India's Oberoi Realty misses quarterly profit estimate amid slowing sales

Oberoi Realty

28/04/2025 16:09

April 25 (Reuters) - India's Oberoi Realty OEBO.NS reported a fourth-quarter profit below estimates on Monday, hurt by a slowdown in sales and a lack of new launches.

The real-estate developer's consolidated net profit slumped 45% to 4.33 billion rupees ($51 million) for the quarter ending March 31, missing analysts' average estimate of 5.73 billion rupees, as per data compiled by LSEG.

Revenue from operations fell 12.5% to 11.50 billion rupees.

For further results highlights, click nFWN3R61OL.

KEY CONTEXT

Analysts flagged that Oberoi Realty had no new launches in the quarter, and sales momentum in its Thane project, outside India's financial capital Mumbai, declined after a strong launch, suggesting possible cancellations and a sales slowdown.

Moreover, a more than threefold jump in its land acquisition costs also hurt profit.

This comes even as demand for homes in India, particularly in the premium segment, has remained strong over recent quarters, as an increasingly affluent middle class in tier-1 cities is looking to upgrade to more premium offerings - from branded apparel to smartphones.

PEER COMPARISON

Valuation (next 12 months)
Estimates (next 12 months)
Analysts' sentiment
RIC
PE
EV/EBITDA
Revenue growth (%)
Profit growth (%)
Mean rating*
No. of analysts
Stock to price target**
Div yield (%)
Oberoi Realty
OEBO.NS
19.84
14.46
27.69
24.98
Buy
23
0.79
0.50
Sobha
SOBH.NS
28.88
18.02
19.38
214.09
Buy
15
0.74
0.24
DLF
DLF.NS
36.79
44.70
29.31
28.39
Buy
20
0.71
0.77
Brigade Enterprises
BRIG.NS
29.05
14.64
12.79
29.37
Strong Buy
11
0.74
0.20

* The mean of analysts' 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

JANUARY TO MARCH STOCK PERFORMANCE

-- All data from LSEG

-- $1 = 85.1910 Indian rupees

JANUARY TO MARCH STOCK PERFORMANCE https://tmsnrt.rs/3EIc9ac

 (Reporting by Kashish Tandon in Bengaluru; Editing by Vijay Kishore)

 ((Kashish.Tandon@thomsonreuters.com; 8800437922;))