Godrej Properties Ltd (GPL) reported its financial and operational performance for the second quarter of fiscal year 2027 (Q2FY27), revealing a mixed picture of declining short-term headline profits alongside robust operational growth. The company registered a 62 percent year-on-year decline in its consolidated net profit, dropping to ₹154 crore compared to ₹405 crore in Q2FY26. Similarly, its earnings before interest, tax, depreciation, and amortisation (EBITDA) fell 72 percent to ₹171 crore down from ₹614 crore in the corresponding period of the previous year. Despite the contraction in quarterly profits and EBITDA, GPL experienced a solid 38 percent increase in total income, rising to ₹2,575 crore from ₹1,867 crore year-on-year. On the operational front, the developer achieved sales worth ₹8,000 crore during the second quarter, while its booking value for the half-year ended September 30 grew by 7 percent year-on-year to reach ₹16,659 crore, marking the highest-ever first-half booking value in the firm’s history. Pirojsha Godrej, chairperson of Godrej Properties Ltd, noted that although headline earnings and bookings appeared muted, Q2 was fundamentally a strong operating period characterized by a notable 83 percent year-on-year increase in sustenance sales growth to ₹5,054 crore and a 31 percent rise in cash collections to ₹5,318 crore. Furthermore, GPL recorded its highest-ever second-quarter and first-half collections, with H1FY27 collections growing 25 percent year-on-year to ₹9,666 crore. The company’s operating cash flow in the second quarter also surged significantly, expanding by 297 percent quarter-on-quarter and 33 percent year-on-year to ₹1,584 crore. Looking ahead, Godrej highlighted that fiscal year 2028 will be a pivotal year when the strong growth achieved over past years materializes into reported financials under project completion accounting, with the firm anticipating both positive free cash flow and a 20 percent reported return on equity. To sustain this momentum, GPL remains intensely focused on cash generation, projecting collections of ₹15,000 crore and an operating cash flow of ₹7,000 crore for the second half of FY27, thereby balancing near-term profit normalization with aggressive long-term operational expansion, strong cash visibility, and improved project delivery timelines across its key residential and commercial real estate markets.
