India's DLF posts Q1 revenue fall as price hikes dampen demand

BENGALURU (Reuters) - Indian real estate company DLF Ltd posted a 4% fall in quarterly revenue on Thursday due to subdued launches, while higher prices dented sales in the National Capital Region, its primary market.

The company's consolidated revenue from operations fell to 13.62 billion rupees ($162.62 million) in the April-June quarter from 14.23 billion rupees a year earlier.

However, its other income saw a near four-fold surge, prompting a 23% rise in first-quarter profit, the company said. DLF's other income includes dividends from subsidiaries.

KEY CONTEXT

In the April-June quarter, housing sales in the National Capital Region grew only 1% on-year - the slowest among top five real estate markets, data from consultancy firm Anarock showed.

Sales likely slowed down during the quarter due to a 28% year-on-year jump in housing prices in the region, analysts said, along with fewer launches on account of the general elections.

PEER COMPARISON

Valuation (next Estimates (next 12 Analysts' sentiment

12 months) months)

RIC PE EV/EBIT Revenue Profit Mean # of Stock to Div

DA growth growth rating* analyst price yield

s target** (%)

DLF Ltd 54.26 66.28 19.88 24.45 Hold 15 0.92 0.62

Godrej Properties 81.76 124.39 37.09 31.75 Hold 17 1.12 -

Ltd

Sobha Ltd 50.23 27.12 24.91 296.67 Hold 12 1.09 0.15

Macrotech Developers 51.61 35.05 24.68 55.47 Buy 14 1.03 0.16

Ltd

* The mean of analyst ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell

** The ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading above the PT

APRIL-JUNE STOCK PERFORMANCE

-- All data from LSEG IBES

-- $1 = xx Indian rupees

($1 = 83.7560 Indian rupees)

(Reporting by Hritam Mukherjee in Bengaluru; Editing by Mrigank Dhaniwala)