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Mahindra Lifespace slides after Q3 PAT slumps 91%

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Capital Market
Last Updated : Jan 27 2020 | 3:31 PM IST

Mahindra Lifespace Developers fell 2.79% to Rs 400.95 after consolidated net profit slumped 91.21% to Rs 1.81 crore on 36.64% decline in net sales to Rs 78.83 crore in Q3 December 2019 over Q3 December 2018.

Profit before tax (PBT) slumped 89.42% to Rs 2.32 crore year-on-year (YoY). The result was announced during trading hours today, 27 January 2020.

Commenting on the performance, Sangeeta Prasad, managing director & chief executive officer, Mahindra Lifespace Developers, said, "We are delighted with the successful launch of Happinest Kalyan, which strengthens the hypothesis that a right product with right location is always attractive. We are ready to launch our new projects in Mumbai and Pune this quarter, even as we continue to focus on callections and timely completion for operational throughput. The subdued investment sentiments in the economy has adversely impacted industrial land lease volumes."

The company achieved sales of Rs 196 crore (0.26 msft) in residential business (excluding cancellation at Luminare). Delivered 276 units to customer across various projects. Received advance for 782 units valuing about Rs 260 crore (0.51 msft); allotment to be completed in Q4 March 2020. It attained collections of Rs 242 crore in residential business. No completions in Q3 December 2019 has impacted the standalone financial performance, the company said.

Meanwhile, the S&P BSE Sensex was down 390 points or 0.94% to 41223.52.

On the BSE, 2,810 shares were traded in the counter so far compared with average daily volumes of 1,049 shares in the past two weeks. The stock hit a high of Rs 420 and a low of Rs 392 so far during the day.

The stock hit a 52-week high of Rs 454.15 on 15 October 2019. The stock hit a 52-week low of Rs 351.9 on 27 March 2019.

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The stock had outperformed the market over the past one month, rising 5.19% compared with 0.37% rise in the Sensex.

The mid cap company has equity capital of Rs 51.36 crore. Face value per share is Rs 10.

Mahindra lifespace Developers is the real estate and infrastructure development business of the Mahindra Group.

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First Published: Jan 27 2020 | 3:10 PM IST

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