Godrej Properties expects to generate over ₹20,000 crore in operating cash flow over the next seven quarters. These funds will allow the company to continue expanding its business and contribute to achieving a sales target of ₹39,000 crore in the 2027 fiscal year.
According to Executive Chairman Pirojsha Godrej, Godrej Properties Ltd will be able to receive more than ₹20,000 crore in operating cash flow in the current and next financial periods. This will ensure the possibility of further investments in business development.
In an interview with PTI, Pirojsha noted that the company's operational performance was very strong in the June quarter, when sales bookings increased by 22 percent, reaching ₹8,651 crore. He emphasized that stable sales growth creates high transparency for both cash flows and profits. 'In fact, this is the sixth consecutive quarter where we had sales booking volume exceeding ₹7,000 crore.'
Pirojsha expressed confidence that the company will meet or exceed planned targets across all parameters: sales bookings, project launches, customer receipts, and land acquisition. Furthermore, the company aims to achieve a Return on Equity (ROE) of 20 percent in the next fiscal year.
He added that despite some weakening in operating cash flow in the first quarter, it will grow very rapidly between the current quarter and the fourth quarter of the 2028 fiscal year, i.e., over the next seven quarters, expecting more than ₹20,000 crore. This will provide significant opportunities for growth and may allow the company to become positive in free cash flow next year.
As the largest developer by sales booking volume, Godrej Properties is actively investing in land acquisition for residential complex construction amid growing demand following the COVID-19 pandemic, especially among major brands. In the first quarter of the current fiscal year, investment in construction and related activities grew by 54 percent year-on-year, amounting to ₹2,244 crore, as the company seeks to increase production capacity.
In the 2025-26 fiscal year, the company delivered 12.1 million square feet and set a goal to deliver 13.5 million square feet in 2026-27. Pirojsha assured that the company would meet the delivery target despite the weak June quarter, when only 0.9 million square feet were delivered.
From an operational standpoint, Godrej Properties reported a 22 percent increase in sales bookings to ₹8,651 crore for the April-June quarter of 2026-27. For the June quarter, the company sold 3,738 units with a total area of 6.2 million square feet. Pirojsha stated that the company will meet or exceed the sales booking target of ₹39,000 crore in the current fiscal year. Previously, the company had sold properties worth ₹34,171 crore in 2025-26.
'We expect the sales momentum to continue in the remaining part of the year due to strong end-consumer demand in key markets,' said Pirojsha. Earlier this week, Godrej Properties announced a 42 percent decline in consolidated net profit to ₹349.38 crore for the quarter ending in June, due to lower revenues. Net profit was ₹598.40 crore in the same period last year. Total revenue also fell to ₹1,345.04 crore in the first quarter of the current fiscal year compared to ₹1,620.34 crore in the corresponding period last year. The company's revenue recognition was low in the June quarter due to fewer completed projects.
Since the beginning of the 2018 fiscal year, Godrej Properties has delivered 79 million square feet of real estate and possesses 258 million square feet of developable land across India. For group residential projects, the company focuses on five cities: Delhi-NCR, Mumbai Metropolitan Region (MMR), Pune, Bangalore, and Hyderabad. It is also involved in developing residential built-up areas in many Tier 1 and Tier 2 cities.
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