New contracts spur Sobha Developers' net 141%

Bangalore-based real estate company Sobha Developers has posted a 141.42 per cent increase in net profit at Rs 40.80 crore for the first quarter ended June 2007 compared with the profit in the year-ago period. The rise was on account of fresh contracts that the company received during the quarter and launch of new residential projects.

Revenues grew 30.87 per cent to Rs 269.20 crore for the quarter under review. Income from real estate operations was Rs 153.30 crore, while the contractual business contributed Rs 114.40 crore.

"The company reported strong growth across all segments. The growth in revenue from our contractual projects was 25 per cent. Residential projects also continued their robust performance with 48 per cent growth in revenue during the quarter," Managing Director J C Sharma said.

In the first quarter, Sobha Developers launched Sobha City (phase-I), the company's first integrated township in Thrissur, spread over 57 acres with an estimated investment of Rs 850 crore. The township is to be completed in five years. It also executed a Dell project in Sriperumbudur, which included the construction of an office block of 40,000 sq ft, a computer manufacturing plant of 60,000 sq ft and all service buildings.