The share of NRI investments in the total sales of listed real estate developer DLF Limited is likely to rise to around 20 percent in the current fiscal year, Aakash Ohri, Joint MD and Chief Business Officer of DLF Home Developers Ltd, told Moneycontrol.
Ohri said that Indian diaspora across the world, including in the US, Middle East, South East Asia, Australia and Canada, had purchased homes in different DLF projects.
He said that the growth in the NRI share has been “steadfast”, and had risen from 14 percent of total sales last financial year.
“I anticipate that there will be an increase of around 5-7 percentage points in the NRI investment share in comparison to last financial year and it would touch around 20 percent of the sales in the current financial year,” said Ohri.
On October 31 last year, DLF said that it was targeting sale bookings of about Rs 13,000 crore during this fiscal year, on the back of strong demand. The company said it was confident of achieving the target and added that it would launch several new projects by March 2024.
“Out of a total of 350 units, nearly 70 houses were purchased by NRIs in our recently launched ‘The Valley Orchards’ low-rise premium residences in Panchkula. Around 50 percent of NRIs buy homes in our projects for investment purposes, such as rentals, and others keep it for themselves,” he said.
Ohri said that a dedicated team has been put in place to facilitate engagement with the Indian diaspora, to keep it fully informed about not just the latest developments in DLF, but also the industry at large.
“We also introduce them to our latest offerings and offer them real-time support across all time zones to help them with any queries,” he said.
Last October, DLF had reported a consolidated net profit of Rs 629 crore in the second quarter of the fiscal year, up 29 percent YoY. Total income from operations rose marginally to Rs 1,476 crore in July-September 2023-24, from Rs 1,360 crore in the year-ago period, according to a regulatory filing.
Also Read: DLF Q2 results: Net profit up 29% at Rs 629 crore
The company's sales bookings touched Rs 2,228 crore in Q2, with gross margins at 57 percent. DLF also said that it had turned net cash-positive during the quarter. EBITDA stood at Rs 591 crore in Q2, while the surplus cash generation from operations totalled Rs 1,147 crore.
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