GuruFocus -
- Area Booked: 7.29 lakh square feet in Q2 FY '25, up from 4.43 lakh square feet in Q1 FY '25.
- Value of Area Booked: INR 672.54 crores in Q2 FY '25, compared to INR 235.32 crores in Q1 FY '25.
- Total (EPA:TTEF) Presales: INR 907.86 crores for H1 FY '25.
- Construction Completed: 6 lakh square feet in Q2 FY '25, compared to 4.9 lakh square feet in Q1 FY '25.
- Total Construction for H1 FY '25: 10.92 lakh square feet.
- Revenue: INR 59.53 crores in Q2 FY '25, down from INR 128.51 crores in Q1 FY '25.
- Profit After Tax (PAT): Negative INR 7.55 crores in Q2 FY '25.
- Pretax Operating Cash Flow: INR 78.18 crores in Q2 FY '25, compared to INR 75.29 crores in Q1 FY '25.
- Pretax Operating Cash Flow for H1 FY '25: INR 153.11 crores.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Ashiana Housing Ltd (NS:AHFN) (BOM:523716) recorded a significant increase in area booked, reaching 7.29 lakh square feet in Q2 FY '25 compared to 4.43 lakh square feet in Q1.
- The value of area booked rose to INR672.54 crores in Q2 FY '25 from INR235.32 crores in Q1, indicating strong sales performance.
- The company maintains a robust pretax operating cash flow, recording INR78.18 crores in Q2 FY '25, up from INR75.29 crores in Q1.
- Ashiana Housing Ltd (BOM:523716) is optimistic about a strong second half of the fiscal year with several key project deliveries scheduled.
- The company continues to maintain its guidance of INR2,000 crores of presales for the current year, reflecting confidence in future sales performance.
- Total revenues for Q2 FY '25 were lower at INR59.53 crores compared to INR128.51 crores in Q1, due to a lack of product deliveries.
- The company reported a negative PAT of INR7.55 crores for Q2 FY '25, primarily due to limited phase deliveries.
- Ashiana Housing Ltd (BOM:523716) faces challenges in acquiring land in Gurgaon due to high prices, impacting expansion plans.
- There is a concern about potential cost overruns and environmental compliance costs affecting future profitability.
- The company anticipates a potential challenge in maintaining presales growth in the coming years due to limited land availability.
A: Currently, we are not actively negotiating for land in Gurgaon due to high prices. We are exploring other neighborhoods where we find better commercial viability. (Vikash Dugar, CFO)
Q: What are the expected price realizations for the Sector 80 land compared to Amarah?
A: The price points for Sector 80 will be similar to Amarah, with slight variations depending on market conditions at the time of launch. (Vikash Dugar, CFO)
Q: What are the learnings from the One44 premium housing project in Jaipur, and is there potential for similar projects?
A: The project revealed a demand for larger, premium Ashiana projects in Jaipur. We see potential for 2 to 4 lakh square feet annually in this segment, though it will take time to scale. (Vikash Dugar, CFO)
Q: What is the status of the land deals in Jaipur and Bangalore, and when are they expected to be completed?
A: The Jaipur deal is expected to conclude early next quarter, and the Bangalore deal by the middle of next quarter. Launches in Bangalore are anticipated in 12 to 18 months. (Vikash Dugar, CFO)
Q: How do you plan to achieve the INR2,000 crores presales target for this year?
A: Key projects for the second half include Amarah Phase 5, Nitara Phase 2, Ekansh Phase 4, and others. Amarah will be a significant contributor. (Vikash Dugar, CFO)
For the complete transcript of the earnings call, please refer to the full earnings call transcript.