Expect mix result for real estate in Q1FY13: Emkay

The Real Estate Q1FY13 results are expected to be mix. Sobha Developers (SDL) and Prestige Estates (PEPL) will show jump in revenue with strong sales bookings in last 4 quauters. DLF may again have some one-offs as sale of hotel subsidiary will be accounted, while on core operations it would be subdued. Phoenix Mills’ standalone nos, will continue to be subdued as High Street Phoenix is operating at peak capacity. Oberoi Realty (OBRE) is expected post growth in topline YoY while QoQ there will be marginal fall.

Sales bookings of Sobha Developers and Prestige Estates are expected to be strong on back of continuing healthy demand in Bangalore residential market with further rupee depreciation fueling the demand from NRIs. DLF is expected to have much lower sales booking in the quarter due to no new launches. We expect Oberoi Realty sales booking to be lower on back of increased prices in April 2012

The debt of Sobha Developers and DLF are expected to come down marginally QoQ due to higher operating cashflows for former and sale of non-core assets for latter. Debt of Prestige Estates is expected to increase marginally due to on-going capex towards commercial properties.