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Arvind Smartspaces Q3 profit up 17% to Rs 5.91 crore

The company reported its entry into the Bhugaon micro-market in Pune through the signing of a binding agreement for a 35-acre parcel of land on an outright purchase basis.

The company reported strong growth in fresh sales at Rs 158 crore for the quarter, aided by a set of successful launches of new phases in its existing projects in Ahmedabad.

The company reported strong growth in fresh sales at Rs 158 crore for the quarter, aided by a set of successful launches of new phases in its existing projects in Ahmedabad.

Ahmedabad-based Arvind Smartspaces Ltd on January 28 reported a 17 percent increase in consolidated net profit at Rs 5.91 crore for the quarter ended December.

Its net profit stood at Rs 5.03 crore in the year-ago period.

Total income rose to Rs 44.93 crore during the October-December period of this fiscal year from Rs 44.68 crore in the corresponding period of the previous year, the company said in a regulatory filing.

The company reported strong growth in fresh sales at Rs 158 crore for the quarter, aided by a set of successful launches of new phases in its existing projects in Ahmedabad.

It also reported a jump of 47 percent in its net collections of Rs 154 crore for the quarter versus the same quarter of the previous year. The net interest-bearing funds to equity ratio of the company stands at (0.21) as on Dec-21 vis-à-vis 0.68 as at Dec-20.

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It reported its entry into the Bhugaon micro-market in Pune through the signing of a binding agreement for a 35-acre parcel of land on an outright purchase basis. This would be the second project for the company in Pune, the company said in a statement.

Collections during the nine months amounted to approximately Rs 434 crore versus Rs 192 crore last year. The new launches during the nine months – Chirping Woods and Forreste Phase 4 - in Ahmedabad comprises around 14 lakh sqft, it said.

It said that fresh sales grew by 10 percent during Q3FY22; It stood at Rs 158 crore compared to Rs 144 crore last year. The revenue from operations during Q3FY22 was at Rs 42.9 crore compared to Rs. 44.5 crore last year (3 percent decline), it said.

“We are extremely delighted to announce our second project in Pune market as we recently finalised a binding agreement for an outright purchase of 35 acres of land. This will be our first large horizontal residential development project in the city. After Bengaluru and Ahmedabad, Pune and MMR are our new growth markets and we intend to increase our footprint in these markets by investing aggressively as part of our current investment cycle,” said Kamal Singal, Managing Director, and CEO, Arvind SmartSpaces.

Driven by a strong product portfolio and some very successful recent launches, "our fresh sales have continued to show strong momentum with a growth of 10% YoY during Q3FY22 and 40% YoY during YTD Dec FY22. Our strong performance on collections coupled with proceeds from equity issuance on a preferential basis to HDFC Capital Advisors and Promoters has enabled us to bring down our net debt levels to negative at (0.21) which gives us a strong headroom to fund our next wave of growth," he said.

He said the company is well poised to take advantage of such positive tailwinds and currently focused on investing in medium and large-scale projects.

"The recent addition of three new large-scale projects, the one at Devanahalli under HDFC Platform, another large residential villa project at Sarjapur, Bengaluru and now at Bhugaon, Pune, indicate the beginning of our post-pandemic fresh investment cycle. This is in line with our strategy of investing heavily in Pune and MMR markets besides deepening our penetration in our key geographies of Bengaluru and Ahmedabad,” Singal added.

Arvind Smartspaces has approximately 25 million square feet of real estate development across the country spread across Ahmedabad, Gandhinagar, Bengaluru, and Pune.



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Moneycontrol News
first published: Jan 28, 2022 08:02 pm
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