total Expenditure 5,845 8,425 7,008 28,199
Slide 24: Consolidated Balance Sheet as on 30th June 2024
Consolidated Balance Sheet as on 30th June 2024 Rs Million ASSETS 30-Jun-24 31-Mar-24 EQUITY & LIABILITIES 30-Jun-24 31-Mar-24 Non-current Assets Equity Property, Plant and equipment 4,733 4,653 Equity Share Capital 948 948 Investment Property 4,400 4,433 Other Equity 24,256 24,192 Investment Proper
Slide 25: Contracts Portfolio & Operational Overview - Q1 FY 2025
Contracts Portfolio & Operational Overview - Q1 FY 2025 Rs Billion Particulars Q1-25 Q1-24 Ashoka University North Campus - Sonepat Total order value of Rs. 2.4 bn to construct 493,000 Revenue sft of built-up area across buildings. Contracts 0.91 0.72 Scope includes Civil , MEP, PHE , Glazing and fi
Slide 26: Manufacturing & Retail Performance – Q1 FY 2025
Manufacturing & Retail Performance – Q1 FY 2025 ➢ SOBHA is the only Real Estate company in India with complete vertical integration across the value chain ➢ It supports company to take up turn-key projects and deliver world class quality in timely & efficient manner Glazing & Metal Works Interiors,
Slide 27: Commercial Portfolio: Completed, Ongoing & Forthcoming projects
Commercial Portfolio: Completed, Ongoing & Forthcoming projects Total Sobha Share Sobha City Mall, Thrissur Project Name Status Leasable Area (sft) Leasable area (sft) Sobha City Mall, Thrissur Operational 3,23,017 280,798 One Sobha, Bangalore Operational 2,28,348 1,54,431 Sub Total 551,365 435,229
Slide 28: Project Updates
01 02 03 04 05 SALES PERFORMANCE FINANCIALS & OPERATIONS ABOUT US CASHFLOW SALES PERFORMANCE FINANCIALS & OPERATIONS PROJECT UPDATES 27
Slide 29: Launched 3.04 mn sft of Residential Projects in Q1 FY 2025
Launched 3.04 mn sft of Residential Projects in Q1 FY 2025 Sobha Aranya Uber Luxury Project located in Sector 80, Gurgaon, spans across 31.28 acres of land parcel, which is located within a huge 270 Acre biodiversity park of Karma Lakelands ➢ Total saleable area of 1,927,458 sft across 3 and 4 BHK c
Slide 30: Projects completed in Q1 FY 2025
Projects completed in Q1 FY 2025 Project Location Product Type No. of units SBA (sft) Sobha Windsor Bangalore Apartment 140 283,379 Sobha Dream Garden Bangalore Apartment 182 182,586 Sobha Royal Pavilion Bangalore Apartment 76 125,880 Sobha Sentosa Bangalore Apartment 71 117,734 Sobha Lake Gardens B
Slide 31: Real Estate – Project portfolio – Completed, Ongoing and Forthcoming
Real Estate – Project portfolio – Completed, Ongoing and Forthcoming Completed Ongoing Region Forthcoming Developable Saleable Built-up Developable Saleable Built- Note: Area Area Area up Area • Real Estate product mix includes Multi Storied Bangalore* 61.16 44.00 18.83 13.73 11.37 Apartments, Row H
Slide 32: Completed Residential Projects during Q1 FY 2025
Completed Residential Projects during Q1 FY 2025 Sobha Windsor Wing 1 & 2 Sobha Dream Garden Wing 8A and 8B Sobha Royal Pavilion Wing 8 Bangalore Bangalore Bangalore 2 wings - G+17 floors 2 wings - G+23 floors 1 tower - G+18 floors SBA – 283,379 sft (140 units) SBA – 182,586 sft (182 units) SBA – 12
Slide 33: Completed Residential Projects during Q1 FY 2025…Continued
Completed Residential Projects during Q1 FY 2025…Continued Sobha Sentosa Wing 6 Sobha Lake Garden Wing 4 Sobha Lifestyle Legacy Bangalore Bangalore Bangalore 1 wing - G+17 floors 1 wing - G+18 floors 1 villa – Duplex SBA – 117,734 sft (71 units) SBA – 1114,793 sft (75 units) SBA - 7,946 sft 32
Slide 34: Completed Residential Projects during Q1 FY 2025…Continued
Completed Residential Projects during Q1 FY 2025…Continued Internation City Sobha Silver Estate Sobha Gardenia Annex Gurgaon Thrissur Chennai 10 villas - Duplex 15 villas - Duplex 4 villas - Duplex SBA - 51,984 sft SBA - 15,582 sft SBA - 15,519 sft 33
Slide 35: Ongoing Projects
Ongoing Projects Sobha Manhattan Towers Sobha Rajvilas Sobha Athena Bangalore Bangalore Bangalore 4 wings - G+35/36 floors 1 wing - G+25 floors 1 wing - G+19 floors 560 units of 1/2/3/3.5/4 BHK 80 units of 3/4 BHK 72 units of 3 BHK Total SBA - 875,256 sft Total SBA - 180,082 sft Total SBA - 121,606
Slide 36: Ongoing Projects…continued
Ongoing Projects…continued Sobha Victoria Park Sobha Neopolis Sobha Oakshire Bangalore Bangalore Bangalore Phase I – 5 towers - G+9 floors -300 units, 19 wings - G+18 floors 80 Row Houses - 4BHK Total SBA of 538,26 sft 1,875 units of 1/3/4 BHK Total SBA - 275,486 sft Phase II – 19 Row houses – Total
Slide 37: Ongoing Projects…continued
Ongoing Projects…continued Sobha Nesara Sobha Avlon Marina One Pune GIFT City Kochi 3 towers - G+23 floors 2 towers - G+27 floors 6 wings - G+25/27/28 floors 293 units of 2/3/4/4.5 BHK 268 units of 1/1.5/2/3 BHK 586 units of 2.5/3/3.5/4 BHK Total SBA - 524,240 sft Total SBA - 320,667 sft Total SBA -
Slide 38: Ongoing Projects…continued
Ongoing Projects…continued Sobha Ridge Whispering Hill Sobha Arbor Sobha City Trivandrum Chennai Gurgaon 2 blocks - G+12 floors 7 wings - G+5 floors 11 towers - G+17/23 floors 110 units of 3 BHK 163 units of 3/4 BHK 804 units of 2/3 BHK Total SBA - 200,657 sft Total SBA - 286,689 sft Total SBA - 1,7
Slide 39: Board of Directors
BOARD OF DIRECTORS Ravi PNC Menon, Chairman Anup Shah, Independent Director • 18+ years of experience in the real estate and • 39+ years of experience in the field of law, specifically construction business real estate law • Bachelor of Science in Civil Engineering from Purdue • Degree in law from t
Slide 40: Thank You
SOBHA Corporate Office ‘SOBHA’, Sarjapur-Marathahalli Outer Ring Road (ORR), Devarabisanahalli, Bellandur Post, Bangalore-560103 Phone: +91-80- 49320000 www.sobha.com THANK YOU Investor’s Contact Mr. Soumyadeep Saha Investor Relations Tel: +91-80-49320000 Ext. 5024 Email: soumyadeep.s@sobha.com Disc